July 25, 2023 (2 Trades) (+$10.00)

Overall Grade: B-

Day Summary: Today I started out fighting the trend on Trade 1 and thankfully was able to get out for a tiny loss because I at least had a good entry (puts at resistance) but I was able to flip my bias and go long with the overall intraday trend today to get a win on Trade 2. The only problem was ... you guessed it ... I didn't hold my winner.

 

DAILY - SPY

5 MIN - SPY

                                                TRADES

Trade 1 - Long 2 Puts @ 5min PM Channel (no key level)

Grade: C-

  • fighting the intraday trend - bad
  • single-factor trade - bad
  • decent entry (didn't buy puts into the bottom) which at least allowed me to get out of this trade for a small loss
  • stop was a candle close above my entry candle so i did not follow the plan
  • didn't have a clear target in mind here so overall I should not take this trade

FIX: Don't take trades where you don't have a plan for a stop and a TP

 

Trade 2 - Long 2 Calls @ PM line / Previous Support

Grade: B

  • going with intraday trend - good
  • multi-factor trade - good
  • this was sketchy because I was trying to pick a bottom through assumption
  • actually planned entry was VWAP but I got a bit of FOMO (I actually tried to enter on the bid and then hit the ask before cancelling my first order because i wanted to get in)
  • luckily I cancelled the bid order because we flushed through VWAP (my ideal entry) and then i would have been oversized into this trade
  • ideal entry would have been pullback to PM line after VWAP flush because then I would have had a proper low to risk
  • did not hold winners well, although I did hold contract #2 through the pullback to PM line (had stop 1c above breakeven) but then i took it on the next candle even though it held - dumb
  • target was yesterdays high and we got it without me in the trade -_-

FIX: Hold winners. Don't stab at bottoms assuming a level will hold. Control FOMO on entries.

 

TAKEAWAYS: Trading a bias is never good and I'm glad I was able to recognize after Trade 1 that I was fighting the trend and it would just be easier to go with it.