BBIG Trade on Jan 14, 2022 07:01 from BanalityOfEvil: Tradervue User Stock Trades.

BBIG – SHORT SQUEEZE INTRADAY TREND TRADE WITH POTENTIAL TRADE 2 HOLD
A-/B+ setup – if there was a news Catalyst this would be a true A+ setup

• MULTIPLE DAY SHORT SQUEEZE WITH WEEKLY CALL OPTIONS VOLOTILITY

THESIS
BBIG will continue short squeezing and break $6 by the end of next week, with a generous max target of $7

SUPPORTIVE EVIDENCE
Today, if the open rallies, then pulls back to the open price, and the bids hold in the same manner they have since Tuesday, then I suspect that there is “smart” money holding up the bid on the open. The stock has been trending all week with expanding volume and elevated RVOL over 20x. Given the technical and fundamental data, it appears that this short squeeze has a lot of energy behind it. Shorts have been in control of the markets this week which shows me this stock has high relative strength.

Key intraday levels were Wednesday’s intraday high @ 3.30 and Thursdays intraday high of 3.80. Every day this week the low of the day has been the previous days high at some point, including premarket and after-hours trading; there is a lot of respect being given to intraday levels. The past 3 days also have shown respect to the 200EMA on 5minute chart, establishing itself as a potential inflection point and a point to buy around. The next major resistance level is @ $4; the 1st logical target. Target followed by 4.50, 5, 5.50, and 6 dollars on the daily chart.

After I traded this Thursday as a scalp I dove a little deeper, looking into the open options interest last night, saw that the $3.50- and $4-dollar call options had abnormally high interest, the implied volatility was up, and the deltas were all positive and over .5 aside from the $4. Looking a little deeper the $6 1/28/22 calls are also showing a lot of activity. Deltas over .5, high implied volatility, and large open interest.

Combining these findings along with a mid/low float of 129M shares, I suspect that a target of $7 is not completely out of the question sometime next week as calls are exercised and shorts cover pushing up the price.

EXECUTIONS

• I screwed up my initial entry by not letting the price fall to 3.30 before getting long because late last night I received my work schedule, which required me to leave the house 30 minutes before the opening bell to drive 200 miles in the snow. Knowing this, I felt rushed to enter the trade and did not follow my plan exactly as I wanted to.
@7a.m I sat down and saw that $3.50 was holding up in early premarket. A little volume came in, moving the symbol to $3.60 and I got long full size 1500 shares, thinking this may just pop. I wanted to get a good price on the day and 3.30 was the max I wanted to risk on T1 size. I felt like if it rallied too much and I had to leave the desk, then I would miss the whole trade… FOMO, but I was willing to risk 500 to potentially make 2k-3k because I had a lot of conviction in the setup.

@9:30 sure enough the premarket action had shaken me out down to T1 size. As anticipated
$3.30 ended up holding, rallying on the open, reversing after 30 minutes, and then bouncing off my predetermined level of $3.30. EXACTLY WHAT I THOUGHT WOULD HAPPEN ON THE OPEN TODAY.

Unfortunately, by this point I was already out the door before market open and had put a hard stop in @3.20 while monitoring my small T1 position from my mobile device… not a good feeling. I was in the Red almost to my max stop and was feeling frustrated.

• Watched the action all day while out in the field with price alerts set for 4 and 4.50, intending to sell ½ of my position over 4 dollars which would take me back to break even on the trade.

• @1:30pm with 1 bar of LTE service I sold ½ position above $4 original target and moved stop up to break even @ 3.60 price avg… kind of nerve wracking but happy to be able to execute remotely.

• _On market close I am still holding 250 shares and price is around $4.20 in After Hours trading with $3.60 AVG_

Hopefully can put some more size on before max target over 6 is reached. I am feeling a little frustrated that my last minute work schedule affected my initial execution, but at least the trade is green with a good price average on the overall move.

PLAN FOR TUESDAY
Will be watching this closely on Tuesday since I have the day off. I will be able to add to my core up to T3 if the opening price holds and scalp a little if trend continues until I have a reason to sell. This may not be finished until later in the week.

REASONS TO SELL
• Tuesdays opening rally does not respect Friday’s high of day as support
• Volume thins out and 200EMA is broken and does not reclaim by end of day
• Targets are reached
• Stops are hit

OPTIONS DATA

BBIG – SHORT SQEEZING CONTINUATION TREND TRADE - 379

January 18, 2022 -HELD OVER THE WEEKEND

• Volume leader in premarket so far AGAIN today

@ 7:03 doubled my position up to 500 shares when vwap was reclaimed, bringing my price average up to 4.10 from 3.60. Keeps me in the money on this swing, allowing for me to add some small size, just in case this does not pullback. I do not want to ruin my price average on this by adding to full size too early, but I would like to at least a 2000 share position on this. Selling 1000 before the end of the day, and holding 1000 if price can continue to 6 or higher.

• My ideal entry to add is a pullback to 4.50/4.30 after the opening drive, as this would mimic last weeks daily chart activity.
• Main intraday support level is 4.25 and Long term support on the daily @ 4.70
• Target is 6 or 7 on this play, but could capitulate around $5, look to take some profit around 5

@ 7:40 has pulled back under VWAP and then reclaimed on some volume

@7:51 added an additional 250 (750) shares, VWAP holding in premarket on more aggressive pattern than last week, thinking this may not test 4.25, instead intraday support may be off 4.40 level… the only reason why I am making this adjustment is because last week BBIG did not have much respect for VWAP in premarket.

• STILL VOLUME LEADER IN PREMARKET
@8:05 added additional 250 (1000) shares, bringing price average up to Fridays high of day, a key technical support level. Will not add again in premarket unless stock moves lower to 4.30 area
• On the open consider trading a final momentum lot of 500 shares if/when price pulls back to support for a move up to 5
@ 8:24 MASSIVE SUPPORT APPEARS ON THE BID 200K SHARES @ 4.50
@ 8:44 still volume leader @ 8.7 million shares in premarket
@8:45 descending resistance is broken, price spike to 4.70
@8:55 back over 4.50/VWAP/SUPPORT ON THE TAPE
@9AM SOME VOLUME EXPANSION COMING INTO PREMARKET OVER 4.50, after checking the $5 call options interest I decided this may be topping out… lower interest on the 1/28/22 $5 calls + a change of pattern in premarket compared to last week made me think it may be time to take profits sooner than later
@9:05 testing high of day @ 4.70 and making new high to 4.75
@9:08 still maintain volume leader in premarket
@ 9:11 making new highs @ 4.80

@9:14 getting close to 1st target of $5, decided to sell full position, not willing to lose gains. This could very well spike higher on the open and end higher today, but I need to focus on small gains right now since the market is weak.
@OPEN PULLED BACK TO VWAP @ 4.50 AND SPIKED TO 5
• VOLUME LEADER OVER 35 MIL SHARES BY 9:35 TESTING $5