VLTC!

 

I bought at 5.64 because it was consolidating for a while off of its high of 5.99 so far on the day. I had a plan to cut loss under 5.55 since that had been the lowest point during the consolidation period. This is a great trade because I was risking 10c a share and I knew the upside was huge. You have to know which stocks have the potential to run and trap shorts! VLTC is definitely one of these cult stocks that show up with huge power that short sellers always underestimate and get burned on (look at previous chart history for VLTC to see what I am talking about). I sold off my position in separate chunks. My highest selling point was at 6.57 but I only had 200 shares left at that point. I generally trade this way because I like to lock in profits at logical areas and protect myself from potentially turning a winning trade into a loss. This method definitely minimized my profit today but I am still very happy with the gain of over $650. In hindsight, I should have held the full position and sold it all in the 6.80s which would have nearly tripled my profit. 

 

What put me over $1k in profits today? I do a little bit of swing trading, which includes big name companies like Facebook, Apple, etc. I know Tim doesn't teach how to trade large cap stocks but I have studied the markets for a long time in college and I have success trading more than just small caps. You can actually apply what Tim teaches to all stocks but I definitely recommend you stick to small caps unless you have been trading for a while or if you have a background in Finance like I do. The reason I bought Facebook last week was because I had been watching it for a while and saw that it had some serious relative strength. By relative strength, I mean that it is outperforming the market. Thus, when the market was getting beat, Facebook was holding up much better, and when the market was strong, Facebook was twice as strong. Today I decided to sell it right under the $90.00 mark because it was putting up some resistance and I wanted to lock in just in case. Turns out I sold too early and FB will likely gap up tomorrow unless the market opens weak. I also sold a position on AAPL that I had dip bought late last week. I felt it was undervalued and was willing to hold it for a while even if I didn't correctly find the bottom. Today it was very strong and I decided to just take profits (again too early).

 

Thanks for reading! I realize this isn't the most motivational post I have done but I am super pumped about the gains I made today so I wanted to share! Let me know if you have any questions about these trades.