IWM Trade on Dec 9, 2020 09:35 from spyrosz: Tradervue User Stock Trades.

One of thoses trades in which I nailed the difficult 1st move, and completely missed the easy 2nd leg lower + meat of the move.

I was hoping for a premarket gap-up in IWM after yesterday's rally-mode, that would provide a good "short" r/r trade. Premarket plan was to get "short" at the opening pop vs R1=premarket high=$192.5, expecting big rejection at R1, roll-over, break below VWAP and S1=premarket low=$192 and sell-off. Target was S2=gap-fill on daily + yesterday's close=$190.8-191 area.

1st Move

Tried to pop at the open, couldn't even push to R1=$192.5, and rolled over breaking below VWAP.

Got short Tier 0, risking HOD=$192.3, expecting the break and hold below S1=premarket low=$191.8 to add more.

Held S1, reclaimed VWAP, and I trimmed 70% of size quickly the moment it broke HOD. For rest 30% I gave it to $193 whole number. Broke above R1=premarket high=$192.5, put a new HOD=$192.8 and did a pullback.
---> Do-or-Die here: either it would hold support at R1=$192.5 and rally higher stopping me out, or it would fail to hold prices and roll-over.

Tiny add closer to $193 stop in anticipation of the "Die" scenario, and once it rolled over back below R1=premarket high=$192.5 I knew it was game on. Added Tier 0, tightening stop to HOD=$192.8, and then added Tier I on both subsequent lower highs, risking same stop, expecting retest of S1=premarket low=LOD=$191.8-192 at a minimum.

Nice quick flush and new LOD. Covered small into the flush.

Reloaded size on the retracement to VWAP+desc. resistance trendline, risking above R1=$192.5, added momo tiers at the flatline consolidation in-front of S1, risking the lower high at VWAP $192.3, expecting the momo move lower to cover at target S2=$190.8-191.

Covered small into the move lower and new LOD, small add at the sideways action towards the trendline, covered small $20c above target waiting for the final flush to S2 to cover bulk.

The moment it put the Double Bottom at $191.2+tape changed+broke the intraday downtrend, I took everything out. 2.5-hrs of slow grinding lower for $1-1.5/share!! I felt exhausted, didn't want to overstay my welcome.

2nd Move
I saw how it rejected S1=premarket low=$191.8 w/o even making it to VWAP.
Very calculated "short" entry opportunity here:
-- Short risking above S1 & VWAP $192,
-- Add momo tier as sell-oo accelerates breaking thru LOD=$191.2

Got panished by staying on the sidelines, despite watching it + seeing the clear rejection at S1 (that now acted as resistance). Couldn't even make it to VWAP.
(-) As long as momo is there, stay with the trade. This thing never actually reclaimed a support level in order to give me reasons to re-evaluate thesis.

(+) Some nice trading on 1st move. Amazing tape reading and executions!!