Day Trading the Break of VWAP Setup

What's up everyone? Welcome to day 10 of my small 
account challenge of growing a $2,000 account   using Charles Schwab as my broker. As we look back 
on the last 10 days, I've got now two weeks under   my belt. Well, I guess that's not exactly true. 
I think there were a couple of no trade days in   there. So, this challenge has probably spread 
over closer to three weeks. And so in any case,   over the last 3 weeks and over the course of the 
last 10 trading days, I've managed to grow the   account from $2,000 up to over $11,000. Today's 
another green day. And I want to pose a question   to you guys here uh that you can answer in the 
comments. Would you like to see me keep growing   this account? And if yes, to how much money would 
you like to see me grow it to? Or would you like   to see me reset the account back down to $2,000 
and do another small account challenge? And if   yes to that, what broker would you like to see 
me use? Now, you guys can vote in the comments.   Whoever has the most thumbs up on a broker, I'll, 
you know, view that as the community vote of which   broker you're most most interested in seeing me 
use. Using Charles Schwab um made sense for a lot   of reasons. When I began the challenge, some of 
the other brokers that I do like a lot, including   Weeble, um they were restricting trading on a lot 
of small cap stocks. And so I felt that if I used   Weeble, I wouldn't be able to take trades on some 
of these stocks that were moving. Whereas Charles   Schwab, they were restricting the stocks, but 
they allowed you to sign a waiver where you said,   "I know it's risky, but I want to trade them 
anyways." And then they let you trade them.   I mean, for what it's worth, it's your money. 
You should be able to do what you want. But,   you know, I digress. So, let me know what you guys 
think. Um my one issue that I've had over the past   um few weeks using Think or Swim is that it's a 
little bit of a hog of resources on my computer.   These last two weeks I've been on my traveling 
trading station which means I'm trading on a   laptop uh right here using these sort of dinky 
little um external monitors. Here's one of them   right there. They're super skinny. I like them a 
lot. Um you know, but it's not an ideal system.   And regardless of the monitors, what's not 
ideal is that a laptop running uh Think or Swim,   you know, that's one thing, but then I've got the 
third party software I'm using to API to Think   or Swim. And I'm using that software because it 
allows me to create customized hotkeys. You can't   do that with Thinkorswim, which is very annoying. 
So because Thinker Swim hasn't added this one   very basic feature that nearly every other trading 
platform includes which is the ability to create a   customized hotkey. I have to go spend extra money 
each month using a third party platform to API.   So the third party platform executes the orders 
and then I watch them and think or swim as they   get filled. But this means now I'm running two 
pieces of software and spending extra money. Plus,   I'm still trading my regular account. So, now I've 
got three trading platforms running at the same   time. Plus, I've got, you know, the the charts and 
the scanners and screen recording and everything   else. And the result is that I'm having moments 
where my computer just locks up. And this is a   nice computer. It's it's heavy as can be. It's 
got a huge fan in it. It's got a nice graphics   card. It's got a ton of memory. So, you know, it's 
just you can only expect so much. And so I think   there's an argument for using brokers that are a 
little bit simpler and that you don't have to kind   of um you know do this like shoehorn situation 
to make it work. On the other hand, um Thinker   Swim has been really good for a number of reasons. 
Was able to get shares of the SpaceX IPO. They get   pretty good order execution, price improvement, 
you know. So anyways, you guys let me know what   you think in terms of where to go from here. But 
let's go ahead and jump into the um breakdown. So,   as always, the profits from these small account 
challenges that gets donated to charity,   but because I keep resetting the account back down 
to $2,000, it's limiting how much I can make. So,   I'm giving you guys the chance to help me increase 
the amount I'm donating and every time you guys   hit the thumbs up, I'm adding an extra dollar 
to charity. So, thank you guys who have hit the   thumbs up in the episodes in this series. You've 
made a huge difference in raising money. Um, well,   it's it's I'm donating the money, but you've 
made a huge difference here nonetheless. So,   this is the 50 state children's hospital goal. 
A goal of donating to a children's hospital in   every state in the United States. And as of right 
now, we're at 25 states that we've donated to. So,   we're about halfway through um or halfway towards 
this big goal. Arkansas, Alaska, and Alabama were   the three that we got um just yesterday. I just 
hadn't gotten I wasn't doing it alphabetically,   but I just thought I'd knock them out because 
someone in the comments um mentioned Arkansas and   so I said, "All right, I'll do that." And then as 
I was looking at my spreadsheet, I had Alaska and   uh Alabama there as well. All right, so today's 
day 10 of the small account challenge. And   um as I sat down at about 7 a.m. this morning, 
and even at 8:41, the GAP scanner was pretty dull.   Um, I was a little bit concerned about this 
on the one hand, but on the other hand,   when you don't have much moving, it can open um 
sort of open the door that anything that moves up   even a little bit becomes the most obvious stock 
very quickly. And so that ended up happening to   KSU or sorry, KUS, custom entertainment with 
a K. This is very important. It's not custom,   it's custom entertainment. That means they're 
edgy, they're cool, and more profitable. No.   No. Well, certainly not more profitable. Don't 
be ridiculous. Um, this is a company that has a   history of selling off. And to be honest, 
I didn't think it was going to do much,   but I didn't think NXTR or NXTs would would do 
much on Monday or Tuesday when that one popped up.   um you know, but because nothing else was moving 
up, it had its day in the spotlight and ended up   going from about $4 a share to $24, which was 
incredible. So, KUS Custom, this one popped up   this morning and because nothing else was really 
looking good, um it it ended up doing quite well.   I was surprised. I didn't take any trades on it. 
I I just sat on the sidelines kind of rolling my   eyes and feeling a little bit annoyed. Um, you 
know, I I the issue was down here at $2, it was   too cheap. And then by the time it was up here at 
three, I saw with this topping tail candle, I felt   that it was too extended. It drops down. First 
candle makes a new high, it goes back to 340,   but I just said, "Nah, I just can't." And then 
look at this high volume rejection right here. So,   this is a spot where some, you know, obviously 
some traders fell into that rejection. Would   you have gotten caught in that? But let's 
back that up for a second. Right here,   we had already had a first pullback and a second 
pullback. And the second pullback didn't go very   high relative to the first one. So that tells 
us the stock had kind of a big boost here,   it pulls back and then not as many people jumped 
in for the continuation higher. It then pulls back   and during this pullback because it rejected from 
340 all the way down to 280, which is fairly big   on a low price stock. um the volume was higher on 
the sell side there and then the MACD, the moving   average convergence divergence indicator went 
red. So I sort of have a rule that I'm pretty   good about following that I won't trade once 
the MACD goes red. And so once the MACD is red,   I'm not interested. So I would not have gotten 
into that trade because the MACD was red. And   the MACD didn't flip to positive until right here. 
But by that time, we were below the volume weight   average price and it was not really a good setup. 
So, there were no trades on that one for me. Now,   we did have Azi on the scans earlier. This one 
had continued to move from pre-market uh or sorry,   after hours and continued a little bit higher into 
pre-market, but there was no trades on that for   me. IQST was also on the scans. This one I looked 
at as being too cheap, similar to custom, I didn't   take any trades on it. Um, and then we had Mimi 
that hit the scanners. Mimi ended up coming out   with news. Uh, so the news comes out and the stock 
pops from about 280 up to a high of $5 a share. In   that first spike right there, I put out my order 
to buy and I did not get filled. I was a little   annoyed um because man, that thing ripped and it 
went, as you could see here, all the way up to   the high of five and that could have been a really 
nice trade, but my order got skipped, so I didn't   get filled in in the small account. Uh so that was 
disappointing. Now I got trades on it in my big   account but that I wanted to trade in the small 
account and I didn't get it. But then it has high   volume selling. The MACD goes negative as you can 
see here and it starts pulling back. But the MACD   is negative from about right here. Oops, sorry. Uh 
put that on the other uh time frame. So the MACD   was negative from about right here to about right 
here. And so as it curled up right through here,   that's where I started to get interested. So let's 
look at the um this curling trade. So Mimi hit the   running up scanner at about 826 as it started to 
curl back up. This scanner is specifically looking   for stocks that are running up but are not at the 
high of day. And so as it was starting to squeeze   up right here, I took um a total of three trades 
on it. The first trade was right here for the   break of the volume weight average price. This is 
a 10-second chart, but the MACD at that point was   green, positive. So, that was the first trade 
right there, and that was good for about $300.   Then, I took a second trade right here as it came 
over VWAP a second time. Sort of an inverted head   and shoulders pattern. And I took the third trade 
right here, looking for the squeeze back through   five. Unfortunately, we didn't get the break of 
five that I was hoping for. Um, but nonetheless,   those were the three trades I took. So, two 
were a break a VWAP setup and one was a high   day breakout pattern. Then we had FCUV on the 
running up scanner a few minutes later. And FCUV   had had this big move earlier and then started to 
curl up right here. And so, as it did this little   pullback, I jumped in right there for the trade 
through VWAP. This one ended up piercing VWAP and   then coming back down below it. I wasn't able to 
turn that into a bigger trade, but it was green   nonetheless. So, over the course of four trades 
today, I have $341 of profit on FCUV, $97849   of profit on Mimi for a total of a little over 
$1,300, which means the account now has $11,47049. I'm up $473% over the last 10 days. 20 
trades in total, 17 winners, three losers,   85% accuracy. I would say the last two weeks, the 
market or the last three weeks, the last month,   the market's been pretty strong. We had the SpaceX 
IPO that gave us a nice boost. We've had a number   of small cap stocks making big moves. So, as 
it's turned out, it's been a great time to do   a small account challenge because the underlying 
moves have been so big. I'm limited in how many   shares I can buy, but when you the move is as big 
as it as they've been, I've been able to grow the   account very quickly. small account challenges. 
When the market is colder, the returns are slower.   And you guys have seen that in some of the other 
challenges I've done. And so, if I do end up   resetting my account back down to $2,000, it's 
possible the next two or three weeks won't be as   hot as the previous. And as a result, the growth 
will be a little bit slower. Now, even though I'm   not restricted by the pattern day trader rule, 
I could take a 100 trades a day if I wanted to,   I've been focusing for the most part, except for 
my one red day, on quality over quantity. And   so I've only taken an average of two trades per 
day. Uh today was more. I took four, but it was   not my most profitable day. Trading more doesn't 
necessarily mean I'll make more, but you know,   it it just I could trade more and I did see some 
decent setups today, but nothing really opened up   in a big way, which is kind of disappointing. 
So, in any case, this is where I sit now as of   the end of day 10. I'm looking forward to seeing 
your comments down below about what you'd like to   see me do with this account. Continuing growing, 
continue growing it, if so, to what amount or   resetting? And if so, using which broker, which 
platform. So, share your comments down below. And   uh if you haven't already joined our twoe trial, 
you're welcome to join. There's uh a link pinned   to the top of the comments and in the top of 
the description. The twoe trial is $20. And   during that uh twoe uh trial you'll have access to 
this software right here which is web based so it   works on um any platform and you can uh use it for 
charting scanning. You can log into the chat room   so you can listen over my shoulder as I'm trading. 
So let's see right now you go into the small cap   room and you can see traders that are in here. So 
let's see Michael he's posting a screenshot from   today which is pretty nice looking. He's got his 
$100,000 badge. So some nice trades there for him.   And when the stream is running, uh, this right 
here will be lit up and it'll say stream on.   And right here it'll say stream on, uh, right 
there. So, no streams available because I'm not   streaming right now. I'm just recording this for, 
uh, for YouTube. But, oh, over um down here, the   newsroom is streaming. So, if you click on that, 
then you could open that stream, you click play,   and then you could start listening as it comes 
through. So, that is a uh is a news feed that   gives you squawk. So they read the news headlines 
out loud to you. All right. So anyways, uh oh,   and by the way, during your uh two-eek trial, you 
guys also get access to the first six classes of   Day Trading the Basics, which is part of my um 
Warrior Pro curriculum. So, I hope you guys check   out the trial and I will see you streaming bright 
and early tomorrow morning at 7 a.m. And I'll give   you a reminder as always that trading is risky. 
My results aren't typical. So, please manage   your risk, take it slow, and always practice in a 
simulator before putting real money on the line.