 They held very well considering on support, but it didn't really go anywhere. It didn't go over yesterday. It's high, but it held. I mean, it held support. I don't know where we go tomorrow. We should gap neutral and rally tomorrow, gap up. If we gap down, we're going to break and fall in here again. So it's truly to say we're going to gap by tomorrow morning early, but we did hold in here. I know this doesn't look fabulous, and I know we had the big rally up, and then we came in and closed with this little doji guy here, but this isn't bearish, okay? So we held. It's not a stronghold, but we did hold. That's fine. Let's look at the queues. And the queues is a lot better this morning. This morning it was holding in a weird placed gap. It was like not a big gap up, but it wasn't a gap down. It was a gap up because we closed here yesterday at 107.16 and we opened morning at 107.33 and we did rally. We did rally up today. We just couldn't get going with it again. We couldn't get over yesterday's bar. So it'd be very interesting to see it. And it's better if the queues we gap up here tomorrow. Actually gap right up here in center, but right on the support and then rally, but I don't know. We're just neutral here right now in the post market. So we'll see what we gap tomorrow morning, but in an ideal world, the market gap's up tomorrow actually in both ETFs. So does anyone have any questions? Before we look at the stuff for tonight, I know that Alan had a question. In fact, I'm going to pull up Alan's question. Let me just, I forget what it was exactly. Let me look at it and anyone else have questions because Alan emailed me a long question and I said, you know what, I'm just going to answer that in the room. Let's find it here. And in the meantime, anybody else writes their questions? Okay. Can everybody hear me? I'm going to read Alan's email. And this is probably a question a lot of people may have. First, I'm going to read this question and then I'll put it back on the chart to show you an example of something to answer the question. Okay. He said, I noticed you risk 1,000 to 1,500 per train, but you put up over 50,000 per train to make 1,000 a day. Unless I am missing something, I used to day trade several years ago and I needed over 25,000 in my account. And he's saying, basically he's saying what he's talking about, about margin. And then he's like, I thought I'd write something about a margin account. You mentioned to me in one of your emails. So that was a just a question. Okay. Now, first things first. Well, let's go to my old favorite here, J.P. Tunney. There's two types of trading accounts that you could open up for yourself. One is a retail, well actually there's a million types of trading accounts, I shouldn't say this too. I'm just talking about to be an active day trader. You want to actively day trade when you're in and out, in and out, five days a week, you know, 20 days in lines as many times as you want per day to be an active day trader. There's two types of accounts. You could be a retail, open up a retail account in which case the minimum balance to be active as an active day trader is 25,000. Your margin is approximately four to one. There are some stocks, symbols, some ticker symbols that have a higher margin. You don't know that unless you ask the broker that's not most stocks. I'm just giving in general, it's usually four to one. Every once in a while you'll have something that has a higher, it'll take like, you have to have 30, 30, it'll take like a third or something. It'll take more, it'll be more cost positioned to actually get it, I feel like 33%. But in general, it's four to one. So that's at a retail place. There are something called a proprietary day trading account. You open up an account at a different type of firm. It's called a prop broker. And at those places, it varies the amount of money that you have to put up. Some places you have to put up 5,000, some it's 2,500. Some you can open up an account with $1,000. There are many prop places out there. You have to contact them and ask them their requirements. Can you be an active day trader with them? Yes. How does it work? You're getting margin based on what that broker is giving you, which sometimes depends on the size of your account, your ability to be able to train, your relationship with the broker, okay? And the place itself. So some of them will give 20 to one. In other words, if you have $5,000 in an account, you could trade with what was being the equivalent of 100,000 in buying power, which at a retail account would be the same as if you had 25,000 in it. So the advantage, obviously, of being at a prop firm is that you don't have to put up as much cash each day to take the same size position. What Alan was saying, and this is where I'm saying I was thinking he doesn't understand the day trading, if a position is, or stock is $10 per share, if you take the $10 stock times 5,000 shares equals what? That's going to be the equivalent of what you would need, 50,000 in buying power, or you can call it margin, all right? You don't need 50,000 cash, all right? Does everyone understand? So if you had an account with 25,000 at a retail place, you'd have more than enough because you have approximately 100,000 in buying power. At a prop place, you might find a prop place you would. You, there are prop places that if you had 5,000 in it, it would give you 10 to 1, or 50,000 buying power. You could take the same position. Does that make sense? So the buying power is the cost basis of the position. That is what you need to have to even take the position. The risk amount, though, is not the cost basis. And I think this is where Alan was confused, and a lot of people are confused that are used to investing. If you are, if you have an investor mentality, what was the one in here? Let's just look at our age. Oh, no, our age. There we go. What is the, and what an investor mentality is, if I have to put up this much money to take the position, what is it going to cost me, and how much am I going to make? But you're not, you're putting up whatever you take in the position, which I'm going to show you an example, but say it's $1,000, which is what Alan put in the email. Your risk is only $1,000. If the trade fails, that's all you're going to lose. Where you put the stock, if the trade fails, you're stopped out. You're day trading your flat every day by 4 o'clock or way before 4 o'clock. I mean, I'm done trading in the morning. You don't lose the cost basis of the position, but you do need to have the cost basis there and the margin to take the position. Does this make sense, Alan? And many, many times investors don't understand this who are used to coming from that type of the market, that side of the market. Let's go back to 6x9. This is a good question, by the way, and I'm sure this will help some people and anybody, anybody that has any other questions in the meantime right in the room. No, PROF, I said, P-R-O-P. Can you hear me? And let's just use this example here to make it easy. Say you shorted R-H here, okay? 50 by 75, say you shorted it. I'm just trying to make it easy. 50 by 75 is what? That's 25 cents. 75 cents is your risk. So if you took 1,000 shares and you put the stop at 75, you're risking $250. But that's not what it cost you to take it. What it cost you to take it is $29.50 times, the X is a multiplication sign just so you know, 1,000 shares equals what? And I don't even remember if this had an extra cost basis in it for the buying power. I never worry about that unless it's an expensive stock. But let's just assume this is straight on, 4 to 1. There. Gene, I thought you were at a PROF site. And Gene, I thought you were at the lecture that the company gave the other week. Weren't you here for the conference? Tal will send you that information because I think he taped it. I'll address that again in a minute. But does everyone, Alan, do you understand here of this position if you took 1,000 shares of this RH? So you would have needed $29,500 in buying power to take it, okay? But your risk is only what? $250. If the trade fails, it did not fail. Now, what would you have made in it? Let's just say you got the drop down and since you moved a buck, are there about? Yeah, I did. It moved the dollar in the first move. So you would have made $1,000. The profit would have been $1,000. So that's a good train. Why? Because you risk $250. You earned extra land, which is not what we do because we're day traders. But investors' world, quickly, quickly, quickly, how much percentage of retirement and investment is at any rate? It's insane. So I don't talk like that. Yeah, Gene just said it, 400%. If I start saying, well, Melissa, because it's the name of the show of the television show and it's a great name with alliteration, the fact is you can make millions of dollars in the market. But we're not looking to make that one trade. We're looking to have a good amount of profit each day that we get a good gap with a good move. But I don't talk like I'm investing because if we talk like I'm investing, the numbers would blow people's minds and no one would understand anything. And everyone would think I'm making it up. But the fact is I'm not because I just showed you why that was a 400% return on investment. But the investment you're making is not $29,500 because if a trade has failed, which it did not, and this is why I like to day trade or do options because my risk is fixed. If you take a swing trade or an overnight something, you got to be able to suffer through the ups and downs of a position. You know, you got to be able to do it. And always be trained where you will sometimes take a trade and it loses. There will always be. This is the nature of trading, okay? What you want to do and what you should be doing, and if you want to do this and you want to get serious about it, it's finding something that works a lot. Period. End of story. And where your risk is confined, meaning the time that you're in the trade and the amount of money you're risking that you won't lose more than you, then you take the trade to risk and the profit is there that it makes it worth it for you to take the risk at all. The number of times the trades work and set up and also the moves that it makes, for example, in this, okay? That's what makes it worth it to trade. But the moves that I do in the gas pass and quickly in the morning, which is why I like to do it. But if you are in an overnight trade, your leverage is two to one. But to be honest with you, you really kind of have to look at it more than that anyway, because if you don't have a staff in which you won't because you're doing an overnight, what if you get up in the morning? This is the exact reason why things are so good in gas. And let's just go right to one from tonight. We're just going to talk about live right now that's happening. Well, this, yeah, let's just talk about FDX. This was done a lot more in here earlier. So this is gapping. You see here, this is the clothes. The clothes at 164. It's not down a million miles. At one point it was down here. To see this, it was down at 158.50. That was terrible actually, but that is not holding that down in there. But so this is kind of neutral. It is down, but in the first bar when this had earnings, which is reported tonight. This is a lot of earnings. Love it, love it, love it. You just pick up the phone. You call the 188 and number. They have a package that comes. They come immediately. You don't have to do anything. You have to go there. Anyways, here, 164, okay? So this is where it closed. Like one second into the closed tonight. At 164 you bought this. You're down in this. Well, here you are. You're down $1.45. We day trade. And so as a day trade, you would not have this kind of risk. Cause like a couple of minutes ago is like you see here 45 minutes ago or something like that. It was down at 158.50. You're almost down. Woo, you were down a lot. Okay, you were down like almost $6.00. There's nothing you could do about it. Unless you want to kill it and get out right now. And it might be hard to get out. Might be actually hard to get out right now in the after hours. So you probably will wait and you'll wait into the tomorrow and you'll see exactly what this is going to do tomorrow that you'll make in the determination. But to be honest with you, this chart is fine and it looks okay in here. Oh, it doesn't look as good as it should. But it'll probably fix itself around again when the market, when the market makes and you'll have it. This could look a lot better actually. Now that I'm looking at it, this could look a lot better than it does. It's still not bad though. But tonight is a gas. The point I'm trying to make is that, you know, even if you were on a margin, of a normal margin, two to one and then overnight, you can say, blah, blah, blah. I'm only risking, say, you risk 29,500. The same as the risk that you had in the RH. The reality is you're really at risk more than that. Does anyone want to, does anyone want to say why? I mean, even guess why? I mean, does anyone know what I'm talking about? I'm not making any sense. I'm just kind of going off in a tangent here now. But this is a good question. It's a good question. And this is stuff that I just don't even think to talk to people about because I don't, I don't know what you know and what you don't. And that's why these are good things to ask. Does anyone know what I'm going to say? 3500 at risk, but really, you don't. Does anyone know? Quickly, quickly, quickly. I get up in the morning early. We can't be here till 7 o'clock. Gallagher said, yes, he knows why. Right why Gallagher often code. I think it's in, what does the SL mean? I don't know what that means. BC is because, well, what is the SL? No answer, whatever. I'm saying you just have a, or I don't know what it would be. I'm just using the example of 29,500. But just say you have a position where you have at risk, you know, 29,500. Whatever the position would be of share, it wouldn't be hundreds because of the prices. But I'm just saying, whatever. No, you're, you just have, you own the people. Burks know the answer to this by heart. No one wants to talk with me tonight. What is losses? Gallagher said, wow, that's a new word. Now we'll have to come up with another acronym. He's right though. Does this make any sense? Does this make any sense? Your losses are not 29,500. Your losses are unlimited. I'll tell you why. I'll tell you why. I'll go to write to the stock. This poor, poor, poor, poor person. This is a, this, look, this doesn't even trade anymore. I actually have this in the class. And the reason I remember is because I have it in the class that I've looked back a couple of times last year and earlier this year and the year before that and here it is, it's done. When was the last day of this where it actually said goodbye to the world? I don't even know. I can't even tell. It's just, this doesn't exist. Anyways, it did used to exist. Okay. But here's what happens. Okay. You have a stock. Well, let's go back. I don't even know what this company did or what is in it. What is it? Let's go back when it was worth. Was it worth? How is it worth actually 30? Hold on. Infinity, but it also can go down to infinity. That's the year. It can go up to infinity beyond. That's what I say about the up, but going down, it can go to zero. And that's the reality and this has gone to zero. It's going to one penny. It doesn't exist anymore. It's done. Toasty point. So the point I'm trying to make is that one of the, one of the things that makes it, I know day trading. Everyone's like, oh, day trading, day trading. It's this and that. The other thing, it's hard to learn Melissa and, you know, I've done so many classes and there's so many systems and nothing seems to have the, have the level of probability or the consistency, but gas really do have a consistency in them. If you, if you look at them very indefinitely, which I do, which is why, you know, I have this 26 point. But the point I'm trying to make is though, that if you can learn how to day trade, it is really the best way to make money in the market because you're not at risk for that long. And it's so easy to see where something's going to go very quickly for me, for me at least, okay, with what I know in the gap. I can see where something's going to go quickly. I can just see really quickly where it's going to go. And, and, and, and very often I can see in the long term where something's going to go too, but I can't predict the timing of it. So why day, why is day trading great? I can predict the timing of something's going to go there within a certain timeframe, the direction for it and a number close to it or at least enough of a move to be profitable in the trade. Whether you get out or it goes to the target or you get out when you're up is up to you, but you're not at risk more than you choose to risk if you use the stock, which I always do and always will. And so your amount of money you risked to the 29,500, you are not going to lose the trade found in body. If you had taken that risk in body, you would have lost not only the 29,500, you would have lost every think and dime in the world and had a margin call in your account because the stock went to one penny. Now you would have been well out to there. The broker would have shut you down or whatever the case may be. And these are very unusual situations, but I'm telling you, this is what happens to people. You think this doesn't happen to people, but it does. And the worst thing that ever happened in posture this month ago, I think I told us to the room, I don't know if anyone remembers here, but month and month and month ago, my broker had told me a story that when the crash happened, when all of this nutsiness was going on, it was, I think it was really like in 2000 and 2009 here. Just let me look, when this thing happened, when the bank failout was going on, when everything was like you get up in the morning and stuff was down like every other stock, maybe it was here in 08. I don't know, it was like when mortgage companies were crashing and people would get up in the morning and a company would be gapping down. Now I'm just looking at the overall market here, but mortgage companies were gapping down big and banks were gapping down a lot. And it was just, there was panic everywhere. This is all back and it really started at 07 for the mortgage industry, but things started really collapsing. It was known to the world and what was really happening in 2008, 2009. It's all the bank stuff that was going on. Yeah, it was like the fall, it was like the fall of the end of 2008 actually. Yep. And this is where I decided that I wanted to learn how to trade because I was in that industry. And every day you get up, somebody was out of business and the stocks were gapping down huge. I wasn't trading them though. But going back now, looking at it, looking at charts, you can really see what was happening here. Again, this is the overall market. But I'm saying though that she had told me a story of a person that was in a stock and then they got up in the morning and it was a person that was licensed, but they were trading their own money and they were down like a half a million dollars. And, you know, they were in a position and then it gapped down or whatever. They didn't, the company hadn't gone out of business, but they had a margin call, a giant Mungus margin call. Well, the person never met it. The person never met it and there was a whole big lawsuit and he lost his license and that was the end of the story and he didn't meet the call. Either he chose not to meet the call or he couldn't meet the call and there was all kinds of legal implications. But these are the things that happen when you're in position, you are at an unlimited risk. Like Gala had said, because if you don't have a stop in, it could go anywhere. It could go anywhere up or it could go anywhere down. So if you're in a short and it could go anywhere up, you don't know what's going to happen. If you're in a long, it could go anywhere down, you don't know what's going to happen. And that is why it is actually extremely important to understand gas even if you don't trade gas for the day trader like me. Even if you don't take one single solid trade, my class is beneficial to people to learn if you're an investor because you should never take anything unless you understand gas as an overnight trade because that is how people lose their whole accounts. And like that guy there where he lost his license and everything he owns. So I had a person email me. I'm sure he's not here tonight. He's in... Oh, what's the one he's in? I think he's in this. Sanjeev is saying, losses are unlimited not protected by stop loss order for short. Darn longs. Yeah, same difference. Anything you're in, you don't have to stop in. Here, this is the one. Here, this is a great example. And it's Robert and he's not here. Anyways, he had emailed me as an investor. He's not a day trader. Okay. He's not a day trader. So I said he wasn't interested in the class but he'd emailed me referral for broker or this and the other thing. And then I said, well, what do you win? He said he's in these, you know, metals and he's long and he's up, you know, 55% or whatever since the beginning of the year. And I looked at the charts for the ones he gave me. This is the one I said. But oh my gosh, I said, this is a terrible trade. I said, this is a terrible trade. If you're up, said you present get out. Get out today. Get out tomorrow. Get out immediately. But he's not getting out. He's not getting out. That is the chart of this ticker symbol. This is not a long. I don't care if you're up 3,000%. If you're not out, it's never over to the fat lady thing. And that's that lady will thing. Okay. If you don't have the money book, anything could happen in the trade. And this is what happens to people. They become high. Listen, this is very important. I don't know how I started talking about this balance question and going off on this. But this is so important. And this is the reason why people need to understand gaps, whether they swing trade or day trade or do anything at all. Anything. Okay. And why affecting your risk is important. Because otherwise, your risk is unlimited if you don't have a stop or know what you're doing. And when I take an auction trade, I have a set risk. It's a trade sale. That's all that I'm going to lose. Same principle as a day trade. Even though it's over night, but you're still never known until you get out of them at your risk. And if you're in an overnight trade, you can lose the amount of the trade that our investors about which there is many people in the market. Because people find it so much easier to actually swing trade than day. I have no idea why. Probably because of the fact that swing trades, you can think about it. You can look at it. You can study the charts all day and you can look at them at night. You can decide. You can watch something for a couple of days or a couple of weeks or a couple of months. You don't have to make split second decisions like I do in the trading room if you're a swing trader. I love making split second decisions. I'm good at it. I love making money quickly. And even if I lose in a trade, I'm out fast. So the suffering doesn't last for me. I mean, people will be in overnight to be down and watch them every day. That's hard to do. Okay? Horrible. The worst thing in the world. Anyways, the point I'm trying to make though is that if you're an investor or you're anyone that's in the market and you don't understand gas, gas can hurt you. But the same thing is you can make money using gas if you know what to do. Many people don't know. Many people don't know at all. And so this man has a huge amount of profit in a trade that he took. He's not out. Okay? Which I told him. He insists this is a fabulous, phenomenal, beautiful, amazing, wonderful thing that he's in. Why? Because he's up so much of the percentage. Just going back to the point that I was saying with the Allen and his question. You're out in the trade. If you're in a trade that's zero. Very low. Okay? So if you take a batch trade and you're out money when it's a little, a lot of a median, get out. Say, whoo! I got out of that one. Shhh. I shouldn't have done that. I'm lucky I got out. I'm lucky I got out when money you say to yourself. Okay? And you get out. And you damage control yourself. And you get out. But many people don't think like that. Because they're up so much like this. They think it's a great trade dollars or $50 in the next year. But well, is it predictable that you can predict this to go to $60 at all? If not, does it predict this to go to $10 before it gets anywhere near $60? And this may go to zero just like that. So the thing is that what I do with the rating system in Gap allows me for something's going to go within the day, okay, of the live day or very soon thereafter, in a couple of days after. Okay? Now on the day of the RH, the RH for the number that I wanted it to go that day. Well, I said 28 initially in the morning. Your aim target was like 25. It did get to 25. It's like four days. You could have done it as a swing trade. But in the live day and the move on this, did you care? No. Did you care? Right on this day. Whether here or here or here or anywhere, if you shorted this, okay, you could have made money shorting this in the day with a risk that was fixed and gotten out. So it doesn't matter to you that it doesn't go to 28 immediately or 25 immediately. Okay? Where something's going to go quickly, some to look at things in the long run, but the timing, no one knows. I mean, no one knows that. I can pull out the magic eight ball, but that's not even going to tell me the timing of things not even the market. So you find a way to make money that you can predict where something's going to go in the fastest time frame you can. You can do options or overnight, but you've got to use gas to predict them because it would be impossible to predict when this thing here is going to go anywhere near the high or anywhere near any other number at all. In fact, you can predict it wise because it's in the opposite direction of the way that it's trading. It's in the complete enough this is going to go anywhere near $30 or $50 or $40 or $50. It is not trading enough trying to reach those numbers. The idea for digging that it could go there and time is insane because it's not in enough. If you have a proprietary device and you can probably get 25,000 and buying power and trade. If you have a retail account and you're going to need 25,000 you will use a stop. You'll have fixed risk that you will lose the trade fails and you make money if it works. If you want to talk about percentages, some of the percentages and trades that I've taken is insane. Whether they're options or the other ones too and the time of them happens fast. For the long-term trades though, it's important to know how to trade gaps too because you can get hurt in something because you could be up a lot of money like in something like this. And when your head starts to get blow up like a big balloon, you think you've got the greatest trade of your life because it's gone nothing but up since you took it. But that's not true. And it's not true for the very fact that gaps happen in stocks and ETFs in the market and a gap can wipe out all the profit that you have in something and wipe out your whole account if you were in an overnight. Now that's not what I do, okay? Because I always use a stop that's what I'm telling you. But it is that. And that's what I do. And I see that when I look at a chart, very, very often of money being up or whether they will sell without being hurt or lose their whole account, I don't know. But no, the broker will have a margin call if that happens to you. And this is what happens with investors. And I see investors even traders that are small swing traders, but it happens because people think they know what they're doing. They think they know what they're doing but they don't because they will look at this and say, oh, the moving average is in the eight and the 20 and the 50 and the 200 frame moving average are right. So I would say, I would say, really? It's not, it's not. And this is the other thing getting back to the market where I'm saying the market can make new highs. People are looking at this and saying, Melissa, Melissa, this is gone nowhere. It's going to make a new high. But it's because I'm reading the gas. I'm reading the gas in the market and I'm reading the gas in AUI. And so this is how you know. But this is what makes it possible because so many people are doing stuff and they're doing stuff that they're that they don't have a strategy to do it. And I can't, I can't tell you how important that is. Buying support and shorting resistance is in a strategy. It helps you take trades and it helps you put in a stop and it may help you with an entry but it's not the reason to take the trade at all. It's not a reason to take it. Okay. Does that, did anything I just say make any sense? And I answer Bert's question on Nauseum but does anyone else have any other questions? Let's look at the earnings app tonight. One was Adobe and let's talk about this. And then wait, let's just quickly do a scan here. FDX, FDX looks, FDX was down and 158 something, this is nothing. Don't do anything with this tomorrow. Just let it sit in spot. As of right now, it's open today tomorrow. I wouldn't do anything with this. You can't go long, you can't go short it. Let me look at the KBH. This is up. So the builders are probably going to be up tomorrow. Let's look at this. Oh, this is okay. This isn't like fabulous. Maybe. And the other one I think was too thin. What was the other one? Easy boy. This is doing nothing. This is up a little bit. This is about like a million miles and it's too thin anyway. Busy on ones for tonight. All right, let's look at Adobe. In fact, does anyone have any other questions? If you're doing overnight, should have small, small size and trades or a lot of money? Day trading, you can day trade without a lot of money and you can do options without a lot of money. But if you're doing overnight, you need a lot of money or should be doing like five shares or something or one share or something, honestly. It's just, you know, and many people don't know what they're doing, but that is what makes it possible to get the kinds of moves and the things that we do when they gap, whether they gap up or down, you know. Okay, does anyone have any other questions? That was a good question by Burt. I think I answered it. I thought of Joey would gap up. I was so certain to a gap up. Anyways, take a long story short. I called an option trade in this today, a call. And I gave a couple different numbers. Guess what? It ran up immediately, almost immediately, like absolutely immediately. So anyone that did the call that would send you to the computer to take the trade of the month that I made the call was up. It ran up right away. This is good back to what I was saying as far as predicting what something can do immediately. Let's look at the one-minute chart here. And then we're going to talk about the gap. I know this is the night. Hold on. Here, options. You can do with day trades or you can hold them overnight. Okay? You have to have the ability to take the option in your account. Now, what's the difference with this? The difference with an option is it's easier to take them with more expensive stocks, which there'll be is because you don't have to worry about the buying power. This is what Alan was saying. You wouldn't have to have the buying power. If you took 1,000 shares long of Adobe, okay, let's say at 9850, you would need 98,500 in buying power. But if you did an option and you wanted to risk, you know, 240 bucks, okay, you could risk 240 bucks and take a position in this that you wouldn't need 98,500. You could have taken 100 shares of this, okay, and spent 240 bucks. And this was as a call today as an option. Anyway, that's a lot of a gap up it didn't. It's gapping down, but it didn't matter. It ran right up to the, it ran right up to strike price. You could have just done it as a day trade. And that's exactly then what I ended up doing. And I'm not going to get into further discussion about this, but for those of you that want to come back, I'm doing a webinar tomorrow night at 4.30. I'm going to talk about money in the webinar because I had a big discussion today about this very trade with my broker about this because it was a whole long thing about the fact that very often I call things that go right away to the numbers. And this was one of them. I thought that this would hit up to 100 on the actual earnings. It's not, it didn't. Now it very well may go there between the options expiration, which is until July 15th. But I'm saying though that I saw that this would go there and then it did, it literally did before the closed business today. How did I know that? Because I'm a chart. I just rent a chart. And it went right there. Now on the gap it's not, this isn't going to go to 100 tomorrow. No way. And I don't know how this acts tomorrow and I could all rate this gap as short tomorrow. Short it. But there was a long in this today, which I gave the call to people and it went right to the number. So again, going back to the principle what I was saying, it is so easy to day trade. Day trade options or day trade, just straight equity sucks because it's easy to determine from the gap and also watching the price action where it's going to go or the move it's going to make or the directional move it's going to make. But it's all based on the gap. You can't see this now and it's skewed because this is happening live overnight and it's actually ruined the bar here for the day of the daily chart because it's actually making the gap here now live. But the fact is that this actually was green. This actually closed here around this number here in 99.69. It actually was a green body bar. It closed close to the top. You can't see it now, but it actually was green and it actually had a gap up today. We actually got up today in Adobe and ran up. So it was a nice long in the day, but tomorrow it might be short. But either way, it would be a day trade and it was a day trade today. The moving averages in my chart, this is the 8th, this is the 20th, this is the 50th, this is the 200th show. And I used just simple moving averages. Okay. So it is easy to predict what something's going to do. It's a gap rates good. If the gap doesn't rate good, I'm not trading it at all because I feel like I don't have a high level of predictability. The part of the system that I do is the rating has to be more than 20 points. I say 26 is the tally. Obviously the higher the rating, the better, but it's got to hit over 20. If it's not over 20, it's not 20 or more. I'm not doing it at all. I'm not doing anything with it. I'm not flipping it. I'm not reversing it. I'm not doing anything at all with it. In fact, where do worms go today? I didn't do this, but I just looked at it. Well, this went nowhere, actually. I kind of think we're the one, the other one. Was it Ralph Thorene? Yeah, the predictability of the move that it will make and the time frame that you'll make it. Here, this is the one that flipped for this. Yeah. And we didn't touch the tempo ball. Ralph Thorene gasped down on the day on 6-7 and ran up like a van. She just ran up 10 points. Look at that. I never realized I ran up 10 points in the day. This chart looks like Ralph, though. I'll tell you that. But on the live day of the earnings, when this reported, it actually gasped down, but it was not as short and it rallied. I didn't do it. I think I didn't even rate it. That's how little I liked it. And it wasn't as short, but I didn't go long this. Okay. I didn't go long this stock in here. If you had, you would have made money, but it's not a good law. That's the point I'm trying to make to tell this person that's talking about this one here in the AUI. Or no, AU, sorry. Anyone else have any other questions? Here, yeah, this person's long this. It's not a good long. That's the point I'm trying to make. Okay. Know what you're doing. That's the best thing that I can say. Know what you're doing. You could be up money and not know what you're doing. Will you get out of it when you're up? Maybe, but you might not. In the end, will you end up winning over on the longer term if you don't know what you're doing? No, you won't. You'll lose. So you could take 30 trains, not knowing what you're doing. Keep trading, keep trading, keep trading, keep trading by the end of the year. You're down. If you think you know what you're doing, but you don't. But you know you had some good trains in there and you don't understand. It seemed to work on some of the days and some of the days it didn't. You know, it took me three years to develop my system. I mean, this isn't, you know, this wasn't a cakewalk in the park for me to figure it out. But I'm telling you it works because it really 10 points for something's going to go in a way of predictability for the short term and the long term. Now, I, like I said, don't do long terms unless I'm doing an option because I don't want to have unlimited risk. I want to have a fixed risk in whatever amount I'm trading and you need to be okay with that. And this is what I'm going to talk about more tomorrow night about money. You need to be okay with that and you need to know what that is. And if you're not okay with it, you won't trade well no matter what you do because you'll be trading in fear. I don't know what we're doing now tomorrow because I didn't expect Adobe to gap down tonight. I might, well, I will rate it. I will rate it as a short, but I'm not saying I short this. I don't know. And the market has to hold and could gap up or I don't know what this does, but there's a bunch of things tomorrow morning that report as well. My gut conviction is in the BBY to be the big trade this week whether it gaps up or gaps down. I don't know that since Wednesday night. But does anyone else have any other questions? I think this is a good discussion. A lot of people don't understand what I do, but I don't know if we know what to explain when I'm talking to people in a webinar because I don't know what you know and I don't know what your background is. And quite frankly, a lot of classes and places and other educational courses out there don't teach anything that I teach. So I don't know what they teach to tell you the opposite or that it was the same. So if you don't ask me a question, I don't know what you know because I haven't been to these other places. And this idea of just finding support and shorting resistance is not a strategy. I'm not saying I don't look at support and resistance. Obviously I do, but it is not to be all end all to me and it's not the reason I take a trade. It shouldn't be the reason you take a trade either. Okay. You have to have a system that you follow that has a level of predictability. If every support area held, no one lose any money. And if every resistance area held, nobody would ever lose any money. So that's not the case. It's one of the reasons why this market's going to blow when it gets up over the high. This market has made a resistance. You can say it's resistance. You can say it all day long. Melissa, it's resistance. It's resistance. It's holding the resistance to Q12. Yes, okay. I see that. There it is. Yes, but it's going to get over it. Okay. And the level of predictability, me predicting that it's going to get over it, it's the fact that I don't know how to read the gas in this chart. The gaps that are up, the gaps that are down, I read what they're doing. I don't have the reading system to tell me. That's how I was able to predict that we would hold this area, which we did, fall through higher, even though we haven't made it up over the high. But there are people that are in overnight. They're short this market and they, and they'll swear up and down. It could be, they could be up money like that guy. I just said they could be up 50 per cent. It could be up a million dollars. And they swear it's not made up over the high. And that this market is going to collapse. It's going to collapse. It's going to fall. It's going to go back down to 180. Then it's going to go to 175. And then it's going to go to 160. And then blah, blah, blah. Maybe, maybe someday it'll go to 180. Maybe someday it'll go to 175. Maybe someday the market trial will turn. And we'll actually be in a downturn and we'll fall. And then I'll short the world because I'll have to short. And I won't complain at all. But I'm telling you, it's not going to go there now. There's no timeframe of predictability that it can. It is predictable that the market will get over the high and most likely still this calendar year in 2016. It is very late in the year. I thought we'd do it much before now. But when we do do it, the move will be very strong. And it will be strong because of the reason like the question Alan said, there are people that are short the market every night. And some of them will will cover that will create buying and then some of them will not cover. They will not cover. They won't let the market rally up again, hit another area, refuse to get out, be down money, be able to weather the storm which some people can do because they have a lot of money. Weather the storm, be down. Be down, down, down on that train and not get out. And then that it is hit the top and that this is the top. And then they short it. They short more and they double down, which is a terrible thing to do by the way and don't ever do it. They double down at a higher price, they cross hours themselves up, take a larger position and the market hits over the high again. And this is, you know, it's a long and long process and I could go through a chart and give an example of a million things to show you that happening. But the point is that the way I read gas allows me to predict what somebody's going to do. Realistically predicted in the live day in a few minutes or in the longer term picture in a realistic fashion. You could say anyone is going to any number in the world but you have to get the overall direction rate in any trade that you take for the timeframe that you're in it. And if you're in a short term train where you're in it for a couple of minutes, then you got to make money on that day and you got to get found way before 4 o'clock if you're me and before 4 o'clock if you're a day trader otherwise you're stuck in an overnight. And if you're in that puppy overnight, you better be in it in the right direction of bias for the long term. And many people are not, but that is what allows us to make money as day traders on gas because of the very fact that many people are not because many people don't know how to read a chart. I mean, they just flat out do not know how to read a chart. I've trained the gas, Joe. Joe is saying do I trade relative strength or weakness to the market? I will look at the market but I'll only lose that as far as targeting. In other words, like let's just say for example, say for example, I wanted a shorter daily tomorrow and I'm not saying I do that at all and I'm not writing the gaps and I'm too tired. But let's say you got up in the morning and I decided that do it was a bit short tomorrow. How would I use the market in reference to that? Well, let's say the market gaps down. Let's say the market, let's say the market gaps down and I say, oh, the market's a short and I'd say adobe's a short then I might hold adobe to a bigger target if I thought I had the market with me. That's how I'd look at it. Or if the market gets up and I feel the market is going to hold and rally and have a big day up and I'm in adobe short, I might not hold adobe long to the dream target. I might get out quick. But I like to get out quick anyway so it's kind of a mute point. So that's how, that's why I would look at this for that. But to be honest with the NHL and a good gap, somebody could go to a dream target without the market at all. Market could be rallying up like a crazy person all day and I could be in a short and it falls off a planet. So I don't even want to say that. There's no rules about that. Do I look at it? Yes. Is that the reason I take the trade or don't take the trade? The answer is no. I might look at it for a target but then again I might not. I could have a fabulous beautiful 24 point gap and on a day when the market's power is running up and it could go to some crazy number. So there's no rules for that. I look at it, but it's not the reason I take the trade or don't. I hope that answers the question. Good talk tonight. Does anyone else have any other questions? Good talk to discussion. And you know, I think that these, all of these things, try to come back tomorrow night at 4.30. If you don't have the links, I'll put the link in the room for the webinar for tomorrow night at 4.30. It's at a different location. It's not here. And I'm going to talk a little bit about money management in that webinar tomorrow night. I think that, you know, you have to decide if, you know, why you're doing this. I mean, obviously we're all doing this to make money, but you do need to know you're doing this because you want to get in and out quickly as a day trainer or you want to be an overnight. You do need to know your timeframe for things. Personally, I like the day trains because of the facts that I can use. Stop and in and out quickly. I'm in that quickly when I win and I'm in that quickly when I lose. In minutes, sometimes they're the longest. It would be an hour or something, but that's a long time and I like that. It's less stress and you're less at risk. But even if you're a long-term investor, my system will teach you things about what positions to be in because you can really hurt yourself when you're not in something right. And, you know, it's just one of these things where in the market, anything can happen. You could be up a lot of money in a bad trade and you could lose that profit and you could lose money in the trade itself because you're not out of it yet. And it's the same thing for a trade that you would take as a day trade when you're up. You could take a day trade and be up in it, knock it out and it could pull back again soon get stopped out. And that happens to me sometimes. I'm not going to get better with it because I'm realizing more and more, you know, that the market's a little choppy here in the summer. And sometimes we're just going to have to scout something. What is the recommended minimum training account? I prefer shorting, AJAX, yes, absolutely. So things drop and move faster. There's more panic that comes in. The selling action and buying action is no panic in buying. So you have faster moves and shorts. That's why I like it and I like them quickly. What are the recommended minimum training account? Whatever you can afford. I could recommend you to open up an account, you know, about a prop play into a certain amount or a retail play is a certain amount, but if you can't afford it, then you can't do it. I mean, obviously everyone wants to make a lot of money trading, but you can't open up a $5,000 prop account and risk $2,000 in a trade. That would be insanity. Okay. You have to look at your account size, what you can afford to put up in an account that will determine probably where you train, whether proper retail, and then you find out the buying power that that place will allow you, whether four-to-one or ten-to-one, and then you find out how much money you feel comfortable mentally to risk on the day yourself. So if you have a profit account with $5,000, are you okay losing $250? If you are, you could take one trade and risk $250, or you could take two trades and risk $125. I would say at least budget yourself for two trades. But if you lose $250 and take two trades for the $5,000 account, are you going to get up tomorrow and press the button? Or are you going to have a connection and not sleep at night? If not, then maybe you only risk $100, okay? So you need to know what your risk tolerance is, and that has to do with two things. One, the money that you have, cash, and also your emotional tolerance level to risk. I have a very high tolerance to risk. I'm absolutely fearless, okay? But I am conservative in the point that I am thoughtful and no, no in my brain that the trade, if it fails, I'm not going to lose my whole account. So I'm thoughtful about it with the amount of money that I'm risking per the size of my account. Does that make sense? So I'm not willy-nilly saying, woo, let's take a million shares when I take my trade. And I have 100% conviction when I do. And I'm a gutsy girl. But I still consider the amount of money I'm risking. If the trade doesn't work, I need to know that I'm okay emotionally and cash-wise and financially. And this is about financial stability, and this is just plain flat-out being responsible. I mean, it's like, should you balance your checkbook every month? Yes. Have I been doing it lately? No, I'm too busy. Do I know that I should? Yes. Is the world going to collapse and explode if I don't balance it? No, because I get up every day and I look at my balance before I pay a bill to see that I have the money in there for it to pay the bill. Should I balance it? Yes. Do I balance it? No, I'm behind. But I know how much money I have in there, and I know when I write out the check that the check will be paid. So the reality is, don't write the check and take the trade if the check can't... Okay? I think it's a good analogy. William DeKiller, what do you think about price trading? It's good for people to start out. I think it's great for people to start out. I think it's great that it even exists for people to start out. When I started out, I went to a health place and then I started losing because I hadn't figured out my system and then I went to a brothel. So a price place helped me go through the ups and downs of what I went through, figuring out the system. So I'm not anti-price. I think you have to be considerate of where you go through the research, get a referral. Don't go to a place you don't know any place about. It's got to have the shorts that are going to do my system. All right? You've got to know the people. But in general, I would say I don't have a problem with them. If you can't afford to trade at a retail account, what are you going to do? You can still trade and go to a prop place. There's a bazillion out there. I say, get a referral. Don't go to someplace else than that. Okay? Do your due diligence of betting the place from a referral. And then you experience it yourself, okay, with the play. So I don't want to say to you, I think that's an answer name, IFB, I'm not sure. I don't know what to say to you how much to risk because I recommend a minimum trading account to somebody. I could say $30,000 to one person, another person, I could say $5,000. Okay? If you're trying to make a half a million dollars a year, could you make that with an account with $5,000? Well, maybe in Disney World or La La Land, but that's not realistic. So you've got to look at your goals and the money that you have and you've got to be realistic about it, okay? Is it realistic that over the course of the next two to five years you could build that $5,000 account up to something where you could start taking more risks to get to the point where you want to make a lot of money? Yes. But, you know, you have to start from what you have. And I say the longer that you wait to start, the longer it's going to take you to get there. It's like riding a bike or learning how to play the piano or a foreign language, all right? These things take time. You want to make a certain amount of money. You want to get to a point where you're quitting your job. Are you making $200 grand a year? If you have $5,000, you can't run out tomorrow and do it not knowing a darn thing, not taking my class or just risking this much money and blowing it all on the farm. You have to say, all right, let me get a plan of action together. I'm going to take Melissa's class. I'm going to learn the system. I'm going to risk $100 a train. Then I'm going to build up the $5,000 account to $10,000. And then after I get to that, then I'm going to get my risk. Then I'm going to risk $500 a trade. And then I'm going to start really going at it or whatever the case may be. Then you build your account up to wherever you feel like you've had it, that you've got the volume power that you feel comfortable with, $100,000 volume power you should pay to people is good. It's a good amount. So you build it up that you have that much, okay? Margin, okay? Not cash. And then you start paying yourself outside of that and then you go from there. You have to have a plan of action. And how long it takes you to get your goals depends on your goal and how much money you have. Some people have very realistic goals. I find talking to people more and more, I'm going to say this last thing while everybody goes, I've been talking for an hour. Some people have very realistic goals. I'm surprised when people email me to say, I just want to make $1,000 a week or I just want to make $500 a week. The people that have very, very small goals, realistic goals, I think is great because they don't get upset with themselves. When a trade doesn't go to a target it's some crazy dream target. The people that have an issue get upset if they don't run out, make $10 grand the first week or something doesn't go to a dream target. You know, this is real life people, okay? You learn it, you do it, it's a process. You've got to live in the moment with what's happening here. Some trades will be phenomenal trades. Some trades will be losers. Some trades will be mediums. Some trades will be small. Some trades you will never forget. If you're doing a system and you're learning it and you're doing it right, most of the trades that I call work in the entries. I'm one of the best people out there as far as calling entries and I don't think it matters if it's a day trade or an option. Almost every trade I call is up money almost the second that I take it. Whether I take it out or not is up to me though. There are sometimes when I take a trade and it immediately flips and fails and I take the loss but I would say of the percentage of trades that I actually take and I'm not talking about where I get out. I'm just talking about take or call. It's like, it's probably ridiculously high. In fact, call should just track that. It's probably like 95%. But I don't get out of all of them myself even if I'm up sometimes because sometimes my expectations for what I want exceed what the stock wants to do and I may take a trade and be up money in it. I'm not talking about a penny. I'm talking 30, 30 for 40 cents and something but be looking for a dollar and the stock doesn't give it and I don't get out and I end up with a loss. Okay? Some days that happens and I'm realizing more and more with the options with the day trades that my ability to take an entry is my seed in live market time which we're not in live market time right now. The market is closed even though we have the close market. It's phenomenal and it is because of my ability to be able to read price action in gas that I can take a trade at a certain price and predict that it will move in my direction quickly. That move could happen in one minute, two minutes, three minutes. It could be up money or it could go right to the target. The problem is where are you going to get out? Sometimes I take a trade and I don't get out and I could be up money and not get out. And this is where money matters when all these things come into play and I think the longer I trade and the more money I risk it really becomes something that you have to be thoughtful about. We'll talk about this more in the webinar tomorrow night but it is definitely, definitely something I've noticed for myself because I've increased my risk, you know, in doing these options and in general, as far as my day trip and I'm considering increasing my risk for earnings season not right now but in July. And I think that the better that you get as a trader which I am over the years progressing you can risk more money and then what does it matter if it doesn't go to the target? If the number of trades that you take in the entries that you call them works very, very high you can risk more money in the trade and the money that you get out and it's profit and you have more winners than losers and that's all that matters and this is not just in the pick and the move with the pick of the direction of bias but also in the entry which I'm very good at and you learn that in the class but it's really, you learn it in the class the fifth different entries but if you don't know how to do them you know, you're going all over the place you're buying moving averages you're buying support you're shorting resistance but it's not really resistance it's nothing actually. You didn't think I used options I started to do options as occasionally, occasionally I'm not doing them every day don't think I'm doing them every day I'm not. Occasionally, occasionally, occasionally and they're usually on something done in earnings I might take it and get it right out or I might take it and hold it overnight it's occasionally not every day I'm an active day trader for an equity trade I'm not an active options trader I will do them when I see them some make no sense to do does that make sense? Ajax, but I did start doing them last year Joey's asking me, do I share my profit and loss records with my room traders? No, I don't need to do that they're there every day with me they, they know some of them are tracking my trains some of them are doing the trades with me so they know some people don't listen to what I say a veteran in the room there's, there's no reason for the room to track it every day some people do though I told the story last week or a gentleman booth he tracked my trades for a year before he took any live trades and actually I think art of trading is tracking trades now I don't know if he's trading live or not but even the days it's not there he emailed me what I did so I think art of trading might be tracking them but I thought he was trading live I don't know so, so the room people some of them have tracked them some of them don't but they, but they know what they're doing some people have to have their own way of doing things I like to short it somebody asked earlier I, I prefer to short some days in the room people want to do a short alarm a trader gal I think is doing shorts and longs now she was just doing the shorts now she does the shorts and the longs a big fudge is starting to do longs you know, I, I prefer to short okay good night everyone have a good night when I see you if you're interested in coming to the webinar tomorrow night Paul put the link in the room if you're interested in the golden gap class it's this weekend, Saturday and Sunday and I don't know what we do tomorrow we'll have to see Adobe it may be a short tomorrow and for those of you that did the option and didn't get out when it ran up to 100 you'll make the money if we do this tomorrow in the shorts and don't worry about it but if you're in until July 15 I have to see how the gap is because if I see the gap tomorrow it's not a good short I, I would hold you to trade I would hold you to trade because if very well one go to the number you got three weeks almost a month oh okay you didn't do it all right very good all right I'll see everybody tomorrow