How Mike Turned Penny Stock Gambles Into a Consistent Futures Trading System Through Journaling and Discipline
How Mike Turned Penny Stock Gambles Into a Consistent Futures Trading System Through Journaling and Discipline
Mike started out by trying penny stocks and meme stock gambles, but later built a structured futures trading process focused on journaling and discipline. In this in-depth interview, he shares the full story — from early wins and blown accounts to narrowing his focus to four setups, improving his risk management, and using TradeZella’s journaling and backtesting to gain confidence and consistency in the futures market.
Disclaimer: The content in this video is for educational and informational purposes only. It does not constitute financial advice, investment advice, or a recommendation to trade any specific strategy or security. Trading involves significant risk and may not be suitable for all investors. Always do your own research and due diligence before making any financial decisions. TradeZella and its affiliates are not liable for any losses incurred from trading decisions based on this content. Past performance is not indicative of future results.
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This week, we had the pleasure of speaking with Mike.
He shared his full trading journey, from buying penny stocks in college and gambling on meme stocks to becoming a disciplined futures trader with a clear system. Along the way, Mike explained how journaling, backtesting, and focusing on “process over profits” have helped him build confidence, avoid randomness, and find consistency in the markets.
Exclusive interview with Mike, who transitioned from sales and long-term investing into futures trading by mastering consistency, journaling, and a process-driven approach.
Starting Out: Penny Stocks, Options, and Meme Trades
Mike’s first experience with trading came in college when he invested $100 in a cannabis penny stock. He forgot about it for a year and came back to see it had doubled, pure beginner’s luck.
Later, a friend introduced him to Wall Street Bets. With a small Robinhood account, he started trading options. His very first trade Kraft Heinz calls during earnings, doubled his money again. Soon after, he joined the meme stock craze with GME and AMC, turning $2,000 into $8,000. Unlike many, he withdrew his profits, but he knew this wasn’t real trading it was gambling.
"I was one of the few who actually protected my profits by pulling the money out. But I knew it wasn’t sustainable — I didn’t have a process, it was just gambling"
The Turning Point: Taking Trading Seriously
In 2022, Mike decided to take trading more seriously. Inspired by traders sharing real results online, he realized trading could be more than a side hobby.
At first, he stuck with options, but he struggled with risk. The Greeks and the way options are priced made it hard to know what he was risking or targeting. That’s when he discovered futures trading.
“With futures, the ambiguity was gone,” Mike explained. “I knew where my stop was, I knew where my target was, and there was no guessing.”
Current Trading Style: Structured Day Trading
Mike now trades futures, specifically the E-mini S&P (MES/ES). By focusing on one instrument, he has built deep familiarity with its patterns, levels, and behavior.
His style is day trading/scalping, built around four repeatable setups he looks for every day. If the setup appears, he takes it. If not, he walks away — removing the randomness that plagued his earlier trading.
One of his favorite setups is the Failed Breakdown (Break & Reclaim), a high-probability structure that he has refined over time.
The Power of Journaling and Trade Reviews
Consistency didn’t come from setups alone, it came from tracking and reviewing trades every single day. A journaling routine was built around pre-market planning, daily reviews, and weekly deep dives into performance.
“I realized early on that I needed a process that would actually help me get better over time. Journaling is without a doubt the number one part of that process.”
His daily routine includes:
Pre-market prep: Meditation, yoga, and building his trading plan.
Execution: Trading his setups with discipline.
Post-market journaling: Reviewing trades, noting strengths and areas for improvement.
Weekly deep dives: Using TradeZella’s analytics and backtesting to refine setups and build confidence
Each trade was documented against a simple template that included goals for the week, setup criteria, and execution notes. Over time, patterns began to emerge. For example, trades taken before confirmation often led to lower success rates, while waiting for clear signals produced stronger results.
By reviewing data in detail, mistakes became easier to spot and correct.
Playbooks for Discipline
Alongside journaling, playbooks helped create structure around setups and eliminate randomness.
“I use a playbook for each setup. It forces me to check every box. If I skip one, I can see the difference in the results. Over time, it keeps me disciplined.”
For the failed breakdown, the playbook outlines:
The significance of the low being broken.
How far price should move below it before reclaiming.
The exact conditions that confirm entry.
Where stops should be placed.
How targets are managed.
Playbooks simplify things. They make setups clear, repeatable, and easy to review.
“Every Sunday, I go back and test my pre-market plan setups, even the ones I didn’t take. If I execute them perfectly in hindsight, the results are strong. That gives me confidence in my system.”
It also refined entry rules. “I typically wait for a candle close to confirm an entry. Backtesting showed me that waiting produces better results than trying to jump in early.”
Risk Management and Psychology
Risk management became simple but effective. Every trade had a hard stop in a valid spot, with targets placed ahead of time.
“I always use a stop loss. I like to see at least one R out of a trade, but I don’t obsess over big multiples anymore. What matters most is trading high-probability setups with valid stops and realistic targets.”
Psychology was another area of growth. Early struggles with overtrading and tilt faded as journaling and playbooks provided a more systematic approach.
As you make mistakes and gain experience, you become less reactive emotionally. It’s a process of maturing as a trader. Having a systematic plan makes that easier.
Lessons Learned and Advice to Traders
The biggest success hasn’t been one-off profits, but consistency.
“I feel most successful when I’m following my plan. Even if the profits are smaller, consistency is what really matters. You can scale consistency. You can’t scale randomness.”
If Mike could go back to his early days, his advice would be:
Be patient — it takes longer than expected.
Journal every trade.
Backtest weekly to build confidence.
Build a playbook for your best setups.
Focus on process, not profits.
Closing Thoughts
Mike’s trading journey shows the natural progression many traders face, beginner’s luck in penny stocks, the thrill of meme stock options, and ultimately, the discipline required to succeed in futures. His story is proof that real growth comes not from chasing quick wins, but from building consistency through process.
At the core of his message is a simple but powerful truth:
Process > Profits.
Journaling, backtesting, and refining your edge are what create long-term success. If you want to level up your trading, Mike’s journey is a reminder that structure and consistency — not luck — are the real edge.
“Never stop learning. Keep refining your process, keep journaling, and stick to your setups. That’s how you build consistency.”
