Is Being Red a State of Mind?

What's up, everyone? All right. Well,
I'm going to break down my traits from
the morning. But before we do, let's set
the stage a little bit. So, you probably
already noticed that I got a little red
on my shirt. Big mistake. I knew it when
I bought the shirt. I was in I was on
Cape Cod. This was last year. And I saw
this shirt and I walked in this shop.
This guy, he prints these shirts
himself. I was like, "Those are so
cool." But, man, couldn't you have done
in a different color? And he said, "No,
this is the color I did." I got two
shirts. one was is blue and then there
was this one here which was the the
cowboy which is you know red and I am a
little bit of a cowboy you know I take a
lot of risk trading from time to time I
took a lot of risk today when I put on
this shirt and I knew it I put on the
shirt and I was like you know these
first three days of July haven't been
great you really want to do this to
yourself and I was like it's a shirt
it's not going to do anything then I go
get some water fill up a water bottle
this is the only one that was clean it's
red my green one where is it I can't
find it I don't know but I need to drink
water got to stay hydr hydrated. So now
I'm really setting myself for failure.
This is the problem in trading. You can
set yourself up for success or you can
set yourself up for failure. And I set
myself up to fail today. So it shouldn't
surprise you at all that we ended up
having a stock that made a big move and
I totally screwed it up. Look at this
thing now halted up at $1067.
I mean, I had a well, would you say I
had a good read on it? I called it
pretty early as it started to pull away
that we had room up towards the 200
moving average and I got some good
trades on it early on. I got some good
entries or at least I thought I did. But
every time it would pop up this thing
would reverse. So this is the story
today. CLRO.
Let's back it up on the five-minute
chart. So five minute chart on this.
This is a stock that just a couple days
ago ended up um I trade traded
pre-market and similarly it popped up.
It reversed garbage and then by the end
of the day it rallies all the way up to
a high of $9.65.
It drops back down, comes back up, pulls
back whatever yesterday, sells off.
There was no trade on it, but I had
mentioned it on my watch list on Sunday
that it was possible that we could get a
second break through this high and it
could continue higher. And so this
morning it pops up right here. And as
soon as it pops up, I jumped on it. So
my first trade on this, I took an entry
and I was looking for it to squeeze
higher. It ends up going up to a high
right here of 950. But I got partial
fills on my order. Now, whenever I get
partial fills, I usually don't sell. I
just hold it, thinking, well, this isn't
what I wanted. I'm not going to sell it
either for profit or loss. I'm just
going to hold it for a second. almost
pretend I didn't even take the trade and
then kind of wait for the next setup.
Well, it ended up pulling back too much
and I sold for a loss and I lost $1,600
on that first trade. Is it the end of
the world? No, it's not even close. But,
you know, still a little bit annoying.
So, whatever. It ends up popping up. We
get a red candle. It drops back down
right here. And I took the trade in the
small account as well. And this is just
a struggle. This stock just did not
really react the way I expected it to.
So we get the pullback, the second
pullback, big rejection, drops down,
kind of curls up here, rejects the VWAP,
curls up, rejects the VWAP, curls up,
rejects the VWAP. And we had earlier had
the stock silo, which did something
similar. It had curled up, rejected the
VWAP pretty violently right here, and
then rolled over, and that was it. So I
was a little nervous about taking trades
on CLRO right around the volume weight
average price. But sure enough, it ends
up breaking through that level. It ends
up squeezing up right here and it dips
down. It comes back up here and I get
back in. What am I looking for? The
breakthrough, the high a day and I catch
a second rejection. So now I'm red on it
a second time and I'm kind of gritting
my teeth a little bit. I'm like this is
a little annoying, you know, but
whatever. It's fine. So I was like here,
this is 9:07 in the morning and I said,
you know what? I think I'm I'm done. I
don't think I'm going to take any more
trades on this. But it drops back down
and it keeps holding this ascending
support line right here. And then it
comes back up and I decide, you know
what? I'm gonna get back in. And I got
back in right here for the break through
the flat top, right? This is classic red
shirt stuff. You wear a red shirt, you
make bad decisions. So rather than
letting it break, prove it can hold. I
just jumped in right here. And I got in
at about 940. So I got in, in fact, to
anticipate the break. It goes up to a
high of 968. It rejects. It drops down
to 9. And I didn't stop out. I said,
"No, no, no, no, no, no, no. All right.
This is ridiculous. I'm surprised it
didn't go there. I really thought it was
going to go there, but I'm going to hold
it. It comes down back to support. It
curls back up. And I ended up getting
out up here. I set a profit target at
$10. And I got out at $10. And so I
already started working on my thumbnail
when I said it was a red day because I
was sure it was going to be a red day.
In fact, technically, I have recovered
and it is a green day. But it's a red
day because I'm wearing a red shirt.
It's I'm I'm It's red is a state of
mind. It's so much more than just the
P&L. It's a state of mind. And my state
of mind today is red. So, the thumbnail
stands and that the jury is that's fine.
There is no jury. I've ruled the
thumbnail stands. Uh, so the ruling on
the field stands. So, this is the
situation. Um, it ends up squeezing up.
I got my profit target at 10, held into
the open. It then flushes down,
whatever. I'm out. Halts down, bounces,
rallies back up, and then it starts to
curl here. Comes back up to this double
top right here. As you could see, uh,
pre-market high, this level or the high
of day, then it pulls back and then it
rejects here. Then it goes into a halt.
So, right now, right this moment, it's
halted and showing a resumption of
$9.65.
Now, the halt time was 10:01.40 seconds.
The current time right now is 10:06 in
about 10 seconds. So, this is going to
resume here in less than 30 seconds.
Sadly, while I would love to see this go
into a second halt and squeeze all the
way up towards 12, which is around where
the 200 moving average is, it, you know,
it halted up at 67, 1067. It's showing
about a flat resumption right now. So,
if it opens, I'm worried you're going to
have people that panic and sell,
beginners that don't know how halts
work. It drops and then maybe you dip
off this level and you get a curl. So,
let's see what it does. Unfortunately,
the market today just hasn't been hot
enough that I would expect an immediate
squeeze. But that's, you know, so we
tapped a high of about 11.
But of course, this is also the
resistance right here, right? Broke the
support level, then it's resistance.
Now, will traders buy this up for the
breakthrough 11? Next halt level is
1183. If shorts start covering, you
know, all of a sudden it starts to look
interesting. But look at that seller
that came out at 96, right? That's the
problem with this stock. and it's been
happening all day long. So, I'm
frustrated. Uh I'm frustrated that I
didn't perform better today. I I feel
like I didn't trade well at all. I was
red on, you know, I don't know, four out
of the five or yeah, four out of the
five trades that I took. I mean, my
accuracy was not very good. This last
trade I held for a long time. Um you
know, and got profit as it came up to
10. But today was just not easy. Um and
it's kind of confusing. Yesterday was so
strong. We had so many stocks were up a
ton and today it was so choppy and this
one just clearly has these sellers that
keep knocking it down. Now, is the
company selling? I don't know. Are there
insiders selling? Are there warrants? I
mean, there's a number of different
variables, but at the end of the day,
today was not clean. And so, today
shifted from, you know, a story of it
being a big green day to a story of
survival. And I probably shouldn't have
gone back for CLRO. I mean, I don't
know. On the one hand, taking a loss on
the first trade sometimes happens and
then the stock works. But I shouldn't
have gotten in the third time. This was
this was dumb. And this area would be
still dumb because it's proven already
to be so risky. Now, your only hope
would be that because it's proven to be
so risky that shorts would feel some
degree of confidence shorting and adding
because they don't expect it's going to
really push that much higher and
eventually all the longs are going to
give up and it's going to roll over with
another high volume red candle. And if
for some reason it just, you know, goes
higher, breaks 1262, the 200 EMA, and
then next thing you know, shorts are
getting forced to cover, that's your
that's your best shot. But I just don't
know if that's really going to happen.
And I'm not going to go I'm not going to
go for that trade. I'm not going to take
the risk on it. I I'm just going to
accept that this was not very easy
during the time of day when I typically
trade the best. So trading it later in
the morning during a time that is
already more challenging due to halt
levels, breaking up the momentum, stop
orders, you know, market orders, things
like that. Is better just for me to
continue chipping away at the month of
July. uh you know, another small green
day and hope that you know, maybe
tomorrow or at some point this week I'm
able to catch a really nice big green
trade that helps me build a cushion. But
look, if I had just gotten in that for
the break of 1150, half dollar, whole
dollar, all of a sudden that big seller
came back out and it flushes down. So,
it can be really hard and sometimes the
best thing to do is to shut it down. And
I probably should have walked away at
like 9:07 after that loss. And I didn't
want to do that because I was like, "H,
you know, we still have 20 minutes to
the open. I I I really shouldn't throw
in the towel. Uh and yet, as I sit here
and watch something, it's hard for me
not to trade it if I see something
moving. So, that's a level of sort of
personal discipline and self-control
that, you know, I struggle with from
time to time. So, anyways, that's it for
me. A narrowly averted red day and I'll
be back at it tomorrow, which will be
day 18, no, day 17 of the small account
challenge. and uh you know the big
account just going to keep chipping away
and try to build a cushion for the month
of July. So reminder as always that
trading is risky and my results aren't
typical. Take it slow, manage your risk,
and I'll see you first thing tomorrow
morning streaming at 7