Breaking News Sends Chinese Stock Up 225% in 15-minutes

Ross Cameron - Warrior Trading

18,245 views • yesterday Save 3 min 4 min read

Video Summary

A trader navigates a challenging market day, experiencing a significant $15,000 loss in his main account while securing a $1,700 profit in his small account challenge. The day's trades focused on DAIC and CRE, both showing volatile price action and potential risks. DAIC, despite a delisting notice, offered a quick profit opportunity, while CRE's rapid surge was followed by a stall, leading to mixed results across accounts. The trader also managed a smaller $3,100 gain on VCIG in his main account, highlighting the market's softer momentum compared to previous days. The challenge continues with the small account nearing $100,000, while the main account aims to recover from its losses.

Short Highlights

DAIC Trade: Secured a $1,700 profit in the small account challenge despite a delisting notice, meeting four out of five stock selection pillars.
CRE Trade: Booked another $1,700 profit in the small account, but incurred a $15,000 loss in the main account due to fumbled trades.
VCIG Trade: Achieved a $3,100 profit in the main account, though it was a less significant win.
Account Performance: The small account is nearing $100,000, while the main account is down for the week.
Charity Donations: Profits from the small account challenge have contributed to over $498,000 donated to children's hospitals.

Key Details

Small Account Challenge Update [0:00]

Day 41 of growing a $2,000 account using Charles Schwab.
Trading from a mobile command center in a 4x4 sprinter van.
Profits are donated to charity, with over $498,000 raised for children's hospitals.

"Welcome to day 41 of my small account challenge of growing a $2,000 account using Charles Schwab as my broker."

DAIC Trade Analysis [1:02]

Disappointment with scanners initially; YYGH was too crowded.
Focused on DAIC, the second leading gainer, which showed a squeeze higher.
Risk factor: DAIC received a delisting notice, with an appeal pending.
Met four out of five stock selection pillars: price up >10%, relative volume >5x, no fresh news, float <20 million shares.

"Now, one risk factor with this stock is that they announced there's been a delisting notice, and they filed an intention to appeal it."

DAIC Trade Execution and Outcome [2:39]

Traded DAIC on the break through the pivot of $6.19.
The trade was a "base hit," yielding a $1,700 profit but not the larger win anticipated.
The account grew from approximately $95,000 to $97,000.

"So, jumped in and out of that for a $1,700 profit. That's good. It's a base hit."

CRE Trade and Main Account Losses [3:17]

Scanner alert for CRE, a Hong Kong company, hitting a record of 550 customers.
CRE met all five stock selection pillars: significant gain, high relative volume, news catalyst, good price, and right float.
Despite a $1,700 profit in the small account, the trader was red in his main account.
In the main account, the trader fumbled the CRE trade, entering too high and stopping out during pullbacks, resulting in a $15,000 loss.

"So, there's my main trading account. This is the one that I have been, well, trading in for many years, growing from a small balance of what was initially less than $600."

VCIG Trade and Market Momentum [5:00]

Decided to take risk off in the small account after DAIC and CRE trades.
Traded VCIG in the main account, securing about $2,000 profit on the initial pop and another profit for a total of $3,100.
Noticed softer momentum in the market compared to the previous day.

"So, I'm just going to, I don't want to make a mistake in the small account. So, I'm just going to, I'm not going to take any more trades."

Outlook for Week's End [5:51]

The small account has performed well, but the main account needs to catch up.
Focus will shift more to the main account in the coming days.
The small account is nearing $100,000, with potential for a significant milestone.

"My main account is kind of pulling up the rear and I need to try to get the main account now caught up a little bit so I can at least be, I guess, flat on the week, ideally."