Weekly Digest – Edition 9
Nick Schmidt
Nick Schmidt is a co-founder of TraderLion and Deepvue with over 10 years of market experience. Adopting a “less is more” philosophy, he focuses on weekly charts with an emphasis on price and volume.
Published: September 7, 2025
7 min read
Weekly Subscriber Digest
“Most investors lose money in choppy markets because they refuse to wait for a clear trend to emerge.” —
William O’Neil
Key Trading Insights
Building Positions in Pieces
“Something that I do sometimes is buy in pieces. Buy a small pilot position vs the lows, then if price makes a higher low, add a little more. Continue to buy in pieces as it proves itself.
Did this with both $SMCI & $APP last year. This helps keep risk in check so you can try to get a low price without full position exposure.
Did this with both $SMCI & $APP last year. This helps keep risk in check so you can try to get a low price without full position exposure.
Buy Weakness, Not Strength
“You have much higher odds of success buying weakness than strength in this environment.”
Current market conditions favor patient entries on pullbacks rather than chasing strength.
Current market conditions favor patient entries on pullbacks rather than chasing strength.
Relative Strength Leaders Emerge
“Every single leader of this bull market from April were from my RS list. While we were still in downtrend I was keeping list of stocks refusing to break down.”
The whole list ended up being the biggest winners such as HOOD, PLTR. Current RS standouts: RKLB, ANET, WULF, SOUN, ASML, ALAB.
The whole list ended up being the biggest winners such as HOOD, PLTR. Current RS standouts: RKLB, ANET, WULF, SOUN, ASML, ALAB.
Listen to Market Feedback
“Stops being hit more frequently are always a sign to slow down be patient.”
When things are easy and working you push, when they stop feeling easy you pause. It’s feedback from the market to listen to.
When things are easy and working you push, when they stop feeling easy you pause. It’s feedback from the market to listen to.
Base Tightness Matters
Comparing $HIMS vs $HOOD: “HIMS is very wide & loose, while HOOD base is very tight and
organized. The organized tightness is very constructive.”
Prioritize tight, organized bases over wide and loose patterns.
Prioritize tight, organized bases over wide and loose patterns.
Patience in Choppy Markets
“No need to collect paper cuts. Chop is constructive because it’s consolidation before we get directional again but trying to take low probability trades in the mean time just chips away at progress & confidence.”
Focus on stocks showing RS and trading organized.
Focus on stocks showing RS and trading organized.
Trade Activity
3 exits this week • Risk management focused
| Ticker | Trade Notes |
|---|---|
| LMND | Sold Tuesday: Stops triggered opening below them at the open. Needs to hold $52 for original thesis to remain intact and to consider re-entry. |
| RKLB | Sold Wednesday: Exited to protect capital and mindset. Though structurally still on 10-week MA, the action and no cushion provided feedback to exit. “Feedback for me to protect my $ and my mindset.” |
| WULF | Sold Wednesday: Took profits despite setup remaining intact. Continuing to watch as long as it holds above breakout level. Happy with the exit but still monitoring for re-entry opportunity. |
Current Holdings
1 core position
| Ticker | Status & Notes |
|---|---|
| TSLA | Sole focus. Showing exceptional relative strength throughout choppy week continuing to get tighter. Continuing to believe this will dominate and considering adding more despite already being fully positioned. |
Watchlist Standouts
Names showing relative strength and organized structure despite market chop
| Ticker | Notes |
|---|---|
| RKLB | Despite broken look mid-week, confirmed to remain a base respecting 10-week MA. Crazy name with wide ranges but maintaining structure. “Normally the bases that make it hardest to hold have the strongest breakouts.” |
| ANET | Very organized structure & relative strength despite messy market action makes this very interesting and a top focus. |
| WULF | Setup still intact after exit. As long as holds above breakout level, showing good sign of strength. |
| ASML | Strong AI infrastructure play showing RS. Been watching for months. Outside week on right side of inverse H&S pattern. Off a lot of people’s radars at the moment which is good. View post → |
| HOOD | Key market gauge – if loses base lows could unravel quickly. If holds base lows, proves underlying market strength. “Best entry is when odds are highest not necessarily at lowest price.” |
| SOUN | Good organized structure & RS on weekly timeframe. Lots of volume as it is making higher lows. |
| ALAB | Showing strong action trading tightly near highs. Stronger RS than $NVDA in semis. |
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Weekly Market Observations
| Day | Key Observations |
|---|---|
| Monday | Labor Day – Theme-focused analysis for the week ahead. Strongest themes: $IHI – Medical Devices $ARKW – Next Generation Internet $ARKF – Fintech Innovation $KRE – Regional Banks $ARKX – Space Exploration & Innovation $IDRV – Electric & Autonomous Vehicles $ARKQ – Autonomous Technology & Robotics $TAN – Solar Energy $ARKK – Disruptive Innovation $ITB – U.S. Home Construction $MSOS – Cannabis $HACK – Cybersecurity |
| Tuesday | Gap down open with pressure. LMND stopped out at open – needs to hold $52 for original thesis. Software stocks were the first to go red to green on the morning gap down. “Gap downs preferred over gap up opens. All that matters is how we close.” |
| Wednesday | Weak action in individual names with bad closes. Exited RKLB and WULF to protect capital and mindset. |
| Thursday | Choppy action continues. Market appears to be consolidating before next directional move. Plan is to sit tight and wait for environment to improve, or buy names on weakness slowly. “Chop is constructive because it’s consolidation before we get directional again.” |
| Friday | Gap up opening with most names being sold. TSLA showing exceptional strength on Musk incentive announcement. “Patience on gap ups more often than not is rewarded.” Despite ugly day, the weekly candles across the market are good. |
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