 Hello, George is there. George is alone in a sea of people. Oh, there's another yes. Okay. Welcome, everyone. Happy new year. And what a great start to the year it's been today. We made money today in the stocks with show live trading room. We shorted Boeing. We had a great day. So today I'm going to talk to you about becoming a professional trader in 2021. Four days into the year. And what a start to the year this is. If you'd like more information, you can email me at Melissa at thestockswish.com. You can follow me on Twitter, Facebook, YouTube or Skype or call me if you have questions at 929-3200 Gap. So what's really the point of day trading? What's the point of it all? The point is to make money and really to make money quickly. Quickly could be a couple of minutes. Quickly could be a couple of hours. I prefer minutes. Could be seconds. But quickly is within 930-4. Okay. You must be out of day trades by four o'clock. What is the point of learning the trading system if you have learned one in the past and fail to make money? Some of you may be in the spout. Well, if you did something in the past and didn't make money and actually lost, then probably the strategy you were using didn't work. Okay. Did the system you even did ever work? And not only that, what was the foundation for the system? What is the point of taking a trading class to learn a system if you cannot devote yourself full time to trading yet? Well, you can learn how to do and make money on the side. We trade in the morning. You could have held the trade today longer. You could have got out quickly. You could have got out in 10, 15 minutes. But the bottom line is you have to start somewhere. The sooner you start, the sooner you move ahead to achieving your goals. So you've got to learn what to do. You need a foundation to trade. You need an infrastructure for every entry and it is the strategy. The strategy is the core reason behind why you're even watching that stock in the first place. We're even contemplating an entry or trade in it. And entering a stock should not be taken unless the trade has a foundation for supporting it. You need that foundation. And you need it there. The reason, the strategy has to be present for every trade you do. I found a lot of people when I say, what's your strategy? When they describe it to me, they're describing an entry, not a strategy. Or they're describing something that isn't a strategy or an entry. Like for example, buying support is not a strategy. Shorting resistance is not a strategy. Why? There's about one bazillion supports in any chart or resistance levels. So this is very, very important. Many stocks at any given day have no strategy to trade as a day trade. That's true. Otherwise you could do hundreds and hundreds of things every day. You can't. Most things go with the market at any given day and most people read the market wrong. So we look for specific trades. Like Boeing would have worked today, even if the market wouldn't have fell, which it did. We shorted Boeing, it would have worked regardless of the market. But that's why most day stocks do not have a proper entry. There's no strategy. And then of course without an entry, without a strategy, you don't really have a real target. Okay? So the strategy is the secure foundation. Like this is a floating raft. If this was your house, it's not very secure. Big storm comes in a big wind, it'll blow it away or fall apart. You drown in the ocean here. Not really a very supportive structure. So every trade you take needs that supportive structure. Okay? It's extremely important. So what do I do? I do gaps. That is my strategy. Okay? That's the foundation for me. And it's, and I made my system golden gaps, which means it's like finding gold in the market because I can predict where a stock of the market is going to go in the pre-market. The pre-market, I can predict it in the gap. I don't predict the gap itself. I predict it when I see the gap. So this is again the foundation. Gaps are a strategy or foundation for your trades in the market. When you choose to take a trade, there has to be support system behind why you're taking the trade. Gaps are the support system or reason why you want to enter a position. The reason you're choosing to enter a stock or the foundation for your entry should be because the stock is a quality, quality gap. And that is what I do. A stock gap from the opening price today is different from the closing price of the previous days trading. The gap is a break in the price action from one day to the next. Simple. That's what a gap is. Now actually, this was a day trade, I mean an options trade that I call. This was the end of 2020. This is the end of 2020. I call this on Friday. I call this five puts. I call the three 70 puts. What is a put? A put means that your betting that the stock is going to move lower. Okay. The options trades I do are calls and puts. You can day trade options. You can day trade stocks. Okay. As equity trades. We're going to talk about both today. Anyways, let's look at this day. Friday, December 18th. Here's the chart of the spot. Take it up. Boom. See this gap here. Market closed here. Gap down. Boom. Fell. And then fell into the Monday. Again, here's the day. Boom. Sold off. Boom. Drop. Okay. So this had two gaps. So what is a gap? Is it different through the close and the open? The market closed here. Opened at a different price. In this case, here it opened lower. Then the market closed here. Opened at a different price. In this case, here it opened lower. So I called puts. The cost of these puts on that Friday were 280. If you took an advanced trading risk, which you can trade advanced or beginner for options, I'll go over the beginner in a minute. Risk was 7,000. Sold at 760. Profit was 12,000. If you did a risk of 25 contracts, return and investment is 171%. Now you could do a beginner risk. 278 would be what? Five contracts. $1,400 you would have risked. Sold at 760. Profit 2400. Return and investment 171%. Okay. So this, again, is essentially like shorting. You're betting that the market would fall. And then you take a put and it works. But again, my strategy, the foundation is the gap. Okay. So the system I used to find the right gap each day is in the rating system. It's in the bold and gap 26-point checklist. That's how I knew, for example, today the Boeing was lower, which it dropped. Boeing gap down today and fell. You can go over that one at the end. Anyways, I get up in the morning, I rate the gap and I go through the points. And if I rate a gap down, I'm rating it to short. If I rate a gap up, I'm rating it to go long. Okay. That was an example, though, of a short. So reasons to learn my system would be what? If you want to make money only working a short time in the day. Again, you could have been out of the trade this morning and Boeing very quickly, less than 30 minutes. Could have held it longer if you wanted to. But if you only have a morning period to trade, you can get in and out of stuff very quickly. Also, if you want to make a lot of money with a limited and controlled amount of risk. So the nice thing about doing options, for example, with the gaps is that you don't have to use margin. There's no margin associated with options. You can trade with a small account. You can open up an options account with levels $2,000. Also, if you want to make consistent money, there are gaps pretty much every day. Some days be short, some days we go long. Okay. Depends on what we, what type of gaps I see in the morning. If you also want to take good risk to reward trades, I think turning your money over one amount is a good solid amount. So say, for example, you risk $500, you're looking to make $500. You risk $1,000, you're looking to make $1,000. And if you want to learn how to trade and you need a proven, proven strategy. Again, I've been doing this since the end of 2008. But it took me about three years to develop my system. So that's a long time. I only do gaps. For any trade I do, swing trades, day trades, options trades, it's all based on the structure like I talked about, the foundation. And if you already are a trader and need a strategy that makes you consistent and fast profits, one of the reasons that I like trading gaps is they do the moves do happen fast. Like for example, today, and also it's momentum. And if your time's limited each week, it's a good strategy because you can trade in the morning and be done. And if you're doing options, you can take them and get out quick or you can hold them overnight if you want to hold them to a bigger target. For example, Bowie and I also called puts in today. You could have been out of them today. They were profitable under the clothes where you could hold them for a larger target too. You have to make a structured plan for yourself for how you were exiting your trades. 50% return and investment, 100% return investment. And that's something that you can talk to me about as well if you have questions and we go over that in the class. But you don't work that long or hard for the money each day with this strategy. This golden gap strategy is very light to the touch, meaning I rate the gap in the pre-market. We talk about it in the room. If it sets up, we do it. And if it doesn't set up, we don't do it. And the options trades I usually send most of them out in the pre-market. Sometimes I see trades during the day, but most of the trades are in the early morning. Now this was a Boeing that we did a couple of weeks ago, middle of 2020. Two 2750 puts we did. This was a type called trade. I called it on Wednesday, expired on Friday. And options trade has a contract expiration date with it associated with it. This was $3. You could have flipped it around and sold it for more than double. You could have sold it for seven. So this is more than 100% return and investment in one trade. And I'll show you this chart in a minute. 25 contracts risk was 7500. You could have made 10 grand with this risk. Now say you wanted to risk a smaller amount. Again, keeping it around that $1,500 level. Five contracts would have been at risk of 1,500. You could have made 2,000. This was a very nice trade. And let's look at the gap. It was Wednesday the 16th. This is Boeing. Take it up. Boom. See this guy here? Boom. Boom. Boom. Boom. Actually, this continued falling after that. But I mean, this was a nice sell off here. Just one, two, three, and you could have done it and got right out. Or you could have done it in a day and got out. Here's today's bar. Since I have this up in the chart, this is what we did today. So I called puts in this today and then we did the day trade in this today. It was a beautiful day trade. Really nice day trade. We had a perfect entry in that. It was a short. So again, I saw this in the pre-market. I raided it. That's how you do it. Any questions here so far? So the bottom line is, if you're going to make a set amount of money a day, if you're trying to do this as a real job, you have to chunk it out. While we have some days where we have big wins, like today in Boeing was a big win. It was a huge win today. That can happen during the week. But your goal should be to chunk it out, 500, 500, 500, 1,000, 1,000, 1,000. You should have a set structure for that. If this is what you're going to do to pay your bills and really what you're going to do for a living, then you have to have some sort of structure when you're going to stop trading on the day and where you're going to get out with the profits. Now today, I did talk about in the room and I gave Target to people in the room. A couple of people held it. A couple of people got out right away. Again, you have to set a money management plan for yourself. Any questions here so far from anybody? Anyways, this was another trade that same week, middle of the month in December. I called the Google Puts. This again was a short. Called them on the Monday to expire on the Friday, cost was $25, which is a kind of crazy trade. Three contracts cost $7,500 sold at 57 profit was $9,600. This is a nice trade. Let's look at the Google chart. Monday, the 14th. Here we are. Take it up. Here we go. So you see right here, we are hovering right at that number. Sometimes I call them right at the strike. Sometimes I call them away from the strike and it drops into the strike or rallies into the strike depending if I'm calling a call or a put. But this was a nice little baby, baby one and it went plop. And again, you see how Google fell here today as well. So this you could have done and gotten in and gotten out quick or again, you could have held it. A couple of people in the, I call, I just call it advanced trader because it's a higher risk, but there are some people that are risking a higher risk. Yes, what I would call an advanced trader risk SG. In fact, there's quite a few people in the room that are doing an advanced risk. But to me, anything really above 3000 is I consider an advanced risk. And even when I say beginner, you could do one contract. I mean one contract you could say is a beginner, but your risk has to be same or equal to same or equal. But I remember I've been doing this for a very, very long time. Unless you know what you're doing, have done the class, have a good size account that you can afford to take a $78,000 risk and you prove to yourself that you can do this with a smaller risk. I would not start out trading with an $8,000 risk. I've been doing this longer than anyone. I created the system as well. Remember, I just got done saying that I've been doing this since 2012. So I would say start out slow, but I do have people that have been with me for a long time. In fact, I think I referred to people to you that have been trading with me for a long time. I'm not sure if you ever contacted them. That was like a month ago asking when you asked me for a referral. I don't know if you ever contacted those people. Both of them have been with me for a long time. So yes, there are people that are trading larger size, but I would say when you start out at the beginning, you should start out slower with the beginner risk. Even there's some people that like I said are only risking 300 or 500. There's another lady I'm helping on mentoring. She's only risking around 500 a tree. So it depends really what has to do with the size of your account. I'm showing you that you don't have to risk a big amount. Does everyone understand that? You can't take a $10,000 account and risk $7,000 in one trade. And you wouldn't want to do that anyways. Why? Well, for today, for example, I called a lot of trades. So if you wanted to risk all of your whole account in one trade, well, that really wouldn't be a good idea because you wouldn't have been able to do the multiple trades that I called today. You have to split it up. You also shouldn't risk your whole account in one trade anyways, even if I would only call one trade because what if that trade would lose? I sometimes call trades and sometimes trades that I do lose. So I have a high win ratio for my system, but some trades I do lose, but more win than lose. I still have to size myself. Each trade has to be sized according to your risk, according to your experience level, according to the size of your account. Does that make sense? The SG is asking about the, well, let's just hear, let me pull up the bowing. SG's question is talking about what you pay for something. Like, well, first of all, if you're in the live room, we're doing the day trades. I'm calling everything bow live. This is for the equity trades, not the options. So everybody should get pretty close to the same fill because everybody's doing it live. The options newsletter is, many of them come out in the pre-market, like I said in the morning. So most people are getting around the same fill, but could be a little bit different because sometimes people will wait. Now that's up to you. If I call a trade at 8am, you can't take that trade at 8am. You have to wait until the market opens. The market doesn't open until 9.30. Some people take the trades immediately. Some people wait five, 10 minutes. Why? Sometimes when a trade opens up, if you've ever watched an options chain when it opens at 9.30, sometimes they're a little, the spreads are a little wide. So some people wait a little bit, but sometimes the trades open up and then they go right away. For example, if you had done the bowing this morning, boom, right first thing, it opened and dropped like a brick. So you would have gotten a better fill than if you waited. Well, most of them, sometimes I call them during the day. I called some trades today during the day. If I see things are moving during the day, I will call trades during the day, but I'd say, I don't know what the percentage is. I'd say way more than half, could be 75%, 80% of the trades I call in the pre-market. A lot of them, most. So you'd have them organized and in your email, figuring out what to do with them before the morning starts. But anyways, let's talk about price and things. I'm looking for momentum in the gap. So if the momentum comes in SG, it doesn't matter if you pay 25 cents more or you pay 25 cents less. Bowing open today, gap down, closed the night before, which was, oh no, Friday we were closed. Thursday this was, sorry. Thursday, 12 31, we closed at 2 14 0 6, boom, open in the morning at 2 10. So you see, we open at 2 10 today and we closed at the low at 2 0 2 49, beautiful, beautiful, beautiful sell off. It wouldn't have mattered what you paid for this puppy in the morning. You would be up. It's negligible. This had the momentum. That's what we're looking for. We're not looking for teeny weeny itty bitties. So I'm not looking to take a trade, pay $3 and make 25 cents. I'm looking to take a trade and pay $3 and make a $1.50 or three. So again, whether you pay five cents more or 10 cents more is neither here nor there. Now let's just say you have a meeting and you're in a meeting and you're oversleep or something and you don't even look at your email until 10 15, 10 o'clock, 10 30. Well, then you may not want to do the trades. If you don't do the trades when I call the trades, then that's on you. Okay, because the trade may have already gone. But most of the time we're looking for the move to happen with momentum, which you got, for example, on this today, and it wouldn't matter the differentiation of what you pay. But it all evens out in the end because sometimes the people that wake, it better feels and stuff that take a while to go. And sometimes the people that take them right away is paying more to get in, but it pays and would have today in this Boeing. I told you because I rated it. I got up in the morning. I saw it. I rated the gap for my Golden Gap 26 point rating system. It rated good enough to short. So we did it. We did it as a day trade and we did it as a put. That's the whole strategy. That's what I'm talking about. That's what we've been talking about. Now let me get back to this. So if you want to trade though, I do think it's important for you to know if you want to do this for a career or if you want to do it for extra money. I just think you need to know why you're doing it. I think a lot of people just kind of throw themselves into trading. Don't really think too much about it. Don't have any specific goals. I would really break it down on a weekly basis for yourself. And I would also ask yourself, why do you want to do this? Do you want to do this for part-time income? Do you want to do this to become a professional trader? That's the title of the lecture today. And I think it's important to know why you want to do this. I always talk to people like the people that have been mentoring. What is your plan of action? Are you going to hold this trade overnight? Are you going to get out today by four o'clock? What are you going to do? You need to know. You need to know. You must know. Make the plan of action and stick to it. Learn it and do it. I mean, when you're going into this thing, and I talked about this this morning in the trading room, and I think one of the most difficult things for people, one of the hardest, hardest, hardest, hardest things for traders is when they lose in a trade, then it's like they have no conviction. Then they feel like, oh my god, I can't make money in the market. I took a class and I lost, or I took this trade and I lost. This is impossible. This is too hard. I can't do this. No, that's simply not true. When you look at the amount of money in the market, you know that there's people making money in the market. When you look at the amount of wealthy people and high net worth individuals that are out there on the planet, guess what? A lot of them have a lot of money invested in the market. You can't hardly earn any money and any interest right now in a savings account or deposit account or even a CD, which years ago you could. People are in the market. People are making money in the market. People do know how to trade. Now, there may be more people that don't that do, but to say that it is impossible to make money trading is simply absolutely ridiculous because people do know how to do it and I know how to do it. But again, I still sometimes take trades and lose, but that's why I have to size myself. Otherwise, I'd risk my whole account in Boeing. What if it wouldn't have worked? It did, but what if it wouldn't have? That would have been stupid. So you have to think in a very, very structured way and again, going back to the foundation, the foundation of the picture of the house that I showed you earlier, look at that. The structure is the gap. Was the gap there? Does it rate high? Yes. Okay. Does it get the setup? Yes. Okay. Do it. Where, what are we up? Is my goal to get out of 50% or am I trying to hold to 100? Okay. You have to have a plan. And if you stick to that plan and follow that plan, you should be fine. It's when you go off the rails or you have a negative attitude. And what I find that people's negative attitudes can affect them going off the rails with their plan. Having a positive attitude and knowing you could do it is very important too. Now let's look at this one. This was a day trade. We were talking about options there. Let's talk about a couple of day trades. Again, we day traded Boeing today too. Teed dock. Was this one back here in 1216? This gap down. I forget the reason for this. I think it was earnings. We're getting into earning season, which is a very busy time to trade, a very profitable time to trade. It's January 15th. That's when earnings really start. This closed here. This gap down fell. Boom. Entry was 188.35. Again, this is an equity trade. So you take the shares, you have to have an equity account, you have to have margin for this. Stop was 191.50. 900 shares. Risk was 28.35. This was a nice drop. Again, you're looking for a dollar, $2 drop in the morning out. Boom. 186.51 was the exit here. Again, I'm calling the entries in the exit and the stops in the day trading room. Profit was 1,656. That's a nice trade. Again, closed here. Gapped down. Rated it. Rated it to short. Waited for the setup. Got it. Boom. Got the drop. Boom. This actually ended up continuing down further. I had a fast, quick exit on this. I did not hold this all the way down. I thought it was a good move and got out. This was back in the 16th. Now, this was a beautiful, beautiful trade. This was the following day. December was a really good month to day trade. It was a really good month to day trade. I have no idea why. It was funny because it was an early season. It was a great month in the room. 273.52 was the entry to this as this Facebook. 1,500 shares. Risk was 27.45. Exit was 268. You can see this bar. Okay. You can see this drop. Actually, no. This wasn't the right day, the 17th. Let me go show you. Facebook. Hold on. Look at Boeing here tonight. Let me get a Facebook. Sorry. No. My assistant got the date wrong and that this was the day to this trade. Wow. Look at that. My assistant got the date wrong. He did. He does this with my webinars. It was 1215. But look at this bar. So I must have snaggeted that and sent it to him. Here's how that day closed. Now look at that. That's that. That's that. And here's the chart that he put in the thing. That's interesting. Hold on. It was the 15th. He had the date wrong. This completely reversed. I just showed you to you. Look at that. I never went back and looked at that. So I took, I clip this at 1230 on the day. Look at that. But again, that's momentum. That's momentum. Momentum, momentum, momentum, momentum. Take it out. Take it out. Take it out. That was a huge trade. But the date of that was the 1215. Any questions here so far? So I usually do one pick a day. Like today we did Boeing. That was it for the day trading room. That's all you need. One pick. One good trade is boom. That's all that you need. So again, what is the strategy? The strategy is gaps. It's golden gaps because I call them like it's like finding gold in the market because I find them in an itch of hundreds of thousands of things that are moving in the market and then I can predict where it's going to go in the day in the pre-market. So gaps are a specialized strategy. If you want to make money in the market, you need to think and act like a true professional. This is true even if you're only trading part-time. Even if you're trading part-time, you still have to have goals. You still have to set your risk management. You still have to take profits. You still have to do all the same things that you're doing as a full-time trader. But you can lower your risks in the time you're spending trading. If you say, well, I have a job. I only want to do this for 30 minutes a day. That's fine. You don't have to sit all day at the computer and stare at charts. Professionals have specialized strategy systems and reasons for taking trades. Like the reason I take a trade is because of the gap. The reason I take a trade is because I rate the gap at rates more than 20 points using my system. Otherwise, I don't take it. So again, when I was talking about it earlier, many, many people trade and they have no strategy. They can't communicate it to me in words. When they do, I tell them that's not a strategy. I think that is a big, big problem for many, many people to trade. They really just don't have a strategy that they're using every day or maybe they're mixing things up and doing different things in different days. And that's a problem too. You've got to be focused. I'm very focused. I'm so focused that I will stay on top of something. Even if I take a trade and I say, this is going to do this, say I take a trade and it loses. I say, no, it's going to do it. It's going to do it. It's going to do it. I just lean into something and stay right on top of that thing until we get it. And that's called a retake where I may take a trade, take a stop and then retake it or retake it actually. I never change my mind about something when I rate something at a rates good. Never, ever, ever. Gallowhead's here. He knows that from being with me. Focus on one strategy to be effective and efficient. And it really, that is the key, that focus. It's like a laser. It's like just a laser focus. The focus is on making money, but I'm making money really by playing the gap and by playing the momentum in the gap. And I'm trying to get in as quickly as I can before the momentum occurs. No, I do not use a scanner. SG. No, I've not found it difficult to short stocks. Why would you find it difficult to short stocks? If you can't short stocks, you need to change brokers. Facebook. This was back December 11th. This was an option. Again, it was a put, so basically it was a short, cost was $6, sold at 8. 12 contracts, risk was $7,200, profit $2,400. So this wasn't a big trade, but it was a little baby. Okay. And again, you could have got out of it. Boom. Book the money, called it a day. So what's wrong with that? Sometimes people don't like to hold stuff overnight. And I found that, I hear you see this sell off today in Facebook. I found that people, again, this has to do with your personality. Some people just can't hold stuff overnight. If they're up 25%, they'll get out. That's okay. If you know that about yourself, if you're nervous holding overnight, even an option, even if you're up, even if the chart looks good, then just stay fine. That's okay. You're not going to get the bigger move overnight if it gaps in your direction the next day, but that's okay. Whatever works for you, okay? Whatever works for you to actually make money and do this and have some sense of ease with it. I say, here's another idea. You can take five trades, get out of three, hold two, take two contracts or something, get out of one, hold one. So how are you going to find and pick which gaps to trade? You rate them using a system. This is what I teach in my class. The classes this weekend at Saturday and Sunday, I teach the whole system, the 26 points. That's the whole day Saturday. Then on Sunday, I teach the entries and the targets. Again, I'm calling them in the live room in the trading room. So how do you pick which gap to trade each day? Easy. I rate it. How many gaps are there in a day? Hundreds, thousands, almost everything gaps every single day. Most things gap with the market. Again, many people don't read the market correctly. I do read the market very, very well. I was talking about this in the room this morning too. I read the market so well that very often, sometimes if we take a trade in the market and it loses, I'm right in my market read anyways, which is frustrating, but I might've got the timing off. The market's challenging, but I'm really most of the time right in my overall analysis of the market, which is very, very interesting. If I was just swing trading, taking full on positions, I probably would never lose in the market, but I can't do that. So I take options trades which have time associated with them. It's more of a fixed risk, which is like the insurance. But then sometimes if you get the timing off, then you lose in the trade. But my overall analysis of how I look at the market and how I read it has gotten so tuned in and so honed down and so focused that even I surprise myself sometimes of how I read it. So it's all in my gap analysis and how does that help you? Well, if I see something like today where we have the market with us, we can hold going to a bigger target. But you need a proven system to find the best gap and that is what I created. So the Golden Gap system is a 26 point professional bearish gap rating system. That's what you've learned from me. That's the meat and potatoes of what I do. The purpose of the system is to help you evaluate which gap to trade each morning using a checklist. And that's what I do when I never skip it. I never, never, never, never skip it. So I've been doing this for years and years and years and years and years and I don't skip it and I don't fudge it and I don't trade on the fly. I go through the process. That is a very important part of doing this. Even as good as I am that I could eyeball it. I don't. I go through the actual procedure, the procedure that you'd learn from me. It is very important to write stuff down. I'm big on writing. I have a notebook. I write stuff. I write stuff. I write stuff. I write down my targets. I write down my supports. I write down my resistance. I write down the ratings. I do all that stuff. I write down my goals. How much money do I want to make in this? What do I think this is going to be worth if it goes to this? And so on and so forth. It just, it just helps you. Writing helps you and I think a lot of people too have gotten away from that. They've, it's gotten away from just like a, like really old school, you know, we used to print out your charts and stuff, which I used to do that too. I don't do that anymore. But if you're new, if you're a beginner, I would say you should do that. How much time do you spend in the classroom to execute by yourselves? What do you mean execute by yourself? I don't know what you mean. In the training room, the room opens at 8 30 in the morning, but I'm not calling any trades till after the market opens, but I don't know what you mean. We're, the room is open till we're out of the trades. That varies. I could close the room at 10 a.m. if we're out. Could be 10 30. We might be in a trade late. I might keep the room open till 11. Some days I'm at close room at 9 45, but I usually do a little lecture. Even if we do a quick trade and we're in and out in five minutes, I'll usually lecture in the market. Anyways, the golden gap system teaches you how to find stocks to trade that have number one, a high probability of directional bias for the entire day. Two, big moves on the day. Three, early confirmation of the bias and the move between 9 30 and 10. I'm looking for that period. Ideally, again, whether you hold it longer than that is up to you, but I'm really looking to try to boom, get it quick. Precise entries with fellow through and a good ratio ward. And when we're done here at the end, I'll pull up the Boeing and show you the trade we did in that today because my assistant didn't put that in here. Anyways, the philosophy behind it is to analyze a large time frame to make the trend decision on the directional bias for the gap. So I'm looking on the daily. All large traders of every kind look at large time frames to make decisions, particularly institutional traders. And that's what I'm looking for. I'm looking to follow that institutional buying or institutional selling. In the case of Boeing today, you saw selling. Okay, to make entry decisions and exit decisions based on a small time frame, the one minute chart, which has a high degree of focus and accuracy. Again, very important because you've got to get that, you've got to get that accuracy so that you, if you're doing a day trade, you know, you got to get in and you got to put the stop in. Okay, and the day trades move fast. I'm not talking about options. I'm talking about day trades using the daily chart to make the decision for the stock pick allows for accuracy in the direction and using the one minute chart allows for good risk to reward trades with accuracy. So the day trades we're doing on a one minute chart. You're talking about trading on your own. Well, I varies from person to person. If you do the class and you want to trade on your own, you'll know how to do that after the class. How long will it take you to be good as me? Well, that I can't tell you. I don't know what you're really asking me there, SG. Nobody's as good as me at this because I invented the system and I'm doing it for what feels like forever. But there's plenty of people that do the class and then trade on the run right after the class. Do you gain some type of insight by being in the room because I'm very good at what I do? Yes, of course you do. And you have to have taken the class to be able to join the room. But I don't understand what you're asking me. If you're asking me when you're going to be as good as me, that is not a question I can answer. And I don't know if anyone will love or be good as me is what I do. Gala hats here. Gala hats know me for a long time. Do you think anyone in the room is as good as me Gala hat? I don't know his answer, but no one's as good as me. You can try. Gala said, had said I think not. You can try to be as good as me. It's a good goal. If you could become half as good as me, you'd be singing and dancing. But guess what? Just join the room after you do the class and then just take the trades and you make money while you learn. And then as you have experience as you're doing it, then you're making money and you're gaining the experience. It's skill. It's like if somebody said I'm going to run out and I'm going to take tennis lessons, will I be able to play tennis after the tennis lessons? Of course. Am I going to be Roger Federer after the tennis lessons? No, probably not. I'd be shocked if you would. So that shouldn't be your goal necessarily is to be me. Your goal is to learn it and your goals to make money. And that is a realistic goal. Olivier said, make sense to you. Anyways, how many gaps do you get? Well, you can get a lot in earning season and that's coming up, so it's a good time to train. First quarter earning season for 2021. We usually get three to five quality gaps per day during earning season, sometimes more, but in not earning season, it could be three to five a week. I'm happy we had the Boeing today was a big trade. I don't know what we'll get the rest of the week. This week could be slow. Next week's going to be busy. But you know what? Actually, this week could be busy because of the election stuff. Now that I'm thinking about it, I mean, we'll look at the market tonight here when we're done. Anyways, a quality gap is one that rates high, high enough to train based on the 26 point rating system, which is what? 20 points or more. You don't have to have a perfect score. It doesn't have to be all the points in the world. 20 is a lot. 20 is still a lot of things. Okay. And don't forget success requires a plan. What are you going to do? What are you looking to do? How are you going to get from point A to B, point A to B, point A to B, how are you going to get there? You have to rate the gap. Then you take the trade, then the money comes. Okay, point A to B. You can't just get to the money without having a plan. So the checklist is the plan. Okay. And that prep work that you do in the morning in the, in the pre market, that's what you're asking to become independent on your own. How much typical does it take to become good, good or really good? You can become independent on your own immediately, FG. I don't think it takes a long time to become independent. But if you're asking me honestly, if you're ever going to be as good as me, I can't tell you that you ever will be or that anyone has ever taken my class or ever traded me as as good as me. So there's my answer. I'm sorry to be as honest and blunt as that, but that's reality. There's a man in the room that helps out. His name is Gyro. He's, he's good. Cappy knows Gyro. He's good. He was one of my first students and he's known me for a long time. He helps out in the room. I mean, Gallagher can say what he thinks of Gyro. Gyro's good. Gyro's good at reading the market. Gyro's good at calling trains. When I'm on TV, Gyro fills in. If I'm on a vacation, Gyro fills in. He's a wonderful man. He has a different personality than me. Calling the trains. He knows what he's doing. Is he as good as me? No. Is he very good? Yes. Is he as good as me? No, he's not. He's been with me a long time. Gyro is good. There, Gallagher said. But, but the, but the market is very challenging and that, that extra piece, that extra, you know, intuition or 27th point or whatever that thing is I have from having done this for as long as I could break gaps in my sleep. But the reality is, well, we'll look at some things tonight here when we're done. But the reality is that if we have time, but the reality is that, that it's, it's, it's just time. It's like, what's that? There's a Steve Jobs saying, I don't know what it is if he was the one that said it after 30,000 hours or 10,000 hours or whatever it is, you should be a, you know, a perfect at something. I don't know whatever the quote is, some Google it, you know, it's just time, time doing something, whether whatever it is, whether it's training, whether it's a sport and one of the, one of the most difficult things and SG, you probably fall into this category. One of the most difficult things that people, traders in general, which is a big boo boo on their part is they never stick with anything. They never stick with anything. They never get 10,000 hours in the seat. They never stick with anything. They're all over the place. Like they're doing this. They're doing that. They're doing forex. They're doing futures. They're doing Bitcoin. They're doing options. They're doing day trades. They're going long. They're, they're all over the place. No one ever gets the experience. I will give myself credit for that. I started out with one thing and I stuck with it and I've just never veered off it. In fact, I had someone the other day say, Oh, you got to get into Bitcoin. You got to start doing Bitcoin, Melissa. Bitcoin is a thing of the future. I said, no, no, I'm not doing it. I don't need to do it. I don't want to do it. I don't have to do it. And no, I, I'm, I'm doing enough. This is all that I need. The US market is never going away. I don't need to do anything else. Okay. So you got to get good and the experience and the time on that one thing, one thing, it's the focus, which we've been talking about here all day. So the 26 point golden gap rating system helps you pick a narrow down, which stock to trade each day. It pinpoints ahead of time, which stock will have the move in the day with volatility to trade. Having a checklist keeps you organized in focus. Organize is so important, especially when you think, Oh, it's going to keep going forever. No, probably not. Nothing keeps going forever up or down. Having a checklist forces you to look at what should be looking at in a chart and the stock to make the correct decision. And having a checklist helps assist you with the directional bias. Having a checklist keeps you on track to reach your goals. Chunk it, chunk it, chunk it, 500, 300, 200, 500, 600. You have to constantly be booking money, especially if you have a small account. And by small, I mean anything really under $5,000. A checklist has a plan of action. Everyone that puts money into the market should have a plan of action and a checklist. And on a professional level, all high income career field specialists have a checklist. You're going to fly a plane, which I would not be doing right now at this time, unless I wore like a space suit to get in the plane with COVID. But if you happen to want to get in the plane right now, I'm sure you can get a cheap flight. And the pilot has a checklist before he takes off. He goes through it. This thing, that thing, the other. Everybody has a checklist. Anyway, so 26 points. Why do they work? The point rating system works, because it is such a detailed analysis of the price action. It also works because everything that is being looked at in each point uses a daily chart in the stock. The daily chart of a stock is the most powerful and real indication as to the trend in the stock for any trader of any kind. The price rating on the daily chart tells you everything you need to know about who is controlling the stock and in what direction. Why did Boeing work today as a short? Because the bears were in control. The bulls were not in control today. The bears were in control today. You understand? Who is in control today in the market? Market fell today, fell hard. Big red bar in the market today. The bears were in control. Not the bulls. Is the market enough trend? Yes. But who was in control today? The bears. You must get the direction right in the daily chart if you want to make money trading. And for me, getting in early in that fast move is a good idea. I do like shorts because short moves happen fast. I will go along, but I do prefer to short and, you know, it's really because short moves happen so quickly. Any questions here so far? Anyways, what is about gaps that makes them so profitable? Because they move big. And again, what I like about shorts is the panic that comes in and people get scared. What you saw today was profit taking. Scared. Japan is shutting down. England is shutting down. Gala heads from England. What are they? I just saw that tweet. They're shutting down. The new strain came up in New York. That was something I just got in the last hour. I sent out a news alert to my people. There was like 100 million things today. This election tomorrow. The Congress meeting Wednesday. It's like there's so many things coming to a head this week that could create volatility. Volatility can happen to the downside. Volatility can happen to the upside. Volatility can happen in either direction. What is volatility? Volatility is something that happens. It's completely unexpected. So anything that's unexpected that happens is volatility. Why are gaps so profitable? Again, because of large institutional money. Gaps are created with large institutional money. That's what makes the gap. The professional gaps that happen to play out in stocks are formed by one thing and one thing only. Large institutional money. Therefore, you need a way that will help you pick the correct direction to play the gap. And then to confirm that the large money will flow with it. By having a formula to rate and qualify the gap, you get confirmation. See, I'm looking for that confirmation. So the confirmation is the rating. Then the conviction that the large institutional money is on your side and then you play it. Gaps are an event and create a sense of urgency. Hurry up. Hurry up. We got to sell or hurry up. Hurry up. We got to buy whatever that happens to be. That's an action is being forced by participants of the stock. Again, people that own it, okay? Or people that are shorted. That is why gap trading is incredibly powerful. Trading gaps is a powerful and profitable way to trade because we're trading on the side of the power of money. Okay? Now, I've been back and forth with this for this year for people because I understand people have all kinds of different sized accounts. And I don't want to feel like I'm exclusive to people that have large accounts or vice versa. I want to be all inclusive for people. And I've thought about that for this year, for 2021. And really the idea of getting to the point, like if you end up doing this for, you know, 13 years or as long as I've been doing it, you get to a point where you will grow your account. Okay? You will get to that point and then you can wish more. But the only difference between a beginner trader, intermediate trader and advanced trader really is size. That's it. A trader cannot risk more money per trade and take size until they know how to accurately trade over a period of months. Whoever trading with size is the goal, especially if you're doing this as your job. One play with size can make your whole week though. Like Boeing, I'm sure made a lot of people's week today. It was a big trade. 2.3 great plays a month can make your whole month. Seriously, especially in the options. And months when you get a lots of huge plays, which is usually earning season, which starts next week, especially to the dream targets, then you're in a great place. You're in an incredibly happy place. You know why you're doing this. You believe that you can do it. And that is a huge piece of it. And then you realize why you wanted to do it in the first place. I think people go through this process. They start trading, they lose, but they got into trading because they wanted to make a lot of money. What they didn't make a lot of money riding ways and they got disillusioned. There's no reason for you to get disillusioned. Nobody told me you were going to run out with a $2,000 and make a million dollars riding ways in a month. That's crazy town. Okay? The idea of learning something and getting good at it over time, that is normal reality people. And why traders have these crazy ideas that they're going to take $500 and make a hundred grand in a month? I don't know. Yes, there's places out there that say that. No, that's totally unrealistic. As good as I am, I couldn't do that. And I'm very good. So you have to have some sense of reality. And you can't be driven so much by the money that you do stupid shit. You just can't. I had a guy the other week and he really got lucky that he did an Amazon, an Amazon option that I called and he pretty much risked his whole account. The trade worked, but wouldn't have had it. He would have lost his whole account. He should never have done it. It was like $4,500 for one contract and he had $5,000 in the account. The trade worked, but that was done. Okay? You can't make just silly decisions. You have to be thoughtful. Okay. Thoughtful about your risk, thoughtful about the picks. Any questions here so far? I feel like I'm talking a lot. I know we only have a couple more minutes, Kathy, if you can let me finish up here. We might go over a little, but how much risk you need to make, let's say an average of $1,000 a day, a thousand risk for trade, whether it's in an option or a day trade. So say your weekly goal is $5,000, you could get that in one or two trades, but again, you'd have to have something like a Boeing today that would really go a lot. Now, how much buying power do you need to make that? You probably need about $100,000 in buying power. So at a prop place, you need $10,000, $10,000 to one buying power at a retail place to be $25,000, $4,000 to one, you get at retail places, but you're going to need at least $100,000 in buying power. So can you trade with a small account? The answer is yes, you can trade with a baby now. Like I said, you can trade with one contract, and you can't do trades like Amazon that cost $4,500 a share, but I'm doing many other trades that you could do. Today, we did CCL. CCL was a put we did today. I also call it as a day trade. I didn't do it, but I called it. I said, if you want to do this as a second trade, I called it in the room. It worked. So you can, we do cheaper stocks. We do do some things that are cheap. It's a mix. Okay. You'll get to that point. You have to take what you have right now and grow it. Think about the tennis example. You're not going to be Serena Williams tomorrow or even in a week or even in a month. If that's your long range goal, that's fine, but I don't even think that's necessary. And that, that was my point earlier. So fast trading in the brain, what's your personality? My brain can work really fast. I talk fast too. So my brain works fast. It's also why I talk fast. My brain works really faster than I can even talk and spit out stuff to say sometimes. But the reality is that if you're a person that you can't do things really fast, options might be better for you. Options are a little slower. Now, if you like fast trades, then you do the day trades, but the strategy is the same. When I rate a gap, if we do it as an option, or we do it as a day train, or we do it as both, either way, it's still the gap rating. But if your brain works in a capacity where you are a little bit slower to process it, options might be better for you than the fast day trades. But the golden gap rating system is still the same strategy. SG has a question. I'm going to take a sip of water here. Go ahead. I don't look at any of that SG. I am trading momentum. If I call a call, it's momentum, which means the stock's moving higher. If I'm doing a put, I'm buying a put, then I'm looking at the momentum for the stock to drop lower in the gap. And I set my targets according to the daily chart. I don't look at any of that stuff at all. I do not do anything complex with options. It's very simple. It's based on the gap system, which is based on the momentum of the price action. Anyways, what does having financial freedom mean to you? Having financial freedom means being able to pay your bills effortlessly, not work more than 40 hours a week, preferably, and in the market you won't, markets only open 9.30 to 4. Have time with your family and friends and be able to enjoy some leisure time in your life. It's a strange time right now for leisure because so many things are closed, but you can do leisurely activities from home. And again, make it easy for yourself. You know, I like to read the chart, so I'm looking at the technicals, and that's what you learn in the class. You want to make it easy for yourself? Do an auction? Just put an order out at 50%. Boom. Get out. You would have gotten filled today in Boeing if you had done that. Don't even look at the chart. Don't worry about it. Go about your business. Go about your day. Be more relaxed about your trading if you want. But if it goes bigger, you don't want to watch the chart, you know, then you'll miss a larger move. Anyways, getting to that point and realizing that the market can bring you financial freedom takes learning how to trade properly. It's very important. Knowing what to do and when to do it counts. Having the right information to know what to look for makes a world of difference in your trading. You have to have the right knowledge and focus. How are you going to do that? You learn how. You learn the checklist. You learn the system. Any more questions here? So the Golden Gap course teaches a strategy in how to trade gaps. The course teaches a 26 point rating system to find the best stock to trade each day. The course also teaches you how to play the stock on the day. And that's what you learn from me. The course teaches you chart analysis and technical analysis on an advanced level. A checklist is invaluable. It tells you what to trade and what to look for each day. And that is how I make the picks. And it's really based on momentum. I'm looking for big moves and big money to move the stock. It doesn't matter how I play it. Momentum trading is one of the most profitable and fastest ways to make money trading. Learn how to take a position in a stock and anticipate that the stock will have an explosive move. These enormous moves happen in one direction and happen fast. Momentum trading is very profitable and that is how you make big money. And really that's how you can get somewhere with this. Not every day will be huge but it definitely counts when you have big gains. It takes you over the leap and pushes you over and to the point because you will lose money in some trades. Some trades won't work. And then when you have the big ones and the medium ones in between, then you're getting somewhere. Then you're building your account and you're taking profits out and you're making it. And then you start to push your sides up. You can push it up four times a year. There's four quarterly earnings seasons. I say if you're going to raise your risk, you do it the next earnings season, which isn't a week. Trading gaps makes financial and intellectual sense due to the time of day you spend trading. And the money you make during that time of the day, sometimes if you want to hold a trade longer for a larger risk to reward payout, you can. I did do that today in Boeing, by the way, for the day trade. I didn't get out right away in the morning and three people held it with me. But you couldn't get out right away. However, you can trade within the first 30 minutes between 930 and 10 a.m. day after day. Just take it, get out, take it, get out once you see the good gap. Trading gaps makes it worthwhile to trade because the time you spend is small compared to your payout. When you think about the fact that you could make even a thousand dollars in 10, 15 minutes for half an hour or work for two days or three days or even a week for that. Some people don't even make that in a week, let alone 15 minutes. It's really not hard money. It's the process is the difficulty that people have is knowing what to do and in what direction. And that is what you come and learn from me. That's what you're learning in the rating system. That's what you're learning in the class. So you learn how to make money quickly on the day. It's really going to open up your eyes for you to see the kind of profit potential that the market can bring. And then if you want to take options, you can do them too and hold them overnight for bigger, bigger moves. But a lot of people spend years of their life trying to figure this out and they never get anywhere. I'm even amazed how long I've had the business now that how many people are following me and are still not making it. They've never done the class. They're still not making money. They're breaking. They're losing. They're just not getting anywhere. I would never do something for five years, let alone 10 that it wasn't getting anywhere with it. So don't waste yours of your life trying to make a little bit of money while you're actually losing money and commissions in the market by taking place and doing trades that are not of value. You've got to learn what to do. And there's a cost associated with that. Don't waste time trading for months and years with no conviction. You need to have the conviction. When I do a trade, I have conviction. If I don't have it, I don't do it. And at the end of the day, that is something very, very important that if you don't understand, you will have to learn that from me. Many people go long and short the same trade, the same day, the same stock. That's zero conviction. You can't have conviction. Something's going to drop and something's going to move higher at the same time. I can tell you people did that with the market today. People probably went long in the morning, lost, dropped, flipped, shorted the market, made money on the drop and then bought it into the close. That is complete and total, total insanity, zero conviction whatsoever at all. That is a loser, a loser. Even if somebody did that and made money today, that is a L number one big loser. You cannot trade like that and ever find any consistently or ever expect to make any real money. And by real money, I mean even six figures a year. Even if you made a hundred grand a year doing this, that's a lot of money for someone trading a couple hours a day or couple hours a week. I think the back and forth for people is a problem. When you have conviction in a trading strategy, you can produce positive results. That's where I'm at with my own self. When you do not have conviction in a trading strategy, you do not expect positive results. And if you don't have a trading strategy at all, I'm sure you're not having positive results whatsoever at all. You're probably having negative results. So I'm teaching people about a trade. This past year was the best year for the people that were with me. I never had more emails than I had in 2020 giving me glorious reviews. I've had so many people. In fact, I had a bunch of people that said they don't need me anymore, which is a compliment really. I still think I have a lot to offer after people learn how to do it. But I also think it's good for people to go out on their own and see how they do on their own. I still think people won't do better without me, but it's good for people to go out on their own. And it's really a compliment to me. One guy emailed me. He's in South Africa. He said, he's really thanks me. He's been with me a couple of years. He said, I can make it on my own now. I'm so glad I met you. And so on and so forth. And he's on his own. You know, I think it takes different amounts of time for different people, but really 2020, I never had more emails than I did in 2020 from people giving me nice compliments, which is good. We had a big year. I feel like it was an active year. Part of it was COVID and part of it, I was home a lot. So I was seeing trades. So, you know, they were there and a lot of people were home and we were working. Everybody was really working from home, even if they had another job. So the golden gap course will teach you how to make money in the market. We'll teach you how to get conviction in the market's ability to pay you and we'll teach you the correct way to train gaps. And really, if you don't know what a gap is, or you're not familiar with it, you're going to learn that with me too. If you've traded gaps and you've lost in them or you don't understand them, well, you're going to learn to understand them better. If you're scared of them, there's no reason to be scared of them. Yes, they move big. Yes, they have volatility, but that's how you're going to make money as an active trader. You're not going to make money taking something and having it move five, 10 cents or scalping. You have to take too much size when you scalp to make any real money and it's too dangerous. Okay? Even in this type of environment, again, with COVID, the political climate, all of it. Any questions here? Anyways, empower yourself today to trade. Trading is an individual job. That's why having a mentor counts whatever time that it is you need. I'm here to help mentor you. The Going Out course is a complete system to use to trade. And again, the class is this weekend. So it's a full two-day course on how to strategically find pick-and-play stocks through professional bearish gaps. Class is online. You can be anywhere in the world and take it. It's this weekend, Saturday and Sunday, January 9th and 10th, 9 to 5 Eastern Time. I'm in New York. Class tuition is $69.99. The class is online. You must email me for the sign-up forms if you want to sign up. Now, I'll take a look here quickly at the market. As she varies how many people are in the room, I have some people that are full-time traders. And then I have some people that run a business. And they can't be there some days. And I have some people that are retired. I have a really good mix of people that have different things in their life. I have some women that are housewives. And if they have stuff with their kids that can't come in one day, it's a mix. It really depends what people have. Gyro, who helps out with the room, is in there every day. So people do what they need to do. And I'm there. I'm there every day. Well, let's look here at the market. So what did we do today? We gapped up, fell, fell off a cliff. Let's look at the spy here. High today was $375.45. We closed here. This was Thursday. Gapped up, boom. Failed to move higher, fell off a cliff. We fell more than $10 today in the spy, low with $364.82. We bounced into the clouds. Now let's look and see where we're gapping tonight. So the Georgia runoff election is tomorrow. That could create volatility. We're flat here tonight. We're not up. We're not down. We're not anything. Look at that. So we closed around $368.85. And we're at $368.95. So we're basically flat. Let's look at the queues. So I don't know where we open tomorrow, but I will say one thing. This could be a wild month for the market. This whole month, this whole week, this whole month. So what does that mean? It means you've got to know what you're doing if you're going to trade. If you don't, just step aside and don't trade. And also it means if you're up, you have to make sure to take profits because you could be up a lot and it could move against you. Now we're down slightly here in the queues. Let's look at Amazon. This is down slightly too. This is down slightly too. And this is down a little bit, but basically flat. Anyways, here was the Boeing. Oh, let's look at this. This is pretty much flat. So any questions? Thanks for letting me stay a little bit later, Kathy. So the classes this weekend, if you're interested in signing up, email me at Melissa at thestockswish.com. If you're interested in a trial to the trading room this week, because you're interested in the class this weekend, email me. You can have a trial to the room if you're interested in the class for this weekend. I think that when you start trading this year, again, people have new resolutions. I call them more goals. I think it's good to have goals. What is your goal for this year? Some people had a great year last year and some people who traded did not have a good year last year. Not people with me, but other people, because it was such a wild year. And I think that when you look at what you're doing, you really have to have a plan of action. It's so, so important to have a plan what you're doing every day. You have a plan what you're doing every day. You have a plan what you're doing every week. You have a plan what you're doing for the year. And I think that that type of structure really will help you become successful and make money. Without that type of structure, you're going to be all over the place. Olivia has a question. Go ahead. Anybody else? Olga? Do you have any questions? You're welcome. Interesting stuff. Thank you. Again, my email is Melissa at thestockswish.com. If you want to email me there. SG, do you have a question? Gala had, is England closed or what's the deal with that? I don't read the article yet. Boris Johnson closed down everything or what? You know, if Biden gets in, they're going to close down the other country again here in the US. I would, I would bet on it. 30 day lockdown again. It was just going to, it's just ridiculous. You close tonight for how many days? 30 days or what? SG, I can send you a trial, but you got to come. I sent you a trial. You never came. I don't know. If you're serious about doing it, you'll come. You got to make the time. If you can't make the time to come to the trial or what's, what's the point? How are you going to make the time to train? England is closed for one month. Wow. That is crazy town. Yep. I wouldn't be shocked if Biden gets in, if he gets sworn in, that they lock us down again for 30 days. What a state of affairs people. We are in. It's complete insanity. Was it nuttiness trying to get food and everything? Were people running around like crazy than Gala had? Or was it this expected? Did this come out of nowhere over there? Or was it expected? Were people running around getting stuff like crazy over the weekend? Numbers are rising again? Yeah. Well, that's what they always say, but the problem is I don't think closing everything down helps. Look at California. California is basically closed and then they have the highest numbers. Shops are okay. Interesting. Well, stay safe over there Gala had. Hunker down. I will see all of you soon. Be careful wherever you are. SG email me if you want to trial, but you better show up this time. Thanks Cathy. Have a good night. You're welcome.