UUU Trade on Feb 25, 2022 08:28 from BanalityOfEvil: Tradervue User Stock Trades.

UUU – PREMARKET SCALP

CATALYST
6:30:00AM
UUU
INFINITE REALITY, INC. AND UNIVERSAL SECURITY INSTRUMENTS, INC. JOINTLY ANNOUNCE MERGER AGREEMENT

TRADE IDEA
UUU will touch 4.80 in premarket or after the opening bell

SETUP QUALITY
C

BIG PICTURE
SSR
SPY is holding yesterdays close and edging higher in premarket
VIX 28
Float 2M
RVOL 10x
ATR .33

PLAN
• Trade with small size since Fridays are usually RISK-OFF for institutional buyers and the markets are weak
• Get a good price near the bottom of premarket range
• Add momo lot for a break of 4.20
• Sell 80% into strength near target
• Hold 20% move higher
• Target is 4.80, Stop is a break of 3.75, AVG is 3.98

EXECUTIONS AND PRICE ACTION
@8:20-9am very slowly building a feeler trade within the premarket range using small size. Noticing an increasing algo presence as we near the bell. WILL NOT BE HOLDING THIS INTO THE OPEN.
@9:36 took stop, attention was diverted to IRNT on the open and I knew I had small size on so I was not watching very closely... probably should have cut it as soon as I saw algos printing on the t&s

KEY TAKEAWAYS
Nice job using small size and tight stop on this volatile Friday. Avoid stocks with marginal catalysts, especially if SSR, and even more so if HFT is detected.

continue to monitor algo presence... if HFT/Rebate Traders/Market Makers (all the same thing now) are overly active, then cut size immediately because they will front run all of the liquidity, exhausting Momo participants and eventually causing the price to grind sideways and eventually drop out on low volume.