CORONA VIRUS PORTFOLIO UPDATE

PORTFOLIO POSITIONS DAILY CHARTS

Welcome back to the Blog! Today we are looking at the Corona Virus Portfolio that I have built over the last few weeks. This will be an update as to where the portfolio is now, and how it is performing so far.

If you would like to see in depth which stocks I purchased for the portfolio check out this article which shows both what is in the portfolio and why I chose these stocks. https://thefreedomgrind.blog/2020/07/24/corona-virus-portfolio/ or see my explanation on YouTube: https://www.youtube.com/watch?v=35UyvMiFZlw&t=1s

Currently the worst position in the portfolio is Wells Fargo (WFC). This is one of the positions I really want to add to in the near term. One of the positions that are doing the best is actually the one that came under the most scrutiny from my friends who are long term investors. American Airlines (AAL). Over the past few days it has risen $2 per share.

Overall portfolio gain is +4%. Overall Profit & Loss is $14.85 cents. Make sure you like this page and Follow the Blog to get updates every time I post!!!

SPY ETF DAILY CHART CANVAS

CUSTOM STOCK CHART WALL ART CANVAS PRINT

Support TheFreedomGrind and get yourself an awesome piece of stock chart art for your day trading office. This is a 16” by 20” canvas that can be displayed on your wall so you can always see the gains that are possible from the market!!

CORONA VIRUS PORTFOLIO

Current Portfolio long term investment

This year has been full of craziness! We have the corona virus pandemic, riots, economic issues, but that leads to opportunity for those willing to take advantage. With this article I am sharing my current longer term positions that are mostly based on criteria related to the current Corona Virus pandemic.

Most of the stocks I am Currently in have been negatively affected by the economic battles related to the Corona Virus. I have Bank stocks, and travel company stocks! Let me explain my choices of stocks and why I decided to put them into this portfolio. One of the main criteria for these stocks was that they must have been present and survived the 2008 sub prime mortgage recession.

#1 Wells Fargo & Company (WFC)

Wells Fargo & Company COM (WFC)

Wells Fargo is a bank that deals with mortgages and other asset and consumer debt. This stock made the list because it had a similar share price drop during the 2008 financial crisis. It’s current trading price as of this posting is around $26 dollars. The average before the COVID-19 pandemic was around $50 dollars. I plan to hold this position and even add to it over the next 6 months to a Year!

#2 Carnival Corps Units (Carnival Cruise Lines) (CCL)

Carnival Corps Units (CCL)

Carnival Cruise Lines have been around since the 70’s and also survived many financial drops in the economy including the recent 2008 recession. It’s current trading price at the time of this post is $14.80 cents. The average price for this stock before Covid-19 was around $48 dollars.

#3 American Airlines Group Inc Com (AAL)

American Airlines Group INC COM (AAL)

American Airlines is another company I decided to invest in. Their chart does not go back to 2008, however the company has been around since the 1930’s. So far as of this post the current price for American Airlines is $11.37 cents. The average price before the Covid-19 virus was around $29 dollars.

#4 MFA Financial INC COM (MFA)

MFA Financial INC COM (MFA)

MFA Financial is a company that I was not going to invest in and believe this to be the most risky investment as it is not a well known company. This company has been around and even withstood the 2008 financial crisis. The current price for this stock is $2.61. The average price before Covid-19 was around $7 dollars.

That’s the current portfolio!! Remember to do your research and invest wisely! Make sure you read the disclaimer so that you can make the best possible judgment when making your own independent investment decisions. I hope this article was informative and gives you a good direction to look in the market for building your own Coronafolio!!!

STOCK INVESTING DURING THE CORONA VIRUS PANDEMIC

EFX 3YEAR WEEKLY CHART

I know it has been a while since I have written a post but rest assured, I am back with content which I think will be worth the read! This article is not a jab at day trading but more of a different point of view for those that have been struggling with day trading, or those that cannot be available for the market during the best day trading hours.

Day trading has become so mainstream that many turn to it in a short time period after being interested in the market. That is great, but I can tell you from experience there are other ways to invest your money, and in most cases better ways to build your capital. Day Trading, though appears easy, it is not actually an easy route to success. In fact, most people fail miserably and some that tout success actually hide their terrible trades and display only their successful ones. That is not to say that it is not possible, but there are better ways to approach the stock market without trying to sell people a get rich quick mentality.

The image below is a prime example of what I will be discussing in this article. The stock in the image is of Equifax, the credit reporting agency. A few years ago this company had some terrible news regarding a data breach. Millions of people’s information had been compromised and was quickly blasted all over the news and social media. The stock price responded to this news by crashing and ended up loosing almost 50% of its value in just a matter of a few months. Now, if we were to think about this, would we be led to believe that Equifax would close its doors after this incident. Probably not!!! (it didn’t) Is there a good chance that the stock price will recover? There is a good chance right?? (it did). At this point you should see where I am going with this.

EFX WEEKLY CHART

Looking at this chart, we can see the data breach taking this stock price from about $145 per share all the way down to about $88 per share. Granted this is a longer term trade, and maybe even outside of the scope of a swing trade but the gain for the account is still worth noting.

There is also other markets that are not fairing well in part due to the Corona-virus outbreak. Keep in mind I am not a financial advisor but am sharing opinions based on the market, but, you are the one who has to do additional research in order to make independent investment decisions.

Now, the most simple or traditional form of investing/trading, is to wait for tragedy! Just like Equifax (EFX) during that data breach. We wait for moments like these where there is opportunity on a company that will not shutter it’s doors during a terrible event. Let’s look at current examples that may have similar opportunity.

CARNIVAL CORP (CCL)

Carnival Corp the cruise line company has not been fairing well with this corona virus. You can see a very close correlation to their loss of share price and the onset of the Corona virus “pandemic”. Will Carnival Cruise Lines close up shop……….I’ll let you decide!! So far the share price was around $50 dollars per share, the current price is $15. The most recent low was $7 dollars per share. Just something to think about.

These instances in my opinion are much easier to spot, and less likely to create the fast paced trading anxiety that occurs when day trading. Day trading is flashy, but does that correlate into making money for most people…….well not really.

I hope you enjoyed the article, and it puts your approach to the Stock Market in perspective. Even in day trading the goal is to have steady account growth. With this in mind what is described in this article provides the same.

Make sure you hit the LIKE button on the bottom of this page if you enjoyed the article. If you really like what we are doing here click the drop down menu and select DONATE & SUPPORT and donate to TheFreedomGrind!!

TOPSTEP TRADING COMBINE!

Hello traders, I have decided to try to become funded through an online prop trading firm called TopStep Trader. I am going to give you all some things to know if you are thinking about attempting the combine!

Firstly, Topstep trader offers retail traders the opportunity to trade with their money. They have different programs from Futures day traders, Futures swing trader where you can trade the micros, and they also have Forex programs. I am currently on my second attempt at the Futures Day Trading combine!

When trading with TopStep in the combine and in the funded environment, there are rules set up to help you succeed, break them and you will have to reset the combine! some of the rules include how many contracts you can purchase, a max daily loss limit, a trailing max loss, and when you need to close out your positions.

In order to start the process it will cost $150 for their starter combine. This allows you to trade in a demo account of 30k! If you can meet the profit target of 2k and not break any rules then you pass step one. Step two is similar but are given 15 days to pass similar requirements. Do this and you can become a funded trader. If you end up breaking any of the rules in one of your steps, it will cost you to reset and is $99 dollars per reset. They even gave me 50% off for the first one. (Pretty sure they give these to everyone that is new.)

So, how have I been doing? Well, I was doing great but still have some things to work on. I ended up breaking a rule on the 3rd day. The first two days went well and I had already hit the 2k profit target. On the third day I ended up losing $501 dollars because I was looking at my PnL and not the daily loss limit meter in the upper left corner of the platform( the loss limit at the top of the platform factors in commissions)! That is really important…..just FYI..lol. So I have just started a second combine and have a $400 dollar loss for day one.

I highly recommend and even suggest this as a viable alternative for traders who lack capital but are confident in their trading abilities. If you think that paying someone to earn their capital is too much, think of it as your skin in the game. You could just as easily blow up your own account!!! I will be placing my daily trades and logs into the trading journal so that you all can see how this works out. I am going to be pushing hard to make this work however long this takes.

If you are interesting in becoming the next funded trader you can use my link https://app.topsteptrader.com/refer/sign-up/a15259.

IT’S OFFICIALLY A BEAR MARKET

SP 500 MINI FUTURES 2 MIN CHART 3/16/2020

Good Morning traders! This morning is a repeat of some of the mornings we had last week with the S&P 500 stuck at a limit down. The price crashed to 2555.50 on the Mini ES contracts and stayed there since 6:15 PM EST last night. There are currently thousands of sellers stacked right at the offer.

Where do we end up? Your guess is at good as mine! So far whole economies have halted due to the Coronavirus (Covid-19). President Donald Tump has issued travel bans and shipment halts to and from certain regions impacted by the virus. We may not see any upside for the markets until the Virus has slowed down or a vaccine of some sort created.

If you happen to be a futures day trader, the margin requirements have increased to 100% due to the volatility. Most of us do not have that much cash so needless to say I will be on the sidelines for a bit, so if you are expecting the trading journal this week it may only be SIM**** keep that in mind!!! I will only post in there with SIM if i see something crazy important that should be in the trading journal!!

TRADING JOURNAL MARCH 11TH & 12TH 2020

Hello everyone! Today, like the past few have been very volatile in the index markets. We have seen huge selloffs in all the market indexes. The futures market has had huge volatility.

I want to start this journal off with a confession! On March 11th I lost big.

On the 11th, I started the trading day up +12 points! Before closing out the trading day, I decided to take one more trade on a short that was setting up. Once my trade filled my sierra charts lost connection, I found out after I tried to click a stop into the profit. I couldn’t move my stop……the uh oh moment!!!! I looked to the top corner and saw disconnected. I closed it and reopened it, by that time I was already stopped at a loss. No biggie, except, I was really frustrated and began to revenge trade!!!! Big No-No. I ended up down on the day -15.75 points.

This was a huge blow to my confidence! It made me realize that I need to focus on my discipline. Emotions…..they are natural, they are helpful and harmful to traders. It is up to us to better understand them and how they affect our trading.

uh…..really tough, I felt low, I felt angry, and I realized very quickly that it was all my fault. This means that I can control it. I can make the decisions to either help or hurt my trading account.

Now, let’s move on to today, the 12th. Today started off rough. My first 2 trades put my account down -5.75 points. I was done at this point. I said to myself, well , I will wait until tomorrow. Then, the ES began to move. It was pumping fast to the upside, so fast I could barely keep up with the price action. After a few minutes of being dumbfounded I bought into a dip, which happened very very fast. Within seconds my 20 tick target was hit. Woah!! I hit another dip, this time I removed my target stop and trailed with Loss Stop, it moved so fast I had to keep scrolling down the DOM to get my trail stop and move it back into view.

Today, I ended the session with +27 points of profit which both canceled out my loss yesterday, and added a decent profit cushion for the last trading day.

TRADING JOURNAL MARCH 10TH + 6.75 points

Alright! Third entry into the trading journal. Last entry was a small loss. I get to recoup that loss plus in this entry.

Today started off pretty slow as I really had to be patient and wait for my entry. The setup occurred quite a bit today and I was able to make three trades. I took one loss of three points jumping the gun on my entry. I entered the trade with a relatively close stop loss, although the more I think about it I put the trade on too early. This is an issue, it has happened twice in the past five trading sessions. I almost immediately got stopped out for a 3 point loss. I wasn’t shaken and knew this was the trade.

I jumped back in, this time allowing room for the trade to work out. I moved my stop into the profit by one point, then manually trailed my stop with the price action. I got a little too close and was stopped out with a little over 2 points. This recouped some of the losses I made on the initial trade.

The last trade went better as I was much more prepared for this trade! As my entry target got close I waited to see my qualifiers. Once I put he trade on the price action quickly took me into the profit. I again moved my stop into the profit, this time a +1.25 stop. As the price action moved I slowly closed the gap, I got stopped with an overall profit of +6.75 points. This ended my trading day.

WHAT I NEED TO WORK ON:

Some of the losses I made today were avoidable. Many losses are not, but in this case they were. If I had waited for my qualifiers to line up more, I could have avoided that first loss. Exiting my positions a little premature. Almost all of the trades I took today, I ended up leaving about 10 points on the table because I trail stop my trades too closely! This is something I am going to have to work on in order to take less trades to make my daily goal.

TRADE JOURNAL MARCH 9TH HIGH VOLATILITY

Good morning everyone! Today was pretty volatile to start off with. The indexes were circuit breaker halted to the downside right off the open. Once things settled out we had some decent opportunity I was actually green a couple of points, and gave it back plus 1.25. That is a very small loss and am completely fine with that. As volatile as it was today that loss could have easily been more significant.

I was trying to review the trade but there looks to be some sort of issues with my positions window in AMP futures and will have to rework it out later. Normally the trades populate on the chart but I have been having a few issues with small technical issues in sierra charts, no biggie as it hasn’t hurt my trading.

I need to take a moment after each trade to journal it and screen shot it. This morning everything was moving so quickly that I wasn’t able to do that this time. I know I jumped in on a dip as the ES was moving to the upside, but, my stop was too close and I was stopped out fairly quickly. In high volatile situations like this I need to move my stop just a bit further out!

I hope all of you had a great day trading, here’s to tomorrow’s trading!!!

MARKET INDEXES HALTED

This is unprecedented! Currently the /ES SP 500 Mini is halted at 2819 with huge sellers stacking up at that price level. The price is anchored there!

What will this mean? I have no idea as I have never seen this before. There is a ton of sell pressure after we dropped over 100 points at the 6PM open and were halted by the CME. No trading can occur below 2819, at least until 0930 at the US open. Buckle up traders this one is going to be very interesting.

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