I wanted to do a video review of our $FRAN trade, as it provides a good lesson on trade management. There are multiple parts to a trade; picking an exact entry is just one small part of the trade. Just as important is being able to look at a chart and see levels for where to exit the trade. A chart is essentially just levels of supply & demand zones. Identifying areas where demand might come into a stock and bounce it is key, as those are the areas that get defended and where stocks bounce.
$FRAN was a stock that we shorted at $26.70. I stopped out flat on the trade after being in the profit almost immediately after my entry. Where I screwed up was not following my rules and covering 1/2 or more of the position at support levels. This was just a simple error in trade management that happens to most of us. But just cutting down on them can really improve your profits over the course of the week.
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