Hey there Traders, Ross Cameron here! It’s Monday morning and I’m back at it again, ready to kickstart the week with some exciting action in the stock market. Today was no different, with a couple of stocks making significant moves, giving me the opportunity to capitalize on the momentum. Last week set the stage for some solid trading, and today’s market activity didn’t disappoint. So, let’s dive into the highlights of today’s trading session and explore the stocks that caught my attention.
Analyzing the Leading Gappers
As I settled in this morning, one of the first things that caught my eye was the leading gapper, a penny stock that showed promising potential. Among the lower-priced stocks that made substantial moves, $PALI and $ONMD stood out, with $ONMD surging by an impressive 160%. However, despite the significant gains, I opted not to trade $ONMD. Instead, let’s shift our focus to the stocks that I did trade.
Unveiling the Chart Action
The stock that generated the most substantial profit for me today was $REVB. With a whopping 100% increase in its value, $REVB displayed a chart that was quite dynamic and volatile. Upon examining the daily chart, one could easily notice a recent reverse split, signaling a potential opportunity for significant price movements. However, there was a cautionary factor to consider – the high volume preceding the reverse split, which could indicate premeditated sell-offs by investors. Despite the early morning pop in price, $REVB faced a sharp pullback, prompting me to enter my first trade as it broke over the volume-weighted average price (VWAP). This initial trade yielded a commendable outcome, with the stock making a substantial move to $20 per share. However, subsequent price fluctuations and halt actions made trading $REVB a bit challenging due to the wide spreads, limiting my position size but still allowing me to secure a profit of $2,800.
Navigating Through Risk and Opportunity
As $REVB continued to exhibit erratic price behavior with notable price swings, it became evident that trading with significant volume became increasingly daunting. Despite the allure of potentially massive gains with larger position sizes, the inherent risk associated with the substantial spreads deterred me from scaling up my trades. Instead, I strategically reduced my share size to minimize risk while still capitalizing on the upward momentum. This cautious approach enabled me to generate an additional $800 in profit, reinforcing the notion that prudent risk management and adaptability are crucial elements in navigating volatile market conditions.
Unearthing Trading Opportunities
While $REVB took the spotlight with its impressive performance, another stock that exhibited significant movement was $RVSN, showcasing a staggering 50% increase. Although it didn’t align perfectly with my trading criteria, $RVSN presented a compelling opportunity for potential trades. Despite my initial hesitation, I opted to delve into the stock, leveraging its upward momentum and managing to capitalize on the price fluctuations to secure profits throughout the trading session. Embracing a conservative approach and adapting to the challenges posed by wide spreads, I navigated through the market intricacies, ultimately contributing to a profitable trading day.
Embracing Mindful Trading
Reflecting on today’s trading activity, the overarching theme revolved around the delicate balance between risk and opportunity. While seeking to capitalize on potential gains, I remained cognizant of the inherent risk factors associated with each trade. This awareness guided my decision-making process, enabling me to achieve a balance between seizing trading opportunities and mitigating potential downside. Embracing a mindful and adaptive approach allowed me to navigate through the complexities of the market, ultimately culminating in a positive trading outcome.
In conclusion, today’s trading session presented a myriad of opportunities and challenges, underscoring the dynamic nature of the stock market. Navigating through the intricacies of volatile price movements and wide spreads demanded a strategic and meticulous approach, ultimately contributing to a profitable trading day. As I continue to traverse through the ebbs and flows of the market, I remain committed to prudent risk management and adaptive trading strategies, fostering a resilient and agile trading mindset.
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Warrior Trading was founded by Ross Cameron in 2012. Today Warrior Trading is a thriving community of thousands of day traders learning to trade under the curriculum designed by Ross.
You can learn more about Ross Cameron on his websites, RossCameron.com and Tirekickers.com
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