HOW TO: Trading the WallStreetBets Stonks with Cascading Stops
Updated
Hadn't seen any videos of anyone doing something as silly as this (which of course fits into the WSB philosophy) so thought I'd make a video of it and share it in case it amused or inspired anyone else.
Just something I have been having a bit of fun with over the last couple of weeks.
You could do this with any broker, but I REALLY like the simplicity of doing this all within TradingView and using TradeStation as the integrated brokerage free broker.
Note: You would not do this if you were paying brokerage.
What I do is:
1. Create a list of WSB type stocks.
2. Watch in the pre-market to see which ones are getting the attention.
3. Try and buy as early in the move as your broker allows.
4. Add a stop loss a bit below your buy price - eg 5% or so. Nice and tight.
5. As the stock price moves up, start to break down your stop loss into lots of mini stops.
Idea is that as the stock moves up, you are moving your stops up, BUT rather than one big stop that gets your whole holding exited, you can place lots of smaller stops (even place some ahead of the price) so that as volatility happens you auto exit some of your position hopefully taking profit along the way.
Rinse and repeat.
Definitely NOT trading advice. As before, it really is a silly idea, but hey its also a bit of fun for now and seems to work reasonably well for these kinds of stocks that spike big in one day and then start to equally quickly pull back.
Might be better to simply buy and hold them, but you never know when they will inevitably come crashing down, and more so which one is going to be the focus of the day.
Like and subscribe if you like it.
One of those videos you can skip through once you see the initial concept...
Just something I have been having a bit of fun with over the last couple of weeks.
You could do this with any broker, but I REALLY like the simplicity of doing this all within TradingView and using TradeStation as the integrated brokerage free broker.
Note: You would not do this if you were paying brokerage.
What I do is:
1. Create a list of WSB type stocks.
2. Watch in the pre-market to see which ones are getting the attention.
3. Try and buy as early in the move as your broker allows.
4. Add a stop loss a bit below your buy price - eg 5% or so. Nice and tight.
5. As the stock price moves up, start to break down your stop loss into lots of mini stops.
Idea is that as the stock moves up, you are moving your stops up, BUT rather than one big stop that gets your whole holding exited, you can place lots of smaller stops (even place some ahead of the price) so that as volatility happens you auto exit some of your position hopefully taking profit along the way.
Rinse and repeat.
Definitely NOT trading advice. As before, it really is a silly idea, but hey its also a bit of fun for now and seems to work reasonably well for these kinds of stocks that spike big in one day and then start to equally quickly pull back.
Might be better to simply buy and hold them, but you never know when they will inevitably come crashing down, and more so which one is going to be the focus of the day.
Like and subscribe if you like it.
One of those videos you can skip through once you see the initial concept...
Note
Links mentioned in the video where functionality not available in TradingView:(I don't have any connection to any of these sites)
reddit.com/r/wallstreetbets/
quiverquant.com/wallstreetbets/
highshortinterest.com/
Note
UPDATED: How To See Which Stocks Are Exploding In The Pre-MarketJust as a bit of an addon to my WallStreetBets Stonks video, this is a view of how you can see which stocks are moving up most aggressively in the pre-market.
NOT TRADING ADVICE. ALWAYS DO YOUR OWN RESEARCH.
MY SITES:
FIND TRENDING STOCKS: HigherHighs.com/
FIND AND SET TRAILING STOPS: SuperTrail.io
MY YOUTUBE TRADINGVIEW TIPS AND TRICKS: bit.ly/3kRW08o
MY SITES:
FIND TRENDING STOCKS: HigherHighs.com/
FIND AND SET TRAILING STOPS: SuperTrail.io
MY YOUTUBE TRADINGVIEW TIPS AND TRICKS: bit.ly/3kRW08o
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.