Simple disciplines can move mountains

One lesson that has really resonated with me lately is the power of starting small.  One of the bad habits I am working on breaking is starting too large of size prior to actual confirmation.  Stocks with tremendous range do not actually require large size to produce large gains and I find I keep myself in trades when the size is smaller.  Funny how that works?!  Staying disciplined with this new strategy is proving itself within my winners and I am looking forward to seeing what this does to my win/loss ratio and subsequent size of winners relative to my losers.

JACK is a trade I took yesterday that gave me a large win with substantially smaller size than what I have typically been trading. (disregard the pricing by the ticker, I snagged this going back in today’s chart). JACK had gapped up quite a bit on earnings on the markets first big crack to the downside, a move that is long overdue (IMO).  I started very small and then immediately doubled on the first pull below vwap.  I added a third time as it pulled below a base under vwap and was rewarded with nearly $4 a share.

 

 

 

 

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