 One of the most common questions I get asked is, you know, how do I start day trading? So what me and my mentor about it for our viewers on YouTube is create a free mentorship course that reveals our 12 secrets that every single brand new day trader should know before they get started. But please take note that there is limited seating every single week. So please reserve your spot at myinvestingclub.co. Link is in the description. All right, enjoy the video guys. What's up everyone? It's TomLizzo here. I hope you guys had a great weekend. Today we just had a really amazing weekend mentoring session, you know. So if you miss that, please, you know, go back and try to read all the questions, you know, from the members. I think it's pretty good. And also, you know, today I've saw like, you know, quite a few questions regarding pre-market trading. And that's gonna be my topic today. And I would like to kind of, you know, address it a little bit in more details. If, you know, you haven't checked out James' presentation on that one, you definitely should. So I'm gonna bring up some charts here for you. And to go over that in details with you guys. Okay, so one other thing here. So pre-market trading, right? There are, I mean, is it really worth it? I mean, you know, you've probably seen a lot of us, you know, trade in the pre-market. And there are a lot of members asking me, you know, to see if it's really worth it, right? If it's really an edge or, you know, the pros and the cons, you know, from the pre-market trading. And I'm gonna lay out some few key points here regarding the pre-market. And, you know, to me, is it really worth it? Not really. Based on my experience, based on the time that I've been trading, I mean, pre-market. So let's talk about pros here first, okay? So the pre-market trading, yes. Of course, sometimes there are really some good entries that you can get from the pre-market. No doubt about it. And, you know, one of the example here we have on, like, Mogul on Friday. I mean, clearly, right? I mean, you get in here, you know, 270, you know, that's a pretty solid entry, right? And you couldn't get that at the open. So that's one of the things that I like about it, you know, in the pre-market trading. The second part I like about it is that, you know, it really sets the tone for the day, right? So if you up in the pre-market, likely, you're gonna feel better about yourself. You're gonna feel better about, you know, that day trading because you're already up, right? Your P&L is green. And to be honest, you know, right at the open and you have that confidence in you, it's gonna boost that. And likely, you're gonna, you know, make more on that day. So that's based on my experience, you know, a lot of times when I up, like, not big, but, you know, when I up, like, enough just to be able to pay for the locate. Basically, you know, if I'm up in a pre-market and I was to be able to pay for my locate. So now I'm not really under the pressure that I'm already down the day, right? And, you know, it makes it really easier. And that's one of the thing I like about it. So, you know, sets the tone for the day, you know, usually a really great entries that you can get, you know, from the pre-market. And also, I think that's, you know, pretty much that's it, you know, in my opinion. I mean, you know, trading in the pre-market, I probably could say, you know, it's straight up FOMO. And it's FOMO in the way that there are some certain edge, right, but the big picture here, usually when you trade the pre-market because you don't wanna miss out on the move, right? You don't wanna miss out on the move because you think that at the open, you might not get that entry. So that's basically, that's all there is, right? Sometimes you see a lot of stocks, you know, that went up huge in the pre-market and then, you know, just tank straight down. And I couldn't, you know, recall one of, let me check out some charts. This one is not really a great example, but SLMP, I think this one is a pretty good one, yeah. As you can see here, right? In the pre-market, it went up huge to 1.40, 45. I mean, if you can get that entry, that's pretty, you know, you cannot top ticket, but, you know, if you get entry around here, 1.30, 1.37, I mean, that's pretty good, right? And it's just ended up fading all day. So that's one of the advantages about pre-market trading. So first, you know, solid entries that you won't get at the open. The second part is that it's gonna set a tone for the day, right? You're gonna, you know, up on the day before the markets even open, you're gonna feel, you know, confidence about yourself, you know, you pay for the locates, whatever it might be, right? So those are the key kind of facts on the advantage and, you know, in the pre-market trading. Now we've gone over the pros and now let's talk about the cons, okay? And regarding the cons, there are more than the pros. You know, if I would like to kind of say it, you know. And one of the things here is that the thing is about the pre-market, the liquidity sometimes, it's really bad. Like there's not much volume traded. Like, yes, of course you could get some, you know, like if it's a, you know, day one hot check, you're probably gonna get enough volume to get out. But due to the fact that, you know, first of all, last liquidity and also the big, the major point or like the key point here in the pre-market is that you cannot put the hard stuff, which is, you know, stop market order, right? And you cannot just like slam the market order. All you have to do is, you know, you have to kind of use the limit order. I mean, if you wanna slam the bid or just put the fantasy out, I mean, that's fine. But, you know, you have to be ready when it kind of hits to your level and you have to, you know, hit that limit order, stop out limit order, right? To kind of, you know, stop out because you cannot use the market. The terms, the market order is for the markets open. And if you wanna trade, you know, be for the market open or after hours, you have to use the limit order, okay? So that's one thing, you know, I've been hearing a lot of members asking about this. And so this is your explanation, okay? Hey guys, my name is Tosh Bradley and I'm one of the head mentors and moderators at my Investing Club. If you have any questions about getting started in trading, getting started at MIC, MIC in general, text me at 213-458-5997. This is not a robot, it is me directly on the other end of my business line and we'll get you in the club. We also have special promotions going on that I can get to you depending on your trading needs. Hit me up, back to the video. So if you wanna trade pre-market after hours, you have to use limit order, okay? There's no way around it and you cannot slam market, okay? And so the major, the key point here, I mean, the biggest advantage like, you know, the biggest disadvantage here in the pre-market is that you cannot put a hard stop on, right? So you have to kind of babysit your position basically throughout, you know, the pre-market until the open. So a lot of the times that I was trading in the pre-market, I mean, yes, I have a good entry and all of that, but anything could happen, right? In the pre-market, you know, all it takes is, you know, a chat room to get in, right? So stock could easily, you know, squeeze you or like some sort of news, right? And also an offering as well in pre-market and because there's no hold, you know, in the pre-market or after hours, I mean, if there is, you know, and hold it has to be, you know, like some sort of news, like a big news like a T12 hold or something. So it's gonna hold for the rest of day or something like that. But usually, you know, stock won't hold and it's gonna make it, you know, really easy to kind of, you know, skip up your stop. It could really easy go to the moon or it's just, you know, if you long, it could, you know, easily have an offering. So the hard stop is the hardest part about, you know, trading the pre-market and one other thing, you know, I don't like is you have to kind of babysit your position, right? I mean, if you trading the, you know, at the market open here, you can easily put a stop order and forget about it, right? I mean, just sit back and relax. Here in the pre-market, you cannot do that, okay? And if you not experience enough, right? If you are new traders, let's say you're gonna short some here, right? As a new trader because you have FOMO, chasing, whatever. And the next thing, you know, start kind of pop right to this line. And now you're panicking, right? You try to slam, you try to put market or a limit or you don't know what to do after that. So this is something that again, you know, we not recommend this for anyone. We do not recommend this, you know, especially to the new traders because, you know, you want to learn the process, right? You want to learn the proper way how to trade which is put a fantasy out, moment it hits, you know, put a hard stop on, right? In the pre-market, you cannot do that. As long as, you know, you have more experience, you know, you know what to do. You can easily babysit, you know, the position. You can easily have a discipline, you know, to get out when wrong. Yes, you can do that. It's all about, you know, predefined risk. You've seen me bow, me and James, you know, trading like almost like every single day, you know, sometimes in the pre-market, right? But we have a solid kind of predefined risk. Okay, so let's say I'm going to short here some and my stop would be over that 145, right? So I would scale into this bounce and stop over this. But, you know, I don't questions my stop, okay? That's the biggest thing. Yeah, guys, so I hope it's helpful and, you know, if you, like I said, if you have any questions, DM me at any time and I will see you guys on the next one. Take care guys. Thank you so much for watching our video. If you want to see more of our videos, please subscribe to our YouTube channel by clicking the button here. We do our best to post a new video every single day. If you have any questions about MIC or any general trading questions, please text Tosh using the number here. Also stay up to date by watching some of our most recent videos right over here.