✅ Day Trading AMD - Full Trade Breakdown with Strategy | TRADE #103

[Music] okay it happened took a loser today i lost one r this morning i’m going to show you that trade it was on amd as i trade as you all know i trade amd every day and i’m going to show you exactly what i was looking for for my entry in amd and then i’m just going to walk through the step-by-step process on how i manage the trade and what targets i’m looking for now you can see on my screen right here i was setting things up for a short play you can see i’ve got a short position right here 1200 shares to go short and this is what i was looking at i was looking at this candle right here this last 15 minute candle you can see i’m on the 15 minute time frame i was looking for it to break the low of that candle now this candle was a little whippy it was sort of a doji and i don’t really like that i like it when a candle either pushes up or pushes down or is just more solid in its formation not with these gigantic wicks so i was just thinking you know be careful let’s just see what happens so i put the order in and i’m going to press play here you can see that this candle currently is a nice topping wick and it looks like we’re wanting to push down so i went ahead got my order placed i place it a nickel below the low of that last 15-minute candle now we’re closing in looks like it’s wanting to push down and as it comes in here it starts to pick up in volume you can see the volume down here just just spiked and then it rests for a quick second it wasn’t a definitive push which also i’m not a big fan of and then ultimately decides to break down and if i pause it right there you can see i quickly got a 700 share fill at 92.61 but you can see in here it’s sort of a delayed fill so as i press play i got 900 985 now i’m at 92.60 and then i get my full fill there’s 986 there’s 1200 so i finally got my 1200 share fill at 92.61 and then you can see that we press down and i’m lightly green just a small green then immediately go red and it just sort of hits a wall and i sort of get that feeling at this point that you know what it doesn’t look like we’re dropping because these trades typically either happen or they don’t sometimes they’ll sag a little and then move but this was clearly getting to the point where right here i’m down 218 dollars my risk unit or r value is three hundred dollars so i know that it’s going to close in on me here it’s just not looking good and then there you go i got stopped out 92 86 i used a 25 cent stop and that’s the stop that i take into to every trade and the reason i use that on every trade is based on my back test that i’ve done you always got to go back and back test 50 to 100 times get a good feel for how much the stock moves around and that’ll help you pick out what your stop loss should be if you don’t want to use price action structure for your stop so that stopped me out at a loss of 290 45 so fortunately i didn’t take a full r stop and i’m going to flip over i want to actually go to amd’s chart to kind of show you what actually ended up happening in this trade and here’s the controversy i’ve had here’s what i’ve been sort of kicking around in my head in that trade i took this short right you can see this little baby wick that was my trade i got stopped out on this little baby wick now what i typically like to do is have two orders going one of the lows one at the highs now typically i’ll take one trade if it loses i go ahead and i and i call it i don’t take the upper trade but the more i look at my statistics i log all my trades in tradervue.com and that’s trader view with a v-u-e not v-i-e-w and it’s great for loading up your trades and looking at all of your metrics after a month or a week or a year and i was looking at things and it seems to me that if i go back if i were to manage my old trades with my current trade strategy which i’m going to show you in just a second i would be able to replace any additional losses with a longer runner so what i mean by that is for example in october i had seven specific days where i lost on the downside and then it started to come back up and i took an order above the high and i lost on the upside and i said okay i’m only going to take one or the other but not both because i don’t want to double up on my on my losses but i went back to october and i tested everything and it was shocking what i found out if i would have just taken both ends if i just decided to do that take those double losses on the win days they would have been much bigger with my new management strategy and that management strategy is bar by bar playing the lows on a long play so for example this broke out let’s say i would have taken this long play i would have got triggered in here it would have run up and then this ultimately closed now let’s just say for for example sake that this wouldn’t have stopped me out let’s say this candle closed didn’t stop me out and the new one opened well the second that i get two r’s of upside movement and then i get my 2.

5 which is my 05:57 - ultimate target i move my stop loss to 2r so price actions at 2.5 my stop is at 2 and then i just wait and let’s say this candle didn’t take me out it didn’t take me out at 2 hours let’s say this candle didn’t take me out and then this one doesn’t take me out what i do successively is i would then move my stop loss from 2r to the low of this candle then i wait for this candle to play out if this candle doesn’t stop me out then when it closes i move my stop to this low here and then this one when this one closes i move my stop to here and then you can see this next green candle would have stopped me out because it went below the low it breached that so let’s do let’s do an example let’s say i wouldn’t have been stopped out on this one and let’s just see what happens i’m going to get a calculator out here and let’s go ahead and let’s take a look at what this low would have been because this would have been the last time i moved my stop loss and that low is 95.35 now stick with me here 95.35 and i’m going to subtract where my entry would have been and my entry would have been the high here was 93.90 i would have entered a nickel higher so let’s say 93.95 so 93 95 and that gives me a dollar 40.

so now 07:27 - i’m going to divide the dollar 40 because that’s the range it would have moved that i would have been in on i’m going to divide that by my r multiple which is my stop loss so 25 cents divided by 25 cents what does that do gives me 5.6 r 5.6 r multiply that by my r value which is 300 so this trade if it would have stopped me out could have been a 1680 trade 1 680 so 5.6 rs i would have replaced the r i lost to the downside and had a net value of 4.6 rs at the end of this trade if this wouldn’t have stopped me out and what i mean by that is when this triggered me in this candle here actually came too far down and would have stopped me out at 2r so this would have been a winner either way but my regret or not regret but my my thought is i need to go ahead and make part of my trading plan go back to taking the low trade meaning the break below this low and the high trade if i lose here i take the high above here let’s say i lose on the upside first then as we drop i take the low i play the up and the down and that ensures that i don’t miss any of these whale monster trades where they run all day and the lows just keep stair stepping higher because with back testing i’ve found a few specifically in november and some in october that went 14r i could have been along for that whole ride with this strategy and those big winners can overshadow any double losers i have you know where i lose on the downside it creeps up i lose on the upside those days are just going to happen but what you’re going to make sure you ensure is that you don’t miss the runner you don’t miss the big day because for example today i missed or i got stopped out on this one and i didn’t take this one what if this would have been a 14 hour runner i can’t miss opportunities like that so i’m changing my trading plan as of today and i’m going to implement i’m going to go back to taking the up and the down not just one or the other so i’m going to go ahead and implement implement that tomorrow today is trade 103. you just saw the review on that tomorrow’s going to be trade 104.

check back with me this week i was 10:00 - up 5r and then i lost just less than one so i think i lost 0.9 i’m up 4.1 r on the week so far we’ll see where the week goes this change in strategy has really opened things up for my trading plan because before i was just taking the hard target at 2.5 r’s and now i’ve opened it up i don’t have the target anymore as you can see here if i back this up you can see i don’t have the target on my order the target would be down here wherever i needed it to trigger me out i’m now leaving it open and only carrying a stop loss and that’s so that i can catch slightly larger moves but being mindful that i’ve got to move that stop loss quickly to 2r once price action gets to 2.5 r and that way if it backtracks on me i’ve still locked in my 2r and i’m happy with that but but on occasion when you catch a monster or a whale and it wants to keep running you’re still along for the ride so that’s my theory right now i’m going to move into trade 104 tomorrow with this implementation of my strategy it’s now a hard rule i won’t ignore this i’ll move i’ll move forward with it and implement it and if you guys are having any trouble with your trading strategies drop down the comments let me know what you’re struggling with i’d love to help you out you can email me at takentrades.com if you enjoy this video hit that subscribe button hit the like button and one thing i never mentioned that i would love for you guys to do is just share this video once share it on twitter share it on facebook wherever you want to share it on social media that really helps get the word out i’m really trying to build the audience and build the reach of the channel because i really think we can change people’s day trading one day at a time and i’m open to answering any questions that you have so hopefully this trade was helpful it was a loser but i lose all the time it happens my win rate right now is a little under 53 percent and we’ll move on tomorrow is another day all right drop comments below ask questions email me takentrades.

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