 Hey, welcome back with us folks tonight. I want to show you how we picked up the Netflix dip in this chart, I want to show you step-by-step what went through my mind and I'll try to pinpoint exactly Well, I'll try to share exactly how to do it. So this goes to my friend mark who's asked me to Do this for you and so here it is. I sure hope it will help you out in Finding dips in your plays eventually. So here it was Netflix had some news yesterday About some things are trying out more news today about trying to go after people sharing passwords It has been bullish since a 52 week low Earlier we can see it here the 329 82 so Some analysts were bullish yesterday more even today. So I was looking to For we we bought it yesterday closed yesterday. I was looking for continuation today But where to get in this is where I'm about to show you so here it is This is the beginning of the day I'd like to look at pre-market activity Looking at the early rise and then This is what we want. I want to concentrate on it. Basically, you see this rise up take a screenshot of this so I could share it clearly this is the Open basically we win it. I like to you know, this this break of the pre-market Hi, it became bullish. Oh, and then it broke under so this could be a fake out just to squeeze all the The bulls in you know, it becomes a bull trap Yeah, it turns down after that What I wanted to make sure of is how this would survive If the whole thing had kept on going, I mean it would have been a well too bad However, the market was kind of hippie and This is what I was looking for I was waiting for something to pull back to a certain area Now this red line that you see is the 50 EMA and This is all done on a five-minute chart 50 EMA and we hit that 50 EMA if the the EMAs are For me they're there to confirm something the Because it was it has been so bullish the 200 EMA is Something that I care more about than the 50 nonetheless. This was there So this is you know first thing that I noticed. Okay, we're getting really close to the 50 EMA What else? Let's get out of here for a second and Look at the time What's the time on that? Red candle look at the time. It's 11 Remember 11 o'clock, right? Let's take this for a second Now this is the spy chart Remember I tell you to look at the rest of the market compared to your ticker. This is the spy chart 11 11 is here. Okay We are Let's get rid of this so you can see it Basically the 11 candle is this one. So basically Netflix was going down spy started to get bullish and Here at 11 we hit the 50 EMA on spot on Netflix what I also like to look at is the stochastic momentum index. I'll drop this down below Let me put back the the line here at 11 This was 11. So I'll show you the stochastic momentum index. See how it's crossing So it's this line here See how it's crossing to the upside Now let me move out of here and I'll show you what this Oscillator is doing see obviously the whole thing will move up However on the five minute it will hit top bottom top bottom However, when it hits the bottom like this Rarely will you see it continue without some sort of a bounce? So I was expecting some sort of a bounce on the spy And if you look at the line and the level on this line look at the support it has From the previous day This is pre-market Right, this is pre-market activity basically it landed on support there, and this is yesterday's high Just before the gate were really close after the after the open were hit resistance So basically was resistance it became support and I was expecting the whole thing to Let's get out of here. So you guys can see it clearly same line here and we're hitting that line as Support again. Now, let's move back to same thing 11, right? Let's move back to the net Now we're back in Netflix. Remember I was looking at the 11 O'clock candle when it hit the 50 EMA What I like to look for is support check this out This is the line it's getting at so draw a line at the 11 o'clock You just drew a line for spy You can clearly see that it looks like it's going to be on support. It's rising It's at the this 11 o'clock Draw so basically how is it reacting compared to the market? Well, you can expect that it's probably going to at least grab something. So basically you're Believing that this is the bottom. I'm not looking to come Confirmation on this and then and up being chasing. No, what I think is this can be the right bottom Where to and but actually where and why look this look at this and On support, right? We are Hitting this is the pre-market activity. We're very close to that high of pre-market and Look at this big Humongous candle when the news came out from the test of to do it in South America And how this is not a fact fat finger trade. It was a huge order. I was bought at At that level Basically here Right, it hit very close to 360 we are very close to 360 so you have one lining up the other one lining up You have this volume in one candle. Do you think it's going to bounce there? It could be a coincidence that it would bounce however when you have The 50 EMA Bounce when you have the rest of the market, you know spy is bouncing rest of the market and support Well, you have many things in your favor telling you that you're not gambling You're weighing your chances and These things are telling you that you are at the right level For a bottom to buy to the upside now. I said my target was high of day high of day at the time was This here this was a little higher than 365 Little higher than 365 made to there. So basically, you know, it's a slow climb to that Once it breaks through fine It doesn't matter if you're not in anymore the idea is not to grab the perfect treat by the idea is Be able to find a bottom if you can leave runners on after you Reach your Exit strategy, which was a retest of the high it went to 373 ish something Yeah, 373 31 final but in the end what I wanted to show you was how we found that bottom Adding more Strategies than just you know gambling so I believe there's more than there's there's more to it than just Going with one indicator the idea is to go with many things in your trade analysis that will get you to Picking the right play. So I hope this helps and Stick around we'll go for more like this