Red to Green strategy

You will hear the red to green strategy but how do you know where the bottom is?  I will show you how I find the bottom and maybe it will help someone.  On the daily and 5 minute, I usually draw some support and resistance lines. I believe support and resistance is miss understood.  Support and resistance is not a buying point always.  It can be but there is more into it.  So on this stock, I will just use it for places to keep an eye on. Below, is the 5 minute chart.

VWAP is pink, 8 EMA is blue, 20 EMA is orange, and 50 EMA is gray. 

What do we see here?  We see a gap that could fill and after earnings there was a huge run.  What I like to do is understand what the float is.  In this stock, the float is 436K.  Also, I like to see what the short interest is.  In this stock, the short interest is 25.85% of the float is short. I like to find the red to green strategy on ones that have a previous day run. The 1 minute chart looks like this:

Many times on this low float stocks if it get through the previous day high they will run. On this strategy, this is the red to green strategy and I will tell you how to spot it. 

I like to enter right when it crosses the Vwap only within the first 45 minutes of trading with a catalyst of previous day or current day.  The sector and market needs to be up. I prefer the VIX to be below 16. So why Vwap?  So, what is the Vwap?  Vwap is who is in control the longs or shorts.  What happens if crosses Vwap with a short interest and a low float? Well, all the shorts will be forced to cover and what happens when they cover?  There will be a pop in the stock like this.  I took this one at 11.98 exited it at 13.96.  I put my stop right below the Vwap. If the stock pops very vertical, I will run 8 EMA on minute chart for my exit point.  If the stock goes slanted upwards, I will use the 5 minute chart with 8 EMA for a stop. On this stock since it was more vertical, I used the 1 minute chart to lock in profit. Can the stock go higher? Yes, did it ? Yes, but did I stick to my strategy? Yes is about being consistence to consistent. Therefore, this is how I use the red to green strategy.