DPRO Trade on Mar 22, 2022 07:57 from BanalityOfEvil: Tradervue User Stock Trades.

DPRO – PREMARKET SCALP

CATALYST

7:15:00AM
CSE:DPRO
DRAGANFLY RECEIVES ORDER FOR CRITICAL LIFESAVING DRONES FROM REVIVED SOLDIERS UKRAINE FOR IMMEDIATE DEPLOYMENT TO UKRAINE

TRADE IDEA

Price could move to 3.75 area during premarket run. Drone stocks traditionally do not have much follow through, so take profit or exit quickly if price action is weak.

SETUP QUALITY

A

BIG PICTURE

• SPY – bullish movement on multiple timeframes
• VIX – in the low 20’s
• Fresh News
• Premarket price action reclaiming and moving through several daily levels
• RVOL – extremely elevated, unlisted in premarket, premarket volume was over 30M shares
• Float 30M
• Flag pattern forming, gap from $1.60 to above $3, consolidating above $3 level

PLAN

Enter around $3 consolidation area with small size 1000 shares max (drone stocks typically don’t follow through), stop is bottom of last consolidation area ($3)looking for volume expansion and tape speeding up. Watch L2 for hints of large sellers/buyers, selling ¾ of position into first strong move over last immediate resistance @ $3.25, and holding ¼ for as long as possible until 9am ET when I will be timed out of trade due to need to leave for work. If price holds above 3.75 in premarket, hold final portion into the open, with hard stop set @ $3, monitoring from mobile until R2S.

EXECUTIONS AND PRICE ACTION

@8am waited for price to move closer to $3 area, entered w/500 shares on dip, volume picked up and cleared 3.18 with volume, added 250 more shares for 750 total. Price action was a little too slow for me to commit to full 1000 shares.

@8am immediately sold ½ into $3.50 area

@8:05 sold 1/3rd then added 12 shares as price curled to make it even 200 @ price AVG
• Stop is $3.10, expecting some quick follow through from entry area, will hit out 100% if price ticks below $3.10

@8:07 sold 1/2 immediately at price average after dip-add failed

@8:17 hit out of final portion as I was already up on the trade and did not want to stick around with small size as volume was dropping off and tape was slowing. Also had to be out the door in a few minutes so decided to stay green and run.

KEY TAKEAWAYS

• Nice job quickly analyzing areas, catalyst, target, risk, volume, size, and play (under 2 minutes from pulling up chart and checking where SPY and VIX were at)
• Nice job managing risk, taking some profit, and following plan, small win but a nice little scalp