 that does a really really good job. She has a very interesting way of looking at gas. I love having her on. I think this is like the third event in a row we've had her on. So she started to become quite a quick regular for us. But we love her. I like kind of the way she looks at charts. And she always has something really really interesting to say. So with that being said, let's get her on here. How are you doing, Melissa? Great. Can you hear me? I can. You're coming through. Very good. Okay. Let me know if you can see my screen. We're good. I can see your screen. I can hear you. And I know we're a little bit late. I don't want you to be too concerned if you run over a little bit. I'll let the next presenter know he can run over a little bit too. So don't worry about time too much. And it's your turn. Go for it. Great. Thank you so much. Thanks for having me, Jeff. I have done a few presentations here. One, two, three, I forget. But, you know, I talk about pretty much the same thing every time I'm on. But I think it's good for people to refresh and to reiterate. Because a lot of times people forget. They forget what they're supposed to be doing in the market. What are people supposed to be doing every single day that they trade? The goal, your number one goal, the always the thing that you should be doing is looking to make money. And I think people forget that. They get all caught up in the excitement of pressing the buttons or looking at charts. And I love charts. Everything that I do is based on technical analysis. And we're going to go over many charts today. But the bottom line is, if you're trading and you're losing and you're not making money, then you're really wasting your time. It doesn't mean that you'll never be successful, but it means you have to stop, take a step back, take two steps back and figure out what you're doing wrong and change it. You know, we can always change our circumstances. If you've been losing money in the market since the beginning of 2022, then whatever you're doing isn't working. You can change. You can change your circumstances. Many people have changed their circumstances when you look at what's happened since COVID. People have changed jobs. People are working from home. People are now trading even more in the market because they're working from home. So they have the time to do it. So today I'm going to talk about shorting stocks. You can also short the market. When I refer to the market, I mean the QQQ is a spy or even the diamonds, which the symbol for that is the DIA. But we're going to talk about stocks today specifically and shorting stocks using my system, which I do, which is based on gaps like Jeff mentioned. Again, if you have questions, you can plop them in the room. I see the questions and I will answer them as we go along today. I also can be available for questions. If you have questions, you can email me at Melissa at thestockswish.com after the webinar. You can follow me on Twitter, Facebook, YouTube, Pinterest or Skype as well or call me if you have questions too. I also appear on TV pretty much every single week and pretty much every single channel. So if you've ever seen me and heard me talking on TV, I've been discussing the market again for the last few weeks about how I felt the market was lower. Many people thought the market had collapsed and would rally. We tried a couple rallies. The rallies have failed. We're rallying right now. Since this morning we gap down this morning. We're rallying since the pre-market and we are green on the day at 1209 right now. We'll probably close green today. I saw that early on. I knew it was going to be a difficult day to really go after anything because this is not a market that I don't think that anyone should be going long. I'll discuss why in a little bit here. But getting back to what I started out saying, you have one goal when you trade. One and it's to make money. Now trading is not long-term investing. While you can use my gap analysis to read something in a long-term trend to determine what the trend is and whether or not you want to go long or short at the proper time to do it for a longer-term investment. What I do on an active basis Monday, Tuesday, Wednesday, Thursday, Friday is I'm looking to make money quick in and quick out. So quick in and quick out in the morning in a day train and quick in and quick out in an option. What do I mean? I mean I'm doing the weekly options. So that could be, I could be in a trade for a day. I could be in a trade for a week. But that's still fast when you think about it. When you think about long-term, one week I don't think is long-term. Okay? So I'm doing the weekly options and we'll talk about options as well. I plop this in here. Again, I've been doing several webinars. These are the most recent results. Year-to-date risking an average of $2,800 a trade, which I consider an advanced trader risk, are results year-to-date in the day trade room. These are equity trades. Not options trades is $323,576. I don't have the last couple of days in here. I didn't have time to update it. But we have made money every day this week. Again, sometimes I'll get in a groove where I feel like I'm in a role and every trade is working. I'm definitely in one of those grooves right now. But to be honest with you, the role's been lasting a long time. I've been doing this for 14 years. I think if you do one thing and only one thing for as long as I've been doing it, you do get good results as long as the system works. It's like people that play tennis. I like to watch the tennis tournaments, the big tournaments that are coming up this summer. Again, the French Open and Wimbledon. The people that play, I mean, they win a lot. So they've been doing it for a long time. They practice, practice, practice, practice, practice. One of the misknowners who are traders is that they trade for 10 years, 15 years, 20 years, and they don't make any money and they're losing all that time. Or they never really get anywhere with it, let alone make over 300 grand the first four and a half months of the year. They don't know what they're doing. That's why they lose. That's why they don't do well. The idea really, when you think about it, common sense is if you're doing something for a long time, you should be doing well. You should be good at it. You should be getting better. You should be making more money this year than you did last year. And next year, you should make more money than you did this year and so on and so forth. For some reason, people get into these habits and again, a lot of bad habits with traders where they just accept losing, but you should not accept losing. That should not be your fate as a trader. Your goal should be to make money and you should not accept losing. That doesn't mean that you never have a losing trade. I do have trades that lose. There were in the parentheses in the results there. It's the idea that you don't lose overall. You don't lose in the week. You don't lose in the month and you don't lose in the year. So in order to become successful, you need a system and you need a niche. So for me, my niche is really shorting. And again, this has been a great market to short hands down, has been a fabulous market to short, and I do believe that it will continue. I did create my system however in a bullish market. So the shorts that I do work in bullish markets and bearish markets, I will say that the market is still bullish. In my opinion, the market is still holding the uptrend. I still think we're lower, whether or not we'll break the uptrend remains to be seen. But even though people on television right now, other people I'm on with, contributors say, oh, the market's bearish. I don't look at it that way. I don't look at things based on percentages. If it was that easy to make a decision based on percentages, whether to go short or go long, it would be very easy to make money in the market and no one would ever lose. So it's just not that way. There's a certain analysis that's involved, a certain skill level. Again, getting back to the sports analogy with tennis. There's a certain skill level that results when you want to trade or make decisions that you have to look at something to determine what direction you want to take a trade. So again, you can make money in the market. People do it all the time. However, not everyone does. It's a zero-sum game when you trade. If you take a trade today and you make money, you check that money away from another human being on the planet. So that person lost, you won. So where do you want to be on the side? You want to be on the side of the winners. You want to be a winner and that means that you have to be right. So the winners are the people that are right. Okay. And again, it's the idea of focusing on being right more than you're wrong. And you need to have a good system to succeed. You must follow it daily. And again, if you're losing, my guess is that you don't have a successful system. So for me, I developed my own system, which was based on one focus with gaps. And as I said, I started doing this like 2008. So the more you do something, the better you get at it. And that's what I do. I'm looking to hit a bullseye every day. One thing, one thing, one thing that I hit and I do. And I heard the previous person talk about target. We shorted target yesterday. Boom. Hit a bullseye. We shorted a great trade. Got it. Did it. Did an option. Did it. Did they trade in it? Boom. You only need one good gap a day in order to make money. You hit it, do it, get in, get out. That's the best way to be as a retail trader. Honest to goodness. This whole idea where people want to trade all day long from 930 to 4, all you do is end up with losses. How do you make more then? Size, add the size, accuracy, size, accuracy, all of these things. Again, extremely important to be accurate when you're trading. Again, specifically when you're a retail trader because you have a limited amount of money to trade with. Whether you have a big account or a small account or a medium size account, you still have limitations. Okay? So let's talk about what is a gap. A gap is a difference between the close and the open. Simple. That's it. Stocks gap most every single day. And there was a lot of things that gap today. They're lifting though. Why would the market? Most age things do go with the market. That is another reason why it is important to read market direction though as well. But the market gaps a lot. It's been gapping a lot lately as well. Not every gap. Okay? Even though things gap a lot is a good gap or what I call a golden gap or playable or what I mean by predictable. Okay? So for example, I didn't do the market today because the market gap down. I'm not going to go long this, but I also didn't short it. Okay? So you can't short every bearish gap. You can't short every bullish gap. You can't go long every bullish gap. You can't short every bullish gap. Today was no play. Okay? No play. I knew the market would rally today and push back. It did. We let it be. Okay? So I get up in the morning and I rate my gaps looking at the pre-market. And by the way, we were down a lot this morning. At 5.35 o'clock in the morning this morning, the market was down huge, way more than actually where we opened. So we lifted into the open and then we had data out. The data out this morning was actually was actually bad, but the market, you know, rallied against it. So I don't follow fundamentals. I look at what's going on because I have to talk about it on television, but I make decisions based on the technical analysis, which is the charts. If you happen to like fundamentals and the fundamentals are backed up with the technicals, I'm fine with that. But to just look at fundamentals sometimes you can't because it doesn't make sense and will be against what actually is happening in the price action of the chart itself. So let's talk about this here. This is the QQQ daily. So again, what is a gap? A gap is the difference between the close and the open. The U.S. stock market closes every day at 4 o'clock and opens the next day at 9.30. It's closed on Saturday and Sunday. So let's take a look. This is the QQQ. So this is going back. Here was the rally back in the middle of March. Then we fell off. Let's just take a look at this one day here. So again, we're in May now. So again, actually, let's go, let's go back to this one here. So this was a day that the market closed. Okay, we rallied here. See, we're over here around 3.30. Then we opened here. So we opened down. That was a gap down. This was also a day the market had a nice sell-off. Then it closed here. Then a gap down again. Little baby rest day here. Then it closed here. Then a gap down again. And then it sold off here. Okay, so again, this is what is happening with the overall market. Someone's asking a question. Is this playing off the overnight edge? Is this playing off the overnight edge and the stat that the open to the close is generally weaker than the closed to the open? No, that has nothing to do with anything at all. I'm explaining to you what a gap is. If you're looking to say, can I do this because of this and that? What you just said, the answer is no. Whoever just asked that, no. Many times, the market will look strong into the close and then fail, which is what happened here. Many times it will look weak into the close and then reverse, which is what happened right in here in the scoop up. This was the last pivot in the market. That pivot is still holding. I forget what day that was a couple of days ago. Again, don't try to look at it as so black and white, which would be what you just said or also what I was saying earlier about percentages. Like if we're down this much percent, then it can go long. If we're down this much percent, then it can short. Traders, I don't know why this is, but are very black and white. They want black and white, black and white, black and white. Trading is black and white. You live in the gray. You live in the gray area. You exist in this small space of gray in the in between where skill level and intuition of following specific rules, which I have, allow you then to break out and all of a sudden flourish and make all kinds of money. Traders want to be very black and white. It's not like that. Let's talk about the spy. Here was a chart of the spy. Again, similar to the QQQs, this is the ETF for the S&P. Market close to your gap down fell. Again, that is a bearish gap. There are also bullish gaps. Let's look at a bullish gap in the market. This close to your gap up. Should the price close to your round 390, gap up higher here, round 395-ish rally. Had a couple-day rally in here. So again, there are bullish gaps. There are bearish gaps. I like to look at both. Here is Facebook, even though I prefer to short. This close to your gap down, this was way way earlier in the year. To start out the year for Facebook and Tint, this was unearnings. This was a gap unearnings. The stock price was up here well above 300. I forget what the exact number was, 320, something like that. Broke 250 on the gap down, fell off a planet has been falling ever since. You consider the gap if it opens is not within previous days open and close, or as the gap on open is outside previous to high low. It's the difference between the close and the open. That's it. If something closes a 2302 and opens a 2301, guess what? That's considered a gap down. If it closes a 2302 and opens a 2303, guess what? That's a gap up. It doesn't necessarily mean I'm playing any of those, or it might mean that I will. It might mean that I will. If it rates per my system, then I will because it's not about size. It's not about percentage. It is on the daily. That's where you're seeing the gap in the first place. I'm looking for the footprints of institutional money. What do I mean by institutional money? Hedge fund money, big, big money, big professional traders that come in and go do what? They put money at work in the market, which they will go long stocks, or they will sell their shares, and therefore put pressure on a stock like what happened yesterday in Target, was massive selling, which is one of the reasons why that was such a nice gap to short. It was massive selling pressure that came into Target. It sold off. The stock price dropped. It went lower. So institutional money takes hold of something. It either buys it or shorts it or sell it. Don't forget, hedge funds can also short. So I'm looking to play with that footprints of institutional money, not with retail traders. Very often, retail traders are incorrect. Again, that's what's happening with the market today. The market today is getting bought not by institutional money by retail traders. How do I know? Because I read the gap. Okay. And any more questions here as we're going along? I'm just looking to the side. Anyways, let's talk about momentum a little bit. Money and momentum. Momentum is how you make money as an individual trader. It's going to be very difficult for you to make money if you're scalping, five cents, 10 cents, 20 cents. It's just not enough. You need momentum. You need volume. That's how you're going to make money. Again, this isn't about the fact that you're never going to lose. You will take some trades that lose. But the fact is you want to have more winners and losers. And then you also want some of those winners to be very large. That will help cover the losses so you get way ahead even with the few that do not work. That means you need big moves. You need big moves in the stocks. We've been looking at a bunch of these charts. This is another one that has been phenomenal this year to play. It's Netflix. The stock had earnings here. It was the middle of April. Stock closed up here. Again, closes at 4 o'clock Eastern time. It was around 3.50 and change. Boom. Open in the morning here. Right around 2.50 and change fell. Drop, drop, drop. This was another one that we played as a day trade short. We played as a putt. It was a great move. Again, what did institutional money do with this? They dumped their positions in Netflix. Why? I don't care. It doesn't matter to me. If you like reading fundamentals, go for it. I don't have time to do that in the morning. All I have time is to find the number one thing that I'm looking to play to do. Again, it's like I'm every day looking to hit a bullseye and do something and get in and get out. Get in and get out. That's the whole concept. That's the idea. It's finding what's going to have a big move and a big move by me momentum. If you have a thousand shares of a stock and you short it and it drops a dollar, guess what? You can make $1,000. If you have a thousand shares of a stock and you short it and it drops $0.10, you can make $100. That's profit. That's true. But which would you rather make? I'd rather make the thousand. So again, momentum is extremely important if you really want to do this and get somewhere with your trading. And I mean do this where you're actually pulling money out of your account on a weekly or monthly basis, not adding to it. A lot of people, their account dips, it drops below the margins and they have to add money. Then they have to refund it. They blow up their accounts. I mean I don't understand how people are trading for so many years and consistently doing that. It's an emotional roller coaster besides being a financial roller coaster. And in today's day and age, no one wants to be doing that. You want to spend your time. It is very important to spend your time doing something where you're going to get somewhere with it. Things cost more now, okay? Inflation is going to continue. We just talked about that on TV last week. Inflation will continue. It probably is going to get worse before it gets better. And you know the way the cost of things go. When the cost of something, especially food products goes up, they rarely go down, okay? So this is what it is. We're living in a world right now where things have gone up. So you have two choices. Either you're going to spend less money or you're going to make more money. I like the idea of making more money. That works for me. That's one of the reasons I like to trade. How much I make on any annual given year depends on how good I am, how accurate I am, and also size. How much money I put behind my trades as far as the risk, okay? But you can't put a lot of risk behind a trade cash wise unless you know what you're doing. You got to be able to sustain it, which means you have to have more wins. Here was another very nice one. I just called a recent trade in this yesterday. It was perfect timing. I called an option on Amazon. I forget what time of the day it was. It wasn't in the pre-market I called it. I called it a little bit later in the morning and we fell all day. We had a nice collapse and I called Amazon. It was just perfect timing. This is kind of expensive to trade as an option. However, it pays and it's a lot less expensive to trade as an option than as a day trade, which I do not do. But it's fun to play as an option because you get such big moves in it. The stock can move 100, 200 points in a day and it had a great big fat red bar yesterday and we did it to put in it. But anyways, this was another one again that had a nice gap here. We're going back to April. This wasn't yesterday's. The stock closed here. It was well above 2800 and then collapsed and broke here around 2500 and fell. And so this was earnings too. Some of these are gaps on earnings. Some of these are gaps on news. Some of these are gaps for the overall sector. Some of them are gaps for the market. Yesterday the market gap and we played a couple of things with the market. This was one of them. I don't have this trade in here. But again, this has just been such a nice thing to trade lately because again, talk about big moves, talk about momentum. This bar may not look like much, but it's actually pretty fat bar when you widen it out. What else was I going to talk about? Yeah, yesterday was great. Oh, there's Sean. Sean, I haven't seen you in 100 years. It was perfect timing yesterday. Perfect timing to call. I waited just a smidgen of a hair just so I didn't call him in the morning. I called I called two things I think in the morning and then I waited just a baby smidgen of a hair. I called Target in the pre-market and I called the Q's. I waited just a just a little bit to confirm we were going to roll over and then I called a couple other things later yesterday. It was perfect timing and we sold off. And again, today we're backing up. Today we're backing up. But the reality is that you play for the move. I call it the money move where you're in and you're out. Anyways, the key to day trading stocks successfully for one individual is using a system. You have to have something that has a high level of predictability and preferably something that works independently of the market where you don't need the market. Again, I started trading in 2008. It took me three years to develop my system. At the time the market was bullish, the market still bullish. There are people that disagree with me. Now, I'm watching it very closely myself personally because I will be looking to go long in my retirement account when I know the market is going to flip. But it hasn't done it yet. It hasn't done it yet. So we're taking advantage of the short moves when we get them. And again, timing is important because that's how you're going to make money because you're not buying and holding forever and you can't short and hold forever unless you're going to do it as a swing trading, in which case you're doing an all cash or in two to one margin. And those types of trades are very risky, especially in the volatile market. I know a lot of retail traders swing trade. I know that they do, but the fact is that's very dangerous in a market like this. And I know people are dying to go long. They're just dying to go long in this market. They're buying the bottom today. They're going to buy it again. They're dying, dying, dying to go long. For some reason people that are retail traders prefer to go long than short. I don't know why. But it's one of the reasons that I've made an entire career for 14 years out of shorting because a lot of people don't know how to do it. And it's something that I've gotten good at. That's given me an edge. And then anyone that comes to me that learns how to do it correctly gets an edge too. You've got to get out of this mindset of always wanting to go long. If you know you're in that mindset, you have to get out of that. You have to stretch it and widen your outlook a little bit because you're going to, you're just going to whack. People are getting whacked this year that are, that are traders that are going long every day. They just are, they're just losing. Success or failure is everything to do with the quality of your system. Every single solitary thing. And I heard the representative talking before they were talking about some signal with a bias signal or something like this. I can tell you right now, a hundred percent right now. There's absolutely nothing, not one single stock that I could name, not one right now at all. They should be going long except for the possibility of oil. Oil, but even that is extremely volatile. So I don't really know if you want to go long and invest in something. If you can withstand the volatility that made a new high over 175 a couple of days ago and then sold off like a brick, but it's going to go back up again. It's going to go to 180. No one should be long anything right now, quite frankly, my opinion. You're looking for long signals. You can just throw them in the toilet with your money. There's nothing right now that anyone should be long. Why? I said earlier, the market's lower. If you know that, why would you go long? Because everything goes with the market when it goes. Every single earnings that is going to affect the market is already out. All the financials, which tanked on the earnings, by the way, every single thing like Amazon, Apple, Tesla, all of them are already reported. Look at what Tesla has done just in the last couple of days. But the reality is it's almost June. I mean Memorial Day is like in 10 days, and then it's going to be June 1. Where do you think we're going? We're going nowhere until something happens. It's going to change the quality of the situation in the overall economy and market that's going to make institutional money when it comes back in. I've been shopping for apartments. I've been looking for an apartment in New York for two years. I live in Manhattan. It's a long process. The market's up. It's down. Now it's crazy high. It's probably going to fall again. Either way, I'm working with real estate agents. They work for Sotheby's, and they're telling me their clients are billionaires. They're telling me that people are selling all out of their stocks and buying real estate. They're putting money in real estate as a hard asset. Now, again, you can say, well, this is a good idea. This is a bad idea. This is whatever. But I'm telling you, when you have the extremely wealthy, I'm talking high net worth individuals, people that are just hugely wealthy. When they are exiting the market, that's a problem. That's a problem. You're seeing the selling. How did we go from the last time we made a new high in the coups was November to where we are right now? I've said this before, and I said it. I just put it out there on TV now the last two weeks. There is a possibility that the market may not make a new high at all for the rest of 2022. That will be shocking to people that is exactly what I said last week on News Nation. And I said, there's a chance we could, but it will be well late in the year. And as a possibility, it may not happen. So where does that mean that we will be? We will be sloshing back and forth in a range, which we did way back. It was like in March we did it. Then we broke and we fell more. Or we will continue to drop. So we'll either be range bound here or drop. So then why would you go along anything unless you wanted to do a one day? You could do a one day play. It could go along something. Let me just look at some comments here. If you want to hold hard assets like gold or something like that, it's fine. I think people should balance their portfolios out. But a lot of these people that are extremely wealthy have obviously a lot of assets in the market. I don't do spreads, but you could if you want to. Sean, you could shook them back to the options newsletter. You're missing out. I predicted gap by rating the gap, which I'm going to talk about in a little bit. You won the lot of today. Why? Because I'm talking. Sean, you're funny. Sean has been following me for 100 years. And some people haven't followed me for 100 years. I don't know. Some of you got to get in and start making money. Anyways, how can you become successful day trading? The number one key ingredient to becoming successful as a trader is having a specific system and strategy that can offer you reliable and consistent profits on a regular basis. Sometimes anything works. People went along some of those Reddit stocks and made a fortune. A lot of people lost, though. Sometimes anything works. Sometimes you take a bad trade and make money. That doesn't mean you should take it again. It doesn't mean what you did was right, and it doesn't mean that you should ever do it. Consistency is the key to making money. Consistency. This is where people are so confused right now, because in 2021 they went long, every dip, anything, long stock, strong stocks, the market. You could have gone along every dip in the market in 2021 and any of the indices I talked about and made money. Now it's not working. So consistency is how you're going to do well. Not just like, oh, this is the condition right now and I'm doing it. I'm talking about shorting the markets following. We've had a lot of big trades, but the fact is I've been doing this for, like I said, 14 years and we've had success. We are just getting bigger moves now that we're getting the market with us. Do you understand? We're just getting bigger moves. I would have done it in a normal environment. We did Target and Walmart this week. We did Twitter. We got bigger moves in those things because we had the market on our side. Do you understand? So the difference is either way, I'm doing it and I'm getting the move. We're just having larger moves, bigger momentum, which means of course more money. Okay? Anyways, I really think people need a niche to be successful. It's not something that you can just and just poke in and say it's 22.5% and therefore you will short it. It doesn't work like that. It just doesn't work like that. There's a skill involved. This is why I teach a class. You come and take the class. The class is 16 hours. You're not going to learn it in 16 minutes. You're not going to learn it in an hour here today. You have to learn it and then you have to do it and then you have to practice it and replicate it just like if you were just learning a sport like I said about tennis or anything else. But the focus, okay, my niche is not just shorts and gaps, but my niche is the idea that I'm reading institutional money. Okay? That's what's creating the move in the stock in the first place. I've been reading the market and calling it lower. There was an overlay when I found out that extremely wealthy people are also selling their stocks or have been selling their stocks too when I found that out. But the fact is that you've got to get the direction right in anything that you do if you want to make money. I mean, it's the only way that you're going to make money. eBay we did here. This closed here. Gap down fell. This was earlier in the month. This closed up here around 54 and gap down here we shorted it. Okay? We did a put in this. This was a nice trade. It was once and done. Again, sometimes the trades go one day and you go get out the same day, which we did this day. This was a nice one. You could have held this though. This actually continued within the period and continue to fall. But a one day quick trade in and out I think is a great thing. And again, I'm usually looking for 100% what I'm doing an option. And when you can get that in a day, you get in and get out. So how can you make money shorting? You make money when the stock price drops. That's the only way you're going to make money. If the stock price rallies, you can't short it and expect to make money. You will lose. Okay? Just like you can only make money going long. If the price goes up, if it drops, you will lose. So who can short? Anyone can short anyone. Anyone as long as you have an account set up to short. And if you don't know how to do that, call your broker. And again, you can buy puts, which are essentially a short. Okay? Essentially a short. And again, short moves happen very, very fast. It can happen like that. Now I don't know how we close today. We're probably going to close grain today. We might not, but we probably will. But either way, they can happen out of nowhere. And once the momentum starts to come in, it's very hard to go against it. So it tends to continue and follow because again, it's about panic. It's panic, panic, panic. Again, why are people selling out of their stop in the market? They're getting a little panicky. Costs are going up, inflation, all these companies that reported earnings, Amazon, all the other ones, you said, well, they're forecasting not as good of profits. So people are nervous. People are worried. Okay? Anyways, this is another one we did here. This was Epstein. This was a day trade. Stop close to your gap down. This was earnings. Close to your, we shorted it. Again, doesn't look like much, but it was a nice trade. Here was the trade. It was a day trade. This was on May 5th. The entry was $94. Shares was $1,300. Risk was $29.90. Again, this is an average risk. Your risk should be the same on almost every trade you take. This was in the results I showed you earlier. You could have risked half. You could have risked $1,000. You could have risked $500. Exit was $90.40. Again, almost $4. That's momentum. You shorted. Get the drop. Get out. Profit was $4,680. Here's the one minute. Again, this is the one minute chart. Stop close to the night before around four o'clock. Gap down here at 9.30. We shorted it. We got in, got out. Boom. Done. Done. That was it. This little tiny, tiny short period of time here in the morning, we did the trade. We got in, got out. I did not do an option. This was just a trade on margin. So you have to have a margin account to do this as a short. Again, setting up a margin account is very easy. Call your broker. Fund out the information. You can go retail or prop. Okay. You'll get more leverage with a prop account, though. Here was another one we did. INTC, $4.29. This closed here. This gapped down. Boom. We shorted it. We got in, got out. Again, red bar. Nice fat red bar. What does that depict? Shorting, selling. Stock price was lower. Here was the trade. We entered at $45 short. Risk was $29.25. Exit was $44.40. $2,700 out. Again, I'm usually looking to get one amount of whatever it is that I'm risking. This was close enough. This actually continued to go. This closed here. This gapped down. Got the drop. Boom. Again, here was a night before around 4 o'clock, around 46.50. Gapped down here in the morning, around 45. We entered it short. We got the drop and got out. It kept going. This went down to 43-something. I was out before then. This was on April 29th. Again, this was a gapped down. Institutional money sold it. How did I know it would continue lower? I rate the gap in the morning in the pre-market, and I go through my rating system to do that. How do you learn the rating system? I teach it in my class. Again, it's a 16-hour class. But it's all about looking through and going through and looking through every single solitary thing that I'm doing and picking out the nuts and bolts and the nooks and crannies using my skill and analysis in the pre-market to determine, should I do this at all? How should I do this? All of that is taking place for me in the morning early. Again, I know before 9.30 whether I want to trade or not at all. I don't enter any trades in the pre-market. I look to enter them after I get in the trade. So, shortly this happened fast. Why? Because of panic. Because of panic. Panic is what? Panic is fear. Fear creates selling. That's why you've seen the market sell off. You can rationalize all the reasons why. You can say this thing and this thing and inflation and higher interest rates and the unknown and Ukraine and Russia fears of a war. You can always rationalize the reason. But the fact is, whatever the reason is, it's happening. Okay? So, you need to recognize that. And if you're looking to trade against that, you're going to lose. You're going to have problems. Okay? So, you can't fight it. There's a very simple thing. It's a very simple saying. It's called the trend is your friend. Well, again, I'm telling you that the overall market is still in an uptrend. Where we've been going right now, momentum-wise, has not been up. It's been down. Okay? So, again, how do I make the pecs? I use my rating system. It is a 26-point checklist that I go through each and every single solitary day to find the best stock to trade to short. I do prefer to short. This has been a great market to short. If you're scared to short and you don't know how to short, then I can teach you how. No one should be afraid to short. And people should not be looking for long opportunities. Yet, that is exactly what they're doing. They're looking for bargains. If I said to you that you could buy something at $10 that used to trade at 50, you might think that's a bargain. But what if that stock that you would be looking to buy at $10 actually ends up going to two? That's not a bargain. That's a shit trade. So, the fact is that this whole idea why people just love to go long dips and people are just dying to go long. That's why our market's rallying today. And it's going to rally again. Whatever. I mean, it's just like I said, this could keep going on and on and on and on in June, July, August, September. This could go on all year. Every single time. Like I could turn the TV right now. Oh, buy the dip. They're saying on Fox News right now, but they're saying it. I'm telling you right now, it's just so crazy. Get out of this mindset about worrying where we're going to go by September 1st. Who cares? Who cares? Again, if you're looking at a retirement account, like I have a retirement account, you make your own decisions or you meet with your financial analysis. This isn't what we do. What we do is looking at active trading. I don't care where the market's going to go in September 1st as far as what I'm doing to make money. I care about right now today I want to make money or I don't want to lose. So, I have two choices. Either I see something good to trade it and make money or I say, take a step back. This is going to be hard today. I don't like the way this is setting up. I'm not going to do anything at all. We till tomorrow. And that is actually what I said today. I didn't do anything today. I watched this go. It did set up. It didn't set up. They wanted to, I passed. I didn't do it. It did work though. It actually did work. It was the one thing I watched and I passed. I didn't do it. I knew the market was going to flip and I didn't think that was good enough, but it worked anyways. So, I passed. I didn't do anything today and that's okay too. That's okay too. But this whole idea of trying to get a bargain with something, I got to wait until the money comes in. I want to see that institutional money come in. I want to see all those wealthy people come in. Again, let them go long. Let them move the market up. Let them buy it. Okay. And then I'll get in so that I know that I'm in a stable position that I know I'm going to get the rally, that the price is going to lift in a big way, that I get the momentum. Not a rinky, dinky, little, tiny, widget-y, little, teeny, weeny day, which we've been having. Okay. As far as the rallies go. Let's take a look here at Twitter. So, this has been like news, news, news. This deal could fall through. This deal could fall apart. This deal could fall apart any second. Who even knows? But it's been gapping down a lot because Musk was going to buy it. Then he might change his mind and the bots and this and that. Anyways, this close here, this gap down. This was a nice trade here. We did it right here, which was actually, that was Monday. Yeah, this was like a couple of days ago. This was the 16th. We shorted Twitter. So, it was a nice trade. Again, day trade in and out. Entry was $38.97. 5,500 shares was risk was $29.15. Exit was $38.35. Again, we got in, got out. Profit was $34.10. This was a day trade. This was an equity trade. Here was the short. Stock closed here, gap down. We shorted it, got the drop out. Again, this is the money move for me. This is the momentum. This is red bars. This isn't a one minute. The other chart was a daily. I trained on the one minute. I do the analysis for the points on the daily, but I take my entries on the one. Let me see if somebody's asked me a question here. I don't know. Something for Jeff. Okay. Blah, blah, blah. All right. Getting back to what I was saying. Large institutional money. Gaps are created with large institutional money. That is what makes the gap. The professional gaps that happen to play out on stocks are formed by one thing and one thing only. Large institutional money. Therefore, you need a way that will help you pick the correct direction to play the gap and confirm the large money will flow with it. This is what I look to do every day. I'm doing it in the pre-market and the rating system. If you want to learn how to do this, you would come and take my class and learn how to do it. I have a live trading room where I call all these trades live in the room. You cannot join the room until you've done the class. The trade set up fast. You have to know what we're looking at. You have to have an account that is on margin in order to do the live day trades. Now, I do have an options newsletter. There is no prerequisites for that. You do not have to do the golden gap course to sign up for the newsletter. There are people that are making money taking my options trades. Those are emailed to you in live time. They have not done the class. It depends what you prefer to do or what you like to do. But shorting absolutely gives me a niche. People get scared and they sell. They are selling actually many positions that are up because we've rallied now really since if you look since 2016 all the way up to 2021 when we made the last new high. Again, that was November for the Q's. We made a new high in the spy early in 2022 but we haven't since. But that's scary to people. When they feel like things are going to fall, they get scared. They sell. They sell and are scared even when they're actually taking profits. And some people are buying and they're selling and they're down because they've been buying the dips since January which was a mistake as I just reiterated. Now, we did this one too. This was Walmart. This was 517. This was just the other day too. I'm just showing you here this gap itself. Again, a wonderful gap. These are retailers. These sell low expensive items. They can only cover the costs for what they can for inflation. A big reason that the cost of things are going up is actually because of oil because the price of oil and gasoline is going up. Every single thing that we buy, every single thing that we live off of is going up. You can't exist without it. How do you get butter and milk and cheese and bread and all the things that get to the grocery store? They come in a truck. I live across the street from a grocery store. The trucks come in every single morning. The guy goes in. He backs his truck. He blocks the whole street in the Manhattan. The whole avenue is blocked till he backs in and he unloads all the stuff. He goes there every morning between 5 a.m. and 6 a.m. He backs the truck in. Everything you buy, everything you get, everything that's created. It all runs on diesel, fuel, gasoline and it's really diesel is the big one. We talk about the fact that we drive around in cars and things, but everything we buy, prices are going up because of the cost of diesel fuel. Has skyrocketed. Even my parents said who live in Pennsylvania, regular gas is $6 a gallon. In Pennsylvania, that's nuts. It's not even New York. I don't even know what the cost is. I don't drive anymore. I haven't driven a car for years because I live in New York, but I'm sure it's more than $6 if it's 6 in Pennsylvania. Anyways, this was a very nice gap that we did and we did this as a day trade and we did this as a put. Again, it's the whole idea of following momentum for profits. You get on the road and you stay on the road and you make the money. Again, there's so much common sense involved with everything that I do, but I think a lot of people just, they get off the common sense and get lost in the weeds because they trade, they lose and then they get confused and then get rich quick thing like the next GME or whatever's going to happen that's going to make everybody rich. While sometimes those trades happen, that is not a consistent program to use to trade by taking ideas from strangers and read at chat rooms. You're never really going to learn how to trade that way and you can't possibly rely on that as something that you could do for years and years and years. I teach people a system that they can do that they can rely on while I'm making the calls and I do have an instinct and an intuition to do this because I've been doing it so long and I also created the system. The fact is you will learn how to do it without me, but you don't need me to do it by yourself. That is extremely important. One of the pros of doing options is that you don't have to be in the trading room every single day between 9.30 and 10. That's when we do the trades. Some people can't do that. They're busy. They're working. I have a guy that's actually a truck driver. I won't say what company it works for. He trades in the truck. He's doing the options and he's doing them in when he's on his route. He does it on his phone. You can do options and be doing a different job, which is why people like it. You put the order in, you buy the trade at the open, and then you can put an immediate sell order to sell it. If it hits and you're busy or you're working, then it sells you out of it. If it doesn't hit by four o'clock, it's a limit order. It's a cancel order, then you get up the next day and put a sell order. You can put a sell order in and if it hits, it hits. You also capture overnight moves with options. Which is nice too. Everybody that did the trades I called yesterday, we gapped down this morning. If you got out in the open this morning, you were up more money because we followed through from the selling and we had a gap down and I called puts. That is a benefit where you're capturing that gap down or the gap up. We do do calls in the overnight moves. For example here, so this went boom, this open lower here and here. You can capture these overnights with options. You can't do that with day trades. Anyways, here was the eBay trade. This was just a really nice trade. This continued too, but I thought it was a nice trade to get in now the same day. Called the $50 strikes expired May 13. Again, we talked about this day here. Here was the chart. Again, it was a put. This was really reasonably priced. A dollar, 80 contracts, risk was 8,000. It's an advanced trader risk sold at $250,000, $12,000. It was 150% investment the day I called it. Very nice trade. Sent this out early. As soon as I saw it, I knew it would work. Again, how did I know it would work? I rated the gap. I get up early. I may send a trade out at 7.13 in the morning. I might send one out of 5 a.m. I knew this would work. You don't do it till the open. You do it. Boom. Get the drop. Again, a put is selling the stock gap down. The stock close to your gap down. I rated it early in the morning, and then 7.13, I sent out the trade. You get ready. You say, okay, we're doing the eBay today. Let me get ready. You buy the put into the open and there you get the drop. Then I have targets in the letter as well. A beginner risk is one. 10 contracts. This was so cheap. You could have spent $1,000 and made $1,500. That's a great trade. A lot of people like to do options because you can open up a starter account with two grand and trade options. Now, you should not risk half your account in one trade, but the whole idea that you could even make 150% of your money in an option account, I mean, people love that idea because you can take a $5,000 account and build it to 10, a $10,000 account and build it to 20, and so on and so forth, and people are doing that with me. I mean, there's just no one is losing money with me right now in the options letter. Every trade right now is working. I don't have those stats in here, but my stats here today are 82% win ratio. Everyone's taking all the trades. Everyone's making money. Where they get out is up to them. There's so few trades I'm calling that are losing right now. Again, we've had the momentum. I've had the picks. I don't know that target's going to bomb on earnings, and I certainly don't know if it's going to back up and reverse or continue dropping until I see the gap and rate it. It happened to rate good, so we did it. I'm not predicting the gap's going to occur. I didn't predict Walmart either and we did it until I see it. So I'm not shorting Walmart the stock or doing a put in it or anything until after I see the gap occur and then in my reverse, like the market's reversing today in the gap down. I told you I'm not in it, but the fact is I wait. I wait till I see the gap and then I apply the system. Is this going to reverse like the market did today or is it going to continue falling, which is exactly what Walmart did in eBay? So that's what I go through that process, because sometimes they do reverse. Sometimes they do reverse like the market's doing today. I'll look and see what it's doing. I'll let you know when I'm done here. Google was another one on April 18th. This feels like a long time ago. We did. We did the 2,500 puts. This is not expensive for Google. This has been way more than this at certain times. $1,650 for one, five contracts, risk $82.50, sold at $82. Again, a phenomenal move. This was almost a 400% return on investment. We'll go back and look at the chart. These stocks are fun to play and I don't day trade them. They're just massively spreading and very expensive. But Amazon, Google, even Tesla, they are fun to trade as options. $32,750 in one trade. I mean, it just, it's just the timing. So this was on the 18th. Let me find this here. Somebody has a question. Hold on. My success rate with options, we're at 82%. 82% win ratio. That's basically in my mind, we're not losing. That means if you take 10 trades with me, eight of them are going to work. Two are going to lose. But I might call 35 trades in a row that win and then two that lose. This is why everyone is doing extremely well. Where were we here? Oh, so here's the 18th. This little tiny guy and then poof. And then we got the drop. So again, you see this? This is a daily. This is a daily. One contract you could have made $65,50. Huge trade. So what should you expect to earn? We're talking about win ratio. Let's talk about return investment. I think your expectation should be one. And even sometimes actually 50% is good. But if I get something to go into my favor, I'm not going to kill it. I'm not going to kill it. Like eBay was a nice trade. I mean, I saw it was going to fall into the close. You just hold in and you let it go. It was hitting through every target. But the reality is one to one is your expectation. Sometimes trades will go more wine. Sometimes you got the sector with you. Sometimes you got the market with you. There's many other reasons. It doesn't mean that you will only make 100% on one to one. You will make more on others. I showed you some of these. But just so you know in your mind as far as your overall expectation, okay? But you've got to make good choices to trade. I think people just don't. I think people will make good trading choices because they're so desperate to make money. You kind of just got to like get out of that desperation. Maybe, maybe get into the mindset of a very wealthy person because wealthy people are not desperate. Trust me. I know. Like I just told you I was looking for apartments for two years. I put in, I don't know how many offers and apartments. Now while I did lowball some of those, which was warranted in 2020 and 2021, I mean, they didn't even come back and counter me. I just put an offer in an apartment last week. They didn't even counter me. I said, what the hell? I said, screw them. I'm done. I'm going to move on. I'll find something else. It's not the right place. I mean, but these people are so wealthy that I'm trying to get an apartment from. Like they don't care. Like if they don't get exactly their price, they don't care. It's like a mindset. Like it kind of blows your mind once you kind of are like living with it or dealing with these people business wise. But I mean, you sort of have to think like that. I mean, you can't like, when you're losing, the problem is you feel like a loser. So guess what? Stop losing. So that's that you can do. Like if 100% control, you can stop losing today. If that, even if that means you take a break from trading, like you're better off doing that, get your mind correct. Then you got to get in the mindset, I am a winner. I want to make money. I'm going to do this. I'm highly motivated. I'm going to figure it out or I'm going to learn from Melissa, whatever it is. I'm not going to take bad trades. People are taking a lot of bad trades because they're losing and then they just like chop at the bit or they over trade or they flip. They may go along something. It doesn't work. Then they short it. Then they get in a bad position. Then they flip it again, flip it again, flip it again. You've got to get the right stock, but you also have to get the entry right. Someone's asking about stop losses. I use stops in my day trades. I call them in the live room. I call the numbers in the room for the stop. For options, I don't have a stop other than the actual risk is the stop. The reality is, if you risk $5,000, that's the stop. That's the stop. Do you know what I'm saying? While you technically could kill a trade, if I call a trade, and this has happened, I've called trades sometimes. The first day, if I called puts today, I guarantee you they'd work if I called them out till like the 27th. I didn't do that. I didn't think that I knew we'd back up today. But if I had, they'd be down. I still wouldn't have killed it because the fact is, if I call a trade, I believe the trade is going to work, I give it a chance to play out. I don't kill a trade if it's down 20%, 30%, 50% an option. I don't do that because if I went through the process and I rated the gap and I follow my system and I went through the 26 points, I believe that trade's going to work. I already know it has an eight out of 10 chance of working. So why would I kill it in the middle of it? So your risk is your stop for options for me. If you feel worried or scared, back off your risk. For day trades, I do use a stop because I only have to four o'clock to make money in the trade. And technically, I really need to get out of the trades super duper fast, like within the first half an hour an hour. So if I'm in a trade and it hits me out at 945, then I may look to do a second trade, but I take the stop. And if I put the stop in at 945 and it goes my direction, then I'm out in five, 10, 15 minutes whenever it goes to the target. So again, I'm not messing around where I'm in day trades all day. I'm just looking for that short, fast, quick move down. I'm passionate about the topic. You've always wanted to short. You've always been scared. You feel like you want just listening to me. Oh, thank you. I don't scale in. You could do that if you want. Yeah, I don't know why. I mean, I know this from teaching people. So I've been trading for 14 years. I've had the business for 10 now. And I know that people tend to like to go long. Like I know that people are dying to go long right now. I even have friends that are managing money and they're texting me about the market. Is this the bottom? Is this the bottom? And I keep saying, no, they're chomping at the bid to invest money for their clients because they don't make money because they charge fees unless they invest. I mean, I know everyone is dying for the market to like just rally back again. But I mean, again, you have to think of where we've been, how we've come from. So you can't ever train to quality entries. We talked about that. Make good choices. Money management, that's key too. Don't be afraid to take stops. We just talked about it. And the bottom line is you have to win more than you lose. I like to win. One of the reasons I think it's beneficial to come and learn from me is that if you are trading with me, I hate to lose. So I'm a very motivated person and I like to win. Like I said, if I take a trade and I take a stop, I'll try to find another trade to work. I'm not a quitter, okay? It took me years to even get on television. Now that I'm on, I'm on, it's still work to continue to be on. So I'm the type of person that I'm a very highly motivated person. That is hard to find. And once you find someone like that, if you're following them, then again, you have a higher odds of succeeding as well. But it is up to you. You have to take the trades. You can't be afraid to do it. You can't be afraid to spend the money to pay for my class or sign up for my services. You have to take risks to do that too. And you won't know what I know until you pay, until you sign up. That's what it is. That's what life is, okay? Life is about taking risks. I mean, going back to the real estate, I know that I'm going to find something. I'm not going to live where I'm living for the rest of my life. But I think I said at the real estate agent the other day, I think one of the reasons I haven't been willing to pay what some of these people want is, I'm not in love with the apartments. It's like, you know, and so I have to be in love with something in order to pay what they want. It's the same thing with trading. You want to come and you want to sign up with me. You got to be in love with wanting to do it. And you sort of have to be in love with the idea of making a lot of money because you will have hard days and you will need to get through those hard days. And then you will have huge days and you can't go off the rail even if you have a huge day. I mean, I've had people that have made three times the size of their account in a day. You can't go off the rails. That doesn't mean that is every trade. You can't hold every trade then to a piggy target and risk your whole account in the next trade. You have to be in this gray area like I talked about. And then every once in a while, I mean, things are just going to just go your way so big. And you take it and you say, thank you. Pat yourself in the back and get up the next day and do the same thing every day. I get up and do the same thing every day. I get up and do the same thing and you have to stay on target like that. And then part of that is being balanced in what you do. And that's why you can't risk more than you can afford to lose because if you do, then you're not going to be in balance. Someone's asking something here. I do not. What do you mean cut off time? I don't trade in the pre-market. I don't trade in the post market. You can't do options in the post and pre-market. You can trade market options. 10 minutes for the open, 10 minutes after the open. I don't do that. Okay. So you need an edge. We talked about that. I rate gaps. Here's my 26 point system. That's how I make the selection. I'm looking for power of money. It tells me what to look for in the chart and where the money is flowing. That's what's important. Again, I will go long. But the fact is, you know, I'm looking very specific for very specific things to go long. Like I said, I'm watching to see at some point if I know the market's going to turn. It's just not right now. Okay. So for me, you have to follow a good strategy. For me, that's gaps. You also need a system to follow with rules. So my rules are, I go through the criteria. And that's what I do. Like if you flew into playing, the pilot goes through a checklist every day before he takes off. Is this thing done? Is this thing done? I mean, these are just standard things. And then I saw rules to enter the picks. Cisco today rated good, but it didn't mean my criteria for the entry. It worked anyways because it was a good rate of gap. But I passed on the trade because the entry didn't set up right for me. You got to have a structure. And I think following someone also helps too. Having monetary goals is important as well. And again, one risk unit is really what I'm looking for. But you can't take risks for risk sake. You have to take what's called calculated risk when you're trading. I'm flipping through these quickly because I know we're running out of time. And I appreciate Jeff letting me go over a few minutes. So if you're interested in the class, it's a 26 point rating system where you learn the checklist. And you have to think about it. You know, you want to pay the money up front. You're going to learn it. That's the only way you're going to learn it. You're not going to know until you do it. I teach the class once a month. So the next class is plenty of time for you to plan. It's June 25th and 26th, 9am to 5pm Eastern time class tuition is 69.99 classes online. You must email me for sign up forms if you want to sign up. If you have questions, you can email me. I'm doing a webinar special through tomorrow. If you want to sign up for the June class, you can sign up by tomorrow and get one year free of the gap options newsletter. That was with the newsletters I showed you for options. They come to your email and one year free in the trading room. This is a phenomenal deal. Whether you like to do options or the trades, the day trades, you could do both. The deadline for this is tomorrow. Somebody's asking me about something about options. Are your profits on your options trades, windows greater than your options trades losses? My win ratio is 81% for the options or 82% for the options you're to date. My losses for my losers are usually a full amount of a loss. Why? Because I don't kill it. Remember we talked about that. Now I might take a trade on a Monday and the trades down. It comes back by Friday. So I might take a partial loss in that example. So say I risk eight grand in a trade. It's down Tuesday, down Wednesday, down Thursday. It comes in my favor Friday. It expires Friday. I run out of time. I don't lose a grand in it. I was down almost the whole amount all week. I come back, ended up losing two or something. Do you see what I'm saying? So if I have a partial loss in an option, it's because I run it into the last day to give it a chance to come back. I have taken trades that have been down all week that have come back profitable actually the last day where I don't have any loss and they were down all week. So I don't kill trades in the middle of them. But many, many of the options are just such huge winners that with such a high win ratio and many trades being big winners, it's a very profitable newsletter. I can't tell you the last trade that I called that was a loser on the options newsletter. I can't tell you. I can tell you the last trade I called that was a loser on in the room last Friday. I shorted Twitter. We just stopped. It lost. And then Monday we did it and it worked. But I can't even tell you the last option I did that lost. I'd have to go back and look at it. Like that's how much of a role we're on. Any questions? I went over. Thank you for letting me talk for the full time. Thank you Melissa.