PDT Flag

Today I learned about Pattern Day Trading!

Yesterday I mentioned I'd look at TSLA and AAPL, and while I didn't mention it, I also considered META. Based on last night's analysis, I was going to decide whether it was a good entry after the first 30 minutes. So I opened a contract for AAPL at 10:11 AM for $2.55 with a strike price of $262.50 expiring on April 22nd. I then exited the contract for $4.10 at 10:56AM taking a 41% profit.

Below is the same chart from yesterday with today's data, as shown below, there was a $6 return in today's performance. I believe the price may continue to increase tomorrow as there are higher highs.

While I didn't trade TSLA, I still want to show its performance today as it is the second stock I called out last night.

As shown above, the price increase today alone was of nearly $30, anyone who traded TSLA today must've had a high ROI.

Back to learning about pattern day trader – Yesterday I had a good trade with Amazon where I entered and exited the same day with a 39% profit. Today I did the same and took a 41% profit. Robinhood notified me that I can only have another two trades like that up until April 21st, otherwise I'd get flagged as a day trader and I can have my account restricted. I didn't know this was a thing, but I think I will be switching my account to a cash account to avoid this limitation. However, I will not be performing any trades tomorrow as I will be on-site out of state for the day.

Regardless, I want to still look at the stock market tomorrow and see if I can find another wave tonight like I have over the last two days. So, let's take a look.

• NDX continues to lead the indexes
• Today XLK, XLC, XLF, and XLY were in the positive with XLK leading the day.
• VIX -0.19 sitting at 18.17

Based on the above, we could say that the money will remain in XLK, but I think XLF and XLC are the ones coming up with a wave, so let's find one.

XLF

I think JPM will perform positively tomorrow, we can see that there is plenty of ride in the RSI. At the same time, we can see that towards midday the price began to close at a higher high.

XLC

In the below, we can see that there is higher highs seen today, and the RSI is at a healthy level as well.

I'm curious to see if the two mentioned will play out and have a big wave tomorrow. We can monitor to see if this strategy, but I will not be entering any new contracts.

Today was rewarding, I've successfully taken two days of profit and grown my account. While I haven't mentioned it, I thin TSLA and Meta may continue to push the price up. Though again, I am looking at JPM and SATS tomorrow to see if my edge works.