 All right, good morning cyber traders welcome on back here for another fantastic edition of our trader stock workshop this Tuesday morning July 18th shortly after 11 a.m. Eastern great to see all of our students and members alike here We have Grant Kathleen. We have Ravina Ryan Jith Elizabeth John just before a whole bunch of us actually from the morning session Great to have all of our students and members alike there great to have actually all of us today on YouTube on YouTube this afternoon or this late morning perhaps joining us So great to see all of our members on social media here this morning on top So first and foremost for any of our new attendees just joining us here Just allow me to introduce traders talk our weekly workshop We conduct this workshop inside our live trading room every Tuesday morning and soon to be on social media on YouTube every Tuesday morning As well as simulcast to be said so we welcome on a board all of our new members joining us But this workshop is the only workshop out of the entire week out of the entire Curriculum that we provide real education inside our live trading room in our live trading room We provide call-outs. We provide real-life commentary as far as what a stock is doing But if you're to go back and ask well, why is this stock making the move that it's making or for the stocks We put on our morning watch list why not just that they're moving, you know, those are call-outs You know, hey AI making a lower high here pulling back to 40. That's a call-out But why did this stock make the move that it made for other trades that we had from the morning session? You know the cheaper stocks like BPTS MICS hyper and all these well, hey for those that wrote me earlier Hey, we always suggest, you know, if there's any trades or questions that you'd want to go over Email me first. We got a bunch of emails that came in from Jith and Ryan and Kathleen and Antonio and a couple more So, you know, let me know if there's any questions that you'd want to go over here folks I'd like to begin with this AI move because you know, it was one that was not on the morning watch list per se Palantir was on the morning watch list was on the pre-market list. It's cheaper AI stock This stock C3 AI AI is the ticker this obviously we are very familiar with it's on our side list So we called it out from the market open But for all of us here you could see that I don't have any lines on this chart So it goes to show I didn't really plot anything out for this trade I don't know where the real entry levels were where they could have been so with that Let's actually kind of unzip this trade and go over this from head to head to toe and it's kind of see why right? And that's the real question that we're here to answer in traders talk now really quickly just for Abdul and any of our new members joining us if you happen to have an audio issue It might just be on your end there I just told Abdul here in the chat just to log out log back in now But let's kind of go through this trade to begin for all of our members here otherwise Hey, even if you're on social media if you followed Fausto in the morning meetings myself when I do the afternoon meetings Each and every week that you might know this for Grant for Jeff Ravina. I know you know this Where are we most likely to find our key iceberg levels? You know you look on level three you look on level four Well, we'll look at that in just a second But if there's one assumption that you can make where are we more likely to find these icebergs? Especially for a more expensive ticker like AI There we go Ryan and Ravina saying 50 cent levels and whole numbers So for a more expensive trade like AI, I'd even just go the whole number levels meaning 38 39 40 41, etc I'm gonna plot all these lines here just to begin. I you know, I Can just expedite and just kind of do without but I want to show you the full picture So really we'll kind of just plot a few of these to begin just 39 40 41 Now if there's icebergs at other price levels Then we'll look to plot those too and especially if those prices have larger orders Significantly larger orders compared to these then we'll respect those even that much further So what I like to do is I like to look back on book map here I'll go over level four early in the morning You know if I was very vested in following this trade AI for the market open today Meaning if I was looking at this in pre-market and deeming it tradable and like okay I'm definitely gonna get my hands on this at some point Well, you want to take the time to plot out where the big icebergs are So the whole numbers are all levels that we assume But even for reference in pre-market here for this morning. There is nothing at 40 bucks It's an assumed level, but there's like nothing really respected That's there at the time in pre-market only about 4,000 shares If I zoom out on this whole picture Well, it's easier to kind of see some price levels that show big volume For instance actually all the way at the bottom here. It's kind of a funkier price the price 37 20 roughly There's about 21,000 shares on the bid there. So regardless for any stock I feel 21,000 is pretty large, but it certainly shows here. That's the darkest red line going across the page It's there the longest so definitively if this pulls back if it were to 37 20 would be a key level for me to keep an eye on Obviously 38 as a whole number an assumed level. Well, this certainly shows about 10 11,000 shares on the bid there So, you know that actually is a defined level to watch There was something here as we zoom in a little bit closer into this going into the market open Little something here around 38 70 38 65 That was for about 10,000 shares So fairly big perhaps you could plot a smaller line around this like 38 65 or so Now outside of just that what we can even do and go a step further on is let's actually just go back to yesterday's book map Were there any big levels from yesterday? Well yesterday. Yeah, there were definitely some large prices to watch out for here First you could say 37 3950 right here But the big resistance and this was the assumed level for this morning didn't show anything in pre-market this morning But at $40 yesterday, there was a there was a key level there big iceberg for about 47 50,000 shares roughly So you still have to respect that as a level going into the next trading day There was a level up top here 4025 in case if this popped higher we can go further on that but what I really want to show you though Is this let's see how important this became as a level today or maybe even later on as we follow up on this trade Heading into the afternoon But what we tend to follow outside of the orange and red lines up top on book map and down below Especially if you know, there's a really large dot like this This represents the closing bell print from yesterday afternoon on this AI trade It's a conglomerate of orders that represent about 290,000 or so shares at 30 73 So hey, you'd like to think for that much share is that much volume being traded at that price that 3873 Should be a key level to keep an eye on for the market open today Okay, so we have this is the closing bell print from yesterday. We have 38 65 is a little iceberg level nothing too big Okay, and then let's just see what happens here in the market opened up The opening bell print from today. It's actually the same price 3873 get a load of that So it's not as often that that happens. Hey, it makes our lives that much easier 3873 is a definitive level to keep an eye on Okay, great now with that Let's just ask our students this question really quick for all of our members inside cyber group if you're joining us today on social Media, hey, just actually I'll pop this QR code up right now Just if you're fancy with your phone, you could join us grant Kathleen Ravino All of our members inside our live trading room just scan that QR code that's popping up on the screen there to join us there But for all of our members inside our live trading room, I'd want to ask you if you look at your watch you look at the cyber clock, right? What are we doing the first three to five minutes the first three to five minutes of the market open? What are we doing? Are we trading or are we not trading? We're not trading right as I grabbed my water cup Ryan says wait until the smart money shakes out the dumb money. That's my go-to line I like that Ryan says that and just says you hey look for that opening bell print in the first three to five minutes, right? Not trade, right? So that gives you the time to actually go on book map and say, okay, let's say market opened up Ding ding ding, okay 3873. That's the opening bell print for today. Let's plot that line on this chart because in the grand scheme This looks like it shook around 3873 quite a bit before it popped, right? Okay, well if you're waiting the first three to five minutes like we suggest Looks like you're dealing you're not really dealing with a lot of the shakiness to begin because by the time the first five minutes comes It breaks under these levels and then at that point you're thinking there's a chance it continues to dump There's a fair chance right at this marker here once it breaks down below the yellow and the blue lines here There's a realistic chance it can keep dropping So you don't want to catch a falling knife You can't really look to just take a trade on the way down or in between levels That's where I could tell you there is one shape to it here There's one volatile shape where it pulls back again, but once it begins to break back over the opening print Right there basically that constitutes your initial entry on the trade So perhaps there is a chance where you get stopped out if you're very conservative and keep a really tight stop Well, it certainly gives you a second chance where two bars later it breaks back over this level again If you're bull, um, it's just to say right every trade begins with the entry well entry point But even before that well AI ran well yesterday. What's to say? It can't run it well again today So you have to have your own sentiment as far as what you think the stock is gonna do I'm not just throwing a dart on the wall and hoping it lands for any of my students that You know joke like oh Josh you always call narrow out You think what why do you think because I think that over time it's gonna continue to go up long term So why not look to have that on my side list and if I do see it move up I think that that could be a good entry day play too Well, the same as to be said with AI the same was to be said for a long time with the stock and and with PLTR Right. This isn't our first rodeo with AI You know ever since the beginning of this year if you thought AI was gonna move up higher Then how could you not at least have this on your side list day to day? We didn't call out AI and trade AI every day over the last one to two months mind you But after yesterday's move and we called it out then Why not think that this could make another squeeze So if you personally had this on your main watch list you were you know looking to sink your teeth into this trade And you think okay, you know, I think that there's a chance where this can at least get up to 40 I can make maybe a dollar maybe 50 cents heck on a good trade maybe $2 on this move Then you're gonna plot out your levels You're gonna wait for this to either make a breakout to where it just pops resistance cleanly and you take the break Over or you have to wait for support to build in the case of this this pulled back at the market open The first five minutes it shook around and you had to wait for this to build back over the over this level Mainly the 3873 in order for this to be a good trade So this was the first entry, but there could have been multiple entries on this trade because hey over time This was already nipping and gnawing at 39 bucks the next whole number level ahead, right? So if you were more just focused on your whole number levels This still made a really strong move across the early parts of the morning, you know at first in the first few minutes It ended up shaking it even on this one it popped and dropped it again What happened on the next attempt though? If you stick with the trade and even if you took a small loss on this attempt and in and out quick I'll shoot not the right time. Well. Hey on the next attempt. This broke through this big level Let me ask us here Glen Jith Dave Kathleen Ravina Charles Ryan, etc When a stock breaks to a big level, what are we expecting shortly after folks? Just very generally speaking. What are we expecting a? A big move right Hopefully, it's a nice move Jeff. Hopefully, it's a nice move nice meaning in our in our direction So you're expecting a big reaction big move. Well, thankfully on the next attempt It sure makes a nice move Jeff, right? This makes a big nice move up Let me ask us when a stock breaks above resistance and runs off of it resistance should initially look to become Support bingo right there and then it led to the breakout higher and and still to this You know moment right now. It's doing a fair job. It's holding support holding higher lows I don't know what the VWAP is on this trade right now. Let me check that Getting pretty close VWAP right now is like basically right at 40 39 90 or so So there is a chance where this does look to shake a little bit lower and then perhaps goes higher later into the afternoon Hey, it holds higher lows from here and goes I'll be happy But it looks like there was a bit of an iceberg that just got pulled right now live at 39 50 So we'll see what happens to that order. Maybe they move up higher and build up a ladder Possible, but you know, that's just really the trade. I wanted to start with because hey, I didn't trade this today I called it out, you know, but I didn't really I wasn't as hyper focused on this at 8 30 Eastern time in the pre-market For me to try and take a trade now. Let me ask you. I gave the answer just earlier What stock is on our morning list that moves fairly well with AI? so Essentially a sector type of play. It's an AI type of stock. What stock is on our morning watch list that moves with AI? Bell and James saying and Scott and Ravina. Yeah all PLTR Chartered PLTR. That's for sure. So yeah PLTR this ended up making a nice drop at first But and well made a nice drop at first and I took a five or six cent loss on this initially once this broke under 1750 I took it on the first test of support here and then it stopped me out But it ended up leading to a great trade later on to where this ended up building off of support off of 17 26 1730 higher low. I was on a coaching call with my student earlier basically just saying This built out really nicely Like the morning move here built out nicely. It was a good move from 1740 to 1785 1783 That's a very good trade if you're able to get some good meat off the bone there Even if this pops up higher later into the afternoon From this bounce, I really wanted this to break out higher Sooner so, you know, if you were able to lock up 40 50 cents on this trade But it took you like an hour hour and a half to get the job done Of course, you're happy with the money, right? And especially the more shares you trade bigger profit, of course the happier you'll be just no matter what But if you're expecting a particular type of move and it takes you much longer to get that move there's still a point of like Disatisfaction where it's like, oh man, that should have taken me much longer You know this wasted my time a little bit, right? Because of course the volume faded off on this trade early. It did move up to my designed resistance Yesterday's closing bell print. No, my apologies. My apologies. This morning's opening bell print that being the red line is 1783 And then from there it pulled back right here, right 1783 the opening bell print from this morning from there it held as resistance It held yesterday's closing print here as support 1740 940 000 share block print got filled there Well over time this built around that is support Other levels here at 1730 etc that I showed But here is where this became support again 1740 it broke under and over beautiful entry led to a squeeze back up So this is kind of back in no man's land here in between levels It doesn't look nearly as good at this point So unless if ai continues to surge and this can somehow gain more momentum upward again here soon I feel like this is down to just continue to make lower highs here. It doesn't seem as Great one thing I could say actually loosely speaking if you're following me on pltr across these across the afternoon I don't like playing with trend lines too much and this rye will segue me perfectly at least to mara All right, so you got Nice little correlation here off the lows built a nice little trend line off the lows if I can at least There we go All right, so if this could hold as a trend line, maybe it breaks under and over and goes But if this could hold then we're still in good shape It's actually really quickly because rye mentioned mara. I have to go through a bunch of email questions jith rye and cathleen antonio Um, anthony and maybe one or two more on top. I forget to get to you folks in just a second Mara, I did not look to get my hands on at first. So I charted this doc today I didn't really get my hands on it from the morning session and then I tried looking for it going into 10 30 But my hands were already full at pltr. So I missed this. Thankfully I missed it But um, this trade had a really really interesting trend line I think that you could just simply see it looking at the daily chart. Nice steady trend off the lows here, right? See that there where my cursor is so What I did was I actually and I don't really do this too frequent I don't have as much time my hands to go like this focused on it But I went back and I went back like 30 or so days and like to really kind of make this on a one minute chart I zoomed in all the way on a one minute chart to get this for us. Let me show you the end result So basically I'll try and make this easy on the eyes because I have a bunch of lines on this chart horizontal lines But basically from late june I built this trend line off the lows perfectly and this is what you see here this purplish or this uh, shoot, I just messed it up right there this uh Greenish line right here was the trend line and yesterday it ended up retesting it retesting it retesting it perfectly on the one minute And then it snapped it So obviously you see what happened today it ended up just kind of moving up and pulled back Well, it came pretty darn close to that trend line It essentially became resistance and then led to a pullback here So over time just generally speaking if mara could somehow get back above this trend line It's so sharp on the way up. It's a very tough ask if anything I would expect for this to be more as resistance over time But perhaps this could build back above this line again and should it that would lead to like a really strong Continuated pop back up over time very Doubtful, I'd say at least across today's move, but Goes to show how simple support could become resistance over time All right, so let's take a look at my inbox here I got a bunch so I'm gonna make sure I go through all of them if I don't if I don't get to you first No worries. I see your emails that come in So let's start actually a really quick one from one of our new members rose rise here I say, you know quick one because really this one is just easy for us to say where rose rise was asking just about a few different indicators itchimoku cloud How that could work with the trend of a stock and also one called obv meaning on balance volume, right? So these indicators I personally don't Let me retract that it should itchimoku cloud I've played with before and take that literally just like I don't use that to take any trades with I use it to like Mess around and play around with like on my own time when I'm not trading when I'm studying I've seen it. It looks cool. Okay. You know, let's just poke around at it. That's it on balance volume I've seen but I've never really used In general indicators we rarely look to use when it comes to trading There is a class that I teach in the phase two curriculum. We devote towards indicators, but it's more like Volume-based indicators the VWAP the volume bars here And then we'll dip into a couple very common indicators like mac d rsi Etc etc So, you know from there perhaps you can kind of hear us talk about a couple But outside of that our primary tools are level three and then level four So level four meaning book map the heat map program here that you see That's what Fausto always shows in his webinars and we use this like all day every day So if you have thinkorswim, we have a bunch of new members joining us here So I should say this if you have thinkorswim You can get level four directly on the platform. You would have to call it book map B. Oh, okay. MAP. I got a dry mouth here. So book map You have to call up thinkorswim and ask for them to put the book map data on your platform It's about 40 bucks a month through thinkorswim The full version has a couple more features that you could work off of though And you can go right to book maps website at least for that But they're going to be able to show you everything when it comes to the order flow Just where the orders are currently located where the orders were located from earlier today and so forth But that's primarily what we use so We don't want to use too much on top like hey for any of our students that Or for any of our new members that rather say because if you're a student then you're likely using what we're teaching It's to say that if you're a new trial member joining us and at the end of your trial you say All right. Well, you know for whatever reason it could be abc This isn't for me. I'm making money using Moving averages and just basic charting All the more to you if there is something that you're making money consistently More more days of the week than not or every day of the week at that Then stick with it if it ain't broke don't fix it But I'd like to think there's a reason why you're joining us here You know If you're looking to learn new strategies, right? It's because perhaps the strategy you're using right now is not working Whether you're losing money or or Maybe you're just not making the type of money you're looking to make maybe you're profitable, but You're just looking for that next thing that could take it to the next level Whatever it may be it's simply just for me to tell you that less is more You don't want to have too many monitors up on your screen. You don't want to have too many charts on your monitors You don't want to have too many damn lines on your charts at that right look at Mara here I got too many damn lines on this thing. I gotta zoom in to make it pretty It's just less is more So with strategies the same as to be said, I don't want someone using 15 indicators then trying to study this They're not gonna it's not gonna go well It's not gonna go well That's where in the past like I have laid off on certain things myself even though they're extremely useful Moving averages being one of them It just took my attention stand away from level three and level four And that's what's made me money more than anything and Fausto, of course So it's just to say all right. I'd rather stick with what makes me money What makes me more money at that? All right, so a couple questions that came in from jith. I'm gonna go in order though jith So I'm gonna answer your first then we'll jump around and get back to you just on your second So jith asking how do you trade stocks like m i c s made an entry at 214? I mean Before I sell it pulled back to 198 He sold it and then later it bounced back higher. Basically it shook him out How do you make an entry on stocks making nice moves if we missed to make the first entry? For example rx rx last week. So let's go to a couple of these here So this maritrade stumped it off, isn't it? m i c s another stock I did not take the time to plot here for this morning perfect Book map up and it's easy to say that the stock popped at first but then moved back down The entry that jith referenced was at 214 two dollars 14 cents jith was this during the market open or pre-market? I don't have the time of the entry that you gave there Okay, can you give me the exact time of your entry if you can? For anyone just if you're looking for me to review a trade You got to give me the price in the time because it kind of kills the time here for everyone else That's listening. So it's just most efficient especially. I had a student actually Got back elite yesterday So I had to clear out all my private messages and this one came in like late in the afternoon from donald I didn't see this from him until like at night. So for donald if he's listening here. He was asking um, you know just about journal reviews and saying you know just um Some videos that he saw from like 2018 where I reviewed different trader logs Am I still doing this I review all trades and coaching sessions and then otherwise and traders talk for just anyone here publicly If you would want me to anonymize the trade always let me know first and I look to do that Anything like well anything good. I give you the spotlight on anything tiny. I feel it's It's no problem. Just say it's jith here mentioned the trade and They got in at 819 and all right. We'll take a look sweet. There we go 819 in the morning Basically this candle give or take right Okay, so What led to the entry was 215 to 14 a good level We'll find out Because this popped suddenly at eight o'clock. There's no real data on this before eight o'clock And again your primary focus on this should be level three and level four So you're really just kind of keeping your eyes on this year Now jith said he got in at like 819 in the morning. So this is still prior to his entry The question is Is there a key level for us to work off of? When I look at this heat map, it's really tough for me to give eye on any one price that looks big You assume two to be a big level as a whole number But outside of that, you know, there is like some line here at 233 It's not like a dark red line though. It doesn't seem that Dark beat of a line. It doesn't seem that big and it's only a 6200 shares That's not that big So there really isn't much here prior to the entry at first There's still more to come where this could lead to a good trade now It comes back up to test two. This is about Five or six minutes prior to jith's trade It breaks over the vwap in white, but it's really two. That's the assumed level It doesn't show much it to but that's the only price that you could assume further to be a level So it pops over it here and then suddenly of course conveniently enough as soon as it breaks above two You have a 21 000 share order on the bid It popped up actually a few seconds after or a minute after this one here at 170 So this doesn't designate your entry this iceberg popping up It's really the break over to that designates your entry Like if these icebergs weren't here this still is your entry The fact that these icebergs popped up is the icing on the cake So perhaps should this look to hold over two we could have a strong trade here No go and this is just perhaps right before a re-break So let's see what happens on the next attempt ends up pulling back down under the vwap even it's a nasty trade On the next attempt it re-breaks above two this order seemingly moves up And then this is where it pops higher So there wasn't really much before Pardon me There wasn't really much above two that I would have been like super interested in for an entry jiff It would have just been two at that point just being an assumed level and with the iceberg that popped up at 95 This could have been a great attempt And perhaps you would have been shaken out But on the next move above the level on the next attempt You essentially look to get what you want right it ends up squeezing up a little bit higher It holds over two and then you have your run a little bit later on Now is there a level later on though that becomes pretty strong there isn't much here There's really not much there that like really i'm too happy to see Even the shake down is like pretty nasty After it breaks above two again, this should fly So the fact that it holds over two and takes a sweet time isn't really my cup of tea I'd rather just run sooner than later But otherwise, I mean, I guess maybe 2 15 builds out as a level later on minute like After your original entry at 2 19 Because here once it begins to retest it still takes another damn test here. This is a very choppy trade So this is one where I'd be kind of grinding my teeth like ah take a break even trade here But if you stick with the trade and are trustworthy of the levels that you're trying to jump in from Seemingly it's easy to say this but seemingly on the next attempt. It does provide what you want there, right? It makes the better of the two moves up So hey, there are plenty of trades out there that are easy for me to narrow eat and say oh, yeah It made this move, you know, I jumped in here did this did that? Two was a good level Damn, did it take some time? And then 2 15 that still took time itself just to build out as a level So this was just a tough ass trade For anyone that's new joining us not just per se just just blanket statement for any new students joining us I understand from my side of things for as long as I've been with Fausto at this point I understand it could be discouraging to get stopped out on a trade or to Take a loss. You can't use stops in pre-market here. Mind you it just If you get stopped out on a trade and the sucker moves up right up right up on you minutes later It's frustrating for anyone Now if you do that fairly consistently if that happens to you quite often I I know how frustrating that could feel like myself I've had that that experience in the past and you know for the students I coach one on one I hear it from a number of us at first. It's natural It's natural. Don't think it's abnormal Because the key is hey, we're not robots for human beings So emotions seep into our minds when it comes to dictating. Oh, I did this bad I did that bad Well, I'll tell you if you had a good entry on this trade If you took a trade from a good level This thing was still damn tough So I will say jiff from the trade that you took 215 became a level later on but not at first And then still either way though either way regardless. This thing was just a pain in the ass that it took like 15 minutes for it to move off of two bucks. I'm sorry. He corrects me myself here He says 214 was the entry still though 215 became the level and that was later on And then two was the better of the entries anyway So it's just that either way regardless of whatever it is It's tomato tomato at this point because this was a grinder of a trade. It's not my cup of tea I don't think it's your cup of tea This is one where I don't want to just ignore If you're frustrated about getting shaken out But it's one that you can't beat yourself up as much compared to a smoother trade Think about it I'm not saying a stock that's flying that a smoother trade like for example So far yesterday For as slow as we know so far is so we're not expecting this to be a fast trade This was a smooth runner from the market open it popped it maintained a nice trend off the lows It eventually popped higher there Right, we're expecting that out of this one stock. Well, hey out of what was it that one trade there jeth? What was it that stock the m i c s? I have no Real experience trading this one ticker so from the naked eye It looks like just some cheap low cap stock that could possibly explode Well, if you're thinking that And you jump into this trade and it becomes very choppy and just rugged Ugh All right. Well, it's unexpected, but that's not you're doing You know if you're expecting like a two dollar move on sofai I mean that's kind of your fault This though is like a cheap stock. It's like, okay, there's a chance for this thing couldn't like freaking rip So you have to try and be quick to take the entry if the entry is there But just don't beat yourself up too much if you got shaken out on this thing I I have to say that to myself after a trade, you know, if it looks like this because again, we're all human beings That's not like i'm a robot speaking to you folks here I'm i'm a human being too Got a few four letter words that come out of my mouth every now and then so of course things can be a little frustrating at times and Yeah, I mean, hey, you have to kind of think in hindsight even this really quick Go back just a few days ago delta, right my forever enemy now Delta came out with good earnings last week raised guidance the thing tanked Right. I don't want to talk too much about this otherwise because there's other stocks to go over But man, I had such a good idea to capture support on this trade Right when the market had opened up at first here But then it ended up pulling back. I think this was the day if i'm not mistaken It's just on that day where delta reported down earnings Or i'm sorry on that day where delta reported good earnings and they raised their guidance I was expecting a nice pop and I didn't get what I wanted. Well, you know what? Hey You got to move on to a different trade right in hindsight It ended up dropping off a lot more after I got out and things could have been much worse than the grand scheme of things What day was that even I got to go back on that pardon me. That was yeah, that was on the 13th Not even the 12th. I got to go another day forward Yeah, this was yeah, this is the day. So I tried getting it on delta early here. I think off support Sucker just kept dropping totally threw me off. I had a good idea Just didn't work out the way I was expecting it to so as long as you're not turning that into a ginormous loss and as long as you're getting out shortly after the stock begins to pull back and Not make that big move that you're looking for Fair play All right question from uh, anthony antonio cathleen jith ryan and then a couple more We had a bunch actually coming in really quickly folks So I got to make sure I go through all of these here in time If I don't get to you just before we finish up I'll make sure I write to you on the side here So from anthony could we review the methodology and considerations to shortlist stocks in order to create the side watch list? Okay, so Not to not to shrug this question off, right? We're gonna answer it here But I go over this a lot in the phase two class the phase two course We're gonna do this coming up in august next month. So, you know next week We actually have the phase one curriculum restarting for the month a month of july and then from there We're gonna do um august classes following month Well, that's where I dig a lot into scanning and I dig into how we could build up a side list and you know Just essentially how I could look to scan for stocks on a day-to-day basis So one thing that you can kind of understand when you're doing this day-to-day is that like if you're just using a regular Volume list just say like most active in terms of volume You're gonna find a lot of the same stocks on near the top You get your tesla's out there you get your AT&T's out there before the big drop the last few days This has always been one of the most active stocks by volume You got a bunch of cheap crap too though like v-ray go of m-u-l-n. That's always at the top But you'll still get some stocks that trade a ton of volume Hey, that's nice that trade a ton of volume that have been very volatile of the Palantir Rivian Uh, for it's not volatile, but for you could slip in there for for for my guide bill ireland's here today It's carnival ccl Keep going down. Hey my old friend neo sofai Mara my new best friend So a lot of the stocks that you see there are stocks that trade a ton of volume on a day-to-day But it's not even just the volume side of things that you want. You do want to like focus on volatility So on trade station. This is just something I play with. I'm just messing around to your folks So this is not like a an official ctu criteria. I'm playing around here So, you know, I'm just like kind of testing some things with float and just looking at the Outstanding shares and whatnot, but essentially I'll focus on the average true range. Let's just even jack this up a little bit That That looks good. Let's even raise this up just a little bit. I don't know make this $80. Who knows just play around with All right, so I'm going to run this scan here and what we're going to find basically are stocks that definitively we have called out over the last one to two weeks one to two months This could finish up Now regardless of whatever list this pumps out What what I have to do is I have to basically consolidate this list to a group of like two or three or four stocks And really I'm not trading every one of these So if there's something that shows high volatility Or you know trades a large number as far as the average true range the day-to-day move that it makes We'll look what's number one on the watch list here If I can link my truck properly Carvana, right Obviously carvana up 10 percent today, but it's been so volatile of late It makes one of the biggest moves in relation to its price. So carvana Wayfair Roku Upstart of course from yesterday Square here's our friend ai You hire the data that's cool our new friend unity which partnered up with apple on the on the headset stuff from last month Role block now. This is just all sorted by the average true range So that's not the end all be all but if you're looking for a more volatile stock That's just how you want to sort it out and then otherwise really just I don't really have any other way to sort it out By just I'll just focus on the stocks perhaps trading the most amount of shares then plug On there carvana, etc. All right now just either way even if this pumps out like 30 stocks here Folks i'm looking at like three of these 30 Maybe throughout the day. I'll just kind of click around i'll click around and just see and see and see That's really it So that's where kind of i'll be able to kind of scan around but otherwise More often than not i'm sticking with the ones that i've been sticking with ai carvana Plug of late has been good. I haven't been as trading that as much Mara Of late last two days sun run. So i'll definitely be more mindful to focus on sun run Riot moves with mara. So if one goes the other goes i'm not going to focus on both that makes no sense Just focus on one Bbio is not really one that we'll see on here over time routinely It just news came out on it yesterday and had some crazy move up I would be doubtful to say or i'm going to say it's doubtful for this to Continue to be on this sideless scan that i just pumped out here because i think the volume's going to fade off over time And probably see it lose its lust All right, so really quickly I just want to make sure i go through just all these emails and we'll make sure that we finish up just with the chat here So antonio asking Not sure if you can give some input on this i recently set up an llc to help deduct expenses for tax savings However, it came with the software system. I purchased at no cost However, the company that drew up the llc doc is offering the file Offering to file the taxes for it and my personal taxes, which i've done on my own for a few years Or four years for a fee I feel i'm able to file the taxes on this llc myself The fee would be 150 dollars per month and the initial fee of 2900 Honestly, i'd rather spend that money on more tolls for trading as i feel my expenses Are mainly education and software related fees for trading any thoughts no rush. So What i can tell you with Going through an llc just the only input that i'll be able to actually give you on this antonio. Well, i'll give you two inputs i'm going to reference a tax accountant here that fouts it was long Referred our students to robert brine new york-based tax accountant Financial stock market related tax accountant. So with that, you know, he gives free consultations. You could at least help you out there What i could share with you otherwise is that if you don't know this just yet for anyone unfamiliar with llc's and trading through them You're going to be listed as a professional What does that mean? Well, let's ask us here really quickly. How much is the nazdak book viewer the simple nazdak book viewer product right from nazdak.com Does anyone know how much that is per month? Anyone know how much the nazdak book viewer is if you go right to data store that nazdak. It's 15 bucks a month If you are a professional trader if they realize that you're a professional You pay in 74 bucks a month Look, it's on the nazdak website. It's right there. It says professional and non professional Well on trade station you pay in about like 43 bucks a month for their nazdak data package number three That includes the book viewer stuff, but it includes some of my you know other stuff that they you know want to upcharge you for But at least it's extra, you know, you can get more data there too 42 bucks a month. I'm not complaining It's like 160 bucks a month if you're through an llc So just be wary that you're going to be listed as a professional trader. You're paying super high data fees Uh more likely than that. That's just the only input. I could really give you there Antonio Oh really quickly. Let me also drop that link there for robert green there just in case if anyone else is interested There's free consultations. He's worked alongside fowlister for a number of years and fowlisters referenced him in the past to other traders That's his website right there just inside our chat board All right, let's keep the questions going though So from kathleen asking and this could be in relation to a question Actually, I skipped from jith right there at the end of his first email when you have a stock That's up but not hitting your target. How long do you give it? Or is it not really a question of time but something else? Okay, so let's actually kill two birds with one stone jith. Let's go back to rx rx He had actually asked this on his first email He was asking basically how do you make entries on stocks making nice moves already? basically if we had missed out on the First entry like the better level. How do you jump in? All right, so we'll kind of answer both questions using this rx rx Well, I guess I'm already 25 days back. Cool. Okay, there we go. Nice Well popped and dropped back from what the 12th Pre-market trade there just to answer if you're asking about this This was on an enormous spread in pre-market. So I wouldn't necessarily recommend for many to just jump in this trade You got a way for support to build If it keeps going up without you. I hate to tell you this just Actually, I don't hate to tell you this you probably hate to hear this but If this keeps moving up without you and the spread is 30 to 50 cents at least There's other fish in the sea to catch Now with that What's easy to say is after the market opens this completely dumps and there's no trade after this even if it Even if the order book fills in on this more There's no trade just it ends up consolidating you might try and entry as it bottoms out But then it goes nowhere. Okay, then the following day or days. Let's try and reference that jiff Let's try and kind of answer your question at least On rx rx. Let's do it from yesterday. I mean, hey, this is what yesterday just the 17th Finally, it made a move back up again. Okay. Let's just use it here I bet you the order book filled in a hell of a lot more. Let's try and go to Level uh three right now This is live right now rx rx So i'm assuming this is the type of liquidity it had from yesterday So yesterday it moved up really well and the liquidity was very tolerable So let's answer that question on this move here jiff not the 30 to 50 cent pre-market spread where you can't set a stop and you're just rolling the dice Here a little bit saner. So either way, how do you make an entry on a stock after it's already made a nice move? Well, again, it kind of boils back to if it breaks resistance and flies off of it You have to wait for support to build whether it's at that price or if it's from a higher low So let's just kind of reference this it breaks out at first at the market open it pops One thing that we're wary of is that we know that reversal time is around typically 10 15 to 10 30 So if we're in the if we're not in this trade yet and it's beginning to pop higher You say okay. Well, what's our next big level? Is there a price where this could look to either hold support? Or a price where this could look to at least test resistance a few times over So i'm kind of drawing the reference from you missing the trade from here and it pops up without you Okay, well, let's see if support could build i'm just being very shoot from the hip here because Obviously, it's easy to say it bounced from right around 12 60 ish 12 50 ish maybe So if there was a resistance that this broke above Then if you're looking for resistance to become support Easy to say here i'm just telling you but it looks like it nips under and back over and then it continues That's the first step otherwise retests are your best friend. Remember retests So the more times that this is nipping at resistance whether it's like 12 90 ish or the 13 level over time Well, the more times it's testing resistance it should look to pop it and then resistance should hopefully Keywords hopefully because easy to say it moved up higher There's a chance here heading into reversal time that it might die off sooner than it does later So there is a chance that this pulls back But you hope to see your resistance become support So from there it ends up moving up a little bit more and then from there even Wow, this is actually a pretty strong support level today. This 13 bucks So across yesterday afternoon it broke under and over moved up again Not to say that just because you missed this run here that you only look for this move once again today But it actually provides another chance to look for 13 as support if you're hyper focused on this trade That is at least here under over big move shortly after right Now to go on Kathleen here. So when you have a stock that's up but not hitting your target How long do you give it? Okay, so let's just go back towards cyber clock again So if we're expecting reversal time to be around 10 15 to 10 30, maybe 10 45 on a healthy day That's where the slower it's taking to make that move to your resistance. You say Does it become worth holding on? Because we know that for as much as these stocks do move up They could they could certainly shake down very quickly quicker than they take the time to move up So if Kathleen's up, let's say 40 cents on a trade Let's say Kathleen's up 40 cents on rxrx Let's say Kathleen deems that as a big move, which it is. I'd say it's a fairly big move Let's say Kathleen doesn't make 40 cents a share on A good number of her trades. Let's say she's profitable every day, but she's not hitting 40 cents Let's just say maybe she does. I'm just just giving part of my criteria If you are a trader that does not consistently pocket 40 cents a share and you're up that and you're realizing like god It's not necessarily hitting my target yet. It's a few cents away I'd rather get out. I'd rather take the money and run A you could always look to get back in over time not necessarily right away But hey if this keeps moving up and it pops that your let's say it hits your target Not only hits your target, but then blasts over it All right, just like we said to jiff when a stock breaks resistance and runs resistance Should at least initially become support So it could provide an opportunity for a reentry, right? Set a tight stop after just so it doesn't break a low or low But it provides that chance for you to re-enter So it's not always as much a question of time kathleen, which I love how she phrased it that way Because I can tell just the way it was phrased. She's thinking pretty in-depth about just kind of anticipating Stock movement and what to look for more often than not So it is a question of time It's not only a question of time though. It's a question of distance. How far the stock has already moved on the day Or even from the last day Let's say for instance off the top of my head How to go back to the morning watch list perhaps here even I mean, yeah, we we could go pltr I don't know. I just wrote plus my dislike pl pltr. There we go We can go pltr This was up big yesterday, right? I got too many lines on this chart This stock was up big yesterday Wasn't up big in pre-market. It wasn't up that five percent that I would normally put a stock on our pre-market watch list four It was up like two percent But you know what because of yesterday's pop and move that it made I thought that there is a chance to see support build out at some point today Now if this like really explodes and somehow just moves to 20 sooner than later Well, eventually the faster it goes you do think that it's going to pull back, right? That's not really the case here. So if this continues off this trend and builds higher lows I'm not really thinking it's accelerating too fast Especially looking at the move that it made yesterday that made this type of explosive pop here Why can't it make that type of pop? again so, you know at least seeing what the stock has done across the last couple of days in terms of series run beforehand or not that could play in part with my thought of Hey, is the stock going to be exhausted sooner than later or later than sooner? All right, and then uh, and then again just also kind of just looking at timing of the day The volatility of the stock and also just the order book too seeing if it's very ill liquid It's not something that you want to really stick around in if it's moving slower because Yeah, I mean an unexpected shake down you could lose 15 18 cents of unrealized profit quite quickly. So I know from experience as does literally every singular student here in our room. Just because I don't think anyone here would be happy about losing 18 cents worth of unrealized profit What's that phrase for someone who enjoys pain was that a massive just whatever you might be one of those if that's the case I think everyone here is not a fan of losing 18 15 cents worth of unrealized profit, especially on some crazy Five second shake down, right? So It's easy for me to say take the money and run sooner, but there are criteria that plays in part with that Folks we're running over time after 12 o'clock right now if you're joining us on social media facebook live linkedin, etc Hey, if you're interested in joining our live trading room, just do me a quick favor If you're fancy with your phone just scan that qr code right on the bottom of the stream right there to join us To join Kathleen and ravina michael b and all of our students here live But we got a couple more questions and we're going to stick around all together and finish up a little overtime here traders talk So from ryan a couple questions that came in from him question one Should you implement a wider stop such as 30 cents when trading a volatile stock such as rivion? Which trends which tends to shake easily shake 30 cents at any time so I'm gonna answer this question in a different manner ryan you didn't phrase you didn't use this phrase I'm using here, but basically what ryan's asking is If you use the average true range the indicator Average true range and put it on the one minute chart Let's say if you see a stock moving like, you know 10 cents at a minute 10 cents a minute Does it make sense to make a use a stop? That's like 10 a 10 cents or so, right? What ryan's saying is for rivion which shakes like easily 30 cents at any time Should he use a stop for around 30 or so cents? It boils back ryan it all boils back to how you enter the trade Because if you're looking for support on rivion and you take a clean entry, but the thing is not bouncing Like let's just say for instance here. This is a good example 25 on on your rivion Broke over resistance moved off it about 40 45 cents good Stock breaks resistance and runs resistance become support Seems like there could have been an entry here once it breaks back over 25 right here However, it doesn't make the higher high at the time, right? It doesn't make the real run you wanted initially It makes it here later on It's not for me to tell you that you should be holding on to a trade as it drops 15 18 20 cents down And then when it suddenly pops up it's like oh yeah making money I'd rather like let's say if you jump in here where my cursor is And you don't get out in time And it pulls back. I'd rather take just the dinky profit or at worst break even trade At worst maybe a three or four cent loss. I don't like Giving up a big profit to then flip it into a negative even I'd rather just go break even at worst, but fine, maybe even if it's a couple cent loss I'd rather that And then if I'm watching the stock later on to take the same trade if it affords me the chance to I'd rather all of that Compared to me holding on to a trade that I was up already then I'm down and you know Then we're heading into 10 15. What if this fails to Pop back up, you know, you might be trying to find another trade that could be trending better and heck You might take your eyes off rivion. You have your stop set, but There's not much of a need to set a stop that wide for students that I've seen set stops that wide consistently They don't really understand the reason as to why they're making money over time They might take clean entries But they don't really see the difference between a clean stop out where they should have gotten stopped out right away from the level Versus like just yeah, you could hang on here for five cents 10 cents here or there I'm not going to hold on to a trade for like 15 20 cents or more than that Um, you know the more expensive the stock the wider the stop that plays in part with it The more volatile the stock you do think of that too But 30 cents for rivion. I think is pretty deep Uh 30 cents for like navidia could be something to think about If you're thinking if you're trying to kind of compare it in relation to a price I would use You know 30 cents for navidia. Just shoot from the hip could be something, you know, I think about there It can be a quick second quick second here from jeth going back to jeth's question here a second email We were watching nicola. I see that there were multiple large icebergs big out there on the s from $2 62 cents onwards So I was expecting that the stock would never break that resistance as those are really piles of large icebergs. Okay, so Market opens up We're after the first three to five minutes What's the direction of nicola folks? Directions up right Now when we look at nicola book map here, let's start with just like the heat map or let's start with the pre market In the pre market where this really wasn't moving much at all. It really wasn't moving well 270 iceberg 290 much larger iceberg, right? All right, when the market opened up, obviously the order book will fill in for any trade. This becomes more liquid More orders out there But how big is big, you know 250 you would assume for that to be an iceberg or a big level and you know, we'll count that There's 260 265 270 are all of these big levels are all of these as equally strong No, hell no, I mean 290 is definitely the biggest one out there And in relation to where the stock starts off 250 is the first big one So once it truly begins to pop this and if it could flip it into support over time That gives me the chance to believe it's going to run higher So first five minutes it popped it I wanted this to be support. I was calling this out to be support It pulled right back to the level under the level and that was it. It didn't break under and back over When a stock breaks under support folks And it drops from support support should initially look to become what? Resistance so i'm not going to be as gun-ho as keen to jump in on this next test But the more times it nips it the more times it tests it here it should lead to the pop higher So yeah, 250 was the better level to have entered from initially here at this point jeth it topped off around 264 but Pre-market there wasn't a whole lot there There wasn't really anything that distinguished around those prices at least compared to 250 and what was ahead eventually at 280 I guess but then 290 up top So the point is for me is that I'd rather take the trade from the bigger level So 250 I didn't jump in here. I jumped in here when this broke resistance and ran I missed the move So I was a little a little frustrated at first. I saw that run up without me. I'm like So on the pull back I was hoping for this to be support again Not just hoping but resistance Support you got the v-wap there too, which is nice then from there it led to the pounds higher right But where did this ultimately top off? 270 Where did we have that first pre-market iceberg? 270 Broke it pulled back, right? So, you know, it's not as in terms of answering jeth's question directly there It's just more in the relation of saying how big is big don't let something that has a Hyper liquid order book as we'll call it a hyper liquid order book Don't let something like that throw you off because yeah, all of these orders are pretty big I mean, hey, you got 143,160 on any other trade. That's massive on this today That's not a scratch on this thing Right, so that's where I have to tell you it all starts from pre-market How big is big 270 seems to be pretty big in pre-market 250 became pretty big when the market opened up And those were the two better levels to work off of on this trade All right, folks So with that let me just go through the chat here to finish up from michael b asking here in the chat What is the best way to determine your target? I don't have enough time to answer that question michael If you want to chat me on the side, perhaps I could work with you through private chat on that Otherwise coaching call one on one would be the best that Or the class is hella just going through the phase two curriculum where I teach this Preparing to trade the market open that specific class I go over how I set all my lines up for the stocks I look to trade pltr let's try and The fact that broke over this opening print line It definitively needs to hold this as support and the fact that's above it here Leads me to think well now is as good of a chance to try and look for that as any So folks, let me just see if there's any last emails or questions I have to get through to finish up if you'd send it in after 12 o'clock folks You know, I'm going to chat you on the side or just later on this evening Jim sent this one in at 11 o'clock this morning. He's the last one. I'll get to here I'm going to try and go through this quick jim. It was actually on nikola. So it's a good We could at least try and go through this quick on nikola here So jim just observing made some money and the attempts But the attempts from the market makers or institutions to control this was fascinating to him Nikola looked like a rocky versus establishment trade this morning like david vs. Goliath type of thing Since the open book map showed big time support at 220 Let me go over that Not as big at 220 In relation to all the other levels that were there at the time even like you could say 205 was big there 205 too Right but 220 not as big right. That's right. Just mentioned to jiff right It's good to go over this one just right now to to finish up But don't let a hyper hyper liquid order book confuse you Book map there is your best bet always That's why like reading the heat map makes it so much easier to kind of make that distinguishment As nikola broke and ran it crushed the market makers efforts to get it to slow down I haven't seen too many stocks with such high volumes get crushed on the way up Well, the cheaper the stock gets the more liquid it becomes and then eventually when the shorts cover It's not always going to lead to a perfect trend Nikola was moving last week for us So it cooled down a bit and then thankfully, you know, this is the easy to say part because we're seeing it here and we saw it from the morning, but If there's a chance for the stock to show good activity early in the morning, then we'll follow it This popped right out the gate. So it caught our attention early. All right, the short squeeze continues So whatever news came out on nikola, it certainly led to a good pump up But this is also just a short squeeze given how much the stock had dropped off What over the last two years three years ever since uh our guy trevor milton And ended up running the show That guy was a disaster from the get go for this company So, you know, we've been following nikola for quite some time and for a stock that makes this type of extended drop-off You got to expect for the short shorts to cover eventually Folks finito. We're done. We're wrapping up here a little over time here in traders talk for this Edition now if you're joining us on social media facebook live linked in twitter youtube the works Join us if you're interested in continuing our audio commentary throughout the remainder of this day The whole chat board the screen showing we're looking we're going to look to continue this throughout this afternoon Our afternoon meeting will be simulcasted though at 2 30 p.m. Eastern Then we'll have rich on the mic my colleague rich will wrap things up for us going into the market close at three o'clock So if you're interested in joining us elizabeth john kathleen ravina Lata kathleen michael james et cetera all of us here joining us today I've got a large crowd for a traders talk today too, which I appreciate much more so So if you're fancy with your phone on social media scan the qr code right down on the bottom right there to get access to our Live trading room otherwise though. Hey for all of us there just uh, we'll catch back with everyone live Just coming up later on this afternoon at 2 30. Take care