 You've seen our first presenter on Fox News, Fox Business Network, RT America, Cheddar TV, and CBS News. She's an expert stock market analyst and she's the founder and owner of an international educational company where she teaches people how to successfully trade the stock market. Her trading methodologies based on one strategy called Golden Caps, which pinpoints institutional money in the stock market. Here to present how to short for fast profits this summer is Melissa Armo of the Stock Swoosh. Welcome back to Trader's Corner, Melissa. Hello, good morning everyone. Good afternoon. Thank you so much for having me. It's kind of a cloudy day here in New York City, so it's nice to be here and thank you for the nice introduction. And again, we're going to be talking about shorting. We're going to be talking about shorting and you mentioned the volatility in the market. One of all the things I discussed on TV, the possibility of recession, some people think we already are in a recession and also everyone knows about inflation too. So how are these things affecting the market? Well, they're affecting the market because people are scared and when people are scared, what do they do? They panic and they sell. So what I like to do pretty much every single solitary day is to short the panic selling action that's happening. And we have been doing the market and by the market, I mean the QQQs and the spy. I'm going to go over a few of those market trades that we did this past week today. But in general, I do prefer to short. I find that shorting gives me a niche. I will go long. It's not like I'll never go long and I know people actually want to or prefer to go long. Like I may have been having people ask me now, well, is this the bottom? Is this the bottom? And again, people are discussing this on TV. Don't worry about when the bottom is. Take advantage of the volatility that we're getting right now, which is what? To the downside. Okay. Don't worry about when you're going to go long if in fact, that's what you want to do and reference at least to the market. So if you have questions, you can email me at Melissathesockswish.com or call me at 9 to 9, 3200 Gap. You can also follow me on Twitter, Facebook, YouTube, and I put all my TV hits there. I do appear on TV, I've been on the CBS the most, I think the last two weeks in the morning discussing really the markets because the market has been down so many mornings and a lot of it is on bad economic data as well. But we're also going to talk about the summer. It's June, we're halfway through the month of June, more than that. It's hard to believe that July 4th and it's a couple of weeks and even though people think summer isn't a good time to trade, that's actually not true. Summer is a great time to trade at least the method that I trade, which is gaps because we're looking for the move quick and early in the morning. So for example, if you want to work in the afternoon or you have a second job or you want to go golfing in the afternoon or play with the kids, you can trade in the morning quick and be in and out in the first half hour of the day. Maybe the first hour we might hold something into 10.30, but the US stock market opens at 9.30 Eastern time. Again, I'm in New York City, so it works out good for me. I get up early, I trade in the first half an hour, run the room and then I'm done. So it does allow me time to do webinars like this and also to be on national TV. But people have a misconception that they have to sit at a desk all day trading for six and a half hours from 9.30 to four. I actually think people give money back when they trade all day. Trading is the kind of thing where it's about pinpointing it like trying to hit a bull's eye. You just need one good trade, you hit that bull's eye and you're done. You make the money and you're done. And you chunk it out to put together a week by doing that every day. And then that's how you chunk out a month and of course a year where you actually can be profitable. And I think, again, you make money in the morning, you can give it back in the afternoon. Why go through that? The chances of you hitting 10 bull's eyes a day are really slim to none. So you want to look at this as an odds game. And when you get it right and you have the right focus, you can get it right and be perfect in one trade, maybe two. But the idea of hitting 10 bull's eyes in a row in six and a half hours, that's not as likely, okay? So I'm very focused with what I do. I focused on one thing, every single day when I get up in the morning, it makes it advantageous to be in the room with me. I am focused on making money. So I call the live trades and then afterwards in the room, sometimes we go over whatever we did. But really the room is about live trading. I run the room, I call the entry, I call the stop, I call the exit. You have one goal when you trade, one goal to make money. All these other things that are happening right now are just background noise as far as I'm concerned with inflation and recession. At the end of the day, nobody knows what the Fed's going to do. They've lost credibility in my mind because they said they were going to raise rates half a point. Now they went up to 75 basis points this week. So they're going to change their mind. You can't rely on those types of things. And even companies that are doing projections for their earnings, which start in July, earnings season begins in July, all of those things may change next month when the earnings start in July from what they said last earnings season because we're in such flux, okay? But that makes it where you really just have to be focused on what you're doing today, the quick trade, the fast trade today. And we will discuss options. I do do options too, but really I do options in a short timeframe as well. Not in one minute or two minutes or five minutes, like a day trade, like an equity trade, but I'll do the weekly options. And for a lot of people, they consider that a short timeframe to do options. I'm not doing leaps. I'm not doing things out for weeks or months. I mean, think about it. If you, if I said to you, what are you gonna have for dinner on Monday night? You know, three days from now, you have no idea. But if I said to you, what are you gonna make for dinner tonight? You probably could tell me. It's in a couple hours. So it's harder to predict the future long-term, a lot easier to predict a shorter timeframe when something's going to occur. Now, we don't have time to go over this today, but I just put the stats for this year. This is going back to the beginning of this year, January. If you risked an average risk of $2,800 a trade in the live trading room with me, and again, these are equity trades, not options. These are day trades. Year to date, we're at some nice numbers here of 373,180. These are all quick trades, fast trades. And I didn't put the trades in from Friday. Friday, we did Adobe and we actually got stopped in Adobe. And then we did target and target worked and was a win. And we had a profitable day Friday, which was the 17th. I didn't put those in here. So I don't have the Friday stats. And again, if you'd like a trial for the trading room, you can email me, but I don't have a trading room subscription separate from my class. So anyone that comes that wants to be in the room with me, has to have taken my class and learned my method. Now, I've discussed this before too. And if you've ever heard me lecture, training really requires a positive attitude. While you need more than that, you definitely need that because you may have some good days. You may have some bad days. You may have taken other classes before, before you came in and heard what I'm saying here today. And maybe you were losing in the market in order to be successful. Sometimes it's not just a straight up thing where you start out trading and immediately make money. Sometimes it's going up a ladder. It's five steps up and two steps back and 10 steps up and three steps back. Personally, my experience or I was talking about being on TV, my experience in television has been like that. Now I'm on pretty much every place and a lot and every week. And sometimes I have to say no to people that ask me because I'm busy or running the room or whatever. But it takes time to get where you want to get. It takes time and you've got to have a positive attitude to do it. It's going to help you through the ups and downs. And one of the other things that I think you need to be successful as well as you need a niche. So my niche is shorting and specifically shorting gaps. And it's one of these things where a lot of people just prefer to go long. I guess the concept of going long is easy for people. Buy something at a dollar, sell it at $2. It goes up a buck. People can wrap their head around it. But you can just as easily make money shorting. And actually I prefer shorting because short loops happen fast. And we're going to talk about that in some of the examples here today. But you know, the other niche I have is looking at gaps. A lot of people are buying all of these down moves in the market. They're buying the dips. It's not working. It hasn't worked for months. People still can't give it up. It worked in 2021 because the market was bullish all year. Made many, many new highs. It was a very bullish year in the market. That was unusual. That was an anomaly. While we've had years where the markets rallied at main new highs, 2021 was a particularly bullish year where you could have gone long, weak stocks, strong stocks, and the market and made money buying every dip. That's not working this year. And actually that doesn't work consistently to make money anyways. All right. The reality is you need a system that's going to work in any market conditions. Why we've had a good year this year, particularly so much so, is because we've had a lot of moves to the downside. And I've always shorted since I started out. I, like I said, I prefer to short. So you can make money in the market. People do it all the time, but not everyone does why. Because you're not creating something when you trade. You're not making a product that you're going out there and selling to your friend and he's giving you money for it, like a sweater or something. This is, you're taking money from somebody else when you trade. So who is the one that wins? The one that gets it right? The one that can predict the move that's going to happen next before the next person does. Okay. So we have a three-day weekend here for the market. The market's closed Monday for Juneteenth. The first federal holiday. It's a long way away for the market to open on Tuesday. And people went long the market on Friday. Will we have the follow-through? Will we fail? I mean, these, these are all the things. How do you predict it? Well, I have a method to do it. And that's what I'm going to talk about here today. Having a system to follow is essential no matter what you do. No matter what you do to succeed. And you have to follow it daily. But I find a lot of people are just back and forth willy-nilly because they'll try something that doesn't work. Then they'll flip to another thing. They'll try another thing. If you're all over the place like that, you're never going to get good at anything. And it is important to get good at something. Just like if you were playing a sport, you know, the, the Wimbledon's coming up in a couple of weeks, the tennis. I like to watch it. Those people that play, they are in that tournament. They're very good. Okay. So they've been practicing and practicing and playing tennis for years. Okay. They're not good at basketball, baseball, football. They're good at one thing, tennis. And that's how they got to the top of their craft. And you really have to look at trading like that, honing it down on the focus. And for me, it's gaps. But particularly, like I said, shorts and fast moves. And when you're focusing on the fast moves, you can take advantage of the volatility. Okay. The volatility is not something that you should be scared about. Now, while that's scaring people who have money in a 401k and retirement account, I get it. You still shouldn't be scared about that. Because if you have a plan of action where you're at in life, which depends on your age and how far away you are from retirement or whether you're in retirement, then you shouldn't be scared. Okay. You get a plan of action, you stick to it. But if you're a trader, an active trader, which is, you know, someone that's in and out of trades on a regular basis, on an active basis, you should not be scared of volatility. You can take advantage of that and make money with that. And I mentioned earlier options. You know, we just had some phenomenal options trades this year because of the volatility. Okay. And actually we could have a move like that next week. So let's talk about what happened here in the market and momentum a little bit here and what is it got? So this is a chart of the QQQs. I didn't put Friday in here. Friday we did rally. And this is going back just the last couple of days. We'll go back to last week. So last week was Monday was here, the 13th. So what happened on this day? We had momentum. This is a short. We did this as a short. We have a red bar here, which is depicting a downward move. This is a daily chart, a daily chart of the QQs. So what happened back here in the Friday before? Market close here, gap down. So what is a gap? A gap is a difference between the close and the open. Simple. So the market closed here at one price, whatever it was, $2.89 or change or whatever it was, and open the next day here on Monday under $2.80. This is a gap. It closed at one price and opened at a different price. There are also bullish gaps. We had a bullish gap up in the market here. This was the Fed Day. The market closed here, open up, open higher. People went long, bought it. So what happened in here? This was around, I don't know, $2.74, $2.75. It was an open here, $2.80. This is a green bar. Theoretically, you could have gone long here. I did not go long here though. I will tell you that. Okay. Anyways, then we had a gap down here from here to here. So this was Wednesday to Thursday. We closed at one price here, and then we open at a lower price here, get the drop. And we're going to talk about the shorts we did on the 16th. So this is all volatility and all momentum. I'm seeing questions here. Let me see if I can open up the questions or scroll back. You can make the market go up. You just short it and it goes against you. I'm not quite sure what you're saying there, Thomas. You can't make the market go up. Nobody can make the market go up. You can't make the market go up or down. No amount of you. Melissa? Yeah. Go ahead. I think he's being fresh saying, as soon as he gets short, the market tends to go up. Oh, I see. Well, he needs conviction or he needs to back off this sizing. Because the thing is, again, going back to the volatility, if you, like here, I'll just go over an example here. I'll just go over an example right now. I called shorts on options on Monday. They were down here on the 15th. Now, theoretically, I called them early enough in the morning here in the 13th. They expired on Friday the 17th. But you could have gotten out with them some profit here. But the bigger profit was Thursday or Friday. So if you're somebody that's not on Friday, if you're somebody that takes a position, then it goes against you and immediately kill it. You didn't have any conviction or know what you were doing to take the position in the first place or you wouldn't have killed it. So if you held on to it, which we did, it went poof and it went and it dropped. So the chances are you don't understand the philosophy or have a real system behind why you're shorting the market or anything else and you're not getting the timing right of it or your sizing is too great that you get scared out of it and you want to kill it right of ways. So sometimes I will call options trades that don't go the day that I call them. But they go a couple of days later. So anyways, that was a good example of this actually, of what happened in the last week. So getting back to the basics here of what is a gap. A gap is a difference between the close and the open. Stocks gap lasts every single day. But not every gap is a good gap or what I call a golden gap. This is the system that I created again myself 14 years ago. I'm looking for gaps that are predictable. How do I do that? I use my gap rating system. By predictable, I'm not predicting that Tuesday we're going to go XYZ. Okay. I'm predicting that we're going to go here when I see the gap. So for example, if I get up Tuesday morning and see the market gapping, could be gapping up, could be gapping down, I will predict then on that particular day where it's going to go. Okay. So that's what I do. So I'm not predicting the gap. I'm predicting where it's going to go after I see the gap. Do you follow what I'm saying? So all of this is happening in the pre-market or the post-market. Okay. Gaps happen at night or in the morning. Again, let's go over the spy. Another tricky one here. So what happened? This was Friday to Monday, boom. Again, fell, rallied. This is the fed day here, close to your gap down, boom. Again, if you don't know what you're doing, you could have gotten tripped up in here. Like the one guy said, Thomas, you could have gone long here and then gotten killed. You could have been in a short, said, I'm going to get this. It's going to go. It's going to fall off the planet. And then you kill it with a loss and then you get up the next morning and you just want to scream. But again, this is why conviction helps you know what to do. And if your position sizing is good and you have a consistent system that you're using Monday, Tuesday, Wednesday, Thursday, Friday, you won't get scared out of it or not take it or not take the trade because you're scared too. So anyways, I'm looking for momentum in the gap to big money. And again, if something moves $2, $3, $4, we want a big move in something. Now I'm not trading penny stocks to low float stocks or any of that stuff. I think it's junk. We're trading all companies of stocks that you know of that you've heard of, Facebook, Amazon, Apple. And I give them market because it has big moves. It's been playable lately. And it also is something that has tens and tons of volume. And they've been great to trade as options too, although they've been a little pricey as the year has gone on. But again, momentum is a move. If you have a thousand shares of a stock and you short it and it drops a dollar, you'll make how much? $1,000. Again, the concept of shorting is so easy. I don't know why traders just can't wrap their head around it or they get scared to short. But we're doing day trades. We're in and out. We're flat by four o'clock. It's not like we're holding these positions overnight. You are going to get out of the trade in the morning. You're not going to get out of it and be in it after four and holding a position overnight short. If we do an overnight short, it is a put, okay? An option that's a put is a short. And your risk is a fixed risk, which means you can't lose any more than you risk on the option. Whether it's $500, $1,000, or whatever, okay? So it's no riskier to short than it is to go long. I'm not sure why people think that either. That's just not true, okay? If you short something at $10 and it drops to nine, what do you make? A dollar, okay? So if you have a thousand shares of a stock and you short and it drops $0.10, guess how much you'll make? $100. So which would you rather? $0.10 or a dollar? I'd rather a buck. Like I'm not even going to train something for $0.10. You know, I just don't think that's a big enough move. But the key to day trading stocks really is using a system if you want to be successful. It has to have consistent wins. This does not mean that every trade that I do works. There are some losers in the stats I had at the beginning of the webinar today. There are trades that I take that lose. I told you we lost in Adobe on Friday. It reversed because the market did, but it really was a good gap. And I'm going to actually watch that next week. It could roll over next week. But we did target then. We shorted target and that worked. So you have to be aware that some trades may lose. It's, for me, it's about an 80% win ratio. So if you come every 10 trades, eight are going to work, two, we're going to lose. So you just had them in your head when you figure out your sizing. Nothing's a hundred percent. I wish that every trade that I took worked, but that's just not realistic. It's like people trying to say, well, I want the highest, highest, best exit in the trade and the lowest exit in the option for the way that it drops or whatever. If we're going to put, I want the best exit I can get. Sometimes I don't always get the perfect exit. You do the best you can. Your goal is making money. That's it. So that's very difficult too. For me, it's not difficult though to determine what stock to trade and in what direction and to get a perfect entry. As long as you can do that, where you get out then, whether you make 50%, 100% or even more, it doesn't matter if you're making money. And again, if you're taking trades where many, many of them are working way more than losing, you're going to be up. So getting back to having a positive attitude, it's somebody that signed it for the letter a week ago. He baby stepped it this week. He made money. He's like, I'm trying to get my confidence back. You know, when you're at this thing for a while, if you're one of these people, if you're here, you know that. Sometimes it just, you feel like you get hit over the head and it takes time to get your confidence back. What does that? I think learning, understanding what you're doing, number one and number two, making money. When you get stopped in a trade and if you understand why it didn't work, you won't hate yourself and be mad at yourself. It's the odds. It's an odds game. This is an odds game. I'm trying to increase my odds by doing a rating system to make the picks beforehand. I increase my odds as high as I can, but I'm not a psychic. Sometimes it seems like I am with the trades that I call, but I really not. And like Adobe, I understand why it didn't work. We got stopped in that line because the market rallied and it's a market stop. Otherwise, it would have worked. So there's nothing to get mad at. You put in the stop. You take it. You do another trade. All right. And any other questions here? I'll see them. Train a system that sets up daily with a high level of predictability in the directional move. Do the best you can. Get out with profit. And you've got to trade a system I think that works independently in the market. Now I'm discussing the market here. We're talking about the market because we've done some market trains this year, but it's also because of the fact that, you know, we've had bigger moves because of the market. So because the market's been in our favor this year, we've had bigger moves. But I've been shorting, like I said, for the last 14 years, even when the market was extremely bullish. But ultimately, success or failure of what you do and the money you invest in your trains has everything to do with the quality of your system. So for me, my niche in my system is shorting. And it's shorting for fast moves in the gap. If you do not have a niche, you're really just putting yourself in the pot with a lot of other people. And you've got to kind of take a step back and say, well, how am I going to get somewhere with this? I'm reading institutional money that moves stocks in the gap. That's how I'm picking the direction. Not all gaps, though, are made with institutional money. Okay? This is one reason why people are often confused when reading gap direction, meaning they will buy gaps for gap fills that does not work consistently. It works some of the time, but not more than it fails. Why? Because some of those gaps are made with institutional money. That's what I'm looking to trade with because it's big money and that's how I'm getting the momentum and the big moves that I can get in and out very quickly. It's really not confusing how to trade. It's just that many people don't know how to do it. And then when they lose, they get frustrated and then again they lose confidence like I was saying earlier. That's a big part of doing well, too. So let's take a look at this here. We did the spy. So again, this was Thursday. All right? The market gap down. It was a short. Okay? You make money shorting when the price drops. Who can short? Anyone can short. Now, if you have a retirement account, you may have to call your broker wherever you have your funds to find out if you can buy puts as an option. So you might be able to buy puts. You're not going to be able to short in equity trades in your retirement account. But if you have an active retail account set up or a prop account set up, you should be able to short or you can get it set up as a short. Or again, you can open an options account. You can buy puts. Both retail traders and professional traders can short. And again, if you don't have your account set up that way, call your broker on Monday morning, figure it out, find out how to set it up. But what I like about shorts is that it's the selling. Okay, it's pressure. It's selling pressure that comes in. What do you think we're seeing in the markets since the beginning of the year? Selling happens fast. Fast, fast, fast. Which is one of the reasons I'm done early. Now, while these trades I'm going to show you here today kept going, I was out. I was out early in the morning. I don't change what I'm doing. I'm done quick. And if you want to hold something, I was saying you can do an option. Okay, so I have an options newsletter too. You can do an option and I hold it. But for the day trades, you've got to get out by four. An option if I call a trade on a Monday, you've got essentially really till Friday to get out of it. Not that I would hold something the last day, but I'm just saying you've got to get out of the day trades pretty quick. So on the 16th, we had two big, a full gaps in the market. We did two trades that's not normal for me. We usually do one thing a day but they were there. We did it. The entry of this five was 3702. This is an equity trade. You would have had to have margin to take it. What kind of margin? Four to one at a retail broker or 10 to one at a prop broker depends where you trade. Retail brokers require 25,000. If you don't know about that, you have to call your broker in prop places usually give about a 10 to one margin. So you can open up an account at most places with 5,000. So you would have 50 grand in margin to do this trade. There are many prop places out there too to check into. You have to do your due diligence when you go to brokers. I'm not a broker. Ask questions, find out, find out what the fees are and ask what the requirements are for account setup. Okay. People think they can't trade with a small account. Even something like the spy? That's not true. And even if you took 100 shares of this or 500 shares of this, you made money. Half a position of 1,800 shares. This is an advanced trader risk of 2,844. You could have made over two grand. And this was not the low of the day exit by far. Okay. So we got out at 367.78 profit was 4,032. We shorted it. Here's the daily. I'm making the picks on the daily. Okay. And I'm taking the trade on the one minute chart. So here is what we did. So this was the one. Wednesday be closed here. Boom, gap down. I watched the rally Wednesday. I said this isn't going anywhere. This is ridiculous. And in the trading room in the morning, I said, if you're in options and if you're worried and if you're concerned about what happens today because nobody knew what the Fed was going to say, like I said, they said something different than they said they were going to say. In the end, the market has a positive reaction. But I told everybody in the morning, even if we rally, even if we have a positive reaction today, even if we do, don't worry, it will be short lived. What do I mean by that? It could live for an hour. Could we could rally for two hours? We could rally for a day. It's going to be short lived. It didn't even last a day. Didn't even last 24 hours. We gap down the next morning, sold off. Should we shorted this here? Good to drop. Again, you could have been in this all the way until 11 o'clock. You could have held it all the way even down. See where we went here. I don't know what the low of the day was the other day. We came down here around to 365. But again, we did it. Got in, got out. Boom, fast. Get in, got out. Boom, done. So that's what I do. And I'm looking for the fast setups, the quick setups. Then we did the queues. Again, these charts look very similar. Okay, this close to your gap down dropped. This was the 16th. We shorted the queue queues 274.90, 1800 shares, risk was 30.60, ends was 272.95, profit was 35.10. So I'm looking usually one to one. So if I'm risking 3000, I'm trying to make 3000. Same thing back here with the spy. I'm trying to make one to one. We got out of these both of these trades at the same time. We made a little bit more in the spy trade. Okay. But you know, one to one is good. Even 50% is good, in my opinion. But we were in and out for this pretty quick. And again, we're talking about momentum. We're talking about selling. We're talking about gaps. Here was the mark at the day before. Close to your gap down. Open, rally, boom. We shorted it. Got the drop. Rallying up here. We stayed with it. I said, hold it, hold it, hold it. We got the drop. This was a nice move here. We held this. We didn't hold this all the way down to here. But you see where it went down there to 271. Okay. So this was Thursday. Thursday, the QQQs and the spy sold off. Any questions about that? These are fast trades. This is what we do. Now short moves happen fast. Why? Because like I was saying, panic, panic comes in. Panic is what? It's fear. All of this is emotions. It's emotions. Like think about even last year. I thought the market was crazy that it rallied as much as it did last year. I was like, this is really hilarious actually. I mean, I was like this again. It's whatever the perception is. So if the perception is that everything's good and everything's fabulous and everything's great and everything's amazing, which is what, you know, the news media and everyone, the perception, the economy last year, everything's fabulous. You know, after COVID, everything's better. You know, and the market kept rallying. That was perception. I really didn't believe it because of course inflation began way last year, you know, and it's just increasingly gotten worse actually. So now everyone is panicking, panicking, panicking. It's fear. Fear creates selling. The selling then is what pushes the price of something down. Let's go back here to this chart of the market. It pushes the price down. So we wouldn't go. Well, I'd still even go back. Let's even go back to here. This is April. This is like not a million years ago people. This isn't January. In April, two months ago, whatever, the market was at 340. Like we're not, we don't even have a three in front of the market now. Like seriously, look at that. But this is of course is why everyone's like, oh, let's buy it. Let's buy it. Let's buy it. It's going to go back there. Could we go back there? Maybe. But that's not what we're doing at this juncture. And you shouldn't concern yourself with it. Anyways, you should play on the day for whatever you're playing. The golden gap is a term, so I'm saying explain the golden gap. The golden gap is a term that I created based and called my system the golden gap because it's like finding gold in the market when you find a good gap. How I determine what is a golden gap is what I teach in my two-day course. The class is next weekend, June 24th, at 25th and 26th. That is a 16-hour course. I'm not going through all the gaps today. I charge for the class and it's 16 hours. I have 45 minutes to talk today. But this is an example of a golden gap because it's good. It's perfect. It's beautiful. And in fact, when this pushed up, some people got out of this here. I didn't. I said it's going to keep going. It's going to keep going. Hold the conviction. Hold it. And we held it. I said no chance of failure when I got up in the morning. I don't remember what time I got up. 6, 6, 30 in the morning or the other. I said no chance of failure. No chance of failure means this trade is going to work no matter what. And that's like not every day. But I mean, I was so sure of myself. Again, same thing with the trade from Monday with the options. Like 100% conviction and no chance of failure that we were going to go this week. Did I know it was going to be Monday or Tuesday or Wednesday or Thursday or Friday? No, but I knew it was there. It was just hovering and waiting to go. Let me go back here. The option newsletter results for the year I don't have in here. If you want to email me, whoever asked that question, I can send those to you. After this week, I don't know where we're at ratio-wise. You know, we were at 79% at the end of last week when ratio, I don't know where we are at the end of this week. I do know that every trade I called that worked and expired this week was a winner. You know, it's just, this is the period that we're in right now where you can't short everything. Don't leave this webinar today and start trading Tuesday morning and start shorting everything. And you can't even short every gap down, people. Clearly, some gaps reverse. I just got done telling you we shorted Adobe, it flipped. You know, but the only reason that did was because of the market. So you have to pick the best one every day and that's how I developed the system. I don't want people start to short the world here now. That's the very thing that will kill the market and kill people, then what happens and then all of a suddenly rally for, you know, six, seven, 10 days straight. Remember back in here, and this is what people have found tricky about the market. I mean, honest to God, this was back May. What was this Memorial Day week or whatever this was? I mean, this wasn't even that long ago. Remember we rally, then we based out, and everyone's like, oh my God, we're going to go higher, we're holding, we're holding, we're going to hear, this is it. And everyone, people I was on TV with, they said this was the low of the market for the year. I didn't know if it was. I didn't know. I said, I don't know. It may be, it may not be. I really don't know. And I said, I can't see that right now. So I wasn't long in here. And then we ended up shorting again and fell. We broke it. I will say we broke this pretty quickly, pretty fast. I will say that. But, you know, this was, this is why you can't just short everything every day. Because look what we did just back here. And this could go on all year. In fact, on that, in during that week, I was on Fox News and the Memorial Day. And I said, there's a chance. I'm not saying a hundred percent, like I said about the Gap the other day. And there's a chance that the market may not make a brand new Altem High at all for the rest of the year for 2022. The Q's have not at all this year. The spy made a new high to start out the year was January 4th. There is a chance. And I just said it on TV because this is what I know. There is a chance we may not. That's not a hundred percent, but there's a chance we may not make a brand new Altem High in the market for the rest of the whole year for 2022. And if we do, it will be late in the year. Look how far we are off from the year and what's going to move the market around. Something substantially has to change for people to decide to come in and buy this market in a big, big way. It's institutional money that has to buy the market. It's not retail traders. And even though they bought the market Friday, that may or may not go anywhere. I don't know yet. We're waiting to see. Again, we're going into a three-day weekend. So how do I find the best shorts daily and how to make the picks? I do a rating system. I do it in the pre-market. I can do it sometimes in the post-market, Adobe Gap the night before. I did look at it, but I prefer to do it in the morning. I usually rate the market gaps in the morning because the market changes a lot from the night to the morning because of overseas markets. The Golden Gap rating system is a 26-point rating system I do every single day. I'm looking for 20 points or more. I don't need a perfect score. If it's 20 points or more, I will short it in the direction of the gap. And again, I prefer to short. If it's 18, 19, there's a 50-50 chance of working or failing. The rule is 20. And I'm really looking to find the best gap every day. So if I have two gaps, one rates 20, one rates 25, I'm going to do the 25 where, okay? So it really comes down to the best rating and I'm usually doing one thing at a time. But gaps are created with institutional money, large institutional money, hedge funds, big funds, big, big traders. That's what makes the gap. The professional gaps that happen and play out in stocks are formed by one thing and one thing only, large institutional money. Therefore you need a way that will help you pick the correction to play the gap and confirm that the large money will flow with it. Otherwise you're not going to get a big move, you're not going to get momentum, and you're not going to get any follow through, and you're not going to make any money. You'd be scalping everything for 10, 10, 25 cents. And while that's fine to scalp, at the end of the day, that's not going to cover your losses of the trades that don't work and then make you money to get ahead too, okay? So you have to look at something and say, I really need the good ones because otherwise, how will I cover the 20% of the ones that lose to ever get ahead, okay? So this is a rating system. It's a whole trading system that I teach in a class once a month. The class is next weekend. This is the class you would do before earnings season, which begins in July. So when we have a great earnings season, what if Apple, everything's fabulous, everything moves up, and then we rally in July. We might. I'm still going to look for specific stocks to short. I'm still going to look for specific stocks to short. I may get off short in the market. I'm not saying that for sure now. I don't know, but I'm just throwing this out there. But even still, look how far we are from the highs. And so that's the bugaboo. And so many people are trying to predict the low. It's really a disaster. And it's becoming a disaster, I think, for people's accounts. If you'd like the course outlined, you can email me at melissathestockswish.com I can send it to you this afternoon. So shorting gives me a niche. People get scared. You have no idea how many family and friends and just people that I know through television are calling me and want to know what I think about this market. Like I had somebody the other day that said, when are we going to stop going down? I said, I don't know, but not right now. So that's what I know. It's like, again, trying to predict the first snow in New York. Like, I don't know. It's 78 degrees today. I don't know when we're going to have the first snow. It's, you know, people are so worried about things that haven't even happened yet. Can we go lower? Of course. Can we go up? Yes. Is there any indication of that now? No. No, there's not. We rallied for one day on Friday. Big whoop-de-boop. I mean, we're going into a three-day weekend. To me, that was a stupid place to go long. And you bet your booty that people went long that because we closed green and we closed at the highs. I mean, that's just dumb. And again, I'm on TV with many people that are telling people to buy every day. And I just kind of shake my head, like, you got to be kidding me. Like, when are people going to stop doing that? If you're here and you've been doing it, you're going to stop doing it when you're tired of losing money. That's when you're going to stop. When you've lost and lost and lost and lost and lost and lost and lost, that's when you're going to stop doing it. You know? I mean, it's just one of these things where people just continue to beat themselves up by doing things that don't work. And again, one of the gentlemen here was saying about shorting and then it didn't work and then he lost, you can't flip-flop. You can't short the long, go long, go short, do the same thing at the same stock of the same day. That's all over the place. Okay, then you're just going to go crazy in your head about it. Okay? Someone's asking about what percentage? For my system, if the stock range 20 points or more per the 26-point rating system, that's 80 percent. 80 percent of the time it works. I told you one of the times recently it didn't, which was Adobe. And I told you why because of the market. So using my system, not how many times has something gapped down and work and go to the downside or reverse. I don't know because I'm not trading every single stock every day and I'm not rating every single stock every day. I'm not rating the market every day either. I make a small watch list of things I choose to rate and rate per my system. That is what I'm using with the stats. Not every single thing that gaps in the market. I don't have time to look at every single thing. And again, I mean, I get up in the morning early enough so as it is and spend two hours probably getting ready every day. You only need one trade. I wouldn't worry about everything. It's applying the system. That's all that matters. The application of the rating system. If you don't know it, you can't apply it. If you know it, you apply it. If you get a rating of over 20, you do it. Know that everyone that rates over 20 has an 80 percent chance of winning. So that's all you need to know. It's not about how many work overall on the overall market because we're not rating everything every day. I mean, that would just, who has time to do that? And you'd also wouldn't have the money to be able to take them to trade. I just showed you two trades. It's set up really quick right away. It's right out of the gate. I mean, that, you got to focus on those things. Those things are moving fast. You know, you can't be in 10 things at once, you know, in the first 30 minutes. Like it's, whoa, you know, you got to focus on what you're doing. One or two. And I prefer one really. What we did with the market was there. So we did two. What if it's small account? Can he still short? Yes. Yes, you can. You can. You can open up an options account with $2,000 at a broker. You can open up a prop account with five grand. Your sizing, your position, and your cash risk will depend on the size of your account. Yes, it will. You can take a trade with an option and it risks $2,000 if that's all you have in the account. So, you know, you have to think about that with your risk. But you can do puts as options. We talked about this. I want to show you this with such a nice call. So on the Thursday, last week, not this past Thursday, the previous Thursday, I called the spy 409 puts that expired this past Friday. You could have been in this trade. The last day of expiration, I was not. But you could have. This, the best exit was the last day if you can even believe it. This, the 409 puts I called Thursday, more than a week ago. The cost was $575. 15 contracts with advanced trade, a risk of $8625. So I sold it at $36. Profit was $45,375. It was a 526% ROI. You could have made more. Like it was over 600% or something stupid. If you had two contracts, you could have made six grand, risking $1150. How did I call this trade? Again, the chart. I called them on Thursday here. I called the 409 puts. This was Thursday. And Friday, we were down even more actually. So again, here's 409. And I didn't even get the best exit on that. It was a great call. So I mean, options can be extremely, extremely profitable with this type of volatility. I mean, really. But on average, I'm going to say one to one. I showed you a huge trade there because we are getting trades like that. And most of them, to be honest with you, lately are in the market. We've had some other big ones in some other stocks. Target, Walmart have been some, but the market trades have just been so volatile. And that's made for great trading. So again, I'm looking at 26 points when I make the decision. It's a checklist. This is what you'd come and learn in my class. And then you'd learn the entries in the class. Remember what I said, having a positive attitude is really important. Getting education is important. The introduction at the beginning of this lecture was get an education. Trading right now that an education, you're going to lose money. And that's problematic. I also think it's important to rely on a mentor, but you've got to take calculated risk when you trade, not risk for risk sake. You've all the time in the world do risk more money if you want to get serious about it and do it. And you need to create a plan of action. I'm going to do this. I'm going to risk such much money. I'm going to stop trading every day by 11 a.m. I'm going to do options. I'm going to do day trades, or I'm only going to do this. You need to create goals for yourself. I want to make $2,000 a week or $5,000 a week or whatever. By the end of the year, by January 2023, I want to have made $52,000, whatever. Then you divide the amount of weeks left. You have to really write it down and get a plan. A plan of action will help you make this whole thing real. If you never take steps towards your goal, but you could say you have a dream. You have a dream of becoming a professional trader. You have a dream of making money to market. If you never take any active steps towards creating that dream and making that dream a reality for your life, it's just a wish. It's something you wish and think about and never really do anything really about. And it never comes to fruition because you really never take any actual steps. So it's important to take steps towards our goals. And it can be scary. It can be scary risking money in the market. It can be scary signing up for a class like mine and you're not going to know what the information is until you do it and you won't. So it's scary for people to make choices and decisions to move forward and do different things with their life, but you've got to do it if you want to make active changes in your life. That's part of the process of living and part of the process of getting to the next level, to the next stage in life. If that's maybe working full-time as a trader, if that's getting to the next financial level where you are not dependent on a job and you have extra money coming in and you're not even worried about recession or inflation. You know, I mean, you have to get to the point where you're like, okay, gas has gone up, that sucks, but you're not like, you can't pay the credit card bill at the end of the month. You have to get to a point where you say, I've got to take the bull by the horns. I can't control what's happening around me, but I can control the decisions I'm making in my own life and I can do something to improve my financial situation and to get to the next level. And you say, well, what can I do? What can I do? Okay, you have to find a way to make more money. That's the only way to combat inflation. People don't like to hear that answer, but quite frankly, that's what it is. You either get a second job, get a part-time job, or you can learn how to trade or invest. I mean, there's no magic bullet or solution. And when people are asking, well, when is this going to end? When is it going to stop? Probably not to the next presidential election, probably not to the 2025. Things have to change big time, and things could get much worse in the economy before they get better. So you have to take the bull by the horns yourself. What I'm looking for is a high probability of directional bias for the entire day, a big move on the day, early confirmation of the bias between 9.30 and 10, and precise centuries, which we showed here today with follow-through and a good risk to reward potential. And again, I'm not looking necessarily for the lowest point because I didn't get out of any of these trades at the lowest point. The golden gap system is a 26-point professional bearish gap rating system. The purpose of the system is to help you evaluate which gap to trade each morning using a checklist. The checklist tells you what to trade, when to trade, and in what direction, and a focus on shorts. It predicts directional bias and a stop. It's just looking at institutional money, rating it. If it gets the rating, we do the setup. I teach the setups in the class and targets as well. If you're in the room, I'm calling it live. If you want to subscribe to the options newsletter, the targets are in the letter. Just like I showed you, the letters get to your email. The room is not an options room. It's an equity day trading room. The options newsletter is the trades are emailed to you. And if you want to make money, if this is the reason you're doing it, people are making money with me. I mean, I've had the business down for 10 years. I've had people with me that long. That says a lot actually because they don't need to be with me. They've all done the class and they could be trading on their own, but they like the fact that I'm very good at what I do. So they continue to be in the room the year every year. So if you want to come and learn, the class is next weekend. June 25th and 26, 9 to 5. Class tuition is $69.99. Class is online. It can be anywhere in the world and take it. I am doing a Father's Day special. I realize you have to decide this by tomorrow, but it gives you two days to decide. The Father's Day special ends on Father's Day. If you sign up by tomorrow, you will receive a trading room and options newsletter free to Labor Day. That gives you a good period and the next earnings season, which we'll have in a lot of trades. If you sign up by tomorrow for the class, which is next weekend. I see there is some questions here that you just go through. Everything I said was correct. Thank you. Email me if you want the stops for the options. You ask me questions in the room if you're live in the room every day. What else? No, I'm not doing any of the leverages and indexes, but like I said, I will do the spy, the cues, I will do the diamonds. I do it. I have my own account. I'm not going long the inverse. Um, and I don't have a scanner. I don't have a, I don't have a scanner. I paid for a scanner a long time ago. I found it was a waste of money. If you want to get a scanner, you can get a scanner. That's up to you. I did have a scanner a long time ago and I just felt like it was duplication. So, um, and again, I'm giving the picks in the room. Any last minute questions here? I think I'm done on time. No, Melissa, you did very well. Thank you so much. You're welcome. All right. Taking short positions does make a lot of sense right now. Uh, that was all extremely relevant.