Ross Cameron - Warrior Trading - Recent IPO via Special Aquisition Squeezes +200% in 1 Day!
The speaker discusses their daily market recap, highlighting a successful trading day with over $30,000 in profits, adding to a weekly total of $58,000 by Wednesday. They aim for an $80,000 weekly goal, with a stretch goal of $100,000. The speaker breaks down trades on stocks like SNT and OSR, explaining entry and exit strategies, and the importance of technical analysis and market conditions. They emphasize the significance of understanding stock patterns, such as low float stocks and special acquisition companies (SPACs), and the risks associated with trading around market halts. The speaker stresses the importance of risk management, maintaining a high accuracy rate, and knowing when to stop trading to preserve profits. They also encourage practicing in a simulator before trading with real money.
Key Points:
- Focus on technical analysis and market conditions for trading decisions.
- Understand stock patterns, such as low float stocks and SPACs, for better trading outcomes.
- Emphasize risk management and maintaining a high accuracy rate in trading.
- Know when to stop trading to preserve profits and avoid unnecessary risks.
- Practice in a simulator before trading with real money to manage risk effectively.
Details:
1. 📊 Daily Market Recap
- Current earnings are $30,000 for the day, bringing the weekly total to $58,000 as of Wednesday.
- The market was closed on Monday, requiring a higher earnings target for the remaining days.
- The goal for the week is $80,000, with an ideal target of $100,000, indicating significant progress towards these targets.
2. 📈 Stock Analysis and Strategy
- Achieved a green P&L on three out of three stocks traded, demonstrating effective trading strategies despite JTI being a break-even trade after initially going red.
- Successful trades were made with SIN and ORH stocks, highlighting the analyst's ability to capitalize on market opportunities.
- SNT was identified as the leading gainer in pre-market scans, trading at approximately $4.65 around 6:30 AM, which was a stock previously traded by the analyst.
- SNT's issuance of a US Patent for silicon nitride was not considered a strong headline, yet historical data showed the stock had potential for significant price swings, previously moving from $1.50 to $8.60.
- The analyst used past performance data of SNT to strategize trading decisions, leveraging historical insights to predict potential large moves.
3. 📉 Trading Tactics and Technical Analysis
- Employed Shadow Theory to identify key price levels at $447, $488, $637, and $860, guiding strategic entry and exit decisions.
- Focused on a low float stock with 700,000 shares, noting its status as the leading percentage gainer, which suggested potential for rapid price movements.
- Executed a trade by entering at $4.90 and adding at $4.96, successfully capturing a price squeeze up to $5.30, demonstrating the effectiveness of rapid response strategies.
- Leveraged breakout and pullback strategies to achieve a $0.50 per share gain from a price move between $5.20 and $5.70.
- Total profit of $1,973 was achieved through aggressive trading from a low of $4.96 to nearly $6.00, emphasizing the benefits of decisive action in volatile markets.
- High trading volume permitted larger position sizes, facilitating aggressive trading and enabling substantial profit capture.
4. 💹 Trading Performance and Reflections
- OSR stock increased by 165%, resulting in a $10,000 gain.
- The stock moved from $4 to $10, showing significant volatility.
- OSR is a SPAC, typically trading at $10 before a merger, often dropping post-merger, then rallying without news.
- Insiders typically buy SPACs at $10, which can create resistance at this price level.
- The trading strategy involved anticipating a squeeze at $6, followed by trading the breakout and the first pullback, leading to successful trades.
- Multiple halts in trading caused challenges, with back-to-back halts making price action difficult to navigate.
- The stock had significant movements, halting up and down multiple times, with resistance forming under the VWAP, complicating trading decisions.
- Despite challenges, earlier trades were cleaner, with a notable move from $5 to almost $7 without halts, offering better trading conditions.
- High volume green candles were observed, but potential insider selling at $10 could impact future price movements.
- The stock's future movement past $10 remains uncertain, but breaking this level could signal further gains.