Day Trading Watch List for MONDAY

What's up, everyone? All right, so in today's episode, I'm going to break down my watchlist for Monday morning and the game plan for the week ahead. So far, I would say May has been a relatively slow month. I've had more no trade days than I think any other month so far this year. But fortunately, one day is carrying the bulk of May's profit when I made $46,000 on the first Monday in the month of May. So, that was great and then, you know, from there it kind of really cooled off. However, we did see an interesting theme last week where we had a few Chinese stocks that made huge moves. We had WOK and I think it was TDIC, both of which went up must have been 1,000%. Just unbelievable moves, but they waited till later in the day or even after hours to make these bigger moves, which is kind of unusual. I think that sometimes in a colder market moves that occur after hours or at an usual time, maybe 4:00 in the morning or 5:00 in the morning, stand out more because we're seeing fewer opportunities just across the board and certainly during the window that I typically trade, which is in the morning. So, when you see something that moves in the afternoon, you're like, "Oh, man, you know, it's so slow and then, you know, of course there's a stock that goes up 1,000% when I'm not watching. That's so annoying." But what do you do to respond to it? Do you start trading later in the day? Well, some people do and so sometimes that theme will build for a few days, a few trading sessions. There'll be more and more momentum later in the day until eventually people, you know, that kind of dries out, that theme sort of runs its course and then it switches back to a different time of day. A surprise move at 4:00 a.m. and then everyone's waking up early for a few days and then that kind of you know, phases out or whatever, fizzles out, whatever the case is. And I think that the fact is most of the big moves, historically, have been in response to breaking news. And news doesn't come out later in the day. So, what we had on these stocks this week, and we'll look at PIII a little bit later, but um like on WOK, you know, this was not a stock that had any big catalyst or any big headline. This is simply a stock that managed to trap short sellers. Shorts got stuck and it ended up squeezing them out in a pretty epic way as it squeezed from $2 all the way up to a high of seven right there. And then it did the same thing the next day as it squeezed here from $4 all the way up to seven and then all the way up to 1150. So, then we ended up having basically the same kind of thing happen on TDIC. And I think that sometimes shorts feel like you're well, you're there's no way you're going to get two moves like that in one in, you know, a week. It's And even on to the long side, you know, when you have one stock that makes a big move, I don't usually figure that we're going to have another equally big move the next day. In fact, usually the day after a big move, I expect it'll be kind of choppy. And then shorts got squeezed a second time from $5 to $34 a share. Even even worse. So, and then this one rolled over and goes all the way back down to 91 cents. Well, typical Chinese stock, right? These companies end up diluting and selling into those moves. So, then on Friday, we ended up having PIII. And this is interesting because it still ended up closing up 181%. But unlike some of the Chinese stocks, this was a US company. So, that was you know, sort of one element. It popped up at 4:00 in the morning, then sort of sold off, and then squeezed at the open. That's sort of a little unusual because, you know, everyone already or sorry, this was after hours. Everyone already knew everything there was to know, and yet, you know, it sold off. And then suddenly momentum shifted at, you know, 9:30 opening bell and it squeezes up. So, I didn't trade this one either, even though, um, you know, it made a big move. I I didn't expect the move by any means, and so, you know, I didn't take any trades on them. In fact, I ended up finishing last week, um, with a green day on Friday of 7,400, but I'd been red on Thursday, 7,100. Tuesday, uh, no, Monday and Tuesday or Monday was a green day, and then Tuesday and Wednesday were no trade days. So, this is my month of May so far. No trade, no trade, no trade, no trade, no trade. Five no trade days, six trading days, um, two red days. You know, I mean, it's it's not super impressive. I'm up $64,000. Um, so, as far as my performance is concerned, this is a bit below average. Um, you know, but nonetheless, um, so, we'll look at this month just to take a look at the metrics. So, where I sit right now is about 56% accuracy this month, but with a two-to-one profit loss ratio. Average winners are bigger than the average losers. So, my accuracy, however, is, uh, declining a little bit. So, I'm not thrilled with that. The majority of the profitability is between seven and eight, between nine, uh, and and 10. I'm I'm actually red right now. Uh, but in any case, it's only based on 51 trades, so a relatively small pool of data. You know, if the next five winners are green, um, all of a sudden, this is going to boost quite a bit back up. So, as we look forward to the week ahead, um, this is kind of what I'm going to do for the watch list. Number one, I like to look at the after-hours top gainers scanner, so we can see some of the bigger moves from Friday after the closing bell. And we see NXXT. 65 million share float, as you can see right here, goes from 30 cents a share up to 65 cents. In fact, there's definitely a theme right now of lower price stocks getting a lot of attention. HCWB on Friday, this is a cheaper stock from, you know, 40 cents a share up to $1.40. This is what a lot of retail traders love. This is like a lottery ticket. You buy 10,000 shares at 30 cents. You put in three grand and you sell it the next day for $10,000 of profit. I mean, that's a dream. And so, a lot of people swing for the fences on those kinds of trades. They go in with big share size and they're hoping to double or triple their money overnight. That's not the way I approach the market. I don't think that that's a I mean, I I I think that for every one time you hit that lottery ticket, you're going to have nine other times that you miss, um, which uh, for me is a a high lose rate. I would rather trade a strategy that is generally more consistent. Um, I know my 56% doesn't appear super consistent, uh, as of this month, but, you know, we look year-to-date on my metrics and, um, closer to like 68% as you can see here, just around a little under $900,000 of profit. So, yeah, the penny stocks, the cheaper stocks, they've been in focus. I don't trade them well. SLE, this was interesting. You know, this one put in a big squeeze on Friday, um, and it holds up. It still ended up holding up 47%. It didn't unwind all the way back down. Yes, we've seen that with the Chinese stocks, but a lot of these other names are holding up pretty well, which is the whole I mean, that's that's what allows them to end up getting, um, squeezed into the close. So, that squeeze into the close, the phenomenon there is that a lot of brokers won't let shorts hold these positions overnight. So, if they take an intraday position, adding, adding, adding, you know, and adding, then they need it to roll over by the end of the day so they can cover. And so, you have to cover those positions by the 4:00 p.m. closing bell. And usually the brokers will auto close your positions at like 3:30, 3:45, if you haven't closed them already. And so, now all of a sudden you're like, "Oh, all right. So then, you know, this squeeze here, people who are shorting and adding and adding and adding, they know they can only hold for a few more minutes because at the closing bell, you know, going those last 15 minutes, they're going to get forced out." So, you know, this is kind of a closing window to be shorting a stock in the afternoon, and typically, it's not been the time that I do really well. We call it power hour, and it it works well for some traders, but it hasn't typically worked well for me. Um I I in part because it's not when you have a fresh catalyst, you're really playing a 100% on a potential short squeeze into the close, and we don't usually see those unless we're in a pretty bullish market. So, this is a bit unusual, but I guess because the market's been more bearish, shorts have been more confident, and then this is um with that, you know, overconfidence, they've gotten squeezed a couple times here. So, um you know, so that that is there there is something there, and there's some reason why that um can work. And so, when you have a stock even like PII that's holding up really well going into the close, this would have been a great candidate for a squeeze, but it didn't into the close. I don't know why. This one didn't, right? So, again, if you went for that lottery ticket for a power hour trade at 3:00 p.m., 3:30 on Friday, well, this one failed. It's still it's holding up pretty well, all things considered, 180%, but it's not something that um worked for that that type of setup. So, NX XT, this one, 65 million share float, that's too high, and the price is too low. I'm not interested. ZDAI, now this one's got a lower float of 6.7 million shares, um it's a little on the cheaper side. I look at this on the daily chart down here, and I see a stock that had this big move, and then actively is selling off here. So, that to me tells me anything right now is just a bounce off the low, likely short-lived, and then it's going to continue the downward move. Um if a stock was overall really strong, but had a red day, then you rally back up, another red day, you rally back up. This is overall weak, big red day, bounces maybe a little bit, big red day, you know, so these little green days here are nothing to get excited about. So, no interest in that. T-wave only up 19%, and now these ones, TRT, uh are smaller gaps. TRT is a great example of stock where it does continue to move higher, um but on slightly lighter volume. So, this is one that for the last couple days has been moving up, and you know, we we have kept seeing it on the scanners from 12, now it's up 100% just about, but it's had light volume kind of this whole way. S- and at this price, slightly bigger spread, so it really hasn't been something that's easy to trade. So, no trades on that. I wouldn't be any more interested in it on Monday. So, from the after-hours scan, I don't think there's anything that's a really strong contender for Monday morning. Um the continuation scan, this one, we do have a number of big moves recently, but a lot of them, for me, are too cheap. We've got a couple that have slightly higher floats, as you can see here, but a little and a couple that are too expensive. So, I feel like we don't really have anything that's really in the sweet spot. Um overall market, S&P 500, you know, an interesting kind of story here, um really strong move, um as you could see off the low from the, you know, conflict, whatever you want to call it, that's going on in in the Middle East, and then this big rally, and then this pullback here, and then of course yester- or Friday, you know, Saturday, I was hearing all these, um you know, financial like clickbait kind of articles saying like, "Trillions of dollars lost in the market, dot dot dot dot dot dot dot." Mark, you know, blah blah blah blah, just all this fear-mongering for clickbait. But you look at this big picture and you zoom out, you get perspective and it's like, "Mhm, yeah. I I don't think there's really anything to be too alarmed about right now. The market's down like a sliver off the all-time highs. We are in a very strong position on the overall market. The IWM, the Russell 2000 index, this one is down a little bit as well. Um gold, price of gold, down a little bit off of its kind of crazy high. USO, United States Oil Fund, that's coming back up, rallying back up here. So, you know, potential gap up over the weekend, maybe oil could be back to the new highs. Um but it's a little early. Well, let's see. I don't think the futures market. Let's just check. Um let's see. Oil futures We'll just see what they're at right now. So, they're actually up a little bit overnight, 1%. So, um interesting. Um let's see. Um Mhm, yeah. So, we'll just check the S&P futures. So, S&P futures are down just a little bit more. SPY but nothing nothing really that dramatic as of right now. So, in any case, um you know, I think at this point um I don't know. My my feeling right now is that while the overall market is generally quite strong, that can be challenging for small caps in a way because small caps are more speculative. And so, if you're doing great just holding, you know, your long-term positions, you don't need to seek that additional return by taking higher risk um trades. And and and I suppose because we've had just this overall tailwind um you know, some traders may have maybe doing well trading even large cap stocks. They've just been going up with the overall market. So, you know, trading trading options which are cheaper and you could just, you know, buy them and and you know, swing trade them. So, I think that when the market is a little bit more bearish, um in a funny way, that can be better for more speculative assets because people seek high returns elsewhere in the market. So, right now, I'm grateful the overall market's doing well. And for those of you guys who have taken my classes where, you know, I've walked you through how to save in an IRA, how to start trading in a retirement account, grow that retirement account, reinvest that profit. So, you're constantly cost basis average, you know, averaging into the market. You just keep adding and adding and adding. And this is a great time to have been in the market for the last couple years because you've been doing that. But your ability to produce those gains on a day-to-day basis right now is, at least for me, it's a little bit lower than it is when the market's positioned slightly differently. But this is the ebb and flow of trading. The nice thing is, once you've scaled to the point of having both, then you've got the best of both worlds. Overall market's doing well, you're doing well in your long-term. When the overall market rolls over and we're seeing more volatility, you're doing better on the short-term stuff. And then, you know, vice versa. So, this is the whole idea of becoming more diversified where trading is very important and it is, no doubt, the fastest way that I found to grow a small account. However, when it comes to wanting to have what I would consider to be real financial independence, you've got to be putting money into savings and investing in things that will be paying you. So, whether that's investments that give you dividends, if it's a rental property, you want to put your money to work. Trading is a is sort of like the first step on that ladder of of working towards that financial independence. You know, for me when I started trading, it was at a place it was from a place where I had no long-term savings. I was in debt. And it was like, this is a this is a way that I could potentially generate a little bit of income without having a typical 9-to-5 job. And so, that's kind of where it started for me. And then it grew, was able to take the profit, reinvest it, reinvest it, reinvest it, and now over all this time I've gotten to where I'm at now. So, I would say for those of you guys who are new, it's a great time to be studying and learning because you want to make sure that when the market heats up for small caps, you're able to capitalize on it. If you don't start trading until the market's hot, you won't have the skill to be able to really capitalize on it. So, that's also sort of a a paradox that the best time to learn is when the market's going badly because then you're prepared for the next time it's going well. But, that's not when most people come in. Most people come in when the market's hot, they don't really do as well as they could have done on it, and then that first, you know, cold cycle comes through and they're like, "Whoa, this is this is hard to get through." And I I know that feeling. I've I've gone through tons of cold cycles, so I get it. But, you don't get the good without getting through the difficult part. So, you got to work through this. So, I would say my feeling for Monday morning right now is that we don't have any stocks on continuation scanner that look good. We don't have any stocks on the after-hours top gainers scanner. You know, PII for continuation, it could work, but I think realistically, what we're probably going to be watching is this top gainer scanner tomorrow morning at 6:30 in the morning 7:00 a.m. and seeing what is obvious. And is it lower price stocks? Is it the right float? I mean, look at all of these are lower float stocks. This is where the volume is. This is where the momentum is, for sure, but you know, what about the price? So, we I I think that we still have a little ways before we're out of the woods on this cold stretch, but uh I'm going to keep chipping away, showing up every single day, and you know, just trying to hit some base hits, generate a little bit of profit, and uh May might not end up being any record-breaking month uh for me. I'd be shocked if it becomes that. Just not likely. Um but, if it's another green month, you know, that's a little bit more profit, and it just, you know, for all of you guys who are chipping away, it keeps your account kind of right up there at the highs. You're avoiding going into a drawdown, and so that's what's important. Slow and steady wins the race. So, for those of you guys that want to watch over my shoulder this week, I stream every day starting at 7:00 a.m. I run my stream live until about 9:30, then I jump off. We've got another moderator at Warrior Trading that comes on. He gives you some more market commentary. This guy's $1.5 million badge, so he's been trading for a long time. He walks you through the stocks that are moving during the opening range, and he comes on in the morning, and then comes on again in the afternoon and gives you guys some more market commentary. So, um I'll put the link for the 2-week trial in the description, and I'll pin it to the top comment, and I will see you guys bright and early tomorrow morning streaming at 7:00 a.m. Reminder as always, trading is risky. My results aren't typical, so manage your risk, and always practice a simulator before putting real money on the line. I'll see you guys bright and early tomorrow morning.