Illegal short selling trades in South Korea could now get you life in prison "Those whose profit from such trading misdeeds is at least 5 billion won ($3.6 million) can face up to life in prison, a change from a maximum 30-year jail term previously." >> Fortune Asia 13/6: https://t.co/GpYPsNCkWc
The SEC has announced they are looking at GameStop, $GME options activity for manipulation after Roaring Kitty disclosed his option trades.
For reference, US Congress option trades all the time!
For example, Nancy Pelosi bought $NVDA, Nvidia call options before major bills and news, and is up over 200% on her calls in 190 days.
Yet no SEC investigation.
The cost to borrow $GME continues to move higher. Average cost to borrow is now 10.6%, up from 2.4% a week and a half ago. Max cost to borrow I'm seeing is now at 87%! Total shares on loan are currently 98.9M (remember, on a free float of 190M).
This is unusual.
Citadel Securities has been charged by the SEC for abusive short selling practices.
The SEC estimated that the firm marked millions of certain short sales as long sales and vice versa from 2015 to 2020.
The fine?
$7 million.
Since the start of Q4 2023, we've been on a streak of 26/26 for swing trades callouts (common stocks and options), boasting an impressive average win % of 29.7% per trade. π Before this streak ends (because they always do), let's chat a little bit about this. That equates to approximately 2 trades per week - minimal but effective. πͺ
In one specific channel, we meticulously analyze and share our preferred setups, along with our reasoning, allowing people to glean insights and learn from our successes and missteps. Having a well-defined plan makes holding onto these rather 'unexciting' plays much easier. They might lack pizzazz, but they undeniably deliver results. π
In closing out the year, we had successfully closed out positions in $MARA, $TSLA, and $BABA. The new year commenced with $PYPL and one additional position π.
Some key takeaways from last year's journey:
- Not every day is a trading day - Sometimes retail just falls into gambling disguised as trading or boredom. π€
- Emphasize overall position size and sizing into a position more than timing the market full-sized. π°
- Longer timeframes have yielded better results. 30/40 days per contract is my preference. π
- Constantly watching a trade on the 2/5-minute chart during a swing suggests either excessive leverage or a mismatch with your trading style and trade. οΏ½οΏ½οΏ½
- An A+ setup demands at minimum a detailed breakdown of the setup itself, entry point, target, and risk level. Price action, volume and a few other indicators/strategies would need to validate the setup before entry (Example below in phots) π
Two books that we have really pushed our team to read over and over π
- A Complete Guide To Volume Price Analysis π
- Trading In The Zone π
Hopefully, this helps at least one person out there. If you found value in this at all, liking and sharing would be appreciated. Wishing you all a prosperous and insightful trading year ahead!