Refining Trade Precision and Reacting to Midweek Market Shifts
• Late reaction to early energy sector strength, with missed opportunities on initial breakouts due to slow execution.
• Focus on adapting the ‘big ass fly’ strategy to capture short bursts of momentum instead of waiting for trend continuation.
• Reevaluation of stop placement, after two trades were stopped out prematurely by minor pullbacks before resuming the trend.
• Adjustment in watchlist prioritization, emphasizing small-cap tech stocks showing relative strength during mid-morning rotation.
• Reinforcement of taking partial profits early, especially in choppy conditions where full moves didn’t materialize as expected.
• Discussion on maintaining execution discipline, avoiding revenge trades after early losses and sticking to planned setups.
Summary
the team focused on execution timing issues, particularly regarding missed trades in the energy sector due to delayed reactions to early breakout signals. Ernie emphasized the need to adapt the ‘big ass fly’ strategy to favor quicker profit targets by capitalizing on short bursts of momentum rather than waiting for extended trends.
There was a reevaluation of stop placement techniques after a couple of trades were closed prematurely, only for the setups to recover and play out as expected. The team also discussed improving watchlist prioritization, shifting more focus toward small-cap tech names that demonstrated relative strength during sector rotation.
Partial profit-taking strategies were reinforced, especially in choppy markets where full position holds became less effective. Ernie concluded the session with a reminder to maintain execution discipline, avoiding emotional trading and focusing on high-probability, pre-planned setups.