Up $30K on a $6K account

A Tuesday Trade Edition: One of the most important concepts in trading is to review your work, and learn from the good and the bad. It’s critical to identify what’s working — to do more of it. Each week, you’ll get a trade from my trading journal, in which I explain my whole thought process from start to finish. Trading is all about finding something that works, and applying it, over and over again. That’s how you find trading success. So study up on this “Tuesday Trade” and let’s get to work.

Let’s dive into a trade I currently have open.

I haven’t closed this trade yet but it’s already doing so well profit wise that I wanted to highlight it. Especially since I’ll be covering the “magic combo” strategy behind it during my upcoming webinar THIS Wednesday.

So let’s talk about Microsoft, and why I decided to trade it…

Why Microsoft?

I entered Microsoft on Friday because of the Turbo VZO and Trend Strength Candles first and foremost. Plus there was a run into earnings and a Squeeze. 

I decided to get into it right when Microsoft breached above the 50 period SMA on the daily chart. And as I said before this is also one that had the “magic combo” that I’ve been trading lately.

What’s It Mean To Have The “Magic Combo”?

If there’s a “magic combo” present on a trade, I know I should put a lot of size into the trade. That paid off here especially because as of the start of the week, it’s gone from about $210 to $220 in less than a day and a half. On this one I decided to go just a little bit bigger as I said. So I went ahead and got 6 long calls, 2 delta 70s, and 2 delta 50s.

As you can see, the delta 70s were trading at $7.72, and now they’re trading at $16 a piece. As for the delta 50s, they were trading at $3.60, and now they’re trading at $9.75 a piece. So basically the delta 70s are up more than double and the delta 50s are about at triple.

So far I’ve made $4,000 on Microsoft overall and the trade’s not even over yet.

In the grand scheme of profits, that means I’ve made about $30,000 on a $6,000 account now. That’s up from the last time I wrote about this account. So we’re rounding out to a 6X account gain with this trade in the books.

All thanks to a setup backed with a “magic combo” (which comes down to knowing when to go big). And is exactly what I’ll be talking about in my webinar on Wednesday. If you’re interested in learning how to do this yourself, click here to save your spot for the webinar.

1 thought on “Up $30K on a $6K account”

Leave a Comment

Up Next...

Trading META & TSLA Short-Covering

The put/call ratio is extended, meaning the market is ripe for a short-covering rally at any time. Identifying a short-covering rally is about identifying a recipe. The recipe itself may take a while to come into play, but when it takes off, you want to be ready. Being ready means having a short list of … Read more

Read More

See You In Orlando?

It’s been a long time since I’ve participated in an in-person event! It’s been at least three years between the pandemic and having a new baby! This is why I’m looking forward to heading to Orlando in October. I’ll join the Money Show for several in-person talks and speak at our Simpler Trading Summit.  What … Read more

Read More

Put/Call Ratio, Resistance Breaks, September Seasonality, and more…

September Bearish Seasonality September — a seasonally bearish time. Except when it’s not.  The market loves nothing more than to be an equal opportunity dream killer. What does that mean? It means it crushes the dreams of longs and shorts equally, especially when the market is too long or too short. Let’s take May, for … Read more

Read More

Subscribe Today!

Want my up-to-date analysis, setups, top trading tips, and more? Be a Five Star trader, and join my free newsletter today!

Sign Up Now