Daily Trading Recap - 3/6/26
Playing Catch Up
TLDR
Missed the first two hours of the session handling family stuff.
PRSO: Drone-news gapper but very erratic. Several short attempts that didn’t follow through.
BATL: Clear relative weakness versus the other oil names. Solid short that faded most of the day.
USO: Shorted the intraday oil extension on news. Good timing on the pullback but got stopped on the rest.
Main miss was not leaning long oil earlier when the strength was obvious.
Trades I Took
PRSO was a small-cap drone name gapping on news, similar to the MOBX move a couple weeks ago. By the time I got to the screens it had already failed a breakout and was trading under VWAP, so I started probing the short side.
That first attempt failed quickly as volume came in and the stock ripped to new highs. I tried again later when it failed another push over premarket highs, but it kept reclaiming levels and eventually squeezed me out again. I took one last try but cut it quickly when it didn’t act right.
BATL stood out because it was showing clear relative weakness while the rest of the oil names were holding up.
I got short and started covering into the move down toward the premarket lows. The fade continued through the afternoon so I kept scaling out and trailed the rest into the close. Simple trade. Weak stock in a strong sector.
Oil spent most of the morning going sideways after the big overnight move and then broke out and melted up. It started to look extended intraday. Then news hit about a U.S. agency creating a $20B reinsurance facility for Gulf shipping and oil quickly pulled back.
I shorted USO into the move and it accelerated lower. I covered some right as it tested the premarket highs, which ended up being the low of that push. The level held and oil reversed higher, stopping me out of the rest.
Swings
Stopped out of BE :(
Current holdings: EQT
Takeaways
The big miss today was not leaning long oil earlier in the session. The strength was obvious and I should have been looking for pullback longs. Its just hard to get long on something that already put it a huge move. Sometimes you just have to be dumb and buy.
PRSO was also a reminder that some small-cap gappers just turn into problem tickers. When the price action is erratic and keeps reclaiming levels, it’s usually better to move on.