A lot of mistakes and ended up giving big chunk of realized gains away!! Totally totally avoidable had I followed the rules and cut the position at predetermined level!!!
Mistake #1: Holding short position into the open!! yes It was only 2000 shares with average $3.47 but still that's not appropriate way to trade!!! You NEVER know what is going to happen at the open!! This time it went to $4 next time it could go to 5,6, 7. You don't know it!! Only market decides it!! so why guess???
Mistake #2, My homerun mentality got me 10000 shares with average 3.69 and ONLY covered 3000 shares and let 7000 shares run and unfortunately I covered them all into midday VWAP rejection but holding higher base. Remember you are day trading!!! If you can lock in the profit and reduce exposure just do it!!!!!! why hold and flip a coin????
Mistake #3, Started shorting after big red slam and caught myself adding all the way up to the moon!!! Had my stop loss level at $3.10 over/under BUT didn't respect it!!! The main reason that I added shorts were because everytime it went up it looked like "stuffing". So the chart clearly tells me there were big sellers up there so why not short??!!!! Then I kept expanding my stop loss level and determined to hold my short position till it go down but never happened!!! But guess I wasn't stubborn to extreme extent so covered everything at $3.60's and went long. Thought it could keep going into the close and possibly a/h but didn't so I sold them. Holding position overnight is never right thing to do!
Mistake#4, the mentality I had was fatally flawed!!! I was already up nearly $5k realized and a few hundred unrealized so I thought maybe I could make 5 figures today!!! Due to my greed and at the same time it had huge red candle-$0.40 slam got me biased that finally it's time to go under $3. So my mentality and short trap successfully got me!!!!!! Instead of seeing hey, it's still holding above $3 and it started making higher lows since the slamdown I added all the way up which was the same mistake I made on VRX and NUGT. Midday shorting these real companies is essentially fighting the trend!!!!!!! One thing I noticed is level 2 is useless when the stock is trading 20million shares a day!! So the real focus is ONLY the chart!!!!!!!! Not level 2, and not T&S!!!
Mistake#5, Keep in mind: Midday Higher Lows is a very BULLISH sign!!!!!!! Learn from the commonalities among SYNC, VRX, and NUGT!
Through out the entire time I disassociated myself my the pnl but that may not be a good thing!!! Yes it was a good thing that at the beginning I was down $2k and still adding to my short position but On the other hand when the chart tells me "stuffing action" I ignored pnl and kept adding to the position. Throughout the trades I told myself what it says in the front "there is always another trade, there is always tomorrow, why fight?" I knew it!!!! BUT I wasn't really fighting!!!!!! I was just following what chart was telling me!!!! I knew it would slam down due to massive sellers!!! Again this is the part that stop loss point played crucial role in trading!!!!! Doesn't matter what chart is telling you, when that price in your mind got hit JUST GET OUT!!!! No question should be asked!!!!! Like MR said, you have to reach a state where you don't think just react!!!!!!!!!!!
Had conviction this would unwind so I started in premarket. A little headache when it was testing HOD but nothing major and it just unwinded from there. The only problem was I overstayed!!! Daytrading is not about "letting winner run". Just take what is given and run!!!! Don't look back!!!
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