This morning I thought the news on YHOO cutting jobs would definitely tank the stock. So I entered right at open. I forget that there are shorts already in these stocks that like to close out as soon as the stock opens that causes a spike and then typically a better entry than right at open. I entered and the stock faded and then spiked some and was consolidating and I felt it was going to make a drastic move in one direction or another so I didn't want to take more of a loss so cut it at $27.  Of course I moved on and then looked back at YHOO And the drastic move was in my favour. Rather than chase it I moved on. 

 

I saw VLTC was testing resistance and I know it is a parabolic spiker, so I entered and it went up a couple cents but came back down and exited flat on the trade. So I looked for another set up.

 

Around 10 o'clock it is usually the time of day for some sort of reversal play. The spikes tend to sell off and the sell offs tend to have shorts covering. I saw NOV that had a big downtrend for the day. It was consolidating so I thought ok it will reverse. I watch 1 min, 2 min and 5 min chart of the same stock to make sure all charts are showing the reversal.  It looked good so I entered. Well at that moment my level 2 began lagging and before I realized it the stock tanked 50 cents against me. I didn't panic. I knew it was going to cause more shorts to cover with that nice round 50 cents so put in a limit order to get out and took another loss to bring me to down $150 for the day.

 

I didn't let these trades get to me mentally. The first one I was right just not patient enough.  VLTC no harm nothing gained and nothing lost. NOV I had technical difficulties. So I looked for another setup. 

 

I saw GT tanking and I thought here it is..... I will be patient for the right moment to enter.  Began my entry at 27.01 then it dropped more and I added at 26.70. Once it was above 26.10 I added to my winner a move I learned from MOMO Traders book. I started to take my profits at 27.24 and 27.49.  I was going to cover the remainder at 27.74. I saw the resistance at 27.49. I have seen the trends to know that there will be more action and another reversal with day traders closing their positions before lunch.  So I let the stock fade again. It dropped back down to 27 the new level of support so I added again once it showed strength on level 2 to go long. I closed out more at 27.29 not to be greedy and was still hoping for the 27.74 for my remaining 1/3 from earlier. I got impatient when it touched 27.50 twice and didn't break it so I covered the remainder at 27.47. I was also due to meet my friend at 1 so I didn't want to leave the trade unattended. 

 

All in in all not a bad day to go from Red to Green and up $216. I'm getting there one day at a time and trying to learn from every trade.