Shared by
MarcoG
It was 10:06:35, my order was live @ 235.05 and the stock traded the 235. Time & Sale shows it, chart shows it and pending orders shows that the order was live but I don't find any fill.
After consulting my broker account manager today I have finally realized why I hardly find fills to my orders, and here is the reason:
Unfortunately, odd lot orders will not be required to be filled in the same manner as round lots of minimum 100 shares.
I would never have expected to live such situation. I am basically in front of the cliff but I am hesitating to jump. I have found today literally a huge point for continuation of my career as trader. I am paying since months commissions for my broker platform and even if profitable by my trades I still need to fund on a bimestral basis my trading account to cover fees and commissions. Today I have got the sign that I have to start raising my risk. My stats are good and my attitude changed so much since I have started to trade. I have found my own way and where I am able to edge I only need to set bigger orders in order to be able to start making a life out of it. Slowly but consistently going higher. Comfort zone is ment to be broken! It is really strange but my feelings are quite under pressure here. Perhaps I have never expected to arrive at this point. I will by tomorrow raise my risk to at least 75/100$ per trade (Like that I will have orders above 100 shares). In order to do that I will prepare my day already by 09:15 and give myself 15 minutes to enter in a meditative state and see/figure out what I am gonna do! I have to be trading at the open with the awareness of an animal risking his life getting out of his nest! My life will worth 100$ by tomorrow!
I share it with you guys perhaps it could be of any help to anybody
Consolidation & Pull-back play above/below pm high/low
Requirements:
Gap : >2.5%
RVOL : >1.5
pmVOL : >50 K
avg Vol: >500 K
Vol @ Day : >500 K
Float: >20 M
Short Float: Possibly >40%
Catalyst : Solid Fresh news / ER beats
Overall Picture
SPY after testing the 298sh area of resistance sat beautifully on yesterday's high @ 296.67. Set to open today's trading session @ 297 or so. 302 is behind the corner and from 299 area we might start to find further support for a retest of all times high. We are indeed talking about all time area during one of the most controversial economical period. China trade became a soap opera and twitters dictate tons of money transaction since already quite enough for me to don't really rely anymore on those factors. After all what happened we are still at 5$ from all time high!!!
Today's Watchlist
Today I had on the watchlist: JPM/GS/RETA/UNH and as continuation I was keeping an eye on NVDA (I didn't really have the will to trade it considering my watch list was already busy :P Already too many names I would risk too lose them).
JPM: JPMorgan earnings rose to $2.68 a share with revenue up 8% to $30.06 billion. Consumer lending revenue rose 7% to $14.26 billion. Investment banking revenue grew 8% to $1.9 billion, led by higher underwriting fees. Fixed income trading jumped 25% to $3.6 billion on strong client activity, while equity trading fell 5% to $1.5 billion.
This is something you say: I AM IN :D:D
I am a bit disappointed regarding JPM. I mean disappointed by my missed entry once sat above pm high for a beautiful continuation. I was really pissed for the fact that I would be trading UNH that I have lost connection and left all falling apart. I could have traded much more since my hoped trade in UNH but I didn't have the stability and strength to do that. I was nervous and disappointed. The day was already done for me. I am not used to lose the mood and wil to trade but today happened to be quite negative to don't enter in anything else!
GS: Goldman Sachs suffered a worse than expected 18 per cent fall in net income during the third quarter. Goldman said it had taken losses of $267m in the third quarter for “investments in public equities, primarily from investments in Uber, Avantor and Tradeweb”.
Was in play for a rejection/bounce at 200SMA at 199.78
RETA: Shares of Reata Pharmaceuticals (RETA) rocketed late Monday after the biotech company unveiled positive results of a treatment for Friedreich's ataxia. In after-hours trading on the stock market today, Reata stock soared 34% to 135. Shares already surged 32% since last Thursday when Reata reacquired the global rights to develop the drug from AbbVie (ABBV). Reata stock rose 5% to 100.59 on Monday after hitting a record high intraday.
A bounce such as this one with a supporting catalyst keeps your eyes on the stock. I was neutral biased. Long on consolidation above 150sh exactly I have spotted the entry at 10:07 but I didn't enter cause I was just following my missed order on UNH, I don't trade 2 or more names at once, for the moment :P
NVDA Testing an important critical pivot was set up to perform big time today. My pattern showed up (pm high broke and beautiful area of consolidation within 193sh and 192sh! And my entry was ready at 09:40 but I have never pressed the buy order. I have said my self that I had to respect the priority in the stocks selection, thus UNH and JPM. It would have worked if I could find a stupid fill!
Play
UNH
Company Description
Sector: Healthcare
Industry: Health Care Plans
UnitedHealth Group Incorporated operates as a diversified health care company in the United States. It operates through four segments: UnitedHealthcare, OptumHealth, OptumInsight, and OptumRx. The UnitedHealthcare segment offers consumer-oriented health benefit plans and services for national employers, public sector employers, mid-sized employers, small businesses, and individuals; health and well-being services to individuals age 50 and older, addressing their needs for preventive and acute health care services, as well as services dealing with chronic disease and other specialized issues for older individuals; and Medicaid plans, Children's Health Insurance Program, and health care programs; and health and dental benefits.
Trade Scenario
Shares of UnitedHealth Group Inc. shot up 2.7% in premarket trading Tuesday, after the health care services company reported third-quarter profit and revenue that rose above expectations and raised its full-year outlook. Excluding non-recurring items, adjusted earnings per share grew to $3.88 from $3.41, above the FactSet consensus of $3.75. Total revenue increased 6.7% to $60.35 billion, topping the FactSet consensus of $59.78 billion, as premiums revenue rose 6.2% to $47.40 billion to beat expectations of $47.05 billion. The company raised its 2019 EPS guidance range to $14.90 to $15.00 from $14.70 to $14.90. The stock has tumbled 17.1% over the past three months through Monday while the Dow Jones Industrial Average has slipped 2.1%.
Trade Variables
Symbol : UNH
Gap : 5.80%
RVOL : Around 11 at the trade. Closed at 3.16
pmVOL : >100 K
avg Vol: 4.2 M
Vol @ Day : 13.5 M
Float: 941 M
Short Float: 0.89
Institutional Ownership : 88%
ATR : 6
pmPATTERN : Gap around 3% in after hours to consolidate above yesterday's high @223.34. Took an up drifting pattern with high @ 234.90 to open @ 232.83
Catalyst : ER beats
Technical Levels
Support: 226 224 222 221.60 220
Resistance: 234.70 237(Multi-day VWAP) 240(200SMA)
Inflection: 231.5
Trade Plan
UNH gaping up 5.80% due to release of great Earnings was perfect for the scenario I edge to trade. Break above pm highs and buy at pull back retesting just that level.
Set-up : Up-Trend Continuation on consolidation above pm high. Entering at the pullback
Side : Long
Size : 20
Entry : I wrote about that at the beginning of the report
Takes :
Exit : 234.50 eventual add and exit @ 234 breakdown
Trade Analysis:
I had my eyes on too many stocks today. I have definitely taken the choice to have only 3 order entry window opened in order for me to trade just max 3 names. I have literally went nuts today at the open. It was long time we didn't have ER season volatility and today I have got fucked!! On $GS I was ready to short @ the 200SMA pull back retest at 09:34 I had an order at 200.55 (just few cents below pm low @ 200.67) but missed it cause looking at too many names.
Intuit:
UNH slowly by 10 o'clock sat to trade higher price above pm high. Reason why I have started to look for a fill. Found it at 10:06 unfortunately I could find an execution.
Tape reading:
I couldn't find any significant hint by reading the tape.
Internalization:
I have felt a bit frustrated to didn't spot the trade on all the other stocks I have just reported. After that I have got the focus back and view on the setup that was forming on UNH.
Orders:
Talked about that at the beginning of the report
Comments:
Talked about that at the beginning of the report
What I did not like about the trade:
I didn't like almost everything :P Lost too many opportunities cause following too many names.
What I have liked:
The only thing I have liked is my entry, holding for the retest and enter. It would have been a nice trade today and this report would have talked about something else! Learned the lesson, tomorrow I will have the opportunity to make it different based on today's definitive experience, 4.79 Best Exit PnL left on the table cause I risk 20$ per trade..
Let's go!!
Execution detail:
| Date/time | Symbol | Side | Price | Position |
|---|---|---|---|---|
| 2019-10-15 10:06:30 | UNH | buy | $235.050 | long |
| 2019-10-15 10:06:30 | UNH | sell | $235.050 | 0 |
Comments
over9k
What are you using for your routing for your trades?
Depending on what your platform offers (I think that looks like Lightspeed), you might have better luck with direct routing.
If you are using the Smart routing feature, the broker will often choose a sub optimal fill rout that will give more/less ECN fees back. If you tried to use something like ARCA or BATS direct, your fills might be better. I am currently using my broker's "smart best fill" option since ECN fees are not something I worry about with providing/taking liquidity.
MarcoG
Hey man! First of all thanks for the appreciation!! Apparently there is a US law to prioritize, orders of minimum 100 shares, to odd order below 100 shares, at least this is what I was told and able to find on the internet. I use Lightspeed but the issue here is not depending by them. I receive a great service and platform by them, there is nothing to complain ;) The issue here is my size. I have to start raising my size also cause fees are starting to kick me after about a year of trading. I use LSPT limit order set down by hand. I mean manually typed. My orders are set down prior price confirmation. I wouldn't have the time to use hotkeys to spot the price level I achieve, only a limit order could grant you that. Thanks for the explanation in relation to ECN fees!! It is now 2 days I don't take a trade simply cause I have now raised my loss to 80$ per trade, so even when I see my setup I don't click the damn mouse button. Today on NFLX I had an order ready at Multiday VWAP @ 302.66. As soon as we broke down that level exactly at 15:32:55 I have kept my focus on price to get the closest entry to 302.66 in case of a pullback retesting such level from below. It was a good idea if I only would have pressed the mouse!! I thought as you said that the only difference would be in setting a different number of shares but apparently in my case I have still to work on my confidence and serenity in risking just 80 stupid dollars. With 25k is still 0.33% of my capital so even not something out sized and too risky.. I will keep working on it and don't lose patience cause in this kind of situation the frustration could lead me in entering something different then my A+ setups!! Thanks again, have a good one :)
Sorry I mean at 15:32:55 bounced off the 302.66 and trying to get an entry once price would test that price from below! English is not my mother tong and sometimes I fuck it up :P lol
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Sorry to hear that about your broker man, but I love the way you put a good amount of thought into trading, taking it seriously.
Your trade reviews are really detailed, and that thought shows a lot in your entries.
Not sure what broker you are using, but not all will give you poor fills on certain orders. I've never had an issue with partial fills, and you know that my share size ranges from 50 to 100 shares (respectively 60c and 30s risk per trade for 30$ risk per trade). I notice no difference in fills between them. This is using a limit order 3c outside of the Ask, with a hotkey entry.
At my highest I was trading 400 shares per trade (that strategy didn't work out so I scaled back), but I never noticed a difference in my fills. This was a very different market than the large caps as those 400 shares were all in the SPY and QQQ.
I guess that is the beauty of trading though. The difference between trading 10 shares and 10000 shares is mostly in your mind. A profitable strategy at 100 shares will be a stellar strategy at 10000.