 Hey, everyone, happy Monday. As you guys can see, I am back in Miami on my Miami trading setup. So a couple of things I wanna talk about today before we get started on the main topic of the video is two-fold. Number one is we are having a meetup in Miami this Saturday. This Saturday at 12 p.m. at a place called North Italia. It's open to MIC members and non-members. I'm gonna be there, Stephen's gonna be there. It's gonna be a great time. So I'm gonna put the link in the description with all the information on the meetup. It's free, you don't have to pay anything. We're not gonna sell you a timeshare. This is your chance to meet and network with other professional day traders. That's gonna be this Saturday. I'll put the information down below. Now number two is I wanna talk about something that we haven't done in a while. So MIC was founded on the base of members helping members, right? So what we want to create here is a community where once you understood trading, you would send the elevator back down and help someone else that's been struggling. So we create something called the MAC program, the member appreciation program. So about every three to four months, we create a list of the 20 to 30 members that have helped other members the most in the community that have provided value and we give them free things like free clothes, free food, dinner, this, that. So I'm happy to announce that we have another round of member appreciation program winners, okay? So the way we're gonna do it is tomorrow on Bao's Instagram Live around 11 a.m., 12 a.m. market time, we are going to announce the 30, I think it's 35 winners we selected to win a custom member appreciation t-shirt with your MIC username on the side of it. And additionally, if you have won the member appreciation program in the past and you already have the t-shirt, we're gonna send you out to dinner with your wife or significant other or whatever else it may be. So stay on the lookout tomorrow for Bao's Instagram Live where we announce our member appreciation program. MIC is a community that we really, really want to encourage other members to help people. And I mean, there's no other really communities out there that do something like this to just really say thank you to our members, right? So that's that. So meet up this weekend, member appreciation program winners tomorrow. So let's talk about trading. So right now this is being recorded at the end of February and the market's been hot. So as you guys know, 2022 was a very aggressive bear market. Everything just went straight down, straight down, straight down. And a lot of people will always say like you guys are short buy a trader, shouldn't you guys be making a bunch of money in that market? And the reality is as a short buy a trader, we make money on the exaggerated moves. So the more exaggerated it is to the upside the more exaggerated it is to the downside. Stocks are not really moving. It's very tough for both sides to make money. So 2022 was a very, very tough year for many people. So coming into 2023, a lot of people were not really used to all these crazy runners, right? Cause let's say you started your trading journey last year you just saw things tanking nonstop. Whereas this year everything's been going straight up, straight up, straight up nonstop. So I kind of want to talk about what I've been doing in this market to remain profitable. What I've been doing in this market to stay consistent. As you guys know, I spent a $35,000 account this year I think on January 3rd and January 4th with the goal to grow it to over a million dollars by the end of the year. And I've been posting my daily progress, my daily updates on Twitter and Instagram. And I'm pretty sure that account went from 35,000 to about 900,000 in two months. So I should be able to get to my goal hopefully by the end of next month or the month after and then see how far we can get it, right? So what's been working in this market is runners, right? So the main thing is people don't really know how to identify if a stock is gonna run or not if a stock is gonna tank or not or if a stock is just kind of gonna go sideways or not. And after nine years of trading, I think I finally figured out how to identify if these stocks are gonna run or not. So number one is this. Oftentimes a slow market changes into a hot market after one runner. So the market is slow, there's not really much action, stocks are tanking, they're not really doing anything. And what ends up happening is there's something called a black swan event. A black swan event occurs when something unexpected happens. So if we're in a market cycle where everything's just tanking and tanking and tanking and tanking, when a stock starts to run, people are not used to that. If people are so used to shorting a stock every time it's moving because it keeps tanking that one time that the stock doesn't tank, it has way too many shorts. And remember the shorts need to cover to exit their position and it shoots the stock up, up, up. So for a market to change from a cold market to a hot market, we need a runner. So the runner that we had that changed our market cycle at least in February was LUNR. LUNR was a stock that went from like $10 to $120. And whenever a stock goes parabolic like that, it gets people excited. It gets people to say, oh my God, this is the next Bitcoin, this is the next XYZ, this is whatever, I'm gonna get rich, I'm gonna retire, blah, blah. So when a stock like that goes crazy, it causes short buys traders to say, hey, wait a second, every other stock that moved went down, I'm just gonna short this. And then it goes to 60 and 70 and 80 and 90 and 100, and all of a sudden you're dead, right? So the cycle starts with a new runner taking the attention. I'm gonna give you guys the examples that we've been having in this market because if you've been training this market, you understand what I'm talking about. So LUNR was the first stock. So pull up a daily chart of LUNR and see what it did. It went straight up. Okay, now what ends up happening is after that first stock goes crazy, the next stocks after in the sequence become weaker and weaker and weaker and weaker. And the reason why is because the first stock that ran catches everyone off guard. People don't expect it. People are not anticipating it. People are not prepared for it. But as every day that passes and a new runner comes up, the momentum of that runner starts to dissipate slowly. The first runner is always gonna be the strongest. The second runner is gonna be a little bit weaker. The third runner is gonna be a little bit weaker than the second runner, which is already weaker than the first runner. And the fourth runner is gonna be weaker than the third runner, which is already weaker than the second runner, which is already weaker than the first runner. So as every day passes and a new stock is trying to run, in my opinion, that new stock gets weaker and weaker and weaker. So if LUNR was the hot stock that turned everything crazy, the next stock in the sequence was OCEA. So pull up a chart of OCEA. OCEA went from $5 to $25, not as exaggerated as $120, but notice how it went from five to 25 and now is trading around $8. So that was the second runner in the sequence. The second runner in the sequence was not as strong as the first runner. Now what was the runner after that? And keep in mind this happened like Wednesday, Thursday, Friday, and then Monday, right? So the next runner after OCEA was BAER. BAER went from like, I think it was $3, $4, up to $8 and crashed, right? Crash back down to $6. So that was the third stock in the sequence. And then today we got the fourth stock in the sequence. And if you could think about what the fourth stock in the sequence is gonna do, today's fourth stock was CFRX. CFRX went from $6 to $4.90 while I'm recording this video. So as you can see, the fourth runner was never as strong as the third runner, which was never as strong as the second runner, which was never as strong as the first runner. And oftentimes what people do is, or what people think is, oh, if LUNR ran, OCEA is the next LUNR. If BAER ran, BAER is the next OCEA. If CFRX ran, that's the next BAER. So as every day that passes, the runners become less and less strong because now instead of the short buys traders getting stuck, the long buys traders are getting stuck because now they're buying lottery tickets. The first runner in the sequence, LUNR was always the strongest because it caught everyone off guard. And as each day passes, the runners that appear are gonna be weaker and weaker and weaker and weaker. So as we have day four of runners where they're not continuing to go up, they're actually continuing to go down and sell off, this tells me that tomorrow day five runner, if we have a new runner that comes up, it's gonna be even weaker than the day four one and that is my opportunity to size up a little bit larger. Because remember guys, in the market, our goal is to size up when our edge is there. When we have a high probability of winning, that is the only time that we want to size up. We don't wanna size just because we're showing up to the market and we're bored. We want to size up based on the opportunity. And if we know that every stock that runs, the next runner in the sequence is gonna be weaker and weaker and weaker, that tells me that okay, LUNR, I don't use any size. Maybe the next runner in the sequence, OCEA, I could use 10% size. But then BAER, the third runner in the sequence, maybe I could use 40% size. CFRX, the fourth runner in the sequence, maybe I could use 80% size. And then the fifth runner that might be coming tomorrow, I may be able to use 100% size because at that point now the sequence is busted. And now once again, we are entering that market where the bounces are failing on stocks. We are entering a market where the runners are failing. So how to identify if a stock is gonna run or not? Is it depends how close to the sequence it is. Is it the first runner after a dead market? If it's the first runner after a dead market, the sequence tells us that that is probably gonna be the strongest one. Now, is the stock the fourth or fifth runner after that first initial runner? Chances are it's probably not gonna run. So whether you are long bias or short bias, the longer or the more time that passes after the runner, that is an edge to short. The last time that passes after runner, that's an edge to long. So that's kind of what I've been recognizing in this market is all right, now the CFRX is trading at $5.04. I think it's probably gonna close around $4.50 because it's again, the fourth day in the sequence, okay? So runners depend on how much far along they are, right? Because if everyone is thinking the same thing, this is the next OCEA, this is the next BAER, this is the next LUNR, and the stock market, the reverse happens. Just like LUNR ran like crazy because no one thought it could run, if people think a stock is gonna run, the inverse happens. So that's why knowing which number runner we are on helps determine how much you should size, how much, how aggressive you should get and what you should do. So for me, today when I showed up in CFRX was the fourth runner that we had, LUNR, OCEA, BAER, CFRX, that told me all right, I think that this has a high probability of pulling back so I got a little bit more aggressive on it. And the same thing, if another runner shows up tomorrow then I'm gonna be a little bit more excited to attack that but as you guys could see, there is a method to the madness here. This is not just close my eyes and size up and throw a dart, this is nine years of experience, this is the lessons that it teaches me because then you think to yourself, wait, all these stocks are running but why isn't the stock that I picked running? It's because you're three, four days late. You're already late to the party, right? So that's just something to kind of keep in mind for this market that I've been doing to kind of help keep me safe. I've been really, really trying to focus on less is more. I actually found myself got get caught on OCEA. I actually lost a bunch of money last week on OCEA because I was caught off guard, right? I thought OCEA was the second runner in the sequence. It was LUNR, OCEA. I thought the second runner wasn't gonna be as strong as the first runner and it turned out that it wasn't but I got in a little bit too early. So I screwed up. The notice how the second runner OCEA was much stronger than the third run, the fourth run. I should just wait until maybe another day to get more aggressive but I screwed up, right? I'm human and those lessons that I learned from the screw ups I've come on here and I make this video content to not only help myself but to help you guys. So I hope these videos are actually helping you guys and again, if you guys have any questions about trading, if you guys are curious about trading, if you wanna learn more lessons from me, from Bao, from everyone in the community, we have a free mentorship course at myinvestingclub.com slash webinar. It's totally free, no upsells, nothing. Basically gonna teach you our MIC strategies for free and provide a live trade for you. So in addition, if you wanna come hang out with me, if you wanna come hang out with Steven, if you wanna come hang out with our MIC moderators, this Saturday in Miami, free meetup. Link is in the description and I will see you guys tomorrow on Bao's Instagram Live for the Mac winners, the member appreciation program winners. Please leave a like, leave a comment with one lesson that you learned from today's video and I will see you guys tomorrow on the Instagram Live. Thanks everyone and hope you guys are crushing a trade.