33. EP 9 Million (EPV) - Nuances
[1. Setup Mastery] - [1.3 Bullish Setup] - [1.3.5 EP 9 Million (EPV)] - [1.3.5.3 Nuances]
Now there are two ways to make money: one is doing 100s of 8 to 20% or doing few EP life changing or EP 9M. Out of the two, EP 9M is easy. There you are looking for a trade that is going to make 40 100 300% and for working professional EP 9M is easy to do.
Do both because using 8 to 20% we hit singles and stop here is 2.5%. We can’t do the same thing in EP life changing or EP 9M with the same stop can you do? Answer is no. What kind of stop do you need here? Here it is 8 to 10%.
And singles finance for magnitude trade that is 8 to 20% contribute for 40 to 100 300% trades. Doing so if this magnitude trade doesn’t work out we can always recover from doing 8 to 20%.
Best way to trade EP 9M irrespective of CAT, DOG or LIQUID LAVA try to understand the strength of the catalyst and trade accordingly. Micromanagement is not going to work.
My first objective here is not to capture 8 to 20% but instead move stop to breakeven and just wait till the trade objective. Use smaller trades to finance bigger trades because it becomes difficult to recover if you are only doing big trades.
Sometimes EP 9M doesn’t appear. Do 8 to 20% move account by 20% then take EP 9M trade then again move account to 40% this how you operate.
Instead of doing EP which is rare and difficult to trade and which happens 1 or 2 times in a year and requires significantly more skill and things like that, By doing EP 9M you are achieving the same objective of moving account 40 to 100% by running a simple process and simple scan. No need to complicate it.
Trading simple things is very difficult. But keep it simple, don't complicate things. And anybody who overthinks this will not be able to trade this.
And this equally works well on the downside. EP 9M works on the short side also.
Daily looking at story stocks and its moves, Just within a few months you will be good at knowing what story works and what does not. After a few months you know what stories fly.
Logically it doesn’t make sense. That is what drives people nuts. But look at tall skyscrapers, everything else doesn’t matter. Put 5% 10% and see what happens. No technical analysis matters. See volume, Follow volume and get in as simple as that.
Remember this game is about size. And you're not looking at 800 900 stocks, Instead at best 100 stocks, Out of that there are only 2 or 3 ideas to work. Again out of that 1 or 2 actual setup and take up the trade.
Reverse pyramiding on LL in a good market can be done and size as much as possible in it.
LL stands for ??