The Bottom Line:
- Shorted Robin Hood after earnings report, making $3500 in 10-15 minutes
- Utilized resistance levels and selling pressure for successful trading strategy
- Used a larger position to earn around 13.6k on another stock trade
- Analyzed market reactions to Robin Hood’s earnings beat and revenue increase
- Keep updated on upcoming earnings reports and trading opportunities
Shorting Robin Hood Post-Earnings Report
Shorting Robin Hood Post-Earnings Analysis
so one of my quick trades for the day was shorting Robin Hood after it reported earnings remember one of my favorite things to do is not to buy a stock before it reports earnings because guess what we cannot predict the future but I like to wait for the market to react and then once something becomes overbought and it begins to show signs of a resistance and begins to consolidate and trade sideways then sometimes not always I’ve been wrong many many times but sometimes when it shows signs of resistance there’s enough selling pressure sure that it begins to correct itself and once that price action follows I end up making money as I short this stock and that’s exactly what happened today I didn’t make a ton of money but I made $3500 shorting Robin Hood stock and it happened within 10 to 15 minutes and I was actually live on Instagram so if you tuned on in to my Instagram live and you watched me short this uh let me know down in the comment section what you thought but my entry my exit was all shared with the lpp team and what we were working towards with a price target of $1850 and an entry of 1902 now another stock that I shorted today again this one was very very different in the sense that I used so much uh or I used a much larger position size to say the least I made around 13.6k on this one and again a big part of it is because again I trade with over half a million dollars I’m not so like I would say pleased with this trade and the reason behind that is because it didn’t necessarily go exactly according to plan I wanted to make a lot more money especially with the dollar amount that I put behind it but the trade just didn’t you know go according to plan I still walked away in the green still grateful for it but at the end of it not much happened there uh when it comes down to Robin Hood why did it originally go up after market hours it reported earnings it beat earnings per share with 18 cents versus expectation of 5 cents and revenue at 618 million versus 543 so yep I mean that’s really just it uh there’s a handful of other companies that reported earnings after the market closed one of them Airbnb sold off 8.3% the other one AMC pretty much trading sideways not much activity going on down 1.25% beyond meat so if you like that fake meat 14% in the red is what beyond meat is actually selling off doesn’t really surprise me and the only one out of the ones that I was paying attention to that actually ended up green was Robin Hood but then it’s giving it back as again it doesn’t really surprise me um it could have been an overreaction and we’re just following the price action and the price action is showing lower highs and lower lows and a correction of that selling pressure so very very simple trading setup right you don’t predict you prepare and wait for the market to react the market reacts and then you you prepare your setup right and I plugged it into my risk to reward ratio calculator my 1902 entry my desired exit my stop loss of where I plan to stop limit right where I plan to cut losses if that short doesn’t go according to plan a 4 to1 ratio for my RIS reward ratio wor 8,000 shares at $152,000 I walked away with um well not NE necessarily 4.1k because I ended up covering my position short so I do have a habit of doing that of closing my position a little bit to early but I do want to remind you for tomorrow pre-market we have roblock reporting earnings and then after the market closes there’s really nothing in my radar I don’t care about any of these companies I really don’t care about any other company that’s reporting earnings Tomorrow there’s Warner Brothers which sure it’s somewhat popular but other than that I’m pretty much done for the week of really paying attention to companies that are reporting earnings today we had a strong uh you know amount Airbnb a AMC Robin Hood arm Beyond me um but that’s pretty much it so I’ll keep you guys up today again if you ever want to tune on into my live sessions I’ve told you once I’ll say it again I trade live every single morning you get to see all of my good trades and all of my bad trades if you’re a visual learner and you learn best by watching other people do you don’t want to miss out second link in the description down below and if you feel like you are ready again it’s a one time payment lifetime access and you’ll save 50% off by using that second link in the description right now I appreciate your time like always let’s make sure that we end the year on green now take care team.
Utilizing Resistance Levels and Selling Pressure
Utilizing Resistance Levels and Selling Pressure
Once a stock begins to show signs of resistance and starts consolidating while trading sideways, there may be enough selling pressure for it to correct itself. This adjustment in price action can offer opportunities to profit from shorting the stock. In a recent trade example, shorting Robin Hood after its earnings report resulted in a $3500 gain within a short timeframe.
Execution Based on Market Reaction
The strategy of waiting for the market to react before making a move, especially in response to overbought conditions and signs of resistance, can lead to successful trades. By preparing setups based on price actions and utilizing risk to reward ratios, traders can make informed decisions regarding entries, exits, and stop-loss points.
Adaptation to Market Dynamics
Monitoring market dynamics, such as lower highs, lower lows, and corrections in selling pressure, allows traders to adjust their positions accordingly. By avoiding predictions and focusing on readiness to act on market reactions, traders can enhance their chances of making profitable trades in various market conditions.
Increasing Profits with Larger Positions in Stock Trades
Strategy Based on Market Behavior
The strategy involves observing resistance levels and consolidation in stock prices, indicating potential selling pressure leading to corrections that can be leveraged for profitable short trades. In the case of shorting Robin Hood following its earnings report, a $3500 gain was achieved swiftly.
Utilizing Market Reactions for Decision Making
Making trade decisions based on market reactions after events like earnings reports, by assessing overbought conditions, resistance signs, and sideways trading patterns, sets the stage for successfully timed trades. Calculating risk-to-reward ratios helps in determining entry and exit points, enhancing trade outcomes.
Adjusting Positions to Market Trends
Adapting positions to market dynamics like lower highs, lower lows, and shifts in selling pressure allows traders to fine-tune their strategies for optimal results. By staying flexible, avoiding predictions, and reacting promptly to market changes, traders can capitalize on profitable opportunities in the market.
Analyzing Reactions to Robin Hood’s Earnings Performance
Strategy Based on Market Behavior
The strategy involves observing resistance levels and consolidation in stock prices, indicating potential selling pressure leading to corrections that can be leveraged for profitable short trades. In the case of shorting Robin Hood following its earnings report, a $3500 gain was achieved swiftly.
Utilizing Market Reactions for Decision Making
Making trade decisions based on market reactions after events like earnings reports, by assessing overbought conditions, resistance signs, and sideways trading patterns, sets the stage for successfully timed trades. Calculating risk-to-reward ratios helps in determining entry and exit points, enhancing trade outcomes.
Adjusting Positions to Market Trends
Adapting positions to market dynamics like lower highs, lower lows, and shifts in selling pressure allows traders to fine-tune their strategies for optimal results. By staying flexible, avoiding predictions, and reacting promptly to market changes, traders can capitalize on profitable opportunities in the market.
Staying Informed on Earnings Reports and Trading Opportunities
Capitalizing on Market Reactions for Trade Decisions
By observing market dynamics like resistance levels, consolidation patterns, and selling pressure, traders can strategically time their trades for optimal outcomes. Analyzing these elements post-events such as earnings reports enables informed decision-making, leading to profitable trading opportunities.
Enhancing Trade Strategy Through Flexibility
Flexibility in adjusting positions based on market trends, like lower highs, lower lows, and corrections in selling pressure, allows traders to refine their strategies effectively. By staying adaptable and responsive to market changes rather than relying on predictions, traders can maximize their chances of success in the market.
