What Made This Trade Great: FMST and the Power of VWAP Confirmation

What Made This Trade Great: FMST and the Power of VWAP Confirmation

May 28, 2025

Hey everyone,
Barrie Einarson here from Trade Ideas with another breakdown of what made this trade great.

Today I want to shine a light on FMST—a setup that came straight out of our Trade Ideas AI. This wasn’t the cleanest trade at first glance, and that’s exactly why it’s worth talking about. It’s a great example of why trading is a skill of patience, not just precision. To Subscribe: https://go.trade-ideas.com/SHQ
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The AI threw out an alert on FMST at $3.69. Right away, I’ll admit—it was a bit choppy. Some traders in the room might’ve passed on it at first, and that’s perfectly reasonable. Not every alert demands instant action. What matters is what the stock does next, and how you read the follow-through.

After the alert, FMST started to dance around. It wasn’t breaking down, but it also wasn’t blasting off. What caught my eye was how it kept pulling into the VWAP—that lovely purple line we all watch like a hawk. Each time it dipped, VWAP acted like a trampoline, bouncing it right back.

At that point, even if you missed the initial AI alert, the stock was showing strength through support. If you were watching closely, you could have grabbed a piece of the action around $3.80, once you saw that VWAP was holding firm.

From there, FMST took off. By the time I was walking through this live, we were at the high of the day. Anyone who caught the move, whether off the original AI alert or on the VWAP bounce, was in a great spot.

This trade wasn’t just about an early entry. It was about reading the story the chart was telling.

One of the biggest mistakes I see traders make is thinking they have to jump in the moment an alert hits. That’s just not true. The AI gives us ideas, not obligations. It’s our job to confirm, refine, and execute with discipline.

VWAP is one of my favorite tools for that. It filters the noise and helps confirm whether a move has real legs. FMST was a textbook example.

Great trades aren’t always obvious at first glance. But with the right tools and a bit of patience, they reveal themselves. FMST reminded us that waiting for confirmation can lead to better entries and stronger confidence.

Until next time, trade smart, stay nimble, and trust your process.

— Barrie