 Testing one two testing one two Good Yeah, CMG geez. I'm calling gaps ahead before they even gap now It's working and Netflix Okay, great. I'll be back in a minute This is online at Creator Central we're going to welcome each and every one of you to the presentation today Let's get the percussion Ready Okay And with that ladies and gentlemen, you know the sound of the trumpet it's time to begin Please put your hands together and welcome our host presenter today from the stocks wish calm Thank you everyone for being here today welcome My name is Melissa Armo and as Kevin said I own a company called the stocks wish LLC today It's a great topic. I'm going to be talking today about how to trade on the side of institutional money And it is a fantastic Topic and I plopped in the room there CMG It is actually gapping up tonight to some huge huge massive number And it's just one in many examples that we can sit here and talk about today Because institutions are buying that stock right now at 433 Eastern Time CMG is actually getting bought It is getting bought and the stock is getting a huge massive lift up and how is that happening by institutional buying So welcome welcome. I own a company called the stocks wash if you're interested in more information Feel free to go to my website www.thestockswish.com and if you'd like more information after today's lecture You can email me at Melissa at the stocks wish calm as well I have a ton of videos and YouTube and you can go like me at Twitter Facebook LinkedIn pen interests and Skype So today's topic is going to be about trading on the side of what is institutional power Okay, and if you're if you're thinking about trading and you're here right now today to listen to me talk I've never traded the market before great If you have already traded the market and you're currently a trader great This is for anyone because it's an interesting topic as a lot of people that even are trading right now or wanted trader Thinking about trading wonder well, how do stocks and how does the market move and how can they become successful as a trader? Becoming a successful trader and investor requires becoming a specialist a Specialist in what in defining where the institutions are buying or selling a stock So, you know where the stock is going to go up or down Comprehending how to read this this power, okay Define and train with the power of institutions will have a huge positive impact on your profitability as a trader Because that's how you're going to make money You're going to make money when you get in before the big move has taken place And I've devised a way to read the footprints of institutions trading in the market when they step in and like I was just talking about CMG they're stepping it right now into that stock and it's getting bought and This is how it is possible for one individual to become successful in the market and also to become wealthy If that's really the reason you're trading or why you want to trade I don't know you have to do know you have to be in touch with yourself You need to know why you're doing this or why you want to do it if you're going to go down that road If you are training on the side of institutional money All you need to do is ride the coattails of the institutional moves and just go with them flow with them Flowing with the power and not against it so so important And if you do that you will produce consistent and large winning trades for yourself If you want to make millions of dollars if this is really why you're trading or saying, you know what? I want to do this because I want to become rich then You have got to be with the side of power. You've got to know how to read it You have to know how to be with it It's the only way that you can really make millions of dollars Okay in the market if this is what you want to do and for some people do and some people don't but I do think you Need to be in touch with that Now what do I mean? I'm talking about trading with power It's about knowing how to read what institutional money looks like it's essential to becoming a sex successful trader You can win big trading on the side of power even as one person So ask yourself as I was just saying why are you doing this? Why are you trading? Why are you thinking about trading and not only that how much money do you want to make trading? Right now plus your goals in the future. Do you want to make a little or do you want to make a lot? You know, I think if we're doing this the idea of making a lot is very exciting I wouldn't be doing this to make a little. I always wanted to make a lot Trading on the side of institutional money is the only way to make consistent real money in the market Otherwise, you'll get run over or jostled around and basically end up nowhere and after commissions and Trading costs and room costs and everything else. You're down So you don't want to get run over you want to do the right thing You want to learn how to trade correctly and this is what we're here to talk about today So really want to trade the market at all number one reason is for career choice If you can trade from home, you don't have to commute to your job every day You don't have to deal with traffic. You don't have to give yourself, you know A two-hour cushion to get ready in the morning plus commute to work It's a great career choice and specifically in the summer because the weather is beautiful right now And you're done every day, you know by lunchtime or early afternoon You don't have to beat the traffic fight the traffic and miss the great part of the day in the summer Also, why trade the market at all because of the unlimited income potential a lot of people are in jobs right now Where they're not getting Credible raises are they're losing their bonuses or not getting overtime? You do have an unlimited income potential To trade the market if you learn how to do it. It's not like you're stuck. It's not like you get up and you say, okay Mr. This is your salary here. You're gonna make $50,000 this year and next year and the next year after that No, the better you are as a trader the more you can make the better you become the more you risk There's an unlimited unlimited income potential to the market So you have a lot to look forward to once you learn how to trade well A lot of people, you know are in positions though right now in their jobs and their careers where they're dreaming about stuff that they Can have currently can't afford and I know I have they're gonna be able to have ever afford these things Unless they get a second job or devote an extra 20 30 hours a week to a second job or part-time job Which they just don't have they just don't have it many people are crunched with their time now between family Obligations personal obligations your full-time career. There's not much time left in the day, okay? There's a lot of expectations being had on people nowadays and this is why a lot of people are stressed the heck out You got to pull yourself back and kind of reevaluate if that's where you're at right now This is a good lecture to sit and think about this because you want to be able to Buy more things for yourself and have more things you desire and not feel like you're never gonna be able to get them Because you don't have the time to take on another job or do something where you can make more money because you can You could learn how to trade all right and not only can you buy more things when you make more money? If you can learn how to trade the market because of the unlimited income potential You can also have a career where you work less hours and have less stress number one because you're not commuting You're working from home that immediately takes off a lot of stress for people You can sleep in bed longer in the day because you don't have to worry about having that cushion of time Where you have to travel to your job and Your home earlier too obviously because you didn't leave the house and you go out and do stuff in the afternoon like off or go To the pool So if you want to make it happen if you really want to do this you got to take it seriously And that means looking at the bigger picture if you have any of these dreams about trading the market or more than you Have to look at the bigger picture of how to make these dreams a reality for yourself Which is working less hours and making more money and less stress and in the bigger picture It's important to see the power in stocks and the market as a force and that's how that's the best way I would describe it Stocks in the market have loads of power loads of power loads of momentum and the potential and the money behind them Now when people say well, do you respect the market a lot of everybody talks about this You hear people talk about this all the time lectures on the internet TV. It's all over the place books written about this The QQQs are a great example of this right now because the QQQs are the ETFs of the market and They're bullish. Okay, people keep thinking this mark is extended. It's not and I keep saying it's not and it keeps going higher And I keep reading it correctly The real Respect when I say respect for the market what I mean what I'm thinking what I'm talking about is Respect for the money it's respect for the money. That's what I that's what it is. That's a translation for me That's when I say respect this respect this bullish trend in this market I'm saying respect the money here the power of the money. Okay? I don't know what other people mean when they say that but for me It's respect for the money and if you have respect for huge huge huge amounts of money you will trade it correctly and Consider your trades correctly and give them the due weight and consideration without trading willy-nilly So here's an example of a gap now. This was last week the stock actually closed the night before a 2150 now talking about the power of institutions of the power of money the stock Opened the next day at a crazy low price from where it closed the prior day. All right, it opened down at 15 something So the stock got clobbered Overnight in what is called a gap. This is called a gap. I'm gonna talk about these later today But here's an example of an institutional move moving the stock down Now a lot of people Bought this stock on the day and if you bought this stock on this day of this gap You actually made money as a long I did not I did not because I respect the power of the institution And I know the stock is lower people are still gonna buy this people are still gonna buy this and think that it fills the gap And this is not gonna fill the gap Okay, it's not gonna fill the gap at all and we're gonna talk about that more later, too So the power of institutions, what do I mean? How much? What am I talking about when I'm talking about money and Institutions and what do I mean by power and institutional power? Is it millions? Or is it billions love this picture here? It's billions It's billions and billions and billions and billions of billions It's a heck of a lot and so it's more than millions Which is really why as one individual trading the market with your money unless you too have billions And our trading billions in your positions. You have to respect what's there in the market in the stocks in the market that you're trading And how do you do this? You have to look and see who is in charge So you're trying to read what is the power? Okay? Here is a gap This is BBBY. That's the chart that I clipped here Who is in charge of this stock the bulls or the bears the bears are actually in charge of the stock and yet Many people are long this stock. Who do I mean by the people do I mean the people that billions or Do I mean the people that have not billions? Traders are long BBBY. Okay, and it's not a good long It is actually a short in fact. It's a great short The power in this chart is the bears The bears this chart the stock is lower Okay, and how do I know this because I know how to read directional bias and this is what we're going to talk about more today and I know how to read that because I know how to read what institutions are doing in stocks and traders bought this and It's not a good buy and A lot of people are going to lose their shirts in the stock at some point whenever whenever it does whatever it wants to do Whenever the billions the trader the institutions that have billions in here want to get out of this more or short even Okay in this chart Who's the side of the power in this stock? I actually ended up playing this two days in the last week I played this today It's Matt and I played it last week on Thursday again another beautiful fabulous chart that shows the Institutional power to the side of the bears this chart is a short And I think a lot of traders didn't do this trade today Or even the day back here the gap because the stock if you look at it here was down traded down two days Close at 39 something got down that stay at 37 something and ran down three days since and a lot of traders Don't know how to read this and don't know what to do with this and think that this is actually a good long But it's not it's a short it was a short it is a short I've been making money shorting this I'm trading this made money shorting this twice in the last week Good money in total on the stock just in three days Okay, so you have to look up the side of the power the side of the institutional power Okay, which in the case of Matt is bearish just like the BBY So it's reading the footprints of an institution would stop on a stock Just like it's happening right now live in CMG if you go look at the stock right now It's rallied up was up $40 since the clothes price of today the last time I looked at it before I started talking Okay, that is a great example of a footprint of an institution It's happening in that chart right now that stock will gap up tomorrow morning at 9 30 when the market closes. I mean opens Here's another example of a chart Netflix I'm not sure where this is that right now, but this was reporting tonight and Was gapping up to another one where you're reading the footprint a lot of people were short Netflix down in here Now I did have a move down in here, but Netflix footprint was bullish not bearish And it's a beautiful beautiful bullish chart The stock made several lower lows and lower highs all along the way in here in the month of March April and into the beginning of May and people were short this stuff And it actually had a bullish gap up that failed to go higher back here in the last earnings report Which was the middle of April and a lot of people thought this was a short But it wasn't a short it was a long the footprint in Netflix is bullish as a nice start It's a nice start to the upside not to the downside So how can I tell this in these charts that I've been showing you? How can I tell the direction for these? How am I reading them when they're making all these pivot breaks? And then you think that they're going in the opposite direction, but they're not then How am I figuring it out because I have a method to determine what a real directional bias is for a chart I've devised a method. I've designed a method to find stocks to train that have a high probability of directional bias for the entire day Big moves on the day early confirmation of the bias and the move between 9 30 and 10 into the open And precise entries with thought through in a good risk to reward It's the 26 point method. That's how I determine what a stock is going to do I go I get up in the morning and I actually look at the stock and see what price it's gapping at In the pre-market to determine what the directional bias is for the move of the stock on the day It's a checklist. It's called the golden gap rating system a 26 point checklist That tells me what is the stock going to do today? Who is in control of this chart? Is it bullish? Is it bearish? Who is going to buy it? Who is going to sell it? Who is going to short it? So I'm looking at the gap and what is that telling me the gaps in these stocks as they're gapping in the after hours And in the morning pre-market are telling me what the institutions are actually doing with the stocks Because gaps are created with large institutional money. That is what makes the gap in the first place You and I couldn't move CMG up. We all bought it here We couldn't move that stuck up 40 dollars and in the last it actually happened in like less than 15 minutes We couldn't have done that. Okay institutional money did that and again How much millions know billions? 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 confirm that the large money will flow with it by having a formula to rate and qualify the gap You get confirmation and conviction that the large institutional money is on your side and then you play it You take the trade in it in the right direction gaps are an event and create a sense of urgency We got to do something here. We got to buy it now. What are we going to do short it sell it? What? And in actions being forced by participants of the stock meaning people that are long or shorted And this is why gap trading is incredibly powerful and why you can make money doing this is one individual trader Even if you don't have millions or billions of dollars behind you Trading gaps is a powerful and profitable way to trade because you're trading on the side of power money So i've been talking about gaps I'm going to just basically go over here for those of you that are new to gaps. What is a gap? Gap is a strategy My strategy is called golden gaps. They are really qualified Gaps a professional gap is a gap that moves in the direction of the gap So if a stock is gapping up like cmg tonight, that is a professional bullish gap It is called a professional gap because professional traders and investors are making and creating the gap So again going back to the example cmg tonight that stock is being bought by professionals. They're making the stock up Okay In the case of a bullish gap professionals are buying the stock Therefore the stock was higher in the trading day in the case of a bearish gap professionals are selling and are shorting the stock Therefore the stock was lower in the trading day I prefer bearish gaps for those of you that don't know me. I like to short a lot Gaps that gap down if two things happening in them to create the gap number one They have shorting and they also have selling so I like to have both those actions when you're buying You really only have buying Therefore I have double the potential for a move. Okay, so I really like to short I think there's a lot of potential for traders to make money into the short side So the strategy that I'm talk going to talk to you about today Is a strategy that directs you to trade on the side of big money And you want to be on it because it's powerful It's something that you should respect in your trades And when you choose to trade against it know that you do not have a high odds of success That your longevity as a trader is short-lived and The idea of being able to actually get to the point where you could make 100 grand 250 grand or millions of dollars a year the trader is less likely if you are not trading in the correct direction of power Okay, because because even because one trade could take you out if you're against who is actually in the stock and who's controlling it This is why it's so important to read this right In the end my whole philosophy of everything when I make a trading decision and everything that I teach people and it's so important Is you got to have a set of principles call it a strategy call it whatever you want It's really a set of principles that I aspire to and teach people to and I respect What are the underlying principles behind why you're taking a trade? Why are you taking a trade? What is the reason what is the framework for buying something you're selling something or shorting something Having a checklist is like your own set of principles where you can follow It's a set of rules and it's a blueprint to follow the stock correctly Someone asked me about something today. I forget what the stock was about buying Something that was bottoming out. I said there's no strategy there Buying a double bottom there. What's the strategy? There's no strategy there There's no you could not go in front of a board of directors At a hedge fund or at a company explain and describe what the strategy is the reason that those people should Support your trade and take a big position in it. You couldn't do it Whereas I could go in front of anyone anyone on the planet and explain why I'm doing something Okay And it would be based on a principle that would make sense Okay, because it's with the power of money And I'm seeing it and what I'm seeing it in the gap Okay So what my focus is is gaps and my point is that it's it's very important to have a focus I talked about this in a training room It was a couple of weeks ago and I thought this would be good to go over this in a webinar People said to me well, why do you only do this one strategy? Why do you only do gaps? Why don't you do the reversals? Why when you see that a gap is going to go in the opposite direction? Which I can sometimes do I see that it's going to do the opposite of what I wanted to do I may see it in a gap. I may see it in the open. I said, well, why don't you Deal the reversal then why don't you do it? It's it's money. You could do it You could take it in the opposite direction if you see it if you see that it's not going to work in the direction you see Yeah, that's true. That's true. I could I could do both I could do the actual trains that set up right and I could play on the failures in the opposite direction because I can read them But guess what my eye would not be trained in the matter that I have trained my eye In fact, I was just talking about here. This is the perfect point. I was trying to make earlier Before I go on explain the disciples I'm calling gaps before they happen Now I'm not in the trades Some people in my room are doing options in my calls. Okay How am I able to read the gap? Know the direction of it in the pre and post market and now even take it to a higher level where I'm actually predicting the gap to even happen whether up or down Because I have trained my brain and I've trained my eye In a certain manner that looks at something over and over and over and over and over and over and over again Where I've trained myself so much because I'm only doing one thing That I've gotten this good and you can do that too How you got to train yourself to look at it, right? And most people don't do this That's one of the reasons is a high level of failure In day traders because they want to jump from thing to thing to thing and do different stuff every day in both directions And they want to do the reversals and they want to do the regular ones They want to do everything and then they never get as good at me as actually seeing stuff before it even happens And the market's a good example actually. I think it's one of the reasons I read the market so well Now let's go over the circles This is trader a Trader a gets up in the morning. He looks at what's out there And he sees something that he wants to do that day and he does it And here we have a green circle Okay, this is trader a gets up the next day. He's monday. It's tuesday Trader a gets up on tuesday He's trying to find something to do. He's trying to find something to do. He's like, oh, I think I'll do this today And then he does this okay, so here he did one strategy monday. He did a second strategy on tuesday And he's going to have varying results Then he gets up on wednesday wednesday does a completely different strategy and we have the blue circle on the wednesday Okay, one day he bought a gap one day the reversal one day did a buy set up Next day did the market every day trader a does something different Okay Then we have trader b. Okay, this is me I get up and I look for what I want and I play it Monday tuesday I get up and look for what I want and I play it Wednesday I get up and look for what I want and I play it monday tuesday wednesday thursday friday, okay If you were a person that was trying to predict what Trader a was doing you wouldn't you wouldn't you wouldn't know the next circle could be yellow It could be red. It could be pink. It could be purple. It could be green. It could be orange You have you there's there's going to be a lot of different circles in here Okay, you're not going to be able to predict with 100 percent certainty in here what this trader is going to do Where is this trader? Not only knows what the trader is going to do the this trader here has trained themselves to know what to look for to Know what to do This trader gets confused And you know what happens here with this trader's confusion some days. He's up some days. He's down some days He's up some days. He's down He never gets the trained eye He also never gets that level of conviction He never gets to the point where actually can have conviction or a trained eye enough to take real risk in anything that he trades Because he's doing so many different things all along the way because he has to have something every day And he's not sure exactly what to focus on And what he chooses to focus on at any given day or the reason that he chooses to focus on it even varies One day he might watch something he likes in the news next thing he'll go in a different training room Then he'll see somebody on the internet Then maybe he'll do something he likes to his own the reasons he's even doing or picking from thing to thing each day Well vary even on the day By the choice that he makes it's not even that's he can't he doesn't even do that Where he's going into the same trading room every day and deciding what to do He is all over the place and this is most people to trade the market that are day traders or swing traders or core traders Unless they're professional If you had money if you had millions of dollars if you had billions of dollars Would you give your money to trader a or would you give your money to trader b? You might give your money to trader b because trader b is reliable consistent You know exactly what they're looking for you know, they know what they're doing And you know they have confidence and conviction and you know that they are so disciplined and strategic in what they choose to do And this person is all over the place And guess what? Their results reflect that their p and l reflects that their p and l reflects that they're all over the place And they're not focused Now one of the reasons this trader does so well here at trader b And one of the reasons this trader is able to stay on this same thing And have conviction and make money and do it is because this trader is trading on the side of institutional power So there's no reason that this trader should look for anything else because if it isn't there the trader may not trade that day If the trader gets up on someday and doesn't see it then they don't do anything at all They don't flip it. Okay, or if it's not there they do nothing Then this trader has better results less losses makes more money And can take more risk this trader is jumping all over the place Some days may risk 50 bucks a trade some days may risk 100 Some days doesn't put a stop and it ends up losing 250 dollars on a trader only meant to lose 75 This trader will be up in a trade and kill it and only make five pennies when it's going well This trader will hold it on through let the big trade ride out and make the real money This trader is a career trader and this trader is not he's somebody trying to make it He's all over the place and can't figure it out and he doesn't know what to do and he doesn't know why This trader knows why sticks with this because there's a reason. There's a strategic reason behind it Okay There's a basis for doing it There's a real reason for taking the trades You see the difference This is important to understand And one last thing and then i'm going to move off of this trading, okay When you trade and you make correct trading decisions You got to reprice right And if you are in something long and short the same stock on the same day or different days Or all over the place in different stocks long and short doing Failures and reversals and taking them sometimes in the right direction. Okay You never get to the point that your brain actually maps out Intrinsically intuitively the right thing to do That when you're trading live on the day if you're a day trader Now this is not this is not the case if you're a swing trader or a court trader But if you're a day trader that you would actually be able to make a decision Make a decision seeing something you be able to see somebody to make the decision to press the button and take the trade And by the time you think it through and analyze and think about it the trade is gone This trader has to analyze and think a lot this trader does not trade the open Which is what I trade this trader has to make sure everything's situated after 10 o'clock And often miss is 75 of the moves of the stocks make and did he open? Okay Because he has to think and he needs a million pieces of confirmation I get my confirmation I know what to look for. I don't need 25 Confirmations I need to see it and I get the confirmation and I do it This trader needs a lot here and he's never going to get what he really really wants Because what he really needs to do is a focus and he doesn't have it You see the difference This comes from training yourself Does anyone have any questions about the point i'm trying to make here before I go on to a different topic? No one's asked any questions. Can everybody hear me? No one's asked any questions at all Kathy can hear me Kathy's like teach me how to make a red circle all right The point i'm trying to make is that there is less losses With focus, okay There's less losses with focus And also when you focus it takes away the anxiety of what direction at our trade And then you get something called conviction which I have when I train I have conviction when I trade that it's going when I take the trade that it's going to work If you're in fear anxiety about whether or not you're taking something in the right direction Then you're not going to trade it well and you're not going to be able to take any risk And if you do take any sizable risk, you'll kill it. You'll kill it with a with a loss or a gain that's small Murray meaning you could just let the trade ride out You might have a great trade, but you kill it too soon because you don't really have conviction in it Now let's talk about this mat I did bring up this chart earlier like I said I did this today This today and I also did it last week on thursday beautiful short in here in the mat This was thursday now I was talking about gaps is stock up to close the night before up here at 38 something gap down the next day here at 37 Something this is a two dollar gap down nice gap on mat And it also had a really good move on the day on thursday as a day trade It also followed through and had continuation. You could have shorted this friday too And you could have shorted this today Okay, the stock has had good entries to take into short. How did I know that mat was a short on thursday? How did I know that was a short on today on monday? Because I'm reading the gap I'm reading the price of the gap and I'm reading the institutional gap here And I'm saying the institutions are going to sell out of this stock Now if I had rated the gap per my 26 point rating system and it didn't rate good Then guess what it probably would have gotten bought Again, I don't flip them But I can read failures then when I rate my gaps if they don't rate per the system Then I know I can't short it or bind if it's a bullish gap Okay So here was the trade this is on a one minute chart I'm on a one minute chart here the stock open dropped rally backup Here's a short in mat You actually could have been in this for a bigger target But the morning short I like to be in the morning To get the morning move in this the morning short in mat happened literally in less than an hour Although you could have played this all day. I actually did trade this stock all day. That's highly unusual for me But if you want to just do the morning short here, it was and here was the play Enter price was 37 10 risk is 20 cents. So your risk is 20 cents You can risk as much as you want dollar for dollar But the stop has to be where the stop has to be if you're taking an advanced risk of 600 dollars That means you would it could have taken a position size of 3 000 shares in mat Exit this is the morning exit not the afternoon exit, which I played all day But the morning exit was 36 15 Tell the profit if you had gotten out of the whole thing into the drop 28 50 risk to your board on this is 4.7 times the amount risk was made in profit So you would have turned 600 dollars into 28 50. This is a good risk to your board That means for every dollar your risk you made almost five In this trade, how are you able to do this? Because an institution sold out of the stock made that gap pushed it down on the day And you need to take the short out of very early time frame here This is extremely early time frame here to get the stock the stocks that we've been training for five minutes on the day Less than that and you're taking the position. Okay. This is all the confirmation that I need Why because I'm reading the gap and I'm reading the gap Now I put the buying power required down here for everybody a little over 100 000 in bp This is not being you needed 100 111 300 dollars It means you would have needed this and buying power to take a 3000 share position in this stock at the strike place Okay, would have been less today actually However, this is the buying power the broker gives you based on leverage Okay, so it's important to note that and leverage is a great thing If you know how to trade because you don't need this dollar for dollar Can you imagine if you need a dollar for dollar and something like cmg at a price point of five six hundred dollars? Okay, so brokers are great when they give you leverage I use stops and I control my risk by determining how much I want to risk per the money And then that sets my share size. Okay Now I did the mat today too And I have to say that it reminded me when I did when I did the mat again today That shorting is really great for day trading profits Shorting seems to happen so fast in the morning when it happens. They set up so quickly There's a panic that comes into shorts that allows you to book money so fast in the morning Usually in the first 15 or 30 minutes and if you want to hold the trade all day longer, you can That's up to you. I think you should lower the stop if you're in it longer But what I love about day trading in reference to shorts is that Sometimes you'll get trades and Matt was one of them even today. Let me go back to this I I don't take any trading rooms out there called this mat today is a short but mine Okay, this is a very tough call here to read unless you know how to read this chart It was a short though and it had a nice concentrated Selling action all day and it was selling selling selling selling selling selling selling Not shorting really mostly selling and then some traders that were shorted But not a lot and the great thing about doing shorts in the framework of institutional power is If a lot of traders won't do some of these things I'm doing so you don't get the pushback So you kind of aggressively hit it Okay, you can aggressively hit it because the selling action is going to come in and it's going to be clean What I mean by clean I mean it just bleeds on down I personally do not do anything else but day trade equities trials is asking a question Can you do this with call and put options? I personally don't but I have people that I've trained that have done my class that are doing other things in stocks Because they're rating the gap They're rating the gap using the 26 point rating system It's kind of the directional bias for the stock and then they're choosing to do it in a different format than taking the equity trade They may some people are doing swing trades Some people don't have the day trading buying power to do day trades So they're doing over nights and the swing trades which they're in for five to seven days Some people are doing options. Okay me personally though. I'm only doing the equity trade But yes, I have people that are doing that And I even have people that are doing the calls that I'm making to actually say that you know I see something that's going to gap like the one like the one tonight at cmj And that's on you to do the option you learn the directional bias for me What you would learn however I found a lot of people actually do still like to do the day trades like people are doing other stuff But they're also doing the day trades with me because you can make a lot of money day trading And then it's there right there right there right now in the equity trading Now who made matt fall today regular traders. No, no they didn't This is a perfect example today and I was talking about it in the live room where it was being sold off by institutions There was there was no traders were selling that today done Okay, and it bled and bled and it was a really clean nice beautiful pretty short into the afternoon Okay And it's just a great example where if you're in something and it's just continuing and continuing you just stay with it Easy money You got to get the stock, right? You got to get the direction, right? You've got to get the entry, right? You have to size yourself, right? I mean, there's a lot of things you have to be right Once you learn you can do it Now let's look at another one here again beautiful father beautiful continuation charles could have done an option in this I don't know how it would have Played out for you as far as the pricing But look at this one g top another gap down here This was the beginning of july right after the holiday stock had a beautiful move here continue down Boop boop boop from the time that the stock got down here at 18 This was just actually this was last week when I clipped this year I'm not sure where it's had exactly today, but it came all the way down to 14 So the stock moved four dollars from here beautiful trade Okay, and on the day this is the live day. This is a daily chart It had a really good move in it too as a day trade now This is a five minute chart You can do a one minute chart You could have played the morning in the g top here in the one minute Or you could have done the five minute and been in and all the way down into the drip bigger move Here was a setup in g tat boom boom boom Slit on down you can count the green bars in the stock This is a five minute chart on the day. You could actually count the green bars in this That's how little there is what a nice selling action in this stock Price of 1743 risk was 32 cents and that's how you're sizing yourself on 2000 shares 640 Dollar risk again, this is advanced got to learn how to do it before you can take this risk Exit 1650 total profit if you held this to the full target was 1860 almost a three-hour trade It's a nice solid trade Again beautiful move buying counter for this one wasn't that much less than 35,000 to take 2000 shares Okay, actually this is a big stop for this, but it's on a five minute chart Nice trade though Now a lot of people say well, how much money can you make trading gaps? Can you actually do this? Is this something you can do for a career? Can you get your bills with this? You know, everyone lives in a different place as far as their economical standing Some people have very high expectations of where they live. They they have very expensive Homes and rents and some people have very modest means and they don't need to make millions of dollars trading So it's up to you What you want to make you need to know your goal But it will equate to your risk. There's three levels beginner intermediate and advanced If you want to take an advanced risk You certainly can make a living trading gaps and by that I mean Six figures a year or more how much over that benchmark you make depends on how well You personally trade meaning do you hold the trade to the bigger target? Do you do the ads? Do you size yourself correctly? If you're going to allow yourself a five six hundred dollar risk and you need to take it in every trade that you take If you don't and you miss size yourself and only risk a hundred 200 bucks when you allow yourself five or six You know, you're going to be short of that mark So you have to know what your goals are and you have to be willing to Take the risk to make the money to get to the advanced level Start out at the beginner risk. This is what I tell people get good at doing that build the conviction within yourself And you also have to have the cash to do it. But as I showed you I mean even the advanced risks in these examples here and many many that I could show you are right around that $100,000 BP mark. I think with 100,000 BP and if you have more great But right around that mark you could take an advanced risk Of buying power and and do well and do exceptionally well if you knew how to trade If you knew how to pick the stocks and if you knew how to do the entries Now i'm going to talk here about the golden gap for beginners because many people are starting out They're brand new. They don't know where to start. I'd say start in a demo first Start in a demo and then take smaller risks exact same plan gtat that guy here. He decided to do it as well He could not risk $600 plus he just he just did the class so he's being normal He's risked 64 dollars in the train same exact trade entry stop angst at everything and made a hundred six 86 bucks And that's good to a 64 dollars and make 186 is darn darn good. Okay One minute. He had 64 the next minute. He only had almost a 200 And if he lost he only lost 64 dollars And so he let the trade play out You gotta let the trade play out if you want to count as soon as you take it your risk is too much Look at the buying power. He needed for this 3486 dollars less than 3500 Very doable very very very doable and guess what this guy doesn't even need a day trading account for an overnight He could have an account with this much buying power and he could have stayed in this trade down to 14 In fact, let's figure out If this trader didn't day trade and just did the swing trade 1743 minus 14 If he took 200 shares of it as a swing trade he made 686 bucks risking 64 dollars that swing trade in this was a 10-hour trade That means he risked 64 dollars and he would have made 686 bucks Is this somebody if they don't have a pattern day trading account? He could swing trade it Okay, nice follow-through. How are you doing it? You're reading the gap. You're reading the gap You're correctly reading the side of the money. You are correctly reading price Which you absolutely must do in order to trade right and you know what I find people do Instead of doing a trade like this in a g-tatt for an overnight You know what they do they'll buy something like that rp They'll buy something like bbb. Why it's the wrong thing to do and then they'll get hurt in one of those trades At some point because they will hurt you You have to learn how to read directional bias correctly to make money Not just today next week next month next year over the long call and again Like I've been talking about you really got to look at the bigger picture Which is to trade a system that can read the side of institutional power How am I successful as a day trader when many people fail because I'm read institutional power How am I able to teach people how to do this and how are people that I'm teaching able to actually do it and make money Because what I'm teaching them works. It works because the stocks are moving in the right direction where we're taking the trades So the system that I teach is called the golden gap system The golden gap system is a 26 point professional bearish gap rating system The purpose of this system is to help you evaluate which gap to trade each morning using a checklist How will you get there? How will you get to the point that you want to be? You've got to learn how to trade on the side of institutional money learn how to read power money in a chart Okay, which is millions not just millions Learn how to read the trend learn how to reprice and learn a system and method that teaches you all of the above and more Which which you'll get from me In the end you've got to focus on the right information if you want to do this for a career Even if it's a part-time career, you're going to take it seriously The right information to focus on in charts is price and that's how you make money as a trader Whether you do it part-time or full-time whether you do it for 20 minutes a day or eight hours a day Getting at the right price and the out of the right price is the way to bake it And gaps show you price in an advanced level which allows a trader like you to predict the move the stock will make before it doesn't I'm very good at doing that I'm doing it before the market even opens The most valuable information for people to trade can be found in reading price action in gaps And I don't think people understand that I just don't think people get it In fact, I did a video today when I was reading the market. I said, I just don't think people get it I don't think people get how important gaps are in price And understanding price and reading price even if you don't want to play them as date trades Understanding chart reading of gaps and how important the patterns of price are in the market will assist you in being profitable And that's what everyone's after trading gaps is a quality strategy because gaps are created by institutional money hedge funds banks the big money players That one company i'm not going to name it that one company today that was just fine 23 billion Now they're trying to overturn it They were fine 23 billion What if they have to pay it will they go under? No, no, they won't No, they won't they won't that just shows you how much money these companies have okay So trading with the side of institutions helps you it helps you Understand what you're supposed to be doing and knowing this helps give you gives you conviction to take trade and take the risk That you need to make to make the profits which is an advanced risk if you can get to the point where you can get there Trading gaps is a powerful strategy and this is how professional straight You can use a sophisticated level of price information to enter trades and take sizable positions taking sizable positions will help you attain The income level you dream of whatever it is and the most important thing is that reading gas is the skill you can learn It is a skill you can learn that's how people ask me this Basically, can I learn it? Of course you can learn it if i'm new if i never tried it before can i learn it? Yes If i've been treating it in the wrong way for years and i've been losing can i learn how to do this? Yes, you can learn it The 26 point checklist makes you focus on the right information and if you file this system You're going to learn it and you're going to do it Okay Reading gaps correctly is a skill. It's a skill that you can learn The class is called the golden gap course. It teaches the strategy on how to trade gaps The course teaches a 26 point rating system to find the best stock to trade each day It is not about getting 26 or 26 points It's about getting a high rating If it is you do it if it's not you don't do it. Some days you may not take a trade The course also teaches you what direction to trade the stock on the live day And the course teaches you chart analysis and technical analysis on an advanced level So why would you even consider if you want to maybe take the class? And if you do email me Uh capi has my email in the room there The class is this weekend Why take it to learn a strategy that you can use to make money in the us stock market a great market to trade many other markets are Do not have as much momentum and volatility and opportunity as the us market, which is also regulated Which is a plus to learn a strategy that offers momentum moves and stocks each day again Great reason to trade it to learn how to trade gaps to learn how to recharge with advanced technical analysis To learn a strategy that is profitable on multiple time frames Because you can play it for a longer term To learn how to read stock charts and price patterns, which is how you're going to make money And to learn how to pick which symbol to trade in the day because you want to have the same circle Every day if you're doing a different thing all the time It's going to be hard for you to make money consistently over the long haul or to become an ever career trader To learn how to enter the stock and determine the targets very important I teach this in the class and not only that to learn a new career that you can do from home If this is one of the reasons you're doing this, you know If you want to get out of your full-time job if you're tired of it Tired of the rat race tired of the commute tired of the hours Or or getting older and you just want to do something different Trading is a possibility the golden gap course teaches one solid strategy teaches multiple entries and plays It teaches you how to trade the open. It teaches you how to book money intraday in stocks It teaches advanced chart reading skills And it teaches you how to get conviction in your trading and the market as a source of wealth So think about it the classes this weekend you can take a class and educate yourself to become a better trader If you want to do well, you will want to educate yourself Because in the bigger picture is where you need to be looking now. Charles has a question here before I continue I don't have any software programs at all. Charles to help me find gaps. I do everything manually. I'm so old-fashioned But you could buy one you could get a scanner short One important key factor in becoming a successful trader is keeping in mind the bigger picture while living in the now This is the challenge. I mean, I get it. Okay, because I was there six years ago when I started to trade You want to make money right now, but you just learning and you're thinking about where you want to be And yet you're living on the day and you've got to find a trade right now And you want to make money today, but then in long haul you really want to be successful So you want to do the right thing You can live in the now with your daily trading decisions But keep the bigger picture in mind of where you want to go and who you want to become as a trader You can you can I'm doing it and I'm teaching people to do it too And I understand the challenge is out there of doing that But you must because if you don't you won't make it Okay If you did not keep the bigger picture in mind the market will consume your daily thoughts And you will never reach the bigger picture goal Which is that you want to be successful you want to make real money You only want to work for a few hours a day you want to quit your day job And you want to have the potential to have unlimited income So you've got to keep that bigger picture in mind Which means keeping yourself out of bad trades not doing the wrong things not having the crazy hectic behavior Trading is a career choice and a lifestyle choice in the bigger picture And you got to keep that in mind and don't get consumed with what you're doing in any one single trade Many traders forget about this in their day to day activities But the fact is that trading in the bigger picture is a career choice And I don't care if you're doing this for a full-time job or a part-time job It's still is something you have to take seriously So where do you see yourself in a year or five years from now? In 10 years from now, it seems like a long time away, but you know what? Hey, you got a plan for the future. Is that too far off to consider? The answer is no Time really flies and as every year passes. I'm like, geez I can't I can't do enough to plan for my future Half the calendar year is over. If you've been thinking about learning how to trade for six months or a year You've already lost that time. You already lost that time. It's gone. It's gone Every moment you live you have a choice to do something to change your future or you have a choice to do nothing Doing nothing is actually a choice. You think you're not making a choice by not taking a class or not learning How to trade or not doing the right thing for yourself financially or staying in the job that you have right now Even if you hate it you think you're not doing anything But you are you are making a choice you are making a choice to stay in the status quo and to not do something to change your life So you are making a choice Make the right choice to improve your life to improve your finances to improve your training to do something to better yourself Because time keeps ticking So you got to ask yourself. Do you have a plan you think you're not making a choice by doing nothing But doing nothing is a choice And it's certainly not the right choice In my opinion if you want to move forward in your life It is July 21st It's in less than six months. It's going to be 2015 Time keeps moving. Okay What is your retirement plan? What is your retirement plan your social security? Which probably is going to be gone by the time i'm ready to retire. Okay A pension now they're thinking about getting rid of pensions companies now are going to get rid of pensions They'll be talking about now. They're going to just completely get rid of pensions So you're waiting for social security. It's not going to be there You think you're going to rely on your pension now companies want to do away with pensions What's your retirement plan the money market or savings account that you're making 0.0000001 If you sat and let it make 0.001 By the time you retire It's still not going to be enough. Okay Traders tend to be too short-sighted with all the people I've talked to since I've Talked to people since I've had the business and friends. I know as well in the business and friend traders I have to They're too short-sighted and very few traders. I know personally that are not short-sighted It's just a general thing. I don't know why I think it's the excitement of the market And we want to make money right now and you can make money right now That's true. You can you could have done any of those trades. I just went over in the last week I made money could have shorted math today and made money and I did But the reality is you got to keep the bigger picture in mind and this is no more important than ever than at the beginning And by the way, even after you're doing it and you're successful like me You still have to not be too short-sighted because there are days that I get up And I want to trade and I want to do something and it doesn't meet my criteria And then I have to remind myself Who I have to stay together, you know, okay You can't be too short-sighted if you do you're never going to reach your goals And if you're ready to reach your goals, you're never going to reach the next goal Okay, because we all have goals I still have goals and then I have bigger goals and then other goals And you always have goals and you're constantly constantly changing them If you want to be wealthy, you need a plan of action unless you're born into money or win the lottery No one becomes wealthy overnight if becoming wealthy is one of your goals and If it is okay, and it's fine if it is and if it's one of the reasons you want to trade then you need a plan of action Every trader should have a trading plan they follow But a plan of action is more than a trading plan a plan of action sets your course to achieve your goals And it's down on paper first things first decide if you want to trade and then decide why and then decide how much Do you want to make trading and then how are you going to get there? You need a plan of action Take the golden gap course and learn how to trade gaps and read them Learn how to trade in a demo for a month if you need that long or a week Start trading a live account risking beginner risk Then you move to intermediate then you move to advance whether you do it as a day trader swing trader core trader an option trade It's up to you and you need to know how much money you want to make You have to have a plan of action in place to achieve your desired monetary and monthly goal You're talking about monthly on a quarterly basis for the first year So I'd say for the first year you're looking at everything quarterly And then after that you can look at everything annually for your goals. Okay After the first year Once you reach your annual traders income goal, then you've got a lot of choices You could keep risking more money. You could do day trades and swing trades and every night You could even look at that experience and doing things in both directions if you get good at one direction I mean, there's so many different things you could do. Maybe someone you could get a good job But working for a hedge fund. There's so many options People ask me, can you make millions of dollars trading? Can you is it possible? Can you do it? You can I mean, I have made some million dollar calls and I will make more. Okay, and Netflix was one of them, okay I called the gap on Netflix before it happened before it gapped up and then I called it as a long and traders Were looking to short it. This is this was back at the beginning of 2013 And this is a million dollar call. I can't tell you how many times in my mind I thought over I did not take this overnight, but I called it Since I've done this how many times I've in my mind seen that I could have just taken a thousand shares of this A thousand shares of this is all I would have needed to take it would have made over 350 grand And I would still be in it And the end of the year target actually for Netflix is around 700 something could get to 750 And that was a million dollar call and I made it So, you know, could you become a millionaire trading gaps? Yes Will I yes So, you know people always say well, why do you teach? I teach because it's fun and I like it. I teach because I make money teaching I teach because I have something good and people want it and I can But I gotta tell you that teaching actually has helped me become a better trader It's helped to strengthen my own level of conviction And I won't be teaching forever because eventually I will be making millions and millions and billions of dollars trading And I won't have any time or inclination to teach at all So if you really do want to learn how to do this from me, the time is now you can wait six months You can wait a year you can wait till ever you want you can wait till I'm not doing it anymore But no that choosing not to learn how to trade is still a choice Okay Anyways trading is really a lifestyle choice. You've got to give yourself an edge with the stocks wish gap strategy Institutions have billions don't forget it to learn how to trade on their sign The class is called the golden gap course. It's a complete system to use how to train And it is a full two-day course on how to strategically find pick and play stocks at a professional bearish gaps retakes are free The class is online. You can be anywhere in the world and take it It's july 26 and 27 from 9 a.m. To 5 p.m. Eastern time the cost of the class is 2999 dollars in us dollars You can email me at melissa at the stocks wish dot com for more information I am running a special for july all new students of the golden gap course in july received the wealth manifestation course free This is a great class by the way It's a really good class and the date for this is july 31st This is 399 on its own. It's from 12 to 3 on this date So if you do the gap class this weekend, you will get this class for free So it's an extra bonus there 400 dollars. It's a great course I also teach another class called the trends course. This is in july as well It's july 29th and 30th from 12 to 5 cost of this class alone is 9 99 This is a course in how to retrends and stock charts for longer term This is more geared towards longer term traders swing traders core traders Although if you're a day trader, I will tell you if you want a day trading This opens up your eyes to how to look to things in a bigger time frame and it really can strengthen your day trading outlook And i'm doing a special for july since i'm doing these classes this month You can do all three classes for one price, which is 3 4 9 9 34 99 So i'm offering half off the trends class with the gap class the wealth class for free It's a savings of almost 900 dollars. This is a really good deal You get the whole shebang already had people signed up for it It's a strong way to go into august and then the fall of this year to learn how to trade and to start to trade Because you could take the classes in july practice at the end of july and practice the beginning of august and then go into the fall You know knowing all this information about trends and gaps and having a good basis for trading psychology What you get in the wealth manifestation class So email me if you're interested at melisa at thestockswish.com Remember it is about you It is about you it is about you empower yourself You've got to empower yourself today with information because you don't know what tomorrow brings You've got to find a way to live in the now and plan for the bigger picture. That's what the goal is for everyone Being a trader in the summer. I got to tell you know is a really fun job to have every afternoon free and not have to worry about Uh, you know missing the days I remember your past success is a golden gap class Thanks so much for coming anyone. Does anyone have any questions? Does anyone have any questions at all? Charles was the plethora of questions today. Does anyone else have any questions? Well, you can feel free to email me if you have questions at melisa at thestockswish.com You can watch cmg and netflix for tomorrow and I'm going to look for my short picks tonight because I like to short as you know There were some things that were I was watching tonight for shorts Wonderful You're welcome All right, thanks so much. Thank you all my trader central.com for having me. Thank you Kathy. Thank you Kevin Thank you everyone for coming today. I know it's a beautiful gorgeous Monday evening Relax. Enjoy your night. Go out and have a good time. You're welcome Email me if you'd like more information Have a good one. Thanks everybody Everyone again. Thank you for your time and participation. Please take advantage of melisa's offer the website