Welcome to my blog. A lot has changed since I started this thing. I'm now trading live after about a year of paper trading and studying. Originally I had planned on starting part time and slowly growing my account but life has a funny way of changing your plans. I found myself at a crossroads of sorts and quickly realized that I was being given a once in a lifetime opportunity to pursue my goals. I took the leap and I'm not looking back. Follow me here and see the triumphs and the losses.

Updated (08-10-16)

I tend to look for momentum trades that I can hold for anywhere from a few hours to a few days. I usually take positions of $5k to $10k in size to allow larger gains on smaller percentages (it's easier to hit a 1% to 5% gain vs a 10% to 20%+ gainer) and I like to use a trailing stop.

This blog is a way for me to log my progress and to aid me in learning, I hope that you find it useful. Financial freedom isn't given, it is earned. So plant the seeds of education and grow your pennies!

Tuesday, September 6, 2016

Penny Farmer's Crops to Watch, 09/06 $THLD $GT

This morning's watch list, mainly looking for gap-n-go play's.

I'm paying special attention to $THLD and $GT, though $GT might make a better swing over a day or two.

Good luck, be safe, make sure you do your own DD.

Plant the seeds of education and grow your pennies!

Follow me on Twitter @MateoHellion
Instagram @ThePennyFarmer @PennyFarmer

Thursday, September 1, 2016

Live Trading (Day 5, 6): $978.18 win in $SKLN

I had planned on posting earlier before falling behind but I've been out of town and while I have been able to trade, finding time to write a blog post has been limited.

I'll break it down to keep it simple.

(Day 5): $PAS
This was a gap-n-go/momentum play with an entry right at the open. I had set a tight trailing stop of .10 and got knocked out fairly quickly in a dip for a small gain of $20.

Over Weekend Swing: $WWE
On the same day I placed a small entry as it crossed the 52week high and was looking to be in early. I was thinking that it may run on the following Monday, especially if there was news. I placed a trailing stop at .25 but saw it fade instead and was knocked out for a small loss of $31.

(Day 6): $SKLN, $MTL, $CHS +$930
My last trading day of the month was a special one and I think I need to come up with a name for it. Because I'm trading with a larger position size I need to wait the two day clearing period to avoid catching a "free ride" violation. Also, because I'm still under the $25k level I'm under the "PDT" rule which limits me to three day trades a week... That translates to a calendar with one week a month were I have only one trading day and all three day trades... Which opens up a greater chance at hitting green.

My first trade of day 6 was in $SKLN, which was mentioned on Twitter as one to watch on volume and contract wins. It started to gap p/m and I was able to enter at the open with about a $5k position. It ran nicely and within 8 minutes I had gotten out with a win of $978.18, my largest win of the month.

The second and third trades were in $MTL and $CHS, both $5k positions. The volume was much lower compared to $SKLN but both appeared to be on upward trends with the MAC-D and AO indicators also showing positive signs. I set trailing stops and let them soak, $MTL started to fade and I ended up getting locked out for a small loss of $86. $CHS was still running up and I was getting worried that it would drop on me so I tightened up the trailing stop to protect the gains I had and ended up getting stopped out at a small win of $38.

Which gave me a nice daily P/L of  $930.

Looking back on my first month trading live I'm happy with the progress and see that I need to focus on risk management and continue to use trailing stops. I've also found myself sticking with the "gap-n-go" style of trading.

All 4 weeks were green for me, though I did have 7 losses and 7 wins, so I need to take a look at improving which stocks I decide to get into, as well as improve my entries.

My total monthly P/L is about $1,119.00. Not a lot, but a decent step in the right direction. It also took my profile from being in the red on prior trades to being in the green.

My goals for September are to increase my Winning % on to 50%... it's currently at 46.34% (I'm digging out of a hole from prior losses)... ultimately I'd like to see my winning % somewhere between 70% and 80% which I think is realistic. My other goal is to hit $4k in my monthly P/L... a bit lofty compared to this month's P/L but if I tighten up what I'm getting into and work on the winning %, I think I can get there.

I'm humbled by the trades I've won, especially $SKLN, and I'm excited to move forward on my goal of financial freedom.

Please follow me:
Twitter @MateoHellion
Instagram @ThePennyFarmer @PennyFarmer

"Plant the Seeds of Education and Grow Your Pennies!"

Monday, August 22, 2016

Live Trading (Day 4): $DUST $SCYX $STEM -$4

I guess I'm a "glass-half-full" kinda guy because even though I basically scratched on my trades today, I don't feel like it was a waste. I was able to stick to my trailing stops and managed my risk to end the day with a small loss of $4 and a small position in $STEM still in play, which frees up my 3rd day trade under the PDT rule. It should line up for me to trade either Thursday or Friday depending on where we are staying in Leavenworth.

My first gap and go trade was in $DUST which was gapping nicely into the open and started to run as soon as the bell rang. I quickly placed an entry at $5.77 and set my trailing stop. Unfortunately it had other plans and whimpered out on me triggering my stop at $5.69 for a loss of $136. I also placed a position in $SCYX with an entry of $2.98. My trailing stop was triggered a while into the trade at $3.02 for a little gain of $132... bringing my daily p/l to -$4.

I was going to call it a day but decided to try and capture some momentum in $STEM which was running nicely. I placed a small 200 share entry at $1.98 with a .20 trailing stop. I almost got hit near the EOD but hung in there to become a overnight swing... which I'm happy with because even if it closes with a loss tomorrow it won't count as a day trade.

Thanks for checking in and reading the post. I hope that this is helpful in some way or motivational.

Wednesday, August 17, 2016

Live Trading (Day 3): $STEM $CYCC $114 in gains

Day three of live trading was almost a red day for me. I went with the "gap and go" plays like last time and found that $STEM was showing potential for another run... it had a huge run the prior day. I had a nice entry of $1.79 and saw my position quickly run to $2.00. I thought it would run more so I set a loose trailing stop even though I was sitting on about $800 in gains. Of course the stock market gremlins had other plans and it faded on me and zapped my gains into about a $280 loss.

I almost placed a trade with $THLD which seemed to be a sympathy play on $STEM but ended up with a momentum trade in $CYCC shortly before a HOD breakout. My entry was $7.73 with the HOD breakout at $7.79. I ran with a trailing stop and locked in $350 profit on a dip. Left about a $1 on the table but I wasn't willing to set a stop that was too loose.

I could have had a $1k day... but there is no point in beating myself up. Losses and trades flipping on you are part of the game. $STEM could have just as easily continued to run and my loose stop could have kept me in longer and allowed me to capture more of the move. I managed my risk, stuck to my stops, ended the day green... not to mention I had the opportunity to trade with a view :)

Next trading day will be Monday the 22nd providing I'm not camping.

Friday, August 12, 2016

Live Trading (Day 2): $GBR $752.38 in Gains

I went into the trading day looking for gap-n-go setups to ride momentum. I found $GBR moving nicely and decided to get in when there was a breakout at the $4.31 level on the one minute chart. I was filled at $4.55 and set a $0.20 trailing stop hoping that I was giving it enough breathing room to take advantage of the volatility. Unfortunately the spread got me and I was stopped out pretty quick at $4.72 for a 3.74% gain and $374 in profits.

The stock continued its uptrend and I decided to jump back in at another breakout on the one minute chart at $5.10 with a fill at $5.12 and set a trailing stop at $0.25 for a little more room thinking that it would allow for more gains to get snagged. I was eventually stopped out at $5.39 for a 5.27% gain and $432 in profits.

In total, I had 2 trades in 40 minutes and a daily P/L of $752.38 which makes up for the losses from day 1.

Wednesday, August 10, 2016

At the Bottom of the Staircase, I Go Live!

Its been a long journey just to get to the base of my staircase to financial freedom. I've paper traded and studied for over a year and I finally feel that I am ready to move forward.

Unfortunately I'm not starting out above the PTD rule. I'm starting with an account $20k in size. The rule will make the start a little more difficult but since I'm a glass-half-full kind of guy I'm thinking it may be a blessing in disguise that will keep me at a safe pace to start.

This isn't some part time hobby or something I'm doing just for fun. This is my future, this is fulltime, and I will be living off of my profits and dealing with my losses.

It won't be an easy journey. My first "live" trading day proves that. My first trade in $HIIQ went red on me because I ended up getting in a little too late and had the position fade on me for a loss of $400... roughly -4% on the position. But it wasn't a sloppy loss, I cut my losses fairly quickly and managed my risk well. Red days will happen, that is just part of trading. My second trade is an overnight swing in $MWW that gapped 20% on earnings and buyout news. I entered after it appeared to be holding its gains and I'm looking to catch a second day runner.

Remember folks, financial freedom comes to those who plant the seeds of education and grow their pennies.

Friday, July 8, 2016

Penny Farmer’s Crops to Watch $BCS $EBIO $PLCM $AMD

Penny Farmer’s Crops to Watch

I currently have a couple swings that I’m looking to close today, $BIND and $SGY. I’m pretty sure it will be a hit on the account… especially with $BIND.

As for active trades today I’m testing a new scan and will be focusing on stocks between $1 and $15. I’m going to be ignoring the sub $ pennies. The stocks that are sub $ are more difficult to trade and so far not as reliable for me to stay consistent.

Pre-market scan highlighted $BCS, $EBIO, $PLCM, and $AMD

$BCS had about a .40 gain A/H and P/M but the longer charts show a downward trend so I’m more bias to shorting this. I may look at this running in the open and then look to short it into a fade.

$EBIO, I’m watching this to see if it continues to fade from the P/M action though I’m not sure I’d be able to short it.

$PLCM recently broke support at $10.90 and shows a downtrend bias on long term charts, but has had a nice climb on the 1D 15min chart. I’m not sure which way I’ll look at trading this but mostly interested in the price action and if it will move.

 $AMD has a decent uptrend on the daily chart and looking at the P/M on the 1min chart shows the Awesome Oscillator and MAC-D it crossing over the zero lines. I’m looking to enter a long position here.

Hope you all have a good weekend, please say a prayer for the officers in Dallas and their families.

Plant the Seeds of Education and Grow Your Lincolns

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