October 27th, 2022
-Not an awful day. I like how I came back and went into my old roots of "setting it and forgetting it." I had my biggest win in this account by far and arguably one of my biggest wins in options in terms of %. I made 11% in my second trade after losing a decent chunk in my first trade. Although, the second trade was somewhat of a "fuck you" trade rather than my having a clear plan. Its kinda funny that when I think less I have the biggest win of this account meanwhile if I lost on this trade I wouldve only been down 25$ on the day. Maybe I should care a little less and go for bigger moves like I used to do in NVDA. They need to be chosen extremely carefully though.
1d:2m
1d:2m 1st Trade: Trend Continuation Short
-I understand the premise of this trade and I do like taking this BUT the biggest problem with this trade is the fact that we are in a micro uptrend WITH a pullback present. This means that we should probably push higher and these big panic moves that I was aiming for in this trade just do not happen when we are in this phase of price action. Let me explain:
90d:30m
- We broke above the huge range and brokeout into the previous supply zone from a month ago. The previous day we hit that supply and broke down strongly. Since we broke that down and started to mvoe lower I assumed that on a break of premarket low we might hit a panic like we used to in those big red days. Since we are trending upwards on the macro chart I have to be careful going for trend continuation short trades the day after we already hit supply like that. This trade can be taken just only after we hit some kind of large downtrending trendline or some kind of supply.
2nd trade: Supply Zone/Trend Reversal Short combined with a small add that was a Trend Continuation
-This is just hilarious that I won 50$ on this trade. So once we failed to breakdown I was mad and realized that since we hit supply the previous day that there is a good chance that we top out and fail to move higher then drop very fast. I didnt feel like sitting there waiting for a trend reversal that I would have to chase downwards to I just fucking took a 25 delta contract and put my stop 1 dollar above the high and we spiked about 50 cents above the high then flushed very fast with no chance to get in. This is exactly what I thought would happen but my execution is a little early, although I dont think I couldve been late on this one becuase it just happened so quickly. In this rare circumstance this actually worked well to be early on a frontside move. This is one of those trades though where it either works very well or just stops me out and usually drops the moment it stops me out. Overall good trade though.
Easy Money:
-I do think I took the easy money trade of the day. Shorting at this supply zone was pretty accurate even though I didnt really do it for those exact reasons. The day prior we hit supply right where we failed today and its the same exact spot where a shit ton of sellers jumped in and flushed the SPY 2 points in seconds.
