Day 1 : Building a Watchlist and explaining the strategy
Day 2 : $PLTR Trade Idea
Day 3: Buying $HOOD
Day 4: Up 5% on $HOOD
Day 5: Entered $UA Trade
Day 6: Trading In Puerto Rico
Day 7: Introducing Beacon
Day 8: S&P 500 Record Highs
Day 9: Robinhood Makes Moves Into Crypto
Roaring Kitty End Up Meowing, Loses Hundreds Of Millions On $GME In One Day
Retail investors were buzzing on Friday as Keith Gill, better known as Roaring Kitty, finally emerged from his three-year hiatus with a surprise YouTube livestream. The event, titled "June 7, 2024," was a rollercoaster for both Gill and his fans.
Excitement crackled through the online chat as Gill, sporting a bandaged head and sling (later revealed to be a gag), addressed his audience. Many interpreted his return as a bullish signal for GameStop (GME), sending the stock price up pre-market. However, those hopes were not long lived.
GameStop unexpectedly released their first-quarter earnings results before the market opened on Friday. The report wasn't great, showing a loss and declining sales compared to the previous year. They also announced they were selling even more shares of stock, which can dilute the value of existing shares.
GME's share price plummeted throughout the stream. The stock closed a staggering 39% down, marking its worst day since the meme stock frenzy of 2021.
The livestream offered a glimpse into Gill's perspective. He confirmed managing his own accounts, addressed ongoing investigations by the SEC and Massachusetts regulators, and even took viewer questions. His lighthearted demeanor, including meme references and props, couldn't mask the underlying market turmoil.
Several factors contributed to the disconnect between Gill's message and the market's reaction. GameStop's surprise announcement of disappointing first-quarter results and a secondary stock offering likely dampened investor sentiment. Additionally, the short, unorthodox format of the livestream may have left viewers wanting more concrete information. Some said that he was just "trolling" and "acting a fool on purpose", while others thought that the stream was a let down.
While Roaring Kitty's return generated significant buzz (it has over 2M views as of this writing), it failed to ignite another GME rally. The stock's wild swings in recent weeks highlight the continued volatility surrounding meme stocks. Whether Gill's faith in GameStop will ultimately be rewarded remains to be seen.
There was a mix of reactions to the Roaring Kitty Livestream on X. Some people were disappointed with the content of the stream, feeling that it didn't live up to their expectations. Others were more positive, acknowledging that while the stream may not have been groundbreaking, it was still a significant moment for Roaring Kitty and the community that follows him.
One user (@JonnieKing) even suggested that the dip in GameStop's stock price following the stream was a "blessing in disguise," encouraging others to "buy the dip." On the other hand, some users like @Sleaklight expressed disappointment, hoping that Roaring Kitty would "sober up and be his true self next stream."
$HOOD Update
If you remember in yesterday's blog update, we closed at $23.39 (up 11.91% from our $20.90 entry on Day 3) which is very close to our first target of $23.74. I decided not to set a limit order last night to sell some shares at target to lock in profits, as I wanted to see how the price action played out this morning before deciding whether to set a limit order or try to use a trailing stop loss to try to lock some profits above the target 1.
I wanted to see some price action this morning before deciding what to do. With everything going on with $GME, and the after hours bullish price movements of $HOOD last night, I was anticipating a possible big move up way past our target. I honestly wasn’t expecting $HOOD to hit target so early in pre-Market and then dump (GME unexpected earnings news had to do with that, so no one could have expected that). After waking up and seeing some price action, and seeing as how volatile, news-reliant, and choppy the market is looking today I decided to place a limit order at $23.74 at around 7:50 AM EST.
Just an update for transparency purposes... I didn’t have my glasses/contacts on since it was early in the morning, and accidentally set a limit BUY 2 shares of $HOOD instead of sell at $23.74 (it got filled at market price at the time of $23.10). I immediately sold the 2 shares at $23.10. So virtually nothing changed as far as actual P/L goes, as I bought and immediately sold the same number of shares at the same price, but it will reflect on Webull that my average price is higher than $20.90 now. But just so you all know, I’m still in with my 4 shares at $20.90, nothing changed
There’s a reason I listed out all the different options we had for $HOOD in the discord and in our Day 8 blog, when it came to what we could do today for selling. There’s no “right” or “wrong” way to play these trades. Some of our members sold for profits, or locked some profits in at target 1, and that is great!! Some of them are still holding on (like me) and if that’s because they followed their plan, then that’s also great!
The goal is to have a plan, understand why we made it, and then follow it. If the trade works out or doesn’t it’s still a win, because we either gained profits or lessons/statistics. Trial and error is how we grow as traders. I'd rather make my own decisions and be wrong and learn, than blindly follow one person or indicator without any idea why I am doing what I am doing. That's why we teach strategy here, so no one is flying blind.
I had a plan, and that was to wait until I saw price action before deciding my sell strategy, it didn't work out for me today, but I still had a plan and followed it. That is how we grow as traders, and learn what works best for us.
Update On Our Other Plays
We are down on $UA, but still not too close to our Stop Loss, so just patiently waiting to see how that one plays out.
$SYM broke below our price level of interest of $37.22. Now we are just waiting for a 4H candle to close above $37.22 for us to enter.
The rest of our plays we are not close enough to our entry level to be watching too hard for Monday. Expect some new setups either Monday or over the weekend.
$50 Crypto Account Update
I also have a $50 Crypto Account Follow Along channel in the discord where we update the progress of our Phantom Wallet. Phantom is one of the most popular wallets for traders in the Solana Ecosystem. Click Here For A Phantom Wallet 101 Walk-Through.
So far we were able to take the account from $50 to $100, mostly thanks to $ZACK, $JENNER and $MOTHER. I deposited $50 into a different wallet to invest in more long term plays, resetting the $50 Account. We are currently up to $67.52. Here is a list of our current holdings on this account..
USDC: USDC, or USD Coin, is a type of cryptocurrency known as a stablecoin. This means its value is pegged to the US dollar, so it should stay relatively stable and close to $1. Unlike other cryptocurrencies that can fluctuate wildly in price, USDC is designed to be a stable store of value. Think of it like a digital dollar that benefits from the speed and security of blockchain technology.
Solana (SOL): SOL is the native cryptocurrency of the Solana blockchain platform. Unlike Bitcoin, which focuses on security, Solana prioritizes speed and affordability. SOL fuels transactions on the Solana network and is used for fees and staking. This allows holders to earn rewards and participate in the network's governance.
MOTHER IGGY (MOTHER): MOTHER, also known as Mother Iggy, is a meme coin launched by rapper Iggy Azalea on the Solana blockchain. Meme coins are known for their high volatility and association with internet jokes or trends. MOTHER's value has seen significant swings since its launch, with some investors experiencing huge life changing gains. However, like other meme coins, it carries substantial risk due to its unpredictable price. Iggy Azalea posts about MOTHER constantly on her X Account with over 7M followers, launched merch that can only be bought using MOTHER, and is helping save Koala's with the profits made from MOTHER. We posted about this one on our discord, and it rose 1,000%+ since!!
PONKE: PONKE is a meme coin on the Solana blockchain with a twist. It describes itself as a "degenerate gambler with anger issues," and has a reputation for wild price swings and a strong community. Beyond just the memes, PONKE aims to be useful in the online gaming world, offering a marketplace for in-game assets and integrating with NFTs. Its token, also called PONKE, is used for payments and voting on the project's future.
DogWifHat (WIF): Dogwifhat (WIF) is another meme coin on the Solana blockchain, capitalizing on the popularity of Shiba Inu dog imagery. Unlike some meme coins that try to establish utility, WIF fully embraces the meme culture, lacking any real-world use case beyond its community focus and fun vibe. Launched in November 2023, it gained a following due to its association with Shiba Inu and the unpredictable nature of meme coins. Its price experienced a significant rise initially, but like most meme coins, it's known for volatility and could be a risky investment.
Zack Morris ($ZACK): $ZACK, also known as Zack Morris, is a meme coin built on the Solana blockchain. It's named after the online handle of Edward Constantinescu, co-founder of Atlas Trading. Like other meme coins, its value can be volatile and tied to trends or community hype. However, $ZACK has seen some interesting developments. In May 2024, developers within the Solana ecosystem reportedly made significant purchases of $ZACK, potentially boosting its long-term prospects.
Souja Coin (SBOY): This is a memecoin launched by Soulja Boy. He has been posting on his X account about it constantly, just like Iggy. He has posted previews of a SBOY Metaverse video game, as well as music about his memecoin.
