Hey everyone, Ross Cameron here! I have to admit, it’s been a slow trading week so far. It’s Tuesday, and yesterday was dead. Today isn’t much better. This is the typical holiday week scenario. Summer is upon us, and we shouldn’t have high expectations. However, for those of us who show up every day, hoping to see some action in the markets, it’s pretty clear that this week is slow and likely won’t get any better.
Reasons for Slow Activity
We need to understand that during a holiday week, market activity naturally dips. Most of the Big Money traders take the week off, leaving us retail traders to fend for ourselves. Retail traders, like myself, are the small fish swimming in the wake of the big whales. When the whales are on vacation, we are left searching for opportunities that just aren’t there.
Current Market Scans
Taking a look at the current market scans, the biggest percentage gainer today is OPTT, up by 98%. While it’s impressive, it’s a lower-priced stock at 55 cents. It showed a late morning rally after a pullback.
Today’s Trades
The first trade of the day was ANVS, which had a promising setup, but I ended up taking a loss of $36 (Results not typical). Despite the stock showing news and a good chart, hidden sellers tanked the price. With VLCN, I initially missed a good entry but managed to hop in later, making a modest profit of $194 (Results not typical). Again, sellers appeared and created resistance preventing a significant upward move.
Moving on to SYT, where I made the most profit today with $420 (Results not typical). There’s a large sell order at $3 creating resistance. This makes it hard for the stock to break out. It’s frustrating to see a big order like this stalling the stock’s movement. All said and done, I finished the day with a profit of $578 (results not typical).
Trading Strategy: Circuit Breaker Halts
One of my favorite strategies is trading around circuit breaker halts. The very fact that a stock gets halted indicates high volatility. We have various types of circuit breaker halts that can happen during trading. This week, however, we have only a few halts per day, which stands in stark contrast to more volatile periods where we might see 10-20 halts for one stock in a single session.
Trading Around Halts Strategy
When trading around halts, I look for a small dip right when the market resumes trading after a halt. People usually take profits as soon as the halt ends, causing a minor dip before the stock surges up again. However, it’s essential to stay cautious. After the first halt, it’s better to be vigilant as subsequent halts might not offer the same explosive opportunities. Yet, with a solid strategy, even in slow weeks, day trading can still be profitable for people who love day trading like me.
Tesla and Other Stocks
Tesla was another stock we were observing. It saw a decent move and has been grinding higher. However, its choppy opening range made it tough for short-term scalp trades. For long-term traders, there was a solid move worth noting.
Chewy and GameStop Analysis
Looking at Chewy, it’s been interesting. Despite Roaring Kitty’s significant investment, the stock went down, which is baffling to many. This behavior was similar to what we saw with GameStop where initial spikes due to tweets and position disclosures were followed by sell-offs. It seems like institutions might be trading against retail, making it tricky for us.
Trading Discipline in Slow Markets
In these slow weeks, maintaining discipline is crucial. It’s easy to get frustrated and overtrade, but staying calm and sticking to proven strategies is essential. The market will heat up again, and we need to be prepared.
Conclusion
As we wrap up today, remember that trading always carries risks. My results are not typical, and there is no guarantee of success in trading. Risk management and practice are your best friends in this game. If you’re interested in learning more, check out our Fourth of July sales for various trading courses. It might be a slow market now, but this is the perfect time to hone your skills. Stay disciplined, and happy trading!
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