Targeting Sector Momentum and Enhancing Trade Execution Timing
• Missed opportunities in tech breakouts due to hesitation on entry despite early confirmation signals being met.
• Shift in focus toward energy stocks, as several financial sector plays underperformed expectations during the midday session.
• Adjustment to the ‘big ass fly’ strategy to reduce the trade window duration, aiming to capture quicker, high-conviction moves.
• Implementation of a tighter trailing stop system to protect gains from reversing in high-volatility environments.
• Reassessment of risk allocation, increasing position size slightly on trades with clearer trend confirmation and reducing exposure on speculative setups.
• Emphasis on pre-market catalyst tracking, ensuring readiness for immediate action on news events impacting watchlist names.
Summary
the team reviewed execution timing issues, particularly missed entries on early tech breakouts despite clear confirmation signals. Ernie stressed the importance of decisiveness when setups align, pointing to specific cases where hesitation cost profitable opportunities.
The focus also shifted to energy stocks after financials showed weaker-than-expected follow-through during the midday period. To adapt, the ‘big ass fly’ strategy was refined by narrowing the trade window duration, prioritizing quicker, high-conviction moves rather than extended holds.
A tighter trailing stop system was introduced to lock in gains more effectively in volatile conditions, and risk allocation was reassessed—slightly increasing size on clearer trend plays while scaling back on more speculative trades. Ernie closed the meeting by highlighting the need for diligent pre-market tracking of catalysts to be positioned early on significant news events.