Oil and Gas Sector Stock Makes a 150% Move on Breaking News

Trading from a Mobile Command Center [0:00]

• The trader is documenting day 39 of a challenge to grow a $2,000 account using Charles Schwab.
• The trading location has changed to the back of a customized Sprinter van, equipped with multi-monitors and Starlink internet, allowing trading from remote wilderness locations.
• The current location is in Maine, where the trader pulled over to trade.

  "This is a sprinter van that I've outfitted with my multi-monitors in the back. I've got a Starlink mounted on the roof, solar panels on the roof, charging batteries that are under the bench that I'm sitting on right now that allows me to trade from pretty much anywhere this 4x4 vehicle can travel to."

Charitable Donations Milestone [1:13]

• All profits from the small account challenges are donated to charity.
• The initiative has now raised over $485,000 and funded children's hospitals in all 50 states, Washington D.C., and Puerto Rico.
• The trader is still aiming to cross over $100,000 in the trading account, with donations continuing as the account grows.

  "So we have donated to all 50 states, 50 children's hospitals across the United States, plus Washington, DC and Puerto Rico. This was the goal and we have achieved it, but I'm a little shy of crossing over $100,000 of profit in the account."

Identifying Trading Opportunities [2:04]

• The trader discusses potential leading stocks, noting Estot as a top gainer but too expensive for the small account.
• BTCT (a crypto stock) and Lucy (eyewear) were not considered.
• XPON emerged as a strong candidate after releasing news around 8 a.m., meeting all five pillars of stock selection: >10% gain, high relative volume (5x+), news catalyst, price range ($2-$20), and float under 20 million shares.

  "Number one, was it up more than 10% on the day? Yes, 150%. What was the relative volume? More than 5x? Yes, it was 81 times above average. Did it have a news catalyst? Yes. What was the price range? Between 2 and 20? Yes. Was the float under 20 million shares? Yes. It met five out of the five pillars."

The XPON Trade: First Entry and Profit [3:27]

• Despite meeting criteria, XPON's entry into oil and gas exploration, a historically weak sector, made the trader cautious.
• XPON initially showed volatile price action with topping tails before pushing higher.
• The trader entered XPON near $8 during a pullback, anticipating a break above that level.
• The order to buy 10,000 shares took an unusually long four seconds to execute, filling slowly in small increments.
• XPON then squeezed to $9, and the trader took profit, locking in $8,805.78 (88 cents per share).

  "I got in right there at that micro pullback for the break of eight. And you know, what's interesting is this order took about four seconds to execute. I bought 10,000 shares. Taking four seconds to execute is too long. It's three seconds too long, three and a half seconds too long."

The XPON Trade: Second Entry and Loss [5:21]

• The trader re-entered XPON on the next pullback near $9.50, aiming for a break above $9.50 towards $10.50 or $11.
• This second buy order also experienced slow execution.
• XPON reached a high of $10 but failed to extend higher, disappointing the trader.
• The trader held the position through a pullback, hoping for a recovery, but the stock dropped further.
• The decision to sell was made near $9, but the sell order also filled slowly, with the final fill price at $8.63, resulting in a loss of approximately $6,000.

  "And then I finally cut it right here. I press the sell button at $9 a share. So when it broke nine, I press the sell button and I'll admit I held that way too long. I should have, could have gotten outbreak even, but I just got stubborn on it."

Reflection on Slow Execution and Profit Giveback [7:19]

• The trader expresses discouragement over turning a potential $9,000 profit day into a $2,500 profit day.
• The slow order execution on both buy and sell sides is a point of concern, though the trader attributes it partly to larger share sizes rather than Starlink's internet connection.
• The trader acknowledges holding the second position too long, contributing to the profit giveback.
• Despite the disappointment, the trader remains grateful for the $2,500 profit and decides not to chase further trades to avoid turning it into a losing day.

  "So I'm a little discouraged to have had a nearly $9,000 green day and be sitting here today with only $2,500 of total profit. On the other hand, $2,500 is still a solid day."

Account Growth and Future Outlook [8:18]

• The account now stands at $85,000, $15,000 away from the $100,000 goal.
• The trader reflects on a previous challenge in 2017 where a $583 account grew to $100,000 in 44 days, noting the use of leverage then compared to the current challenge.
• The possibility of reaching the goal quickly with a few more strong trading days is acknowledged.
• The trader discusses the concept of diminishing returns with commission-free brokers like Schwab for larger share sizes, suggesting direct access brokers might be more suitable for scaling profits at higher volumes.

  "But then at a certain point, what I've found is that you actually start to get diminishing returns with these commission-free brokers when you try to take too much share size. And that's where the direct access brokers kind of pick up."