Penny Stock Goes Up 1,753% in 10 Minutes

Unbelievable Stock Surge [0:05]

• A stock experienced an extraordinary price jump from $1.35 to $18.08 per share in just 10 seconds.
• This event served as a major red flag for short sellers, highlighting extreme market volatility.

  "we had a stock that went from a dollar and 35 cents to 18 dollars a share in 10 seconds what are we doing here guys this is insane and if you're shorting these my goodness"

Initial Market Assessment [0:45]

• The trader initially expected a slow trading day with limited opportunities.
• Several stocks showed modest gains, but none presented a compelling trading scenario.

  "I actually thought today was going to be a no trade day because when i first sat down at 6 45 7 a.m there wasn't much on the scanners"

XHG's Dramatic Rise [1:48]

• XHG, a Chinese stock with a low float and history of reverse splits, began its ascent around 8 a.m.
• The stock rapidly climbed from around $1.20 to $1.36 before an explosive surge to a high of $18.08.

  "this one um did actually have news and i almost thought that might be a bad thing because stocks with no news have certainly been more um more impressive than stocks with news recently but nonetheless it popped up here"

Trader's Profit and Loss [1:15]

• The trader ended the day up $13,632.60, a result they considered not bad given the initial expectation of a no-trade day.
• However, they had been up $37,000 at one point before giving back approximately $25,000.

  "so xhg was our chinese um surprise today i i just this is unbelievable so this stock um just you know look i mean it's one of these stocks it's got 46 million share float"

Trading XHG and Market Concerns [3:06]

• The trader attempted dip trades on XHG, experiencing losses on two separate occasions.
• Concerns were raised about the possibility of coordinated market manipulation or algorithmic spikes, similar to a previous event with stock SCKT.

  "so we had this pop on sckt it drops back down i bought the dip here and it rallied back up i did the same thing with xhg i bought the dip"

End-of-Week Apprehension [6:14]

• The trader expressed fear about the upcoming end of the week, anticipating extreme P&L swings.
• They considered reducing share size for Friday's trading to mitigate potential losses.

  "so you know 80 so red 73 green 84 and then 19 17 and now 13. so the two red days here are a little closer together than i'd like them to be"

Second Leading Gainer FGI [7:40]

• FGI was another notable gainer, but the trader struggled to find a rhythm with it.
• Despite positive news about the company becoming profitable, the stock felt heavy with significant selling pressure.

  "and the second leading gainers fgi and this one i just really couldn't get in the groove with"

Final Reflection and Risk Management [8:40]

• The trader acknowledged not trading XHG as well as they could have but still finished the day with a net profit.
• They emphasized the risky nature of trading and the importance of risk management and simulator practice.

  "but i'm walking away a little bit more than i had at the beginning of the trading session so i'd say that's a good day and i'll try to do the same thing tomorrow but just be mindful that we're coming to the end of the week"