 What's up everyone today is Monday, January 31st, 2022 is the last day of the month. So a couple of things I want to talk about before we get started, we just had our meetup in California. So we've been talking about this for a very long time. We just had our meetup over 200 traders showed up members and non-members. And for anyone that attended, I think it was a great time. We had pizza, park games. Basically, it was kind of interesting because we didn't really plan to do this. A lot of people came up on the microphone and kind of shared their stories of success and failure, right? So a lot of people have a lot of similar stories. A lot of people have maybe joined another community and lost money or started gambling or whatever, maybe or had these crazy high goals, unattainable goals. And we were able to really talk out a lot of things. We opened up a nice Q&A panel where there was some great questions. Shout out to the next-gen traders. This is a group of five or six traders that's 19 years old. These 19-year-old traders got an Airbnb together. They hung out together. And I'm pretty sure they're going to be lifelong friends together as they start to figure out this trading business, right? And I want to kind of give a special shout out to Bao. Bao was very vulnerable at the meeting. He shared a lot of experiences and a lot of stories. It was great to see him kind of share whatever he wanted to get off his chest, which made members feel very comfortable sharing what they want to be sharing. So shout out to Bao. You are amazing. Very proud of you, bro. You are improving every single day, not only as a mentor, but a human, bro. And I think a lot of people really appreciate it. So we have some photos. We have some videos. We're going to post that all up once I kind of get that footage back. So we'll post it on Facebook. We'll post it on Instagram. If anyone has any photos, they can send it to me. Overall, it was an absolutely amazing experience. It was so amazing that the security guards that I hired came up to me at the end and they're like, bro, I have no idea what I was walking into, but this is going to change my life. I really appreciate it. And the security guards learned a lot, right? So if the security guards learned a lot, imagine the traders that learned a lot. So shout out to all the moderators that attended and helped set up Oren, Steven, Claudio, everyone that came. We really appreciate it. And this is the start of many more meetups to come. So great time. Let's talk about the market, right? So last week, the market was in chaos. The market was collapsing. The Fed said that they're going to raise interest rates and all this crazy stuff. Tesla earnings collapsed, Microsoft earnings collapsed, and then rebounded. And then this week is like Facebook and Google and all that other stuff. And so what kind of happened to the market, right? So the market moves pretty much on fear, guys. So fear is the main thing that kind of decides fear and greed. Fear and greed decide if the market's going to go up or the market's going to go down. And it seemed like to me, there was an abundance of greed in this market. And when I say greed, I mean heavily, heavily margined people, right? So a lot of people, what they do is they borrow money that they don't have from their brokers, and they go all in on these stocks. And if the stocks go down 10%, their accounts are getting liquidated. So something like Tesla, today Tesla is almost 8.5%. That was up 8.5% today, because what probably happened is everyone that was margined out in the 1,000 to 1,100 range got liquidated. When the stock went down to 900 and 800 and even $780, they all got margin sell, and then the shorts got very aggressive. The short said that we're worth this shit's going to 500, this shit's going to tank, and then they got fucking margined up, right? So the market moves in cycles of greed and fear. So right now, guys, right now, a lot of these large cap stocks, I've been just sitting and watching, right? So small cap action has been a little bit slow this past week, or last week. And I've kind of just been waiting and looking in the large cap room to expand my playbook to learn new things. And this is because I'm already a consistent trader. So I'm just looking to see what's moving, see what I can learn from. And I've had a couple of scalps here and there, but my bread and butter is these small cap stocks. So as these small cap stocks are dead, like we spoke about in the meetup, this is your opportunity to learn, and this is your opportunity to kind of just go back and watch the videos and catch up on everything that you missed out on. So today in the market, we have KSCP moving. So KSCP is a pretty big runner, right? And what I want to do in this market, guys, is a lot of people are very hungry for runners. They're hungry for a play, they're hungry for a stock, they're hungry to push these stocks, whatever way it may be. And for me, I know that all it takes is one big runner to ignite the entire market. So I'm basically just waiting for that runner to show up, right? Oftentimes in the past, I would try to attack and try to slay the dragon. But now I've learned that if I just wait and let that stock run, then the next coming days I'm going to have a lot easier action. So I've been taking it very slow, I've been very patient. I haven't been oversized and I haven't really been overtrading in this market, which is good. And I'm basically just waiting for these runners to come back because when they come back, it's going to be easier to trade them again. And as we see what the market's starting to rebound, the spy reclaiming the 200-day moving average and all these other things like Tesla rebounding 10%, Apple going straight up, all this stuff. So there's money coming back into the market, there's confidence coming back into the market. And when there is money and confidence coming back into the market, we're going to have more opportunities, we're going to have more plays, and we're going to have more trades. And today, it already showed that small cap stocks are starting to run again. So I'm getting very close to the market heating up again. We're getting very close to a lot more action. And in the meantime, I'm going to be here watching, learning, educating with Bao and the rest of the team. So this is going to be a little bit of a different video. I want to open it up into a Q&A and see what questions that you guys have in this market or in this market cycle and how we can go over it together. Because the main thing that I've been thinking is I'm just waiting for a runner. I don't know when it's going to come, I don't know which stock it's going to be. We have a stock I&N running today, which is kind of crazy too. But yeah guys, so if you have any questions, let's go into the live chat right here. We'll answer questions for a little bit. And then I'm going to kind of get back to work and catch up because I've missed a lot of stuff. So a lot of member questions, so let's get through it guys. So any questions, leave it in the live chat here and let's start going over it. And this is the shirt that we gave away for free at the meetup. Any questions guys? How have you guys been adapting in this market cycle? I want to actually talk about one last thing before we get into the questions is I want to talk about some common questions or some common mistakes that I heard from traders at the meetup. So one common mistake from traders at the meetup is that they were going all in on the first line. So if there's two or three different resistance points, some people would be going all in on the first one and then they'd be blowing up at the second one. So sizing accordingly guys, that's number one thing is if there's different resistance levels, if there's different lines, break up your orders, right? Do a 10%, 10%, 10%. Don't go 100% onto the first line then get blown out in the second line, right? So a lot of people were over sizing on the first line. That's one common mistake that a lot of people were making. And number two is a lot of people said that if they were on losing streaks, they started revenge trading. They started trading sloppier. So what could they do to improve on that? So a couple of things guys. Number one, if you are on a losing streak, it's okay to take one day off. It's okay to take two days off to reset your mind before you come back trading. And when you come back trading, your goal is very simple. It's just to have one green day under your belt to regain your confidence. So these were some very, very common questions that a lot of people were saying, right? So be careful sizing. We have sizing rules. We have max loss rules. And we even had our broker partner Cobra come up and share some of the reasons that they see a lot of traders blowing up and they see a lot of traders oversizing pre-market and they see a lot of traders not using max loss rules. So all of the same things that we preach and we educate to our members every single day is the same thing that people that have 10, 20, $30 million accounts are using. So the people that have 10, 20, $30 million accounts are using our MIC process to become profitable. Why the hell are you with a fucking $10,000 account not using this stuff? So that's kind of one thing I want to recap. I thought SSR was a red flag for shorting. Can you explain why it was on the watch list? It is a red flag for shorting, but that does not mean that you avoid every single stack that's on SSR. It just means be more careful that there could be more manipulation so size down accordingly. Don't oversize. You could still trade a stock that has SSR but don't go all in on it because the edge is not in your favor on SSR. We could still trade it. We could still make money on it. It doesn't mean load the boat. TKLF was weird today. What's your take on it? I mean, TKLF, I'm watching right now. It's at like 420. Not really sure. Stock seems a little bit crazy. I don't really know. It's zombie time right now so it's probably doing a zombie time squeeze and it's probably gonna be on my radar tomorrow to attack. So I'm just pretty much chilling, waiting. Yeah, so that's TKLF. Would you nail and bail the first resistance? Yeah, usually. That's obviously, that's a high probability setup. The high probability setup is shorting the first resistance and nail and bailing. If you overstay, if you're over trading, you are not trading the process. Love the t-shirt, how can I get one? You should have come to the meetup. Exactly Nancy. You could trade anything you want as long as you have the right risk and share size in mind. Do you gravitate towards large caps when small caps are dead? Well, large caps are a market that will always have liquidity and always have range, right? But small caps are a higher probability win rate on the short side. So small caps, I probably have like a 90% win rate on. So that's where I focus most of my attention and most of my money. Whereas large caps, when the small cap market is slow, I use that slow time to educate myself on large cap stocks. So just like you guys, when the small cap market is slow, you should go back and re-watch MIC videos. You should go back and pay attention to the content that you missed out on the small cap roll because once the small cap market comes back and gets hot again, that's where your advantage is gonna be. Whereas me, I've already been consistent in the small cap lens, so I'm trying to expand my playbook a little bit. Hi, Alex. I found myself trading okay first few trades on the day, but if I take a few losses in a row, I get impulsive and gamble, that's a suggestion. So that's because you were revenge trading. You feel like you have to get back to where you were and the truth of the matter is you should have a give back rule. So let's say you make $1,000 on the day. You should give yourself a 20% give back rule. So if you lose $200 on other trades, you must shut down and you must walk away, talk to your tab, do whatever you must do and give yourself a give back rule because the worst thing that you could do is continue to give back, give back, give back and ruin your entire fucking day. If this TKLF is squeezing. How much percent are your long trades? Less than fucking 5%. I'm mostly short bias. Any other questions, guys? This is your opportunity, man. And even at the meetup, it was all the kids asking the questions. None of the older people were asking questions. I don't know why, but the kids are hungry, man. When shorting a broken pre-market chart playing the VWAP rejection after opening, if it goes up to VWAP again and does a fake out, do you exit or enter again after it pulls back on the review app? If it reclaims, exit. And then if it tanks again, just get back in. You have to protect yourself. You have to manage your risk. You have to make sure that you are staying alive because you never know what these stocks could do. Can you make consistent money longing small caps? I mean, if you know what you're doing, there's a lot of people in MIC that make consistent money longing small caps. There is opportunity there, there is edge there, but you must be educated first. Zombie rules are everything. You could look at this fucking TKLF. Zombie at 10.30 on the fucking dot. That right there is money. How many setups should new traders focus on when getting started? What you should do first is learn, learn a bunch of different setups and test them all out, paper trade. Paper trade every single setup that we have and find the setup that fits your personality. What do you think of tracking data? Yeah, you should definitely track your data to find out what your most profitable and your best setups are. If your max size is 100 shares, should you scale in lines or wait for outer lines? Scale, use the 30% rule. Do 10, 10, 10 shares at a time until your 30% size and then if the stock confirms, breaks down, breaks out whatever your setup is, then you add on that confirmation. I think I'm gonna call it there guys. I have a lot of member questions to kind of get back to and a lot of work to catch up on. So I know Bao's gonna be doing an Instagram live tomorrow at 11 a.m. So I appreciate everyone that came to the meetup. It was very, very successful, very, very fun and we plan on doing a lot more meetups. So thanks for everyone. I hope this video helped. I hope you guys learned a lot and if you guys have any questions about joining, you could email tosh at myinvestingclub.com. You could text them at 213-458-5997 and I'll see you guys back in the room. Thank you guys so much for attending and thank you so much for watching.