Done For Session

I traded miserably all day up until 10 mins ago when I made $5k in downside ETF hedges. I closed them out fast and now I will sit back on this fucking raft I am on and let the seas take me where they will.

My run is now over and it was very nice to have had it. But now it’s over.

Come Monday I close out my weekly quant picks and go to cash. After that time, I will fully regroup and try really hard not to be FOOLED, as I am prone to do so after big runs. I always try to outsmart myself and everyone else and what ends up happening is not much of anything for months at a time, until which point I reassert my dominance and go on another run.

I guess you can say, if you chose to do so, my best trading trait is my ability NOT to blow up — which is why I am calling it a fucking day, with my only additional positions on my sheets are BOIL and APRN.

GOOD AFTERNOON.

It was an epic run, surreal even. But now it’s over — at least for me. The magic touch I had was REJECTED today, amidst a flurry of events that led me to -2.8% for the session.

It all started with the announcement that the DOJ would investigate SI last night, causing me to sell it down 20%. That stock came all the way back this morning, rendering my sale a big mistake. Also, I had a slew of stocks margined that I sold at the open — mostly because I had recovered from a grim open of -4.3% to -2.7%. Those stocks all came back too, after I sold them.

Then I tried what looked like easy trades and the strong ISM numbers caused the market to spill over a bit, forcing me out for small losses.

I now sit with a fully long book, hedged with SQQQ at 15% and nothing going on, sad even. I might as well go walk the dogs for an hour and be grateful that I am +20% and +8% for the week.

But before I do, I’ll try just 1 more stock…the last one I promise.

Let me make this abundantly clear for all of those reading and following me. I am now prepared to lose a great sum of money in my efforts to extract maximum coin from this tape. Opportunities such as now do not come often. It’d be a shame to miss out just because you let some news and emotions get in the way of all the fun.

We are ENTREATED to a fantastical rally. Earlier today we saw 13 red candles lower on the 5min charts, from which I deduced would be a good time to step in long. I entered in and then doubled down and sold for profit, knowing full well that I was jeopardizing my 3.5% returns, which shrunk to +90bps at the low point of the swoon.

I did not hedge and shall not hedge because I am not fearful. I have gains of +23% YTD and I have a comfort in a tape such as this one — sharp moves to the upside — knockout blows to all those in the way.

I closed at session highs +332bps, leveraged at 139% of equity — fully prepared to draw down 5% in a single session in my pursuit of greatness.

A common misconception amongst the proles is that stocks go up randomly, or anointed by “powers that be” — information that cannot be gleaned from the uneducated swaths of public. This is not true and I have proven it over and over again.

I haven’t been in money management since 2017 and even when I was — I barely talked to anyone in my industry. I’d much prefer to talk to independent traders who dedicate their lives to trade and trade well than fucked for faces whose sole motivation is to make fees off their clients. This way, the way I prefer, I surround myself with people who want to excel at the very thing I want to excel at, instead of discussing schemes to raise more assets of fee structures by cocaine addled greed mongers.

Look at the winning themes and industries YTD.

While at first glance those winners might appear random — they are not. What do these groups have in common? If you were setting up a screen in Stocklabs based off that criteria — what would you look for? Let’s discuss what you wouldn’t look for.

You would not look for FCF winners or stocks with good EBITDA. You would not look for conservative revenues and earnings growth — or areas in commodities.

You’d look for heavily shorted, down big over the past 12 mos, high growth, high debt, small float, small cap, high volume, money losers, strong technicals.

After you’ve done all that, you’d then look for stocks in similar groups and if you see XYZ in LIDAR lift, you might want to look at other companies that do LIDAR. Trading well takes decades of refinement and I am sure for new traders it is daunting. But it’s fucking easy in markets like this and it’s easy to find winners when most stocks are lifting. The hard part is knowing when to stop. Sometimes, after a big run, the hubris and latent narcissism kicks in and you believe the market had topped because it had gone up big. You’ll take it a step further and sell short and after it goes up some more  — you’ll sell short again. Before you know it, you’re deeply embedded in a bear trade, not because you’re bearish — but only because you believed stocks had gone up too much and your feeeeeelings got in the way of stopping out.

DON’T BE FOOLED.

I sold all of my margined positions at the open, many of which soared higher. I have a feeling of uneasiness about a market like this, extreme exuberance supported by retail. This almost always leads to some great big collapse. It doesn’t mean once we fall we are done. It only means, once we fall and the momo halts, those caught leaning will hate life for a day or two.

I’m still leveraged, although I also have a hedge now. I can see how the open was sold by most and now we are in the middle ground of greed and fear. I had been up 2.7% at 9:31 and as if write this now at 10:06, I’m merely up 0.93%.

Some new additions include JMIA, HOOD. I had to stop myself from buying more, remembering that I already had a fully long book. You can’t buy everything and you’re never gonna trade perfectly. With gains of +20% in early Feb, I really should shut the fuck up and be content. But I want more. I feeeeeeel as if I need just 1 more trade, just one more before I’m careful again. The market might collapse headlong into concrete cinder blocks. But if I could just have one more day of ebullience to grab more gains and more money, that’d be great too.

After all, I’m a good person, great even at times.

At the apex of my glory today, I was +4.6%, in frantic trading. I felt, if being honest here, that I could not be stopped and that it was my right to make more. I wanted more; therefore I had more. I leveraged up and gambled heavily and it paid off — probably because I am a good person. In the after hours my position is LOTTERY DOT COM $LTRY is exploring new highs and my GAME is also partaking in a little extravaganza.

META and ALGN smashed estimates and it’s fair to see, in spite of all the bad news, the bull market is back.

This might be hard for many of you to grasp — but get a look at this.

I am +19% YTD and although you’d like to believe it wasn’t true — I trade live inside Stocklabs with a proper pnl for all to revel in my glory.

I have hedges and I am keen on the idea of waking up at 4am to trade again, as we did regularly back in the COVID era. At the end of the day, we all get what we deserve and I most assuredly deserve more.

In spite of the late morning COLLAPSE and subsequent pull back in many of the SHIT names which were running earlier, I do not believe we are done with the extravagance.

There is a risk on aspect to this tape that you can’t just turn off. We aren’t just getting oversold stocks bounce, but thematic runs in specific areas of the market that speaks to energy and spirit amongst traders. People are actively hunting for names and through that hunt are ganging up and boosting share prices of the biggest pieces of shit known to mankind.

It’s very easy to be a bear, especially since the world is ending. Aside from that, stocks want higher.

I pulled back from session highs of +2.6%, now up +0.82% without hedges. I will now progress into said market in search for sport.

NOTE: The Feb quant is now up in Stocklabs.

Doing a little reconnoitering, it’s clear to me risk is very on. At the top of my agenda is to find volume delta breakouts near session highs. I had EBET and MVIS at the top of my lists yesterday — but opted not to get involved. I had FAZE, EXAI, and SLLG and made good money. The common denominator is, for whatever reason, they’re all in the same general industry.

Inside Stocklabs, I have things organized as such I am able to pull up entire sub lists of industries and monitor it like a proper Gentleman-Trader without having to worry.

These are the areas of interest to me now

Esports
AI
EV
LIDAR
Drones
VR
Autonomous tech

Names include VERI, GAME, VS, DPRO etc

The list goes on and on. The point is, I happen to know what I am doing and this happens to be a hot market now being led by thesis trade — my core competency.

+254bps early going.

I am not here to teach any of you anything. I am only here for self-aggrandizement — writing these things down for historical purposes. Once there lived a man called Le Fly and he traded to and fro — floated through the room amidst pomp and circumstance — bowling on his competition both real and imaginary.

My month to date stats.

Sometimes I might even give you the wrong advice on purpose in order to keep my trade secrets safe. It’s important that only I win and that my percentage gains outstrip all others.  While at times necessary to show the public that I too can falter and complain on the blog about how finished I am and how I lost my trading touch, it’s important to sit back and behold the pageantry of it all — a long historical track record of excellence for all of you to gaze at and even duplicate — providing you’re a member of Stocklabs.

It is true, a great many of you, hundreds even, have been CHASED OUT of Stocklabs, mostly due to feeeeeeeelings of inadequacy or temporary delusions of grandeur, there are some of you former members out there I’d like very much to see again. For those whom are out there, and you know whom you are, find solace in knowing we have all transmorphed inside The Pelican Room — kicked out the racists and the BIG RUSSIA lobby in favor of a more genteel trading community of cigar smoking zealots.

What to expect going forward?

Higher stocks and even more degeneracy in areas of the market like LIDAR, AI, EV, autonomous tech etc. It’s like explaining the workings of the universe to an ape, really.

I stand before you a most victorious man. I haven’t traded for many hours, mostly because I don’t need to anymore. I am +3.2%, after executing innumerable trades which worked to my advantage. I have taken from the market what I felt like taking, knowing that I could, if I wanted to, take much more.

One mustn’t be too greedy, lest the stock Gods might frown upon you and strike you down with a margin call or two.

I only have one margin position now, which is SLGG. I do believe it can run, which is why I am long. But I also do believe that it has the potential to tank. Either way, my position size is small at 5%.

Month to date and year to date, I am +14.3% — and I have achieved these returns in the most genteel and fashionable way possible.