 What's up Alex, what's up, bro ready to go other crazy day in the market, bro another crazy day in shit doesn't end bro today's today's kind of a different day so usually we trade you know small cap stocks we trade these scam stocks stocks in a routine to the $15 but today we have a large cap stock meta that just got destroyed on earnings destroyed it's down 23% that means that the company lost almost $100 billion in value overnight this is the lowest the stock has been in the last I think six or seven years stock closed around 130 yesterday and it's at $100 today so to me this looks you know how like we look for extended moves on the upside but this looks like an extended move to the downside so it's pretty much the reverse of what we do you know normally we look to short stocks that are extended up but on this stock it looks like it's extended down so I'm gonna try to buy the stock closer to the open now a couple things that we have to know is when a stock is down 10% on the day it triggers something called SSR the short sale restriction and basically what that means is you could only short when the stock is going up you can't short it when it's going down so what ends up happening is these stocks that are on SSR they tend to tank at the open and then just rebound so to me this stock is extremely extended to the downside the stock is gonna have SSR at the open and it's right near the $100 psychological mark so this has all the signals that we need for a potential bounce now it's not gonna bounce from 100 to 140 it's not gonna bounce from 100 to 120 but it might bounce from 100 to 100 810 and that's all we need the markets gonna open up here in about 25 minutes and what I've learned on these large cat bounce setups is don't trade it pre-market because at market open is when all the big money gets involved and the big money has enough money to push the stock in either direction so until big money gets involved at the market open it's gonna be random I'm gonna wait about 25 minutes and pretty much the low of the day is around 98 68 so ideally it breaks under the low of the day reclaims reclaims 100 and it slowly makes its way back up that's my plan my plan is to buy the stock today if it starts so it slowly hold up because it's extremely extend to the downside SSR is gonna come on it's near $100 and that's that's where I'm thinking so Alex before we get into the nitty-gritty and into the stocks you went from this thing to that how you feeling about it I mean it's pretty unlucky if I'm honest bro no yes she's just showing the sage I have in my room oh yeah we did the other day sage in the entire house just fake news bro oh man you're gonna have to go back to the the poison that goes around that poison I rather die 10 years early and more money how's it looking this is why we have to wait for the open road because big money might just keep selling it off or big money might just buy it right now it is looking really really bad but when it looks the worst it is one of the biggest opportunities there so mark is gonna open up here in four minutes this was the low broke the low it starts to rebound now we're getting close to 100 so on a perfect world row what we're gonna see is at the open it's gonna crash again to here it's gonna hold and then it's gonna go above 100 hold and then go above VWAP hold and that is a signal that's gonna keep going higher some very small 98 60 so that's big green candlestick there yeah but it's it could just do a big red candlestick as well just because it had a big green candle doesn't mean it can't have a big red candle as well right this dog is looking weak now so I might have to sell something that for a loss okay that's a good signal I bought some more so it broke that low immediately reclaimed so that's a good signal hopefully it doesn't break that low it should bounce okay I bought some more I have 98 74 average hit that low held and that's slowly going up so what we want to see bro is we want to see a break above this VWAP line now and if it does it I'm gonna set an order to stop out of some at 97 so I set a stop on half of my position at 96 85 so if it breaks this low I'm gonna get out of half but right now it looks like it's doing exactly what I want I needed to break that blue line George alright we're bouncing we cannot let VWAP reject here the bottom is set we bought and if this VWAP line holds bro it's off to the races higher the candle is 99.40 so let's see above 99.40 the higher day is 99.60 and if it breaks 99.60 I'll go to 100 and if it holds 100 it's it should bounce back 99.60 there you go come on this looks like it's bouncing bro it looks like it has all the signals for a bounce the same candle that we got here George it's doing that same candle here if it could break that line dude if it could break this line above 99.60s it should go overall market is a little bit weak so I'm gonna pull up the overall market here yeah most of the big guys move together right see Tesla's going down you got Amazon going down because they're all going down this going down 99.60 bro see how hard it is 99.90 100 come on break 100 100 100 100 is gonna be a wall of sellers that's psychological so it needs to break that psychological wall of $100 to shoot up right now exactly at 100 bro exactly at wall of sellers exactly also the overall markets now going down that's not helping bro the stock is down 25% it has SSR it should aggressively be bouncing right it should be aggressive it should be so much buying coming into the stock because that was so much but there isn't there's just so many people selling it dude so I was in a stock like meta where it's like you know with the billionaire company it's it's you know it's got a lot of upside with a lot of the universal things that they're doing why do we have so many sellers at that hundred mark like what's they just think it's just gonna be like you know if they don't sell they just it just a lot of people bro a lot of people they would rather sell it for a loss than wait for the company to like fix itself you know what I'm saying so let's say the company is gonna take a couple years to get fixed rather than waiting for a couple years they'll pull out that cash to pull it somewhere else every time it tries to dip it bounces every time it tries to pop it tanks in the middle the buyers are winning the sellers are winning it's in the middle right it's like a standoff but hey bro I got my stop in and I'm just letting it do its thing right break a hundred cuz okay okay okay come on more usually I want stocks to crash but I want okay so now next is where's our next resistance our next resistance is probably around 150 and then it's gonna be around 170 okay 150 got it oh wow see if we get 170 so just to recap the plan that we made before this video we want the lows to hold we wanted VWAP to hold we wanted 100 to break I'm in at a 98 70 average everything is falling into place so far now remember this is very extended to the downside which means that there is potential for this to get extended to the upside so now that the bounce is confirmed big money now feels comfortable buying it in my opinion right so hopefully big money comes in and takes this thing to the fucking bull so we're like a nice play now cuz we had a plan yeah before the plan right I was looking a little sketchy a little bit sketchy so 101 pro again is a whole dollar mark just like 100 was a whole dollar mark hundred every dollar hundred hundred one hundred three is gonna be walls every dollar is gonna be a wall we just don't know which wall is gonna send it down all right it's not good the overall market just had a big red candle yeah that means I met us probably have a big red candle because the overall markets really weak today it's making these stocks extremely hurting you know even though the market is tanking this bounces holding that means that the stock strong so if a market is tanking and the stock is rebounding that means that's very strong so if the market rebounds it'll rebound even harder right we just need a little bit of a market rebound on our side road really push this higher what's the goal when we get out I want to get out when I see some sort of death candle when I see like a death candle or some sort of signal bro that's what I want to get out well I do it before that you might want to get like 103 104 and then 5 or 6 on the market really weak right now like hardcore so it sucks because my does one of those perfect plans today you know just had a bit huge dip hasn't been this low in six years and now you know overall markets right exactly as the market is rebounding this is rebounding to him so let's see that hundred and one is a wall from earlier because a whole dollar number right and act as a wall 101 101 broke 130 let's see so this is resistance that we drew earlier right 101 dot 30 and currently it's at 101 dot 30 this resistance should work and it breaks above this then next one is 102 almost where's continuing to draw our lines continue to draw the areas where it might give the stock trouble every day I was usually it's go down go down so looks like that resistance at 101 30 topped it out that's why we draw the lines we draw the lines to recognize where it's gonna top out now the regular trading trader trading this you know we're not here well you know I'm alone I'm trying you know I have met at 98 average which is great you know when do I call it quits so just like there's the zombie time for shorts when stocks tend to rebound after 1030 that same rule applies for long so it stocks tend to rebound at 1030 so my thought process is if this stock doesn't zombie at 1030 then I'll probably get out too right so I'm looking for either like a death candle a kill candle or it not bouncing anymore I'm wait the same signal that I look forward to short stock I want to look for the same signal to sell the stock so most of the time the zombie rule hurts short bias traders because it makes stocks go up but now that I'm buying it I want the zombie rules to help me so I don't want to see a death candle I want to see a kill candle I don't want to see it shoot down I just want to see it slowly slowly slowly keep going up and up and I'll break it the way to the downside SSR is on it's holding 100 it's above VWAP it's the lowest it's been in six years this is when bargain hunters are going to come in and buy to stop so it's like this 101 is giving a little bit of sell pressure tries to push 101 fail push 101 fail push 101 fail so now it's looking a little bit like maybe we should take some off let's see we like some more sage I got a couple questions in the chat and one is from glad the trader he said I struggle with not having size in a trade when it's not a nail-and-bell type of trade what's your advice on on that okay so a couple things here is there's two categories of trades right there's nail-and-bell trades and there's trades that you haven't had so nail-and-bell trades it doesn't matter he says it doesn't it doesn't really get sized on the on the normal trades that's fine nail-and-bell trades you don't need size anyway those types of trades are hit it and quit it the size trades come from having confidence to be able to size in on a position you have to know that it has a very high probability of work right and for me my setup that I know that has the highest probability is the first red thing so unless I see a first red day setup showing up then I don't feel confident enough to size up so the first question you should ask yourself is do you have a setup that has a high probability that you've traded 10 times 90% of the time you make money on it if you don't have that then number one you shouldn't be using size number two is when that setup shows up when you have that edge and that set up shows up that is when you size it so only size in on the stocks that you have an edge on only size in on the stocks that you know have a high probability of working because if not you're gonna lose money so again if you guys have any other questions for the videos this is George right here yep right there active user so send him a DM if you have any questions that we'll throw into the videos and we'll try to take it from there we'll we'll feature a question every week guys so feel free to send out your question especially the new traders I know it's not easy to always talk in the chat when it's moving so fast a lot of people have the same question George and I'm sure that that glad the trader had a question that maybe someone else was thinking about it and bro I've been trading for I think in February it's I mean nine years sometimes I forget bro I forget the common questions that like people have the next resistance here is 101 and 80 101 so we broke through another barrier so this might be a little bit slower of a push on yeah it's solid right there like that but before the video even started George we had to plan we had to plan not to trade a pre-market right we had to plan to buy the dip we had the SSR we had the hundred we had the V-web we had every single factor and now with the market bouncing it is amplifying our trade now let's draw our next line next line is about 102 30 so remember 102 every whole dollar is a wall so it hit 102 and came down but every dollar bro we have to remember wall alright so stock is now at 102 which is where resistance is and looks like it's having some trouble at 102 so you know what bro I'm gonna sell 25 percent of my position so I'm gonna order at 101 98 to sell some so I have two thousand shares I'm gonna sell 500 I'm gonna lock in some profits here 96 96 and my orders at 98 okay so now I'm gonna change my order to 94 and so I've sounded 500 I'm gonna sell 750 because it looks like it's a little weak but I sold half of my position there right so I sold half of my position for a $3200 win and I still have another $3,000 waiting for me so all in all it's looking like it's gonna be $6,500, $6,600 a day now what I can do is I could set a stop and say you know what if this stock breaks 101 it'll automatically get me out but now that the bounce is getting more and more aggressive I think I'm just gonna like slowly sell along the way I mean so you could put really two fans I mean two orders in right you could put a stop order in a fancy order correct and you can kind of almost let it go but alright if it breaks 101 then you're gonna sell if it goes up to like 105 you'll you know you'll sell and then you'll make the you know a bunch of profit but right now bro I made let's see I made about $3.25 a share and now it's going even higher that's unbelievable in this world still going up about to break that one oh two fifty mark also more George keeps going up bro I'm gonna keep taking profits I sell some more now I'm not trying to get greedy bro taking along the way right sold another I got about 800 shares left and at this point bro I think I was gonna say you know what call it all today done right done about a sixty eight hundred dollar day and look at that we go on down oh man perfect time down pretty good to it I think that's it bro another green day in the books