Recovered 1/2 My Losses As Stock Squeezes Up 80%

What's up everyone? Welcome to day 45 of my small 
account challenge of growing a $2,000 account  
using Charles Schwab as my broker. Today is a 
green day and I recovered about half of my loss  
from the draw down of the last two days which were 
both [music] red days. The first red day I was  
down $8,000. The second red day I lost another 
3,000. Now that's good in a way because what  
sometimes happens is that you lose progressively 
more and more and more. you lose 8,000, then 16,  
then 32 because you're getting into that mindset 
of I want to try to make it all back in one  
day. So, you're taking more risk. I made I I I 
mean, obviously I lost on the second day $3,000,  
but I made the good decision of reducing my 
share size a little bit so that the total  
amount of the loss would be more manageable if 
I had another red day. Because that's the thing,  
when you come in each day, you don't know 
if it's going to be a red day or green day,  
but you can you can control how much you're 
willing to risk. So, if it's red, the loss will be  
manageable. And this is the idea is to make sure 
you're never losing more than you can tolerate. I  
like to keep myself where I don't lose more than 
I can make in one good day. Today's a decent day,  
up $6,000, a little more than that. It's not a 
home run. And that's because the stock that I  
traded met four only four of my five pillars of 
stock selection. And because the market has been  
a little bit cooler and I had just had two red 
days, I traded with smaller position size. Now,  
the setup ended up working out really well 
and I made six grand. And in hindsight, well,  
the 6,000 over the course of a few trades. But in 
hindsight, had I taken three times the position  
size, which I did have the buying power to 
do, I would have made three times as much  
money. I'd be up 18 grand today. But if I taken 
three times the position size and I was wrong,  
I might be down 10 grand today. And I don't want 
to have those kind of red days on day three of,  
you know, a consecutive series of red days, right? 
That's where things start to get out of hand. You  
want the red days to get progressively smaller and 
smaller and smaller until you turn around and go  
back to green. And then once you're going green, 
you want those green days to get progressively  
bigger and bigger and bigger as you're seeing 
the markets working. It's in your favor and  
it's time to step up to the plate. So that's the 
idea. All right. So here we are, day 45. Now,  
as a reminder, all the profits from these small 
account challenges get donated to charity. One of  
the goals I set out at the very beginning of this 
series was to donate to a children's hospital in  
every single state in the United States. That's 
50 children's hospitals. So, I knew I wanted  
to donate at least $5,000 to each one of these 
hospitals, which means I needed to raise at least  
$250,000 as of right now. Well, as of Friday, we 
had raised over $493,000. I add in today's profit  
of $6,000. That's plus you guys hitting the thumbs 
up, cuz every time you hit the thumbs up, I add an  
extra dollar to how much we donate. We are over 
$500,000 of money raised for charity today. Now,  
we already donated to every single children's 
hospital or one children's hospital in every  
single state. And then we added Puerto Rico, 
Washington DC, District of Columbia, uh, Guam,  
and the US Virgin Islands. So now we've actually 
donated $495,000, and we've raised 500,000. So now  
I've got to think about where to do the donations 
next. And so I would love for you guys to propose  
some uh charitable organizations that you think 
are good. I don't like donating to things that are  
um political in nature or particularly religious 
in nature. I like to try to make sure I'm making  
donations that are um you know are not too 
controversial so to speak. So children's hospitals  
have been really successful and of course some 
of them like St. Judees and stuff do have some  
um you know religious u association but for the 
most part I I I still felt really good about this.  
So please feel free to leave comments below on 
um potential nonprofits that you think would be  
a good um candidate for future donations. So today 
on day 45 um we have technically a leading gainer  
as you can see BURU that's up quite a bit but what 
you can also see about it is that it has no volume  
and so when you have a stock that's up quite a lot 
with no volume and it says check the filings often  
this is more of a market data sort of irregularity 
that we would double check. Um I I think in fact  
this is a stock that was not actually uh let's 
see let's just double check. Um yeah so this is  
like day one. It's probably an uplist from the 
OTC market. Sometimes when a stock is uplisted,  
it'll show like a 2,000% return because all of 
a sudden the stock went from zero to, you know,  
whatever it's at. And so I disregard those 
typically. Um I don't filter them out because  
you you want to keep an eye on it. Sometimes day 
one of a new list can be a big move, but for the  
most part, I just kind of leave it alone. So then 
we have NCT, which is 50 cents a share. So that's  
a little too cheap. Over 100 million shares of 
volume at this point, but still too cheap for  
me. And then we have boom right there BMGL. Uh as 
of right now BMGL is up 79% at $822 rallying up  
and it is actually halted up as we speak. So this 
is um giving us that sort of curl right here. And  
uh we'll get into the chart and talk about in a 
second, but that the logical target would be a  
retest of we've got room to the 200 moving average 
right here, which is up around $1041. So, when  
BMGL first um popped up on the scans, I analyzed 
it based on my five pillars of stock selection.  
Number one, how much is it up on the day? It's up 
over 50%, which is great. Minimum is 10%. This is  
great. What's the relative volume? Minimum is 5x. 
This is on 11,400 times above average volume. That  
is incredible. Now the way that occurs really 
uh is that the stock has to have uh a lot of  
volume today of course and also needs to have 
had relatively low volume in previous trading  
sessions in order to have that big imbalance. So 
it had 327 shares of volume literally that was it  
on Friday and today it's got 16 14 million shares 
right now. So, you go from 300 shares of volume,  
but the relative volume is the 50-day average all 
all of a sudden to 16 million shares. That's a  
huge spike. Now, you might say, well, you know, 
okay, wow, the stock's up 50% on or now 70% on  
11,000 times relative volume. This is phenomenal. 
So, as of right now, it's actually gone up to  
15,000 times relative volume. By the time that I 
was first looking at it, this is about what it was  
at. So, what's the catalyst? What's driving this 
thing higher? Well, there isn't one. Yeah, I know.  
It's another foreign listed security with no clear 
catalyst. So that's tricky. The price is fine.  
It's between 2 and 20. The float is fine. In fact, 
it's quite low, less than half million shares. But  
because there's no catalyst, we meet only four 
of the five pillars of stock selection. So it  
ends up hitting a couple different scanners. Uh it 
was on the running up scanner right here at about  
740. And at that time it had relatively light 
volume. The relative volume was still pretty high,  
more than 5x. Uh the percentage change was there, 
but the total volume was light. So, it ended up  
popping, selling off, and then curling back up 
right here. And I tried to get in on this curl,  
and my order did not fill. I don't know if that's 
cuz the volume was just kind of light or what  
it was, but my limit order was above the current 
price. I should have at least filled a few shares,  
and I filled nothing. So, I got absolutely 
nothing filled right here. It ends up going  
up to 650 from a low of like 550 up to 650. So, 
it's a little disappointing. I didn't get filled,  
but whatever. Ends up selling off down here. It 
goes lower and then right here curls and gives  
us this big power candle from 550 to 650 to 750 
up to 850. Pulls back, comes back up, pulls back,  
comes back up, pulls back, comes back up, rejects. 
So look for the inverted head and shoulders  
pattern. A traditional head and shoulders pattern 
is the opposite where you have this sort of  
head formation, then this side. And typically a 
traditional head and shoulders has a big move up,  
then the edge, pulls back, then it goes a 
little higher, then it kind of pulls back again,  
and that usually leads to a sell-off. An inverted 
head and shoulders pattern sells off, bounces up,  
bare flag, goes lower, but then rallies back up to 
this more or less same level, pulls back, and now  
if we break that level, we squeeze back higher. 
So check this out. This break of VWAP right there.  
Very nice. So now you've got the inverted head and 
shoulders pattern right there. You squeeze up and  
on this one there were a couple things I noticed. 
I checked the SEC filings on it and I looked at  
the daily chart and I noticed a couple things. So 
this is a Singapore listed security. So it's not a  
US security which sort of fits the profile um you 
know of these foreign listed securities making big  
moves. We talked about that in the watch list on 
Friday or on Sunday. Um it I I saw the daily 200  
moving average at 1040. That's fine. I looked at 
the daily chart and I realized that there's really  
only a couple days it's had volume, which was way 
back here. And in fact, this began trading for  
the first time ever back here in 2000 uh February 
of 2025. So, it's not like it's a brand new IPO,  
but compared to CRBP, which was another stock that 
was up today, CRBP has a lot more history. And so,  
CRBP was popping up, but didn't trade very 
well. And so when BMGL started to pop up,  
I really kind of thought to myself, you know, 
of the two, uh, this one has a little bit of a  
more interesting daily chart. So now you've 
got one recent reverse split right there,  
as you can see. And so then I'm thinking, okay, 
is this a stock that, um, you know, do they have  
a shelf registration? So I pull up BAM SEC to look 
at the SEC filings. And I notice I look back here  
and I don't see a recent shelf registration. There 
was a prospectus filed in February of 2025 to sell  
shares. That was, you know, over a year ago, year 
and a half ago. So, I'm not super concerned about  
that. It's old. Compare that to TN. TN had a shelf 
registration that they filed like a week before  
breaking news came out. So, and then they had this 
perspectus for another 1.8 million shares. So,  
it felt very clear that TN was the type of company 
that was going to sell shares. I didn't feel that  
way with BM um BMG. That doesn't mean they 
won't, but it just didn't feel that it had  
that same overhead risk as uh TN. So, we got this 
initial break through the volume weighted average  
price. I'll hide these charts there. All right. 
So, we got this initial break right here. This was  
an awesome move. Then it pulls back and then you 
get the second pullback right here or sorry. So,  
first pullback right here. Then second pullback 
is right here. Then we got a topping tail,  
right? See how it squeezes up and reverses. 
nice high volume green candles and then a red  
candle with slightly higher volume. It sells 
off, it comes back up and then look at this  
dramatic rejection, high volume selling on these 
two candles. Don't really like that. It sells off,  
it ends up rallying back up going into the open. 
And that rally going into the open, I traded in  
my main account, but I didn't get back into it in 
the small account. So, the total profit $6,38510
bringing my account now up to about $94,48156
to be exact. So, I'm about $5600 shy of crossing 
over a h 100red grand in this small account. Not  
bad. All right. So, this was a good day. If I 
don't take any trades tomorrow, if I don't see  
anything that's really solid, that's fine. I 
want to focus on quality over quantity. So, I  
stepped up to the plate, got a couple nice trades 
on BMGL. I didn't overstay my welcome, locking up  
a green day. And that is the way to grow a small 
account. In hindsight, I wish I hadn't taken those  
two trades on the two red days that, you know, 
put me in this draw down. But hindsight is always  
2020. At the time, I felt the market was strong. 
I felt the setup was good. I thought it was going  
to work. Obviously, I wouldn't have traded if I 
didn't think those things. So, you know, look, you  
win some, you lose some. At the end of the day, 
I'm making progress. Maybe not quite as quickly  
as I'd hoped, but I am making progress. In 2017, 
I funded a small account with less than $600,  
and it took me 44 days to turn that account into 
a hundred grand. However, I was using leverage,  
six times leverage. I was using an offshore 
broker. And for this challenge, I have not  
been using leverage. So, I've been day trading, 
but I haven't been using leverage. Now, most of  
that hasn't been because I haven't wanted to, but 
because Schwab doesn't extend leverage on a lot  
of these risky, you know, lower price stocks. So, 
although I started with $2,000 instead of $583,  
I didn't have the use of leverage. So, the growth 
has been a little bit slower, but kind of not too  
much slower. I mean, today's day 45 and I'm darn 
close to thatund $100,000 mark. So anyways, we'll  
see what day I ultimately cross it. Um, but in the 
meantime, I'm continuing to make progress. So, if  
you guys want to check out a twoe trial, even if 
it's not just to listen to my commentary and to go  
through some of the classes, but just to use the 
charts and the scanners that we have right here,  
uh, you're of course welcome to check it out. Twoe 
trial, $20. You're going to get a lot out of it,  
and you'll get to try out this platform, and 
you get to listen to my commentary if you'd  
like and see what it's like to be a member of 
our community. So, I hope you guys check it out.  
Congratulations to those of you guys that um 
locked up some profit on BMGL. I'm happy to see it  
continuing higher. Next target is the 200 moving 
average, $1040. If that breaks, then well, you've  
got a lot of room. So, that could get pretty 
interesting. You know, the big difference is  
will this company go and sell shares on the open 
market to raise money? Their stocks up 100% today?  
They sell a million shares, they're going to 
raise $8 million. They sell five million shares,  
you know, it adds up. So, if they want to sell, 
they could start selling if they had a shelf,  
but they don't have, at least as far as I could 
see. I don't see a shelf registered. So, you know,  
how quickly could could they get one out? Um, 
you know, maybe maybe today, but uh I don't think  
they'd be able to sell those shares today. So, 
again, I you know, it's a foreign listed security,  
so I suppose you never know. But, uh but this is 
good to see. Oh, and one other thing that I'll  
mention. Um, Rehea, this is a stock that popped 
up um here. Chinese stock, no news, pops up,  
sells off to $2. So, it goes to 295, almost $3, 
then drops to two, and then it bounces all the way  
back up to 250. That's a nice bounce off the low. 
That's more than just a bare flag, right? That's a  
nice bounce. Now, it did end up resolving to the 
downside. But if this if we start seeing these  
kind of moves where you get a big sell-off and 
then you get a 50% bounce off the low or more,  
what if you get one that goes all the way back 
up to here? What if you get one that rips through  
the highs? Then all of a sudden, anyone who's 
shorting these first candles is like, uh-oh,  
the bulls are starting to step up to the plate and 
I better be careful cuz you get one that drops and  
then goes all the way back up. It's going to be 
pretty scary. CRBP did something like that today.  
It did a big drop right here from 10 down to five 
and it comes all the way back up. Pulls back back  
up. Pulls back back up. It wasn't able to pull 
through 10 and hold. And that didn't surprise  
me. The float was a little higher. Um, you know, 
the fundamentals of the company. It's one of these  
ones that I think is at a higher risk of selling 
shares. And so, I didn't take any trades on it,  
but it is good to see those recoveries. So, that's 
something to pay attention to. If we're seeing  
more of them, that may indicate that momentum is 
starting to shift um back towards the buy side.  
All right, so with that, I'll remind you as always 
that trading is risky. My results aren't typical,  
and there's no guarantee you'll find success 
whether you trade with me or you learn on your  
own. So, please manage your risk. Take it slow and 
always practice in a simulator before putting real  
money on the line. I'll be back at it streaming 
tomorrow morning at 7 a.m. Eastern Standard Time.