November 12th, 2022
- Not a bad day. Was very patient and waited for the right opportunities. Also, I wasnt using brackets so I was able to gauge my trades more on the price action rather than my own targets. I think this is a much better way to trade but the old habits snuck in on my first trade of the day where I took profits very early and if I used brackets I wouldve made my target. I need to realize when to cut for break even, or when to hold for stop or target. They are 2 very different and unique scenarios.
-Yet another day of pushing through highs continuing very strongly. Almost hit 400. Thats a 25 point move in 3 days. What the fuck
1d:2m 1st Trade: Call Option Trend Continuation
- I like the premise of this trade and it was really clean for a trend continuation. I shook myself out before getting into the profits. Im not sure why I dipped out of the trade other than being very weary of trading because I had a tough week. I also wasnt using my brackets like normal so I was able to really get in and out fast with hot keys so I need to find that balance between how to let my trades hold for target or stop and also not use brackets so I can adjust based on PA. I shouldve held this for a lot long than I did.
1d:2m 2nd Trade: Put Option Trend Reversal Continuation
- This trade is somewhat of a chase because I didnt wait for a proper pullup. I did think that since we had a 5% move the day prior and were headed for previous day close that we could really accelerate below that line very fast. I was correct but this is still somewhat of a scary trade to take because we couldve easily bounced the whole way back up to trendbreak retest zone which wouldve put me 1.5 points into the red. I like the exit though because I knew this was going to be a scalp at best.
1d:2m 3rd Trade: Put Option Trend Continuation
-This is a really nice move to move trade. The last one was a scalp and this was a move to move because I went for that lower high into a lower low setup. I shouldve held for my original thesis which was a break of the low but I sold very fast to just lock in some profits and let it go. Ideally I should just be trading this with multiple contracts and then take my partial into the initial move lower.
Definitely not easy by any means but this is a clean price action move where we end up going backside but not for long. We break below that oval trendbreak zone then come back up to it. We hit that zone and failed strongly but the next time we hit that zone we had a big red candle that was eaten up by buyers immediately. After seeing that we can confirm that the frontside has returned. Any pullback to higher lows should be taken for expectations of higher highs. I think that if I really start to look for trend continuations rather than reversals I could really make so much more money than I do right now. I just have to be patient and wait for those big zones to break then hold for pushes higher or lower. That really could be the bread and butter of trading large caps if you got good at idenfying the high EV ones. Dont get me wrong nothing is easy but in terms of probability, trend continuations are the best.