 Okay, so welcome to the live trading webinar. This is Bruce at book map. Good morning everybody. Good morning, 8th trader and We've been hosting these in in discord, you know between the holidays here and just trying some things out and you know seeing how it how it goes so that You know, we'll have others be doing this in the future and trying to get the process down And and want to build out our our community here for everybody. So and this is going to be a real big driver So, you know looking forward to doing more and more here. We think it's a really good platform for Using using discord is a good platform for building the community here So, yeah, let us know what your thoughts are on it how we can improve etc the Today we have Jay trader. So those of you not familiar with our book map education. It's pretty Pretty robust program we have we have an educational course That's online once you subscribe you get access to that and then we have the Daily Live analysis webinars. Okay, they're forward-looking. It's reading the current market and then giving insight to where price may move next The whole idea is so you can learn you can provide that or utilize that education from the course in the live market And then we have these webinars here like with Jay trader and for Scott Pulsini on tomorrow Futures trader and Jay trader stocks trader. They'll go through their Precise setups and trade management. Okay, so you can learn exactly from other traders as well Not just overall Regarding the order flow So we really try to cover all the bases for you for your education. All right, that's the the goal here All right, so we got to go through some disclosures. You guys know who Jay trader in is he'll be in soon So once he's in here Then I'll turn it right over to him so You know, he's a Mentor or educator as well. I'll be putting this into the chat for you guys So if you want to reach out to Jay trader, he is You know expert trader here, I mean some really great. He's been just knocking it out of the park for years now With a lot of his strategies and trading stocks. So if you want to reach out to him You can I got to go through the disclosures. So let's do this and then For the first maybe 10 or 15 minutes here, I'll go through futures And then we'll we'll jump into or as soon as Jay trader comes in here We'll turn it right over to him and jump into stocks general disclosure all bookmap limited materials information and presentations are for Educational purposes only and should not be considered specific investment advice nor recommendations Live trading is in simulation demo paper trading mode and strictly for educational purposes Live trading executed in simulation cannot accurately represent relics trading realistic trading performances So as you know what you're getting into here, this is not to copy the trader. That would be really asinine Instead learn from the trader This is part of the education as I just outlined earlier so that you guys can see some other methods of reading order flow and And how others use it right see if this is something that you can apply to your trading That's the key here the risk disclosure trading futures equities and digital currencies involves substantial risk of loss And it's not suitable for all investors and investor could potentially lose all or more than the initial investment Risk capital is money that can be lost without jeopardizing one's financial security nor lifestyle Only risk capital should be used for trading and only those with sufficient risk capital should consider trading Past performance is not necessarily indicative of future results. Right. So you guys know what you're getting into And that's really important how to manage your trade and and your money so that You know, you you don't come in here with guns of blazing and lose all your money so Or guns of blazing and make all sorts of money and and lose it in the future Whatever the just know what you're getting involved into. All right, that's the key here So let's just jump into some of these Futures now and just kind of kind of review Some things that we've been covering the last couple days. So let's we'll start with a higher time frame and Looking at the SNPE mini here You know, we can see the last couple days up here I mean, this was just such a beautiful move guys. I keep pounding on the table about this It's just unique when we see these kinds of things I will mention them and broadcast them more It was a week ago over a week ago last Monday We saw this move until these icebergs and look what it led to it's just incredible, right? This is a huge move. It was all due to the action. We saw during that webinar. You guys have access to that webinar It's on our YouTube channel. You guys asked about recordings for the YouTube Videos or these streams the last couple days. I do have them. I don't have the link for you right now I will do it though right after this webinar Okay, and update those so that you guys can review them if you like All right, so here's the hour chart over here. This is the daily. Here's the hour chart and you can see that nice nice move to the upside here and then You know the last couple days Some chop in here right and this it's to be expected After such a strong powerful move After we saw all of that absorption on the on the offer on the bid and then all those icebergs So yeah, we're kind of slowing down here and here's the 15 minute chart And we're looking at the slow down here now look let's look at the market structure though to get a kind of bigger picture Outlook on what's happening here We always look for these little Jags here where there's a slowdown and then it may be a burst forward again slow down and a burst forward again Here's another little slowdown. So These little areas in here look where the pullbacks come to Here, you know not making this stuff up. It comes right to it bounces around here This was yesterday's action, right? And then yesterday it finally did break This bigger range here and we were looking for that break to actually unfold It finally did and where did it go? It came down into this little range here where there was another pullback And then a breakout and it bounced around in here for a bit and then that came back up and Retested the highs here just recently in the last hour. So Or this little swing high I should say So, you know, what are we looking at here? Well, not much We're looking to see what's going on in the order flow It's going to be pretty range bound. We can just look at the candles here understand the price action Candles, you know, I just don't think they show very much. You're trying to read a period of aggregated data And we do our best What we're looking at here is buyers and sellers on both sides, right? That's why we have these wicks on both sides You know, we can see that we moved up We did trade up into where we found sellers earlier Yesterday, this is where we pulled back. So again market structure Understanding the higher time frame structure So now now let's go to book map and see what's going on and we can see that we tested up here rejected We see sellers come in and right now They're gonna go for the point of control of this little range here They already are trading into it and the so let's let's see if they can maybe take it further and below this swing here at 80 or 79 and then maybe down to 75 Hey, or maybe even down lower to some of these lows from yesterday 70 so that's kind of what we're looking at here in the range or are we gonna bounce off of this point of control and Then come back up to these highs and then maybe even break out and test all-time highs some of the scenarios we're going through in the higher time frame first and then We can then step into the lower time frame and get a lot more insight What's going on? All right, so let's do that And take a look at book map. Here's the selling we just saw. Okay, they're just below the cash open here And yep selling right into high liquidity here. We're just looking for that move into 79 They want to go lower. So 76 75. That's the next stop here and have no Reason to think otherwise. Okay, it's already there at 76. Let's see. You can go to 75 And what about a lower? Well, where's the liquidity is down here 72 looking for it to unfold. This is strong move here Okay, so we're already at the swing low down here. Now. This is important, right? We're gonna get some covering down here some profit-taking. We might get some buyers down here All right, it's to be expected below the swing here So let's zoom in a little bit further. All right, you can see some of that profit-taking here now There's still really strong selling pressure in here. So it's just a bit of a pause We'll see if we get maybe a retest back up to this 4780 here But I would suspect we'd continue on down here into this lower liquidity We stay with the trend until we see something different. We're open to the other scenarios though in here Okay. Well, what what might unfold here? All right So yeah a bit of a pullback a little bit of some profit-taking. We'll see if maybe we get buyers in here And and they lift it on up into where it broke down from here 78 and 79 and then also 80 and maybe we get buyers back up above it above it These are some of the scenarios. We're just going through and we're just outlining You know kind of what what these scenarios might be And then we're going to look to the order flow to understand higher probability Follow-through within those scenarios and right now we're still looking for you know sellers coming in Okay, until we see something different a pullback like this was to be expected below the the swing for the for the Low of the day here All right, so I don't see anything yet. I don't see a lot of buying pressure coming in yet And we haven't even gone back up and and tested some of these areas yet. Okay. It's right in the middle of it So I really don't see anything yet It's still you know looking for overall trend to continue though to the downside into this higher liquidity here Okay, so just Nothing nothing more to say than that at the moment. Okay, here come the sellers. Let's see them try to break this now Okay, watch out in some of these areas here I mean we are looking for this and we're looking for them to trade into it and and through it I think they can trade through it But let's take a look here But why I say watch out is I just don't see the commitment on the sell side yet In this area, we just made a lower low here But how did we make that lower low? Okay, not not a whole lot of commitment here Now it's getting a little bit better. Now. Let's see them move it into and through this liquidity here if they cannot Right. It means that there's likely You know icebergs or buyers on the other side. I don't see any icebergs buying yet. I do see some over here buying but Anyway, there's our move. Okay, so there's our 72 or 71 and a half and Still going lowers. We should go lower 70 here There we go. There's 70 Okay, so now let's just take a look a step back here and go through this analysis in here Okay, and how to hold on to some of these trades. This is really important We saw the grinding move on Was it Monday? Yeah, the grinding move to all-time highs on Monday. I believe this Monday just the other day and Look at the icebergs in here right now. Wow. So some some some some buying down here Some absorption by the larger players Anyway, what I'm trying to get get to the point here. This that's really important Is in these grinding moves lower or in these moves lower? We do anticipate the pullback. I Thought we'd actually get a little bit higher pullback probably back to like 78 79 and this liquidity up here We didn't even get that so, you know, don't get shaken out of these trades. Go with the overall trend But don't give back as well once you start to see buy new buying coming in like like we've covered new buying what that looks like and You start to see it trade up into and through some of these areas get out right or consider taking some of the profit Or you know looking for potential for You know a move higher Just different scenarios here this scenario here clearly just said stay with the position There was no reason to get out Okay, so let me know if you have any questions on that hold on a minute here Jay Trader should be coming in here looking for him There he is Okay Good morning Joseph. All right, let me I think you have access so you should be able to I'll stop sharing my screen here And you should be able to share yours. Okay. Looks like yeah, we got another another minute here Jay Trader will be on Morning Bruce, can you hear me? Yes, there you are. Good morning Joseph. How are you? Good morning traders. Very good. Thank you very much, buddy. How are you? I haven't doing well doing well just You know always between the holidays here kind of odd odd time but you know S&P went to all-time highs just the other day and and No, no real economic events and stuff. So, you know very curious to see what you come up with with some of the stocks here Yes, yes, so let me screen share over here my my monitor Okay, Bruce. I put over here 60 I put over here, let me see 60 FPS, is that okay? Or you prefer it? I do it 30 or 15 15 is better from our our testing Okay, so now so it's fine. I think you unshare and then oh there you go. You got it. Yep Okay, so first of all again, good morning I will explain over here a few things that we had this morning on Small caps and then big caps I'm a big believer that After new year, we're gonna have a very strong market These days we have lack of volatility and liquidity in the small cap land Today for example, we had three main Movers, which was ISIG, YGMZ and pixie in the small cap land So I'm gonna explain you more than trading together with you because right now really I don't have place to show you I basically didn't trade the whole morning over here been following only the traders in the room But I'm going to show you how to use book map This morning we had YGMZ. Okay, so we made a plan And I really invite you every single morning to go watch the live streaming That we have on YouTube where I go over book map just let anticipation of what the day can be the plan But over here to get the with Bruce. We want to show you when book map becomes useful As you know, you need a daily a daily chart Make always your plan. Okay. Take time to make your plan put your levels If you see over here GMZ, I will make this bigger We have a stock that never have traded volume in the past in the recent past look this over here So this July we had only one push over here with around 2.5 million volume on the hourly candle And it simply faded all the way down. So we have strong bearish. You can see over here on the hourly chart strong bears Okay, this is the daily we traded volume only back over here in December So more than three one year ago and we have some big holders in a $20 area So now this is what happened this morning and why some of the members in the room got in to 65 to 60 so you can see that we have an uptrend. Okay, so uptrend Is formed basically by a set of higher lows and higher highs This seems so simple, but still we have a lot of traders that they don't know the fundamentals of How a trend is formed so only when we start forming over here lower highs or low, so when we have a trend shift Then you can consider front side and Backside of the move You can also see the shift in terms of rising volume versus Declining volume. Okay, so this is just looking at the chart, but when I am at this level over here So when I'm that 270 260, I want more than a normal confirmation I do just I just don't want to follow only the trend patterns What I'm going to do. I'm going to rely on Order of flow. So I want to see basically Where buyers and sellers or sellers better are stacked our place So this is our YGMZ. Okay, so the high low scenario that I was just explaining before is basically this We're making high lows are low until this top As you can see over here, I don't know if this is an algo or this is just like spoofing order But basically we have somebody that is moving from 230 240 and 251 250 this is the biggest order that we had over here in the first hour since 7 o'clock And you can see that when we form a double top over here 270 We start forming at 270 over here resistance Okay, this is the first main heat map that is not being removed At the same time we have over here this order that over here cancels to move over here Cancels to move over here. So it's Moving up trying to hold the price, but at a certain point over here. He doesn't get even executed He doesn't even get absorbed. He simply cancels. So this makes me think or somebody like really wants to spoof over here in order to Raise the price Or is some kind of algo that is just like trying to hold the price up over here And maybe they're doing this because they have some Back-holding and they want to sell at higher prices. Okay, so we can make our Let's say estimate over here our forecast, but we don't know that with certainty At a certain point though when he cancels we start forming what we said before the first set of lower highs and lower lows Okay, so it is basically this what you see and this is the backside of the move So when you start looking for trading short in this case, you want to look for this you want to look for these buyers getting Canceling over here or just like really going away from the tape and then you can see the formation of lower highs and lower lows and This seems like so difficult But I can tell you and I will really promise you that if you do like some practice You can start recognizing this very very good The same scenario that you may find and you think you find only on small caps No, you can find in futures. You can find in crypto. You can find on big caps as well. Okay, so it's just a little bit about patience finding your we say your feel with recognizing this and the one thing I would suggest you is try to always Record your screen and then replay it. Okay, because you have to basically see these things these things in real time It's now so easy for me to tell you what happened over here, but when you are in that moment your Decision have to be so fast. Okay, and this comes really comes Once we have over here our lower highs and lower lows scenario This seems the simpsi simply sorry unwinds until the here 170 and our plan over here If you followed us in streaming was to look for a gap in crap and simply fader Now what I see over here the main support the 180 where the price is going right now 180. This is the main support Big C is one of those stocks that when you hear the PRs they put out you will start left and You think really why should I invest in this company? Okay? Why should I invest in this company when the daily chart of this company is this? so Why small caps are good to trade because you have an edge. What is the edge that more than 70% of these stocks in? 2021 close red on the day. What means red on the day they close below the open level So they can get up get up. Sorry up even 100% But 70% of these will close below the open So that gives an edge and as it tells you okay Let's try to find and recognize when we have to short and Let's look over here traders when it's instead from side because I need to long. Okay. I don't really think That traders out there know a lot of difference between Longing and shorting with a precise trading strategy So look over here. I'm gonna review with you a few factors So what do you see over here on my daily chart are jails? I can explain this is a bandwidth at 200 exponential women average and this is an exponential 7289 why these numbers? Back in 2003 and 2004. I was trading only European futures fib F-Dex and FTSE so the footsie and I was trading mainly cover warrants and Italian equities So I was starting everything out there from, you know, the time we had error size stochastic and ACD Woody's pivots More basic stuff and also was studying the code of Fibonacci, you know the retracement and extensions And I found those numbers to repeat over and over in certain scenarios So if you see over here, what happened on this chart? Basically, we have that each time that the stock goes near the J lines So the first 7289 or the 200 We have the stock rejecting, correct? Now I will zoom in otherwise. We cannot really see the last part So you can see over here each time we go in this case near that 200 We are rejecting So this morning I I was looking for these levels over here for the 175 and For a higher level over here at four dollars. I will explain a few more things So this is a day where we traded 60 million volumes because I don't want to take a resistance Where you have no volume I want to look for that high and I want to look for the close of the bar I want to look over here for the high and the close of the bar So what happens over here that this area is The area where we traded the main volume, which is this day over here, okay? This day over here. This each bar is a daily chart Okay, so I'm referring to this day over here and the second day because these two days we traded around 100 million volume So now doesn't mean that pixie has that 100 million over here of resistance But this means that 280 until 4 is a high volume resistance, okay? Another thing that you can add So this is really how to make a professional plan before starting to trade is Looking at the volume profile and this is what I do every single morning what I teach and What it works for me. So let's put volume profile. Okay, but we can look at this Let me see if it's set up correctly Okay, no, so this is how I like to have it tick size You can put time per profile chart is fine I put expansion no and then over here you will see a few things. Okay, so this is what happens the label over here in Red is called POC. Okay point of control So the same point of control you have in intraday when we trade one book map This is the main level of volume traded. Okay, so means that the highest volume Area in this chart was straight over here exactly at 275 remember this number to 75 These two zones over here this one This one then this one this one and this one So we have one two three four five zones are called high volume nodes Now I can tell you that this morning before the open we don't have this we had only this one over here So remember what we said before the highest volume traded over here was between 280 and four this area and the highest volume with the volume profile that tells us this more in depth is Basically this area over here. So between two fifty and two ninety or three dollars. Okay So remember that this area 275 is a big catalyst now I move to my pre-market and I start using book map. So this is when I basically get to conclusion You have to be pretty fast because you don't have the whole morning to do this and this happens also very early So if we want to trade the tops sometimes will have tops around four or five a.m E sometimes can be that seven eight or nine a.m This is not something we can predict. We just need to see what the market is offering each day as you can see The price over here gets to that 275 and what is 275 remember the high Volume point of control or the POC at the same time Do we see over here traders any kind of big heat map? No, nada I see only a stock that is uptrending with higher lows and our highs. Okay At this area 275 remember high volume point of control The same time we have over here stall of the price you can see on the chart and We start forming we start having over here not for me We start having a first high level of liquidity, which is a first level where sellers are stacked They try to prop it again. You see over here and again. We form a second resistance So means that that point of control the daily resistance levels plus the high volume profile and over here the Heat map create a barrier in this case I can look to trade a short for example on a field the 90 may like we see over here This is an anime fail just risking that 270 and I can start looking for the price to go all the way down Because I have all this I would say confirming my thesis at the gate 930 okay, let's suppose that a lot of traders are in the West Coast. They cannot get up early and Whatever, so let's really start to look at our opening Levels over here from around 8 to 8 30. Okay, so that would be around 5 5 30 East Coast Sorry, New York time New York time Okay, look over here. This is 9 45 What happens over here traders First of all, let me put this over here. So price opens 9 30 over here and pushes into the 174 173 price opens and pushes into that area of 173 174 This area is a wall of sellers area because we don't have only one heat map But we have multiple in a very tight range When you see this remember that we have big players in because the orders are pretty sized 55 K 44 K 30 Over here. We have another with 40 K. I believe this is around 40 K So in this area over here 930 we have the huge amount of resistance use amount of resistance Okay, and you can see over here that we cannot break this level and Right away we start winding what are these these are big sellers So when you see these pink dots just below a resistance means is rejecting big sell-off So this is really how to look for Levels where the price is rejecting ISIG this morning is One of those stocks that I don't really suggest to trade short Because it's a nano float so the float of the stock is below 1 million This already flow rotated more than 13 times from the open Yes, they trade a huge amount of volume as a matter of fact yesterday the stock traders Had around 40 million if I remember yeah around 45 44 million traders So more than 45 times the float and this morning we had a big round of the gate I said not too short huge volume very strong And I want to just show you the few we say the few Ideal setups that we had over here Look once we we push. Okay, so over here. We halt The the open is over here. We halt immediately. Okay very strong push opens over here pops dips into the halt level Forms over here a wedge and then pops in fields. So all this area Once we feel over here the half level is basically Called bull trap. Okay, or heavy resistance because over here We form a heavy resistance above and the halt level which is this red line over here will act as an important resistance Once we fail and you see that we start rejecting over here the health level plus the dweb Then we can start looking for an easy trade for the failure and how to look at that spot Oh, that spot that you see over here that is rejecting that the web is This part over here and this part over here You can see that we go above the heat map right away below into the heat map right away below we start forming over here this Distribution pattern why distribution each bar has a lower volume and also what has a lower high and Once we break over here the low we have an increase of volume So this is a distribution pattern the same thing that we are forming over here in this case of the distribution pattern bear Pattern bear flag pattern. Okay, so this is what happened this morning in the small KELT land As a as again, I do these things these things every morning in life So I'm really looking to understand the price action, especially when we have stocks with dilution with an offering gone For what concerns big caps had no trades. I was looking at Baba fitting a lot I said Tesla below 1080. We can have a 1050 support, which is the J line But I was looking at this So look this apple Some tears this morning hit me and told me J is this a Good long is this a good short So I'm gonna put over here also book map Okay, this is Apple. So basically Apple is ranging in two bucks three bucks. Okay, we don't really know this dog Eight we make our plan We can decide to take the trade or not, but for me the plan is essential So look at this traders I basically like to swing Tesla. I like to swing Apple I lost a lot on that on Facebook really because I basically Had a high win rate and on one trade I on swing. I'm talking about I basically went beyond my stop loss level So let's say I was up like 400% With Tesla Apple and Facebook and everything well with the loss on Facebook I went down to like 180 190% left And this is because I've been stubborn So my point over here is no matter how good you think you are the market is always better than you and We need rules to protect yourself. Okay Everybody does mistakes recognize them and try to minimize them and not to do it again So I could have been you know, we always say like this I could have been up like one million more on those exposition But instead with Facebook I lost really more than half of what I did This makes me understand that I need always even if I have a lot of years of experience I need always my hard stop loss and my risk When I trade especially if I treat also options together The point is when I saw this uptrend over here I was looking over here for an anticipation of the the short and I traded against this level here against my guide Because I was the day looking more at the four hour the one hour that it was fading And then I didn't stop where I had to stop over here I took a stop just over here and basically if I see this I say, oh, that's not a short Everything is green. Everything is still going up. The jail is about the 200. I'm so stupid I can tell you that when you talk about Big money and for a small account big money can be even a 10k for a big account big money can be one million or more Then your mind Try always to find some excuse to confirm your wrong trade. Okay, so instead be humble make a step back and Recognize a stop and get out So look over here. This is Apple This is our trading range and we are forming like we said before higher lows are highs the trend is definitely long Okay, so I learned my Lesson again and again and again. I'm not trading short over here Right now I would think oh, let's take short because we have the daily resistance We're probably going to reject and we're maybe going down Okay, I said already two things that go to not confirm my trade. I said probably and I said a maybe Okay, so if I look at the one minute chart One minute chart tells me exactly how is the correction arrived today? It's basically lateral if I look at the five minute chart. I can see it's lateral So my point is and remember this if you study my strategy You know that this is the 200 exponential moving average. Okay, is what I call the institutional moving average You can use a 20 ma 20 sma. Let's not debate on this. Everybody's different. I prefer to be me It's a little bit more smoothed We have the five minute zealons the three minute zealons the one minute zealons So if the one is above the three is above the five is above the 200 we have a strong bullish trend When these start to get intertwined like in this area like in this area And you can see that they're not like separate together separate from each one, you know see this Then we have a lateral trend. So over here. You can see that they're separate in this case We have an uptrend over here. They are lateral So it's basically or a consolidation and can be or distribution or accumulation, you know Consolidation can always be to face of the metal Distribution or accumulation distribution in case there's a top Accumulation in case this is just like an absorption and then we move to higher prices When I look at book map my heads, I would say Becomes clear in the way at a side things Because I need to know am I looking this eventually for a short or I'm a look at this eventually for a long, okay? And I need to look at book. I'm not just a today I need to look at book book map every single day So every single day for the next four or five days I will take up book map put Apple and look always where we have the majority of buyers and sellers So if today, I'm looking this chart. What do I see and Bruce will agree with me He will say J between 182 and 180 181 and 182 We have the majority of red prints. So of red sorry of red volume. Okay of sellers this year over here and Then the other main resistance is 185 190 Tomorrow or in four hours from now tomorrow in two days I will again upload Apple put book map and start looking if these big areas of resistance They were removed they were executed and or if they're still over there if they're still over there and I still look for Let's say a Distribution pattern I would like to see that these big areas of resistance of star coming down So basic is like like stair step down pattern When we trade small caps you start seeing this pattern in today So you start seeing really the big resistance coming down and they bring down okay So following over here the the price action when I see big caps This can happen in hours or even in days and sometimes you will recognize the same amount of orders Okay, so now 182 over here is more than one big player But if you put attention on this you will see sometimes the same big order that is moving down And you will see them maybe after two days three days So this is a tip that I never read anywhere When I when I listen to almost every book my beat out there, so I'm giving it to you Okay star put it really on your paper. I have a sheet paper where I put this stuff I want to trade Tesla tomorrow every single day. I will notice Tesla support resistance levels on order flow Okay, when you trade you have to be ahead of the game And you cannot leave anything to you know the fate over here So apple right now tells me we have the majority over here of distribution Because they're having a huge amount of resist above. So I'm looking more like a possible pullback Okay Pullback would be confirmed if this level of resistance start to get to 180 179 178 So stair step down pattern uh traders I've been talking over here about 30 minutes of the about this Any question is a clear? You can write an advanced webinar if you have any question on this Okay, buddy. Thank you for being here Okay, anyways, if you have questions just reach out, right? Yeah, and and joseph. Can can you hear me fine? Oh, yes, okay Just um for those of you who are new in here There's a cutoff limit on the stream. It's a max of 50 and basically what we've done is I'm I'm also rebroadcasting Joseph's screen So if you can't see his screen you could should be able to see mine and then see the same thing I'm seeing which is Joseph's screen. Okay, so that's why you see two live buttons there So just to let you know if you if you jump into this room you can't get into j traders Streaming watch mine is the same thing Okay, okay, uh, if Bruce this was recorded I think will be also some good Educational stuff maybe to give to the members later on but that's uh, you know, if it's uh, if it's recorded now, uh, when I'm looking at apple I'm staying with my thesis over here that this is the vision pattern But I need that as I said the Flow confirms and we have a stair step down pattern The price is basically bouncing from that 178 and it's still in this trading range So for me today apple is not to be traded until the stars see their stair step down pattern If I'm looking instead at baba, oh, this is fun So this morning I was in the streaming and one member came up to me and say j look at baba Baba with pitten is one of my best stock to trade short I love to short big caps and if you cannot short big caps, there's no problem You can buy simply weekly or monthly options Don't think options are hard to understand if I did you will do it better than me Baba over here has two, uh, features One the spread on the, uh, option is small low premium And the second thing is that baba when it washes washes big remember the market goes up in one, uh, I would say In one Minute and goes down in two minutes. So always one to two always sells off faster twice faster than how it goes up When I'm looking at baba I can see a downtrend. Okay How to use options Over here on baba. We'll cover this one second So j lines over here is faster is, uh, uh, below the j lines slower Okay, so the 70 29 is below the 202 be simple Each time you go to the 70 29 or the 20 and you have a trend line break and break the 90 may That's your opportunity And your call over here to get the put right like call out to get a put option If I'm looking for a daily chart, I'm not looking for a weekly option. I'm more looking for a A monthly option Sometimes I will get two thirds over here of the stock And of what's left of this one third, I will get one fourth of weekly options And, uh, sometimes maybe even two fourth and the other two fourth monthly when this goes 100 When let's say it's a Tuesday that I buy them Then I start adding over here position with this and this into the monthly option spots And how do I calculate my targets? Okay So let's say that the distance over here from Over here, let's say the distance over here triggers from, uh, uh, this previous relative high relative low To this previous relative high. Okay in this case, let's say it's around 30 bucks Okay, then I will measure the same distance from here to the first drop If over here I have over here a distance of let's say 40 Almost 45 points. I will measure over here the distance 40 45 points So basically from this dip over here, sorry 40 45 So basically I want to see that previous low breakdown for the same amount that we have to bounce off And then I cook I will continue to trail for example with lower highs lower lows So in that case if I'm looking for let's say a target 140 and we're over here I will look for 140 monthly puts I can stay five six seven weeks out Uh, the point over here is to look where is the target? If I'm thinking something will reach 280 And we are like a 210 I will start buying 260 to 70 to 80 calls. Okay monthly Now looking at this thing today It made me laugh because This was the only a plus that this morning I had and I missed it. Basically. I'm taking some days off another trade And we had this trendline break this I traced it before we had the open. So this is a daily chart Yesterday we had already the breakdown and this is hourly hourly makes you understand everything. Okay So we had the breakdown over here and then this morning pop and fill pop and feel where below this important relative low So looking at your one minute And then looking at book map you can see right away the trend So we pop at the gate We start looking at this price section And you can see that we go up and we have basically no resistance that I can see. Okay Maybe we can have some arc which is not over here. Uh, we say, um Placed, okay Which is not visible, but I don't care too much of that. I want to look for the price section And then at the second moment we start on the lower high over here forming a big resistance of tank around 10 k This resistance at the one 1380 is basically this level over here. Okay, so we form a top And we form a lower high The five minutes is above the three minutes above the one minute and below where view up in 90 m So we have everything for The bearish mode Boom Once we start having over here a fail. Okay off this level One 13 and 20 one 13 and 30 which is basically the pre-market low. This one is done my risk Heat map and then I can decide to trail this all the way down Until they'll start making higher lows. I'm not really looking over here to trail the entire position Uh, the main error that I see traders do even in mentoring is oh, I see a support jam covering everything over here with really no reason Support doesn't mean that will bounce support can be even somebody that is long That it wants to get out over here on a stop loss Or maybe he's long down here like from previous days and he wants to get out So it's still in order or maybe it's even like sorry Me even like somebody that maybe wants to buy the dip and start like to average down because he thinks that we'll have a bounce So doesn't mean that this is an important support. Oh right away. We'll have a bounce Don't make that error Wait, how it reacts their support level breaks and then becomes a resistance rejects So you have the confirmation of being a short Okay, this is mainly What I believe that what I've seen that book map traders do Is your support or that has to be a bounce? Absolutely No, how many support you see in the market? Okay, and this is also an error that I still do from time to time. Okay Uh, now baba for me, if you get to the 115 and 60 115 and 70 jailer rejection can be another short Tesla This is the uh reason Why say that support does not really matter If you have then a breakdown and a rejection of that level And matters is that when the support creates a dip and then we start having higher low supports like this over here So this is how the price section moves so Relative high relative high relative high relative high. Okay, and each one is a lower high At a certain point this relative high is Breezed by a higher low and a higher high So in this case we start reversing the scenario And this is where you have your trend break can even be a small pullback to the j-lines. Okay But basically that is the shift in momentum that we have Any question traders? Uh, is it clear? Just a a quick note for for traders new in here people like myself When you click on j traders or my uh streaming screen Uh, then if you want to reply like in the Hashtag advanced dash webinar room for chat Um, you know what you can do is you can uh, you click on the screen or the sharing or the streaming screen Either mine or j traders lower right hand corner. You pop out that window You can put that any place another monitor, etc Then you can go back into discord into the chat room And ask questions in there. So just just to let you know about that Yeah, basically traders, uh, bruce is saying right over here advanced webinar if you have any question Uh, what I mean is uh, we can look some things together today being the market has been very slow And I think it can be a very good educational day. Okay All right, let's look again pixie if he's doing something over here Is bouncing This is fading still co cp nothing isig nothing Baba, okay, let's start looking at baba. So we have a resistance at 111 is 68 You see over here that the bar is forming the first lower high So this for me is right the first short that we can have And at this point I'm looking for this short And this is the first target I need to wait to see how it reacts with the 90 may if it breaks the 90 may I want to look for the lows if it bounce from the 90 may then I want to put the stop to the 111 68 or 111 70 so I'm looking at two things over here price action to work in my direction And also to see these sellers And when I see these sellers, I want to see below the nbb over here a line to make lower highs or low You see that's holding this micro support 1154 Is basically making a wedge or a pennant actually more a pennant and that's a trade. Okay So why this level to trade because this is called jail and rejection What do we have with the jail and rejection? We have this double top into the heat map over here Now we need to break the slow one 11 111 50 90 may connect the support if this bounces from the support then I move my stop break even Okay, so the process basically this is very easy. You look for the jail and rejection Okay, uh, when I say jail and rejection is basically this Look yesterday Okay, this is a baba yesterday J line rejection J line rejection. So this is a perfect example of jail and rejection breaking that 90 may you can see And it's fading until the previous law. So it's the first example that I explain you right now the first This is The second one is that we get this jail and rejection. So this is the j-line And we really get the top over here, right? But once we bounce from the 90 may you take the stop in the money or break even Then we have a second diet over here. You see the price goes above and below the j-less j lines rejection fades until the previous law Another j line rejection over here Fails bounce small Comes another jail and rejection comes all the way down And what it's doing right now is basically bouncing from the 90 may. So if you go back to the baba set up You can see that we got to the slow one 111 and 50 and we're bouncing back up When I see something like this, I don't want to hold my position I want to put my stop break even in this case. This one 111 63 111 62 Let's wait now for now to see if we can stack a little bit more resistance above 1111 and 70 and this Construction can become a wall of sellers So this is the level and this is the level you see over here start bouncing They remove liquidity Some buyers over here breaking the previous high This is the j lines, right? So we're still not in a bullish mode. We're still strong bearish It's just a pullback for now You don't have to buy long over here The red zone you see over here this red zone. This is the band that tells me that we have still a selling pressure Okay, so still heavy selling pressure So on the break of this level, I want to take short If we have the 90 may it goes above that goes above we're here the jails and fills back below. I want to take the short Yes, David, so Let's look together over here. Can you explain again how to use zero determinants? Okay, it depends from the setup So when I'm looking for everything out there Considering to have a 50% win rate, which is a standard. Okay I want to have at least to our return to our return gives me a small we say edge of profit because you have to consider your expenses Your fees your commissions whatever even your time even like, you know whatever So at least I want to are okay. So necessary when I calculate my risk reward I've put first of all my stop loss. So let's say I'm taking this trade over here Okay, because this bar is for my lower high And I start seeing over here a heat map. So my trade will be in this area Exactly this point over here So if I'm risking over here in this case 10 cents at least I want my trade to work for 20 cents This is basal numbers. So at one to our risk reward. Okay at least If this would be 2.5 for three, it's better. I can tell you that I'm looking always for 3R When I have then the price not working my favor. So the price section over here reversing I don't need to stay all the way to stop loss. I can take it and cut it something not working cut it. Okay The other thing is if I'm looking instead for a trade and the trade is working Then I always look for the previous support level in this case if you see this 1110 1111 Sorry 111 And 111 20 I'm looking for this area here We have some support over here some support over here Which is the previous law if you break this previous law and then I'm going to trail with each lower high and lower low Like this. Okay. Hope that makes sense. But this is only for big caps Jlan rejection Okay, then different scenarios different trailing style So right now it's bouncing. So I'm not really looking here to take an uptrend short But remember what happened yesterday? Yesterday made basically the same thing Okay, we are over here. You can see the price went above the Jlan's. Okay, so at this point you think oh, wow This is going up. I'm not looking too short. I'm better along over here. Right. This is a beautiful breakout No, look what it does starts make a lower high over here on this bar over here Just the Jlan's 90 may is cutting down Boom you take your short and you take this beautiful and wine and you don't really need more than this This is one buck per share Okay, so this is your profit You're gonna trade short you put stop over here like 20 cents and at least you're gonna take over here at least average 3 r So 60 cents of return Now let's get back to this one over here Right now I'm still making higher lows and higher highs. You see our lows over here So I'm not looking too short this until we make this higher lows and until the 90 may is below this Is above sorry this Jlan over here So what happened over here? They form support. So somebody trying to reverse over here, Baba trying to bounce it the previous relative resistance Resistance then we have one more up here So you see this big level over here support we have This 1170 Still making our lows still pushing of the VWAP Remember it's not that price above the VWAP Then we are bullish. Okay. We're still right on the day We're still below the open level. It's only bouncing for now So how it broke the pre-market high. Sorry. How broke the VWAP we can have a fill the VWAP So When I'm looking for these patterns, let's say I'm looking for it now to fade over here I'm waiting if it fades good if it doesn't fade. I'm waiting I'm looking for a trendline break and I'm looking ideally if these big support levels, they're gonna cancel. Okay, so they're gonna Simply cancel from the from the tape over here. Okay, creating a first resistance at 112.06 Okay, Sam over here is asking how I use volume dots Yes, so Let me see if I can give you some example over here I made some videos Even over here on book map Especially a webinar that I remember where explain how I use the dots. So Go watch it, buddy But I'm going to explain you With one example what I mean strong for now. Baba. Okay, so who is familiar with the Um With absorption Anybody's familiar with that Okay. Okay. So look a few things over here. I'm gonna show you four examples Let me know if you can see over here this example on book map Um, let me reduce over here the zoom Okay, so this is not really to look too much about the The price section but really to look at the dots, especially When we have this fader so The price is going up and we know this the same example we had before on ygmz or pixie At a certain point we have you see the level of resistance over here this red one This means that we have in this moment sellers And two times you try to break that Um Resistance where we have the 118 18 sorry dollar resistance And this is called absorption. So the bigger dots in this case represent the higher volume versus the small dots over here And for the fact they're trying to buy over here, we have the use amount of buyers They cannot break and that's absorption. We fade again. We fade more we fade more And then we create another level of this red resistance. You see another heat map They try again to buy so they try over here to prop it So they're really using some size on these ones. They cannot break and again starts to combine Stoke over here. See the big dot Soak the support bounce from that So it's basically like not always but these levels will create a reversals each time that you have them Okay, this is just like one example that I like to show you over here on absorption Or in this case even reversals um Another example is for me looking instead at the way You have a certain configuration with the volume dots, okay Look over here twitters Exactly trade exactly exactly exactly exactly I like the imbalances as well So look over here twitters This example over here So you see that the price is going up is going up is going up and you have sellers and buyers more buyers small sellers more buyers small sellers more buyers into a vwap And into a level of heat map that level of heat map is this j-line over here And you can see the spike to 650 also Start looking always when you trade less than 10 dollar stock at a half dollar number When you trade instead stocks of 50 plus dollars look at the whole round dollar numbers When you have the pushing to this level of resistance 650 you can see that we have the buyers That they basically exhaust they cannot push anymore and what happens next you have only sellers This means that buyers are Basically exhausted. They're not any more present over here in the book or if they are They are simply very small The fact that instantly in few seconds we have this fast wash means that the Amount of selling pressure is big. It means also that the buyers are very small versus the sellers Until we get into this six dollar level, which is our support Uh, believe this was the property the previous day close And also we had another j-lines over here. Okay Joseph if I can just butt in for a moment and I kind of nip this in the bud, um Before we you go further with it, um the way that we have been describing Or defining um exhaustion and absorption Uh and just trying to be on the same page with everybody. That's all. Uh, that's why I'm bringing it up right now Uh is that in this example here doesn't Exhaustion is basically the lack of aggressor trading. So it has nothing to do with the heat map Uh, the heat map would be would show more about absorption Uh at a level, uh, but if they're if like let's say like in that little example you're looking at right there Um, it's actually there's another little retest there on the on the buy side A little kind of lower high there. Yeah, right in there and then there's that you see the red line up above it That's just the best offer. That's where it's exhausting out. Um, Okay, okay. So the the the other spike to the upside though. Basically, it looks like it kind of tagged into that 650 Um liquidity there and that would be more like absorption Mm-hmm. Yeah. Yeah over here. We have some Absorption and over here we have exhaustion. Yeah, exactly. Yeah, exactly So and then then you can kind of piece a couple things together like it cannot even make an equal high and we don't even have buyers up there That often traders call divergence And you will see sometimes with even different amount of volume and the divergence to spot these levels over here to give you More confirmation. Yeah. Yeah, so that just just the main point was uh, you know, I just Want to nip these things in the bud and get everyone on the same page like uh, uh in the in webinars. That's all Exactly exactly exactly So let's see over here the questions. Okay. Is it clear these traders? If you have some questions just reach out in the trading advanced webinar Thank you. David. Thank you sam. Okay. If instead we will see The heat map being removed often I can tell this is very very often if you trade stocks nowadays You'll see more examples where the resistance is removed because basically big hands uh go to hunt stop orders And then that is uh, let's say over here. We we are short sellers You're gonna stop out if you're long You're not gonna buy and then they will fake out the breakout just below You are long you will stop out If you're short you're not be short anymore because you already stop out and what they will do the big hands will dump their size So they really go to hunt your levels Uh, often they create stuff moves. Okay. Stuff moves is a very fast breakout of a level and instantly Uh, um a fill of that level. Okay. And that is to gather with Absorption liquidation and in this case also exhaustion. Okay. They work all together When the exhaustion of it when sorry the absorption over here is really finalized what they do They're gonna break above so seems like okay Absorption went the way they're simply in control over here the longs, but that's really what they want you to think Instead what happens they pull the product they pull the rug over here They basically give it that fake illusion that we all have a breakout right away. They slam it below And over here what happened you won't see any more buyers because those buyers have been exhaust Okay clear guys Yeah, we can see Especially man, look at the selling pickup Yeah, yeah, but we see often this you never even this morning Uh, when we were looking at the market, uh, let me find it over here if I can find it again Was uh, i s i g Okay, one you can see it over here. Okay So they go really to stop that 25 All right, and you can see I'm gonna put even the dots over here You can see they go break the 25, right? So at a certain point over here, they're trying to absorb But then they break out. So you think really this is gonna rock this gonna push 25 big whole rondola number What happens over here? They pull the rug boom right away. They stuff in they send it down like in Look in five seconds. They dump it One buck almost of dump over here and then they create this unwind So that's the stuff That's also over here the absorption doesn't work. They push back up. They pull the rug boom Longs are exhaust. Why they're exhaust because you don't see anymore these longs have the power to push again to the previous side That is Okay, makes sense guys and gals all right So at this point, I will say to follow i s i g because it's basically the one that have is having a lot of liquidity If you have to ask me jay, how would you trade this you cannot trade this on a one or five minutes hard for my experience um You have to look this on a higher time frame Start to look at for example it the daily or hourly and start looking at the patterns So this is not a day one This was day one then it came up Came down this is for me like a dead cat bounce. Okay, but it's a day two of dead cat bounce And what is the edge over here for me that's today. There's no edge We're still up trending. We're still above the jay lines. We're still above the previous day high We're still above the previous day close so or We're gonna have for example a fake out the v-wap over here and stuff like we just explain and then we're looking for a short Otherwise i'm looking for a day three kept down too short When i'm looking to long this only if this 90 may will be above the v-wap and then I have a considerably good long high wind rate setup Otherwise i'm not looking to trade. Okay, so three scenarios I'm looking for or a stuff. Sorry I'm looking or for a stuff Into the share of the v-wap or if the 90 may breaks the v-wap and we start curling the upside or day three get down play All other things tested big tested with numbers is basically for me a higher risk Okay All right, so let's continue to watch this over here. So they created a micro support Actually, I prefer to use this over here like this They created a micro support at this 23 and 65 So 23 and 65 Yeah around this level of here. Okay, this level over here. Perfect So we can do this Okay, so this is the micro support micro support Price over here is very tight But something like this will fake out so many times. Okay, so i'm not really looking To trade this for now just showing you the examples. This was the health level of before This was the previous level of main resistance 25 30 25 50 area And now the support 23 65 and the last support we have around 23 Joseph what's the um Uh fundamentals behind behind this one because isn't it kind of odd to see like a couple days rise like this Yes, so this first of all traders is up because yesterday had a huge short squeeze Being this a nano float of less than 1 million When you have a volume traders Yesterday was treated more than was treating more than 45 million volume So more than 45 times the float means that I had always float rotation. Basically, I believe one every 10 15 minutes It was crazy If you look at ISIG, we know that it is a very small market cap 42 million 916 k float institution ownership 22 percent Over here, we can read the news, but it's not really about the news traders. It's about really the Float that now I believe it will be considerably high Because a lot of shorts are still squeezed especially with all the fake breakings that they gave yesterday And we have also over here Let me see. Okay, this one a very low low cash So if you look at this company, they have 3.65 million of cash. Okay, so follow me with this They have 900 k off a net income negative And then they have a burn per month 724 k. So basically this over here They're probably going to have I believe this is not even that real They probably have like cash for about three four months the most And uh, I want to look at that dilution. Okay So there's a long process over here You go for example in the last thank you start looking at the FNS 3 You start looking at the FNS 1 you start looking at that warrants or whatever you want We try to do this very fast Warrants nothing over here. Let's see the dilution. Let's see ATM There's even a faster way you simply go over here I go and dilution tracker one second Rxig And we see that the company they claim to have seven months of cash and we have no dilution So we have a potential traders Sure squeeze even today Because this company still didn't file any kind of dilution So it's not that they have a process of offering right now soon Maybe today they will come up with something or even tomorrow So when I see something like this, I don't have edge on my side by my side Therefore, I'm not looking to short it. Okay The only ways I will look between this is if I have or the stuff over here Because it's a technical pattern that I can scalp it Or if I have a day three get down Okay So those are the main three the other setup as I said is if the 90 may so this red one Goes above the view up and starts curling. That's a very strong pattern for me to look Especially you can see over here yesterday when the 90 may goes above the view up You see this push goes from 20.40 up until over here 23s So that's what I'm looking right now Until then I have to wait because I know they will trap fake breakdowns Fake breakouts over here fake absorptions then exhaustion and whatever they can do in order to trap retailers Okay Traders anybody following small caps over here If you have questions about dilution how they move just ask I'm just starting to wonder if maybe you're behind some of those short squeezes myself Joseph no body you and you and the trading floor over there Oh, it's readers no really start looking at really this manipulation And especially When You think shorts will be trapped Those are the best form of manipulation that will I would say end up with short squeezes. Okay. What is the best for manipulation manipulation? Sorry Trapping traders below a breakdown So a break of support or below vweb because everybody Always think that view up crack is a view up short. No, it's not like that In this market Micro float fake View up breakdowns are often fake breakdowns that they reclaim and they push it All right Yeah, just to be on record. I was joking, uh, joseph. So, um That's how everyone knows that. Um, it's a very serious, uh, allegation. So Yes, I know I know I know because there were traders in the past. No, I'm not making any names, but They were basically involved in Pumping the the trades and I mean, this is really like immoral. So Let's uh, let's continue to trade readers and really learn these patterns because it's really how to you understand the market Okay Any question No, I think uh, we've answered all the questions in here joseph Okay, so Uh, 1130 traders, uh, oh, maybe david over here saying something. Let's see First of all, let me know if you enjoyed this if it was pretty clear If you liked it If you have any critic or things that you would like I cover next week Uh David just a quick question an absorption being in progress on babus. So I can give you my read Oh, you mean this over here Yes, absolutely Absolutely, buddy they have sword over here and uh I'm gonna do one thing with you Volume dots Yes So it's good even to put this visual over here of the dots bruce. Do you ever use this? The total volume. Yeah Yes, you find it useful. What do you think about it? Um, I um, yeah, I mean, that's what we've had for years And then we switched over to the delta uh dots And the visualization is just so nice. Uh, and the delta dots that we've I just stay with that 99% of the time Okay, okay. Okay. I usually uh use volume delta But from time to time I start looking at this. I like to see what happens inside I think it's very interesting. Yeah And uh, yeah, that's that's an absorption, buddy And then they they're they're just like push it over here. I want to look at baba. What level is this? Oh, wow near that 110 over here We had the dip of 110 38 and then okay. Okay. Okay. So you can see that We went above jay lines and then we fell below this right where we said before If now we can crack and confirm below this one 1150 can go all the way down. Okay The reason why is because it's closing below the 90 may And because remember what I said before don't think is because we are above the view of this is an uptrend No, all the markets over here is screaming strong bearish Okay All right, so again, uh game over here, uh A thank you to bruce because he's organizing this very good. So I think he's a really good host Uh, he deserves like uh your uh your like, okay Um, see you again next week. Thank you again bruce and book map and uh, good. Bless everybody use a stop loss always Okay, don't do like me on facebook Thank thank you so much joseph. Uh, these are so so um deeply appreciated. Um, uh For a long time. Uh, you've been doing just great work in here. Uh, so Uh, happy new year and uh, we'll see you uh in 2022 Okay, bueno nuevo amigo mio. See you next year. Bye. Bye. Ciao. Ciao