Transcription
What's up everyone? All right, so in today's episode, I'm going to break down my trades from the morning. Today, I only traded one stock. I kept it simple, and I'm finishing at $6,200.90, a little off my high of $7,300 bucks. So, gave back about 15% off the top. And that's my cue to take my hands off the keyboard and walk away. And I feel like I extracted as much as I possibly could from the market this morning. If I'd walked away when I was up $2,500, $3,500, $4,500, I wouldn't have known if I was leaving money on the table or if, you know, I had really gotten the most I could. So when I got up to $5,500, $6,500, $7,300, still going strong. $10,000 was within reach. And then I gave back off the top about, you know, $1,300 and I said, "That's it. I'm done." So I'm grateful for the gains today.
The stock I traded today was actually the same stock that we traded two days ago. Continuation for a lack of any really good catalyst here on Friday. This was the best quality setup. Stock is currently up right now only 23%. It's now pulled back a little bit off the high, but it's got a lower float. It was a daily breakout setup and we got a couple trades on it and that is a great way to finish the week. So, let's go ahead and jump on the screen share and start breaking it down for this morning.
Okay, so the ticker is ARTL, Biosciences Stock. Um, this is uh the the chart from a couple days ago and this came to my attention this morning. Uh, well, a couple days ago it popped up and it had breaking news. So, we had that pop, pull back, pop, pull back and it squeezed up at the open, but it wasn't able to break over about $8.37 and it sells off. So, this morning I I wasn't looking at it. I hadn't put it on my watch list for today. It w it would have been on the continuation scanner, but I hadn't looked at it. I I really wasn't thinking about that too much. Continuation stocks are sort of hit or miss. They can work, but I would generally prefer to trade a fresh catalyst. Um, however, um, as you know was the case today that there weren't really good fresh catalysts. So, the choice was either trade continuation or don't take any trades at all. And in fact, I thought today was going to be a no-trade day. I had a no-trade day on Tuesday, right? And then, you know, another no-trade today. Two no-trade days in one week. I don't love that, but at the same time, it's not the end of the world. It's it's certainly tolerable. And so, um, I thought it would be a no-trade day. And then all of a sudden, right here at 9:00 a.m., right there at 9:00 a.m., this pops up. Boom. It spikes up and it goes up to a high of $8 right here. And it dips down and then it pushes higher. Let's dial this in on the 10-second chart.
So, if we go to the 10-second time frame right here, when this first popped up right here, I missed it. I didn't see that first pop. Um, well, I I see it. I saw it after the fact, but I didn't see it in real time as it was squeezing up. Um, it pulled back and then right here as it curled up, this is where I got in and I had an average of about $8.30, $8.40 and I was buying basically the break at the high of day looking for the break of $8.50 and then an immediate squeeze up to $9. And on this one immediately I was getting dialed in for daily breakout which was $8.37, right? So we were already achieving a daily breakout of a new high, which was great. That means anyone who is swing trading this to the short side is not getting resolution. It's pushing higher. And then secondly, I was looking at room up to the 200 moving average here around the high of $11.27. So that was sort of my back-of-mind target that we could squeeze up towards $12.
All right. And as always, check the daily. Recognize it's recent reverse split, sub 1 million share float. So imbalance between supply and demand is going to be stronger. And uh, so we got this first pop up to $9. It dips down. Then it squeezes here up to $9.50. And right here, I added as it broke over $9 and I was looking for the break of $9.50 and I wanted to see this go straight to $10 a share. And the fact is that wasn't totally unreasonable. We had just gone from $8 to $9. That's a dollar a share. $1.50 up to $9.50. And so I was looking for that to continue higher. However, up at $9.50, right after I added, a big seller came in. And so I thought, hm, now I've added in my position. Do I hold this um through the pullback? And, you know, I could have done that. Or do I take profit? And I took profit. I sold right here at $9 as it dipped back down. So I gave back a little profit in a way because I was up, well, I added as it squeezed up. And when it hit $9.50 for a second, I was up almost probably a dollar a share, but I didn't take profit because I was still in the mindset of adding. And then when I saw that big seller, I was like, maybe I should take some off the table. So I sold. I hit the bid. I took some off the table and I locked up about $4,800 on that first trade.
Then it dips down as you can see right here to $8, curls back up. So now we're going to jump over to um the one-minute chart here. So we had this initial squeeze up, then it pulls back and this little breakout here, which I took, but it didn't really resolve very well. And what ended up happening on this was each of these times I got back in right here and right here, it felt really heavy. There were big sellers. It wasn't pulling away. It then sells off at the open. Goes down to $8. Um, but it bounces off $8 and rips here up back to $9. And then I kept trading it in this area. Getting in, getting out, getting in, getting out. And this is where I peaked up around $7,300. But it never pulled away. Look at all these topping tails. So, we know those topping tails are bearish. It's showing us that the stock squeezes up, but that's unable to hold those levels and it gets pushed back down. So, unfortunately, it got pushed back down, went below VWAP. Now, it's back above VWAP. Could this give another curl back to the high? It might. It I could see it happening. The MACD has gone negative. The volume is declining. And I think for me, I'm I'm good. I'm good with where I sit. $6,000 is not a bad day. It's a great way to finish the week. And you know, considering the fact that we're still in a colder market, we just have to accept that, right? This is, you know, ARTL in a hotter market, yeah, probably would have gone right to the the 200 moving average. Who knows, maybe it would have even broken the 200 and then next thing you know, we're looking at a squeeze up to $16, $18, or $20 a share, but that's not the market we're in. We're not in a super super hot bull market, at least for small caps. And you know, you look at the S&P 500, which is not the best reflection of the small cap market, but you can see the S&P 500 is pulling back a bit. So, you know, you look at this drawdown off of the top of about 700. We're down to 650. So, you know, 50 points off the high here on the S&P. That's not that's not bare market territory, but it's a little bit of a pullback, right? It's not even a 10% pullback, but it's a little pullback.
The IWM, the Russell index. This is the Russell um 2000 for small caps. This one peaked at about 270. We're at about 245. So, you know, this one's down 25 points. It's about 10% here. All right. You know, but you could also kind of look at this as, oh, maybe this is going to be a buying opportunity here. We're kind of at, you could almost say support. So, you know, that's that.
USO, United States Oil Fund. With everything that's going on in the Middle East, price of energy is still elevated. I spent $80, $85 to fill up um the car with gas yesterday, which is I think more, I don't think I've ever spent that much to fill it up. I mean, it was it was basically on empty. Um, but, you know, gas prices are higher at the even at the pump. And so it's it's going to it's affecting every day. You know, everyone who's filling up their car with gas and certainly if you got a truck, you're spending a lot more money than you were, you know, a month ago. So all of that eventually is going to have a toll, right? And people may be less likely to spend money in other places because they're getting squeezed a little bit on energy. It's coming to sort of the end of winter, so thank goodness for that. But, you know, home heating oil, that's expensive and, you know, it's it's everything else. So, I'm sure that, you know, we will see um if this continues this conflict and it seems that it certainly will that, um, you know, there's going to be a little bit more pain in the economy um and and we'll see that, you know, in the coming months.
I my it's one of the reasons that I'm so grateful, you know, as a trader. Um I've got this book here um Five Acres and Independence, which I talk about from time to time. Um it was uh this this one was published during World War II, but um the this edition, this specific copy, but the book the book was first published um during the Great Depression. And um and it's a little funny in in a way because of course um the industrial farming in the um in the plains of course contributed to the dust bowl. But in any case um this is to me more of a New England uh a guide of how to live off the land in New England. Uh self-sufficiency feels more important than ever when the economy starts to show some cracks. And as a trader, I do feel self-sufficient. I feel that I can sit down every day. I can I know what I'm looking for. Stocks that have a news catalyst, stocks that are moving, capitalizing on the volatility. And although there is less volume in a bearish market, there's a little less liquidity, there's still opportunity. And I'm grateful to be able to make $6,000 even in a cold market when, you know, other other people are are struggling. So, you've got to be grateful for the opportunity to be able to sit down here and trade. the fact that you've got the internet connection, the computer, um, and that you've already developed enough knowledge to be able to, um, you know, be where you're at now. And I get it, it takes time certainly to get to a point of being consistently profitable. But, um, for me, my accuracy today was pretty high. Uh, I took a total of probably seven or eight trades, green on all except one. And definitely I've paid my dues and I've picked up a lot of intuition over the years gaining experience and that definitely guided me in and out of my trades today and allowed me to um to produce this profit.
I think that uh ARTL inherently was a B-quality setup because it lacked a fresh catalyst and news. Um, however, the price was perfect between $5 and $10, which is where I do the best. The float was very low, which was good. Um, recent reverse split, daily chart with the room up to the 200 or yeah, the the 200 moving average there up around $12. So it it met some of the other pillars quite well and so it was worthy of taking the trade, especially considering the time of day, the fact that we didn't have any news catalyst, um, you know, so there was nothing else that was more obvious. But um, you know, if we look at my metrics here for the last 30 days, I'm in the trenches going pretty much sideways here. I mean, sideways is maybe not exactly right. I mean, these are $5,000 days. That's a $10,000 day, but um, you know, chipping away on small green days. Uh, last week, was it last week or the week before? It was on the fourth, I got a $52,000 winner. And that was the day I was up $75,000 and I gave back a third of it. But, you know, I was doing well. This day back here, $43,000. This day back here, $80,000. So, I feel like I'm due for a nice big green day. I would love to catch that. But, I also don't want to catch a red day. So, when something starts to pull away, I'm happy to step up to the plate, but uh I just have to remind myself the, you know, environment that we're in. This is not the environment where I'm going to be setting any records. That's for sure. So, just have to take it slow, be patient, but showing up every day and chipping away.
So, for those of you guys watching on YouTube, join me next week. Check out our two-week trial. Link will be posted in the top of the comments and in the description of this episode right here, and you can start your two-week trial over the weekend if you'd like. You can study up because during the trial, you'll have access to a selection of my classes and that'll have you hitting the road Monday morning kind of already up to speed. All right, so I will see you guys back at it first thing on Monday. Reminder, as always, trading is risky and my results aren't typical.