 Good evening, everyone. Let me know if you can hear me. Welcome. This is Melissa Armo. Can everybody see the slide? And hear me? Wonderful. You don't have to bear with me, everyone, here today. I am fighting off being sick, so I might occasionally have to give a little cough here. Please bear with me. I don't sound like myself. But I appreciate everyone coming here today. It is a chilly winter day here in New York. We're getting a snow and freezing rain. It's about 10 degrees outside. But I'm sitting warm inside my apartment, and I'm here today to talk to you. If you have any questions, you can write it in the box down there at the bottom. If you have any problems hearing anything or seeing any slides, just text Kathy. I own my own company. It's called the Stocks-Woosh. And today, we're going to talk about, really, how you can become a professional trader, if that's what you want to do. And what I focus on is day trading, just so you know if you're here. I focus on a specific time period that happens in the morning. We are going to talk about one option trade from last week, which was still a day trade. But it was in, you could have held it really all day, more than 30 minutes. But the goal for any person that wants to trade is what? The goal is to be profitable. And that's the goal. Everyone wants to make money. So even if you think of this as something that you want to do as a professional, it doesn't mean that you have to do it eight hours a day. When I first started out trading, which is now 10 years ago, it's hard to believe I started trading in 2008. And I thought that, like most people or most professions, the harder you work, the more money you make. In the case of trading, that's really not it. It's just about finding the right stocks to play every day. And if you're able to do that, which I am, then it's very easy to make these kinds of numbers, 20 grand a month or more, okay? So feel free to ask me questions as we go along here tonight. Just bear with me. Like I said, I'm fighting off a cold. If you have questions, you can email me or call me at this phone number here or email me at Melissa at thestockswish.com. And don't be afraid to ask me any questions, like I said here tonight. If you don't understand what I'm talking about, I'll try to answer questions for you. So here we are, we're in 2018. And this is a good time of the year, January, to make an assessment for your goals for the year. It's goal, period, time. Whether that is financial goals, whether that's health goals, anything. Any goals that you have for yourself for the year, maybe you wanna move, relocate, buy a new car, some kind of goal that you have for yourself for this year, January is a good time to write down your goals. And one of the most important things, or even pay off debt, it's another goal people have. And one of the most important things I think for starting out the year is to start out the year with an optimistic attitude. Put the past behind you. Let's say you've been trading or attempting to trade in prior years before 2018 and you've not found success. You gotta let it go. Make your goals for this year. Don't worry about what happened last year in 2017. Worry about right now this year today. It's January 8th, okay. Still early enough here to get going for the year. And it really should be a good year for the stock market. We have had an incredible rally in the last 12 months plus, really ever since the election in 2016. And even in the last week, the market has had an incredible rally. So you wanna be able to take advantage of that. I just captured here, this is the QQQs. And you can see here where the market has gone even in the last week. So I'm just looking at this here and today we're gonna talk specifically focusing on shorts. We're gonna talk about one long. But you can make money going longer short. It really doesn't matter. But it does, what does matter is the right pick and getting the right pick in the right direction. And this example here of the market is the QQQs and the right direction to be in the market would have been long in the last week or would have been long even in the last year. If you were bullish in the market in the last year, you made money. There was no way that you couldn't make money if you were bullish in the market last year. And there was many, many days that you could have day traded the market long. And in the last week, one, two, three, four, five of the five days, okay, in the last week, you actually could have gone long four of those days as day trades and made money in the market, okay? So it really is a bad getting the direction right and the pick right. So how can you do it? How can you become a professional trader? What are the steps? Well, you gotta take it seriously like you would in any goal that you would have, how are you going to make the money, okay? You have to have a strategy, you have to have a system. There's so many people that trade that have either multiple strategies or are not really good enough at one specific one that's profitable enough for them to make enough money like 20 grand a month or even any money at all. You have to focus on getting really good at one thing. If you can get good at one trading system, then you can learn other ones too. But you gotta get good at one at least, okay? Or it's very, very hard to then continue going and learning other systems. One of the critical ingredients to be successful in the market though is you absolutely have to have a trading system, something that you follow every day. And this is above and beyond a mentor, okay? I run a lot of trading where people come take my trade calls, but really, the idea is that you could do it yourself. You could replicate my system yourself if you learn it. You don't need me, all right? You wanna be able to be self-sufficient. Without a trading system, you're gonna get up every day and really not know what to do or follow other people aimlessly or the news, for example, which many people do. Tons of people fail all the time trading because they have no system whatsoever to follow daily. And that is one of the critical things that I'm telling you you need, all right? Whether you choose to come and learn my system or someone else's, you have to have a set system that you're doing every day. So for me, I only have one system. It's the only one I follow, the only one I do. Been doing it for 10 years and it's the only one I teach, okay? And it's based on focusing on stocks that are gapping in the first 30 minutes of the day and I prefer to short. And before I go into further detail here, I will tell you the reason I prefer to short, even though there's many days that I could go long as well is because I like to get in and out of trades quick. That's just my personality. I feel like if I can make money fast, it's better, it's easier, I'm less at risk. And I do take size in my trades so I'm very aware of that, okay? I'm aware of the fact that when I'm in a trade, even if I'm up in the trade, until I'm out of the trade and the money's booked, you don't know for sure what's gonna happen. You don't have the money until you actually exit the trade when you're up. So the sooner I can get in and the sooner I can get out, that's how I like to trade. At day trading I'm talking about, all right? Sometimes options you can hold longer, but the more and more I'm looking at options, the more I'm realizing I kind of feel the same way a little bit about options too that I prefer to do them for a day or a shorter period. So focus on one thing. Don't do anything else, get good at it. So that's one of the main ways that you can become successful. Of course you have to have a system that works, all right? So in order to trade and do this day after day after day after day, you have to have a focus on getting the directional bias right of any trade that you take. And I'm gonna talk about, I'm gonna mention Bitcoin here for a minute because everybody is all excited about the Bitcoin. I've discussed this on TV, although not in great depth yet. I'm sure I will at some point on Fox, but Bitcoin was a great buy early in 2017. And if you bought it early in the year, last year or a year ago and sold it, bought it at 1,000 bucks, sold it when it ran up to 20,000, well you made money, okay? But it doesn't necessarily mean Bitcoin is a good buy right now. So it really, you have to get the direction right in something and it does matter the timing. The timing matters, because you don't wanna buy something at a certain price and have it drop down before it goes up, okay? Makes sense? So anyways, having a system tells you where and when to buy it, okay? It tells you where to get in and it tells you where to get out. And it tells you the direction to take something and it tells you why, okay? And everything that I do is based on technical analysis. So I really feel, and this has been my life, that one strategy is all you need to be successful in the market. You do not need a general overall broad base view to make money of the market. I think if you have that, that's fine, but you don't need it. And there's a lot of people that know a lot of different things about the market and charts and different indicators and all kinds of stuff, fundamental stuff too they follow and they don't make any money, in fact they lose. So having the right system is the focus and the key and you don't need to have a general overall broad base. So if you don't know anything about trading at all and you've never traded, that's okay too. You could come and learn and take my class from the ground up. So what I do is I'm looking at charts. I'm reading price in the charts, it's technical analysis. And if you can learn how to read charts correctly to predict the move something will make before it happens, you can make money. The market is a great example. I was a little early in the market, but I called the market to be extremely bullish and I was right on point for that. As far as the targets I gave for the market, I was early on the targets I gave for the overall market, which I learned a lot from, I will tell you in my experience as a trader to be more conservative with target points for long-term trades. But I will tell you I was absolutely right in calling the bullish market, which I did, I felt very confirmed in at the end of 2014, which was two years before the election even took place. But we really had a big year in 2017 as far as bullishness in the market and the market did something called power trend. And I'll talk about that more at the end today if we have time if someone wants to remind me about the market. For those of you that are in any long-term investments as well. Anyways, what do I do? I focus on gaps. So if you don't know what a gap is, I'm gonna explain that here tonight. A gap happens every day in stocks, but not all of them are playable. So I'm looking for playable gaps. What I mean playable, I mean predictable. So my system is based on stocks that are gapping in a significant enough way that you can predict where they're going to go. So that's what I do. Now, why do I like gaps? And again, I'm gonna explain what they are in a minute because they have volatility, because they have momentum, because they have fast, quick moves, all right? And those big moves are how you will make money as a trader. Something moves a dollar and you have 2,000 shares, what's your profit? $2,000 if you get it in the right direction. And you can have way more than a dollar move in the morning in 30 minutes in multiple, multiple stocks. And just so you know, I'm not trading penny stocks. I'm trading real stocks that you would know the companies or the tickle symbol or you could look it up. They have volume, all of them that I play, okay? I never take a trade and a stock that doesn't have significant volume, all right? And again, if you have any questions, I'm seeing people signing in just right at the bottom. So this is very basic and some of you may know this, what are gaps, okay? Gaps happen in the morning. It's a difference between the close and the open. So there's a close in the market tonight at four o'clock, the U.S. market closed. Tomorrow morning, the market will open at 9.30. Between that time period, between 9, between four o'clock and 9.30, you have things that happen, stocks trade. They trade in what's called the after hours, the post market at night and then the pre market in the morning. News happens, earnings reports happens. Somebody could talk about a stock on television and the stock could actually gap or move. So trades are going off. The sexual trades that people are taking positions, they're usually institutions, okay? And people and big traders and they are putting positions on or off in those after hours. They're buying and selling stocks. This is not what I do, just so you know. What I am playing is the gap after it occurs. So my system or strategy is not predict what stocks will gap. It predicts after it gaps where it will go. Will it go up? Will it go down? Just so you know. So all of this is based on the daily chart and you can see this on the daily chart and you can see very easily gaps, okay? So if you want to be a professional, if you wanna do this for a living or if that's your goal at some point in your life, if you wanna get there by the end of this year, say, you really have to think and act like a true professional where you're gonna go to school, you're gonna learn something, you're gonna take it seriously, you're gonna give yourself time to learn the information, okay? It's not about the amount of time you're putting into it every day. It's about the seriousness with which you're taking it in the time that you are doing it. I always say, listen, I can be perfect for 30 minutes every day and I can and I am very often at most days, but to be perfect for six hours a day, six and a half hours a day, the time the market is open, well that's not always realistic, okay? Because sometimes when you're training you have to make split second decisions, you know? And that is true. That's just part of doing this thing. So again, it has to do with the focus. You have to think like a professional and I think this is just common sense to understanding this. So let's talk about why I like gaps, why I like to trade gaps and the benefits of trading them. Well, it's just simply like I said, they have big moves. So the idea of making $20,000 a month really if you break it down, it's five grand a week, you can make that in one trade. You can make more than that in one trade. Even if you have five days a week and one day you have no trade and one day you have a loss and three days you have trades, you can make even more than 20 grand. So the thing about gaps is that they move. We're gonna look at today's gap. The stock moved, I think, from the entry like $5, I mean, literally. And I mean, obviously you would have had to be in that all afternoon. But I mean, that one trade today, actually if you had held the trade, if you had held it to four o'clock, which sometimes you can do, you would have made your whole month, all right? So gaps have momentum, all right? Have a plan of action when you're wanting to trade. Don't over trade, which we'll talk about a little bit here too when you see the trades for the last week. And I think it's a good idea not to be piggy-ish about targets. But like I said, today was a good example of a really nice bearish gap where you could have made your goal for actually the whole month. So any questions so far before I get into this? Now I prefer to do in and out day trades, but every once in a while I will do an option and this was one last week. This was a gap that happened. This was a bullish gap. I'm gonna show you the chart in a minute. This was an option trade. Now for those of you that don't know options, you have a purchase price when you buy it and then you have a sale price when you sell it and you make the difference between the sale price and the purchase price and you make money. That's how you make money, okay? So last week I called Netflix to buy the 200 calls. I gave a far out expiration date, a trade that's still in play out to the end of the month, but like I said, I prefer to be in and out quickly. So the one was last week on the fifth, it was expiring that week. If you did that, it was still at the same strike 200, it went to it and it was an amazing trade and you could have made your profit for the whole week in that trade. Now the risk on this was significant for a grand, but it was in and out very quickly. So purchase price of the trade was $1.35. I'm gonna show you the chart in a minute. Sale price was 310. This is good money people. So if you have a sad amount of money and you can flip it around at least one or more than one, that's a good solid trade. So for example, if you risk for a grand and you make 5200, that's a good trade. You just put the zeros at the end of this, okay? You can see how the numbers add up. It's about the difference between the purchase price and the sale price. You gotta get the pick right. You gotta see before it hits this number that it's gonna go to it or through it, which Netflix did, and you take it with the momentum. Now here is the chart of Netflix today. Again, you could have done one last week. You had what, how to do it that day or you could have held it the second day. It actually had a pop the second day. Here was the fifth. You could have actually held this and made more than five grand or you just take it this day and get out. But anyways, look where it ran up. So I called a trade out to the end of January. I don't think anyone is still in this. But the stock from this gap, which I'm gonna go over in a minute here, ran up with 12 bucks almost through 200, through the strike in a week. So people think trading is so tricky. The trick is really that you have to be able to see that momentum will come into the stock in the direction you take the trade before it happens. At this point now, anyone could say, oh my gosh, Netflix made brand new well-timed highs. Netflix ran up like crazy. It had a very bullish move. But I saw this in the morning here on this day. I forget the time I called the trade. It was before 10 o'clock. It was like 9.39, 45, whatever time I saw it. So I saw this right at this level here. Look where the stock went after. That is a skill. And so that's a skill that I have. And that is why you would come and you would take my class and learn from me. I can predict that this will do this or something very similar to this. And this was a great call. So this was a gap. Let's go over it. Stock closed here the night before, right in here at this number. This is a bar, it's a candlestick right in here. And it gapped up, gapped up and ran out, up. So the stock closed here around 192 something. Gapped up and opened up in the morning, around 196, closed up here over 201 on that day. This was on the second and ran up then the rest of the week. The whole week it ran up. And then here was today. It even ran up today. So to be able to see that a stock will go from 196-ish to even 201 of the day and have a five point move, that's how you're gonna make money. Or to see that it would even go past the 200 number through this week, out until the end of January, till the end of the month, okay? The stock has already gone, I guess 12 plus four. It's already gone like 15 points plus since this day. Which was what? What was significant about that day? It was, it gapped. But this is a bullish gap. So you have to know how to play this. And then you have to be able to see this. And you have to take it as soon as you see it in the morning in the first 30 minutes of the day. And music says example because this is an option trade. And the reason I'm putting this in here is because sometimes some people struggle with day trading accounts, setting it up to day trade with their broker because of something called margin. For those of you that don't know what is margin, margin is you have to have a set amount of money in an account to buy the stock with the cost of the margin of the buying power. When you do options, you don't need it. You only have whatever it costs to buy the trade. So for example, if it costs $1 to buy a trade, you just buy it and that's it. Whereas if you wanted to buy Netflix that adds a day trade, a $196 price per share that's kind of expensive and you need to have the margin of buying power in account. If anyone has specific questions about that or wants a referral for a broker, you can email me and I can send you later. But I just want to show you that my system can be used for options too. Any questions so far here? So far my voice is holding up here. So it's about focusing on the quality. If you did that Netflix trade, you didn't have to do any more trades last week, okay? And actually if you had held it even one more day, you know, it had that second push up. It's really not about quantity, it's about quality. I try to really only do one trade a day. There are some days where I do more but I really try to focus on only one. Usually if I end up doing more than one trade, it's because the first trade failed to be honest with you. If I start out the day and take a loss in the first trade, I'm usually doing a second trade to try to make money on the day and come back from the loss. But most of the days I do only do one trade, all right? So again, no piggies. You can't think, well, I'll just do another one, another one, another one. If you take a trade and you make five grand, there's no reason for you to take any other trades. I think quite frankly, you know, it's plenty of money. So let's take a look at what I was talking about from today. It's the interesting thing is in the last week, the market has made new highs and has had a very bullish move. There have been however, some really nice shorts. And as I told you, I like to focus on stocks that are gapping down and I prefer it to short. So the fact that there's been so many great shorts in the last week to the downside and bearish gaps, so many good quality gaps and the market has started the year off so bullishly, I believe is a sign of the calendar year for 2018. Now what do I mean? I mean, when big position players, big traders, institutions are long stocks when they're in stocks and they don't want to be in them anymore, they want to sell them, which is what happened here in the play today, which I'm gonna go over, they will dump the stock. They will have no problem dumping the stock because when an institution, a hedge fund, when they own something, so let's say an institution owned play, for whatever reason, they wanted to sell the position and play into the gap this morning, which you can see they did. How do I know that happened? The stock closed here the night before around 56 and opened the morning here around 49-ish, okay? So I see that that happened. So the stock gapped down $7 overnight. What do I do? I get up in the morning and I find things like play and then I will rate it and I will determine if this is going to be a good short or a good long. Now in the case of play, it was a good short. The stock fell all the way down to 44. Like I said, it had more than a $5 move and that is one of the reasons I like to do gaps. You have stocks that have these huge moves and so institutions sold, sold off the play today and that's how you're gonna make money. You're gonna make money shorting into the selling action into stocks and this was a great example and actually this trade, like I said, would have made your home week once again. This is to start the week today is Monday. And it's a sign for the whole year because even though the market is so strong, if big position players are in stocks and the stocks don't do what they want, don't perform, have bad earnings, whatever, whatever, okay? They're gonna dump them. They will dump their long positions. The dump of that creates selling which you as a trader were short and that's how you're gonna make money, okay? Any questions here so far? Okay, all right, let's look at play. Anyways, here's the one minute we looked at the daily. Stock closed here, gap down, had a big move here. This is 9.30, so this is a one minute chart. So I told you I like to trade in the first 30 minutes of the day. How's that possible? I trade on the one minute chart, okay? So I'm in and I'm out. Stock dropped, boom, fell, rallied, boom. You would short the stock right here, get the drop. So time of the day is here, right around 9.34, 9.35, drops into what, 9.50. So this is called the money move and you're in and you're out. As I showed you though, the stock ended up going to $44 on the day but this is a good move. This is an amazing move. So what was the entry in the pay? 48 bucks was a short. Stop, 48.55, share quantity. Your share size will vary from trade to trade even depending on the size of the position of the cost of the stock but your risk should be similar. So all these risks in here between 1,000 and 1,500 and advanced risk is what you're gonna need in order to make 20 grand a month. You do not have to risk that much but then you won't be hitting these goals but either way you can be profitable even if you took 100 shares of this, it had a $2 move. If you had risked 100 shares of this today you would have made what, 200 bucks. If you had risked 300 shares of this you would have made what, 600 bucks and you would have made it in 20 minutes, okay? So anyways, exit in here into the first drop wherever you can get out, 46 bucks was the first target. Profit, five grand. Again, time and trade, less than 20 minutes. We're gonna go back. You get in, you get out. You get in, you get out. You can lower your stop. I talk about this in the class more but I do use stops in my trades. What does that mean? It means if that, if this stock had rallied which it didn't, excuse me but if play had rallied and if for some reason gone over that number of the 55-ish then there would have been a loss on the day in this but that didn't happen, okay? So one trade is all you need. Even this one trade if it had failed you could stop on the day. Now I talked about this earlier, my personality is I usually do a second trade if the first trade fails and I stop if the first trade works. But again, you could stop if the first trade fails and just do one trade a day if you wanted to be with me and trade in the room. Any questions from anyone? So that was a really nice one today. Friday, there was another good short. Again, very bullish market on Friday. Dow ran up over 25,000. I think I forgot if it was Thursday or Friday. I think it might have been Friday now. BKS dropped, fell. This doesn't look like much but it actually is a really nice move. Stock closed here at 650 and it gapped down. We discussed this earlier, what does it get? It's the difference between the close and the open. At four o'clock the stock closed here at 9.30 in the morning was opening here. So what do I do? I get up in the morning early, usually takes me about a half an hour an hour to get ready and I will see the BKS in the pre-market. It's trading and I will determine based on that if I think it's a good short or if it's gonna be a long. So what do I wanna do with this? And there's many, many stocks you can do on the day. The key is to find the right ones. That's the key. The key is just absolutely to get the right pick and get the move right. So BKS had a nice short in here. Again, we're in a one minute chart. This was Friday. Short it, get it, boom, get out. Again, the move into the money and right into the target. This was a nice one, went to the target. Entering on BKS was 580. Exit, target, first target, boom. Went a little bit past this but this was the first target and it hovered till it broke. 550. 30 cents, you say that's not much but actually that's a good move for a stock at this price point. Profit would have been what? $2,400 time in the train, five minutes. Boom, boom. And that's it. I think your day is over. And if you would have taken half this risk, half this size, you still could have made over 1,200 bucks. So again, whatever it is that you can afford to take but in this case here with this one, it's such a cheap stock. You could have easily taken the size of this even in a medium-sized account for the price point of this for a day trade. Any questions so far by anyone? So I really, really like to short. The fast profits mostly come from shorts. Why? Because panic comes into a stock when you're shorting it. When a company, okay, when a fund is selling off their shares and today again is a great example in the play, and if you were long it, say you were long in the play, you would panic if you started to see the stock sell off a dollar, $2, $3, $4, and say you were long a stock. And this panic action in you as an investor or another fund, for example, would create you to do what? Possibly sell. And so then you're looking to short that selling action and that's how you can make money. The concept is very, very simple. It's what's not simple and what you will come and learn from me is how to determine to do, play, Netflix, and on those specific dates, and then know where to enter those trades and then also know where the targets are to exit them. But the concept of trading is really about getting the stock right in the right direction and the right pick each day. And that's something that many people just make overly complicated. And most of the reasons I think traders fail is that they are doing way too many things and they don't have the right focus, but I am extremely focused. And that is why I usually try to watch one stock pick a day and why I even focus on the shorts. I will look in longs as day trades if I don't see any good shorts though, but I do prefer to do the shorts because the trades happen very fast and as I told you I like to be in and out in 30 minutes, which is usually that time period between 9.30 and 10. So what do I do? I focus on gaps. I focus on gaps. I get up in the morning. My system is a 26 point rating system. I rate the gap on the daily chart and this is all happening before the market opens. Or you could do it at night, okay? It's a 26 point checklist I use to determine which gap is the best one to trade. Which one is the best one to trade? What direction to take it? I total the points. I don't have to have a perfect score. With my system I'm looking for the highest rated one. So I will go with anything over 20, okay? That's the cutoff for me and the highest rated gap. Obviously if I'm only gonna do one, I would pick the best. Any questions so far here? What I also am focusing on is making sure once I find that gap, once I rate it, once it meets my criteria that it's going to set up quickly that it will set up by 10 o'clock that it will have an entry that I can take it because if the stock is trading for 30 minutes and hasn't set up for me to take it in the right direction I want to take it short or long then there's a problem with it and it may not go on that day. It may not move the way that I want it to. So sometimes you will have a stock and it rates really well but it never sets up. Well then you don't do it. Then you either do nothing that day or you find something else. And again, discipline is part of being a professional trader too. And a lot of people talk about discipline and some people talk about it ad nauseam where they talk about people being robots. You're never going to be a robot when you trade. Everyone has emotions all the time 24-7. You can't escape the fact that you're a human being and you've got emotions. What you can do is though, follow the system and if you're in a trade and you've got the stop in you've decided to put on the risk. There's no reason for you to worry or think of anything else. When you learn a system and you have conviction in it, which I do and I've been doing this for a long time and I created the system myself, which is why I'm good at leading people. The point is though, I believe in it so much. You let the trade play out. The conviction helps you to let it play out and that's really all the discipline you need. The discipline really for me is I put the stop in and if the stop takes me out then it takes me out. So the stops, when I use hard stops it helps me be disciplined. Now this was last week on Thursday. Again, really nice shorts here since the beginning of the year. LB, stock closed here. Excuse me, gap down. Closed here at 58. Gap down in the morning wear around 52. So stock had a nice move gapping down. It sold off the week before the gap down. It continued to sell off into the gap. It was a short, it's continued to sell off ever since. So you see here often also that these have followed through in continuation which you can also do for swing trades or option trades like we talked about but this had a beautiful sell off. So this is the one minute chart LB closed here, gapped down, open. You see here this one minute chart four o'clock and this is the gap. But I would be watching and looking and seeing and trying to find a stock like LB way before. This open occurs. But anyways, this was a good gap. Happened, dropped, fell, broke. You just get this move in here. Now the stock to continue. It went more but again, you're looking to play this half an hour period right in there. Entry, this was 51.50. Stop, 52.30, 80 cents. Okay, so you figure out your position size and the difference between the entry and the stop. Share size 2000, exit 50 bucks. Again, this went farther but you look at what you're doing. You wanna get, again, that money move. Profit would have been what? If you'd taken 2000 shares, three grand in seven minutes. So you see here, this is what you need to capture. You capture this, you capture the LB, you capture the BKS, you capture the Netflix up, you capture the play today. You just get this, get this, get this. But you gotta know to watch this guy here. So the crux of all my system, everything that I do, everything that I teach, what you would get from coming to me and listening to me as a mentor and learning from me is that I would know that this is going to do this. This is going to do this and this is going to do this. And I'm seeing this because I'm seeing the gap here on the daily chart. The rating system is what tells me. It's the high odds. Nothing's 100%. Nothing in the world is 100%. My system for 2017 at a 75% win ratio but that's really, really good for day trading. Nothing is 100%. This is telling me the rating system, the 26 point system that is a high odds of working, high chance that's as much as you're ever gonna get ahead of time in the market. Otherwise you wait till the move happens, you get in very late and when you get in a move late, you pay up for the price and you will have to get out quick. Like Netflix actually, you could have bought that the second day. In fact, somebody missed that option trade. It was really good. I said you can buy it the next day up. He did but he got out quick. You can and so you make less money. You can wait but I don't do that and I also like to get out by 10. And when you train in the morning, you really don't have the effect of the market on you all the time. Again, the market doesn't really situate its move of the day or it's biased for the day until 10 o'clock. Sometimes, sometimes every once in a while it'll do it before. Anyways, in the last week, if you did all these trades called in the room or the option trade to you in the Netflix which happened to be the one bullish call, you could have made over 15 grand. And if you only did Netflix and you only did play today, you would have had your goals and been on target on point for the month for January to make 20 grand. Five grand in one trade and five grand in another. So, whether you want to trade to four o'clock or not which you certainly could have done in play and made way more money and you could have held on in Netflix longer too, it's not that important, okay? And there was good size in these trades but I wouldn't say crazy size. A thousand to $1,500 risk in the day trades is an advanced risk but it's really medium size, okay? I could be risking more than that at this point now after trading as long as I've been but I'm very comfortable with what I do, okay? So, when you get it down and you learn how to do it, you can increase your size over time. The sense of urgency should not be really to make even five grand a week. The sense of urgency for people really should be to start being profitable at all and that means to start getting honed in and focused on exactly what they should be doing every day in the market. And many, many people are all over the place and they don't know where to go and they don't know what to do and they're bombarded by information. I'm bombarded by information. I'm bombarded by the same information as everybody here. I'm on all my trader essentials marketing list. I'm on every trading place out there in the world's marketing list because I've done webinars of places and they all stick me on their list. I'm bombarded by tons of information. I sift through it, I delete it, I take what I need, I stay in my own mind, in my own head, okay? It's challenging sometimes not to be distracted by so many other things but if you can grasp what I'm saying and if what I'm saying makes any kind of sense to you at all, then you should probably reach out to me and learn from me and trade with me. There's just too much information out there and not all of it works. You have to pick and choose or you will become very confused and you will never achieve your goals. It is easy to make money in the market. If you are focused, I know what to do. If you're all over the place, you will lose. It's really just as simple as that. Does anyone have any questions? Okay, we're making good here with the time. So let's talk about share quantity again. It's up to you what you want to risk. We were talking about advanced risk today but again, you don't even have to get something like the whole move in the play. A 50 cent move with a thousand shares, your profit's $500. $500 a day is 2,500 bucks a week and there's nothing wrong with that. There's nothing wrong with that at all. I mean, if you're a losing trader and you can even make $500 a week which would only be 100 bucks a day, that would be two grand a month and two grand a month profit will be better than losing. So if you have a small account and you cannot risk $1,000 per trade, you still can use my system. There's no set requirements for my system other than you have to be able to actively day trade. The amount of money you risk is up to you. You can risk more than $1,000 a trade. You can risk $3,000 a trade if you want. It's up to you. Either way, the entry is the same. The shop's the same. The gap's the same, okay? You're looking at the same picks and the nice thing about trading, if you wanna do it as professional, is it only takes a few hours a week. The prep time you get up in the morning to rate the gaps and then the time that you're in the trades from 9.30 to 10, that's all you need to do. Luckily, I have a strategy that works so well where the time is this. Because I've been appearing on television, I'd never be able to do any of the things that I'm doing right now, which I'm very excited about doing in my life. If I had to trade every day till four o'clock, I wouldn't be able to do it. So, I've got this great strategy. I can make thousands of dollars each week. I'm only there for a little period of time in the morning and I have all these other opportunities that I can do other things with my life. So, whether you wanna do other things like pursue other careers, advance your own career, or spend time with your family, or just have more time for leisure in the afternoon if you're retired, if you want to golf, it's the point that you don't have to work like a dog 40, 50 hours a week. And trust me, I know I did that when I was doing mortgages because my career before I started trading was doing mortgages and it was a seven day a week job. And trading, the markets only open five days a week and you get holidays, all of it. So, the personal freedom counts. It's one of the greatest benefits actually of trading. No matter what money you can make, the trades happen very quick. For the time investment you have to put into it, it is so, so worth it to do it. I don't know why people stress themselves out by trading all day and usually people end up giving money back in the afternoon. I mean, usually what they do is if they make money in the morning, they give it back in the afternoon if they keep trading. So, a lot of people ask me this question too, how long does it take? How long does it take you to make money if you learn how to do this? It's up to you. I will tell you that if you do the class and join the trading room with me right after, you will have a faster chance to learn my system and be successful because you can take the trade calls that I just gave in the live room. I give the entry, the exit, the stop, the pick every morning, the gap rating right in the room. So, if you follow everything that I say in the room, you're gonna do better than if you go off on your own right after the class. But you can, you learn everything in the class that you could go off on your own. It's up to you. If you follow and listen to the things that I teach in the course, you will do well. Some of the things that you will come and learn from me are very different though than what other people say about gaps. And so you have to be very open minded and trust that I know what I'm talking about, which I definitely do. But everyone is different. I'm here if people have questions after the class to support you to answer your questions if you learn it. And that's something very unusual. And at this point in my business and career, I still can do that. I still have the personal touch on things where I can talk to people on the phone and respond to their emails. I don't know if it will be that way forever. But if you have questions now, you definitely can call me and you definitely can email me. So it's about $1,000 a day average if that's your goal. And I would just say, whatever amount of money you are determining to risk, look to flip it around at least once. Some trades you will make more. Some trades you will make less. Some days you will lose. Some days there won't be any trades at all. But if your goal is five grand a week, you're gonna keep that in mind. And you may make your goal, like I said, in one or two trades and then you may decide what you wanna do for the rest of the week. Maybe cut back your risk. Maybe be very careful, okay? Pull a stop down if you're break even. Watch what you're doing after that. Take the next day off, whatever. It's important to continue to keep your goals. I would chunk it out every day as a process. You can lose one day and still meet your goals for the week, all right? You will have some losing days and it's not the end of the world. That's why you have stops. When you have a stop, you know you have a fixed amount that you're risking. It's like the insurance. So you don't blow up your account. You don't blow up your week and you don't blow up your month. As I said earlier, I had about 75% win ratio for the year of 2017. I got a video on YouTube if you wanna go there. Subscribe to my YouTube. Kathy has the link there and you can watch it. It's long, it's boring, but it has all the ticker symbols from the year. And even watching that, it's funny. Like I looked back when I was doing it and like you can definitely tell the days that I had hard days myself. The days that I had hard days, I over-traded. I took two, three trades. Excuse me. So I mean, ideally, one trade is the best. Sorry about that. Talking for 45 minutes, so I'm pretty well sick. Any questions? Quiet group here tonight. Excuse me. All right, so 2018 is here. Final thoughts here before I talk about the class. Get a plan of action together. Even if it's in your mind, I think it helps writing it down on paper. Your goals for the year, your financial goals. It helps you make them real. There's something about writing stuff down in paper that really helps you grasp the concept and make things real for yourself. If you haven't wanted to trade for a long time, 2018 is gonna be a great year to do it. If you wanna be bullish in the market with stocks, it's gonna be a good year because strong stocks are gonna have a good run. Some of them already have. Netflix is just one example. Amazon is another one today. It hit over 1250. If you wanna be bearish on stocks, which I prefer, again, it's gonna be a good year for that, why? Because investment companies are not gonna wanna hold junk and they will dump their long positions in stocks, which we will then short. And they will have big moves just like the play. So I think 2018 is gonna be a year that's gonna have a lot of volatility momentum in individual companies and stocks to trade. So you wanna be able to take advantage of that. It's not that you can't make money any year. Of course you can, but there are definitely some years that it is better to day trade than others. And I think 2018 is setting up to be a very good year. I mean, even in the last week it's been. Yeah, Tommy has a question answer right now. Recommended or required software? All you need is a platform that has charts with pre-market data to be able to see the gap and a live level too so you can take the order in the trade. So you can short the stock, put the stop in. You only need a level two and charts. There are a million, million different places that you can get both of those. There's no particular place that you have to go to. It's whatever you feel comfortable with based on whatever the broker is charging you for commission rates, how much BP they're giving you buying power and margin on your money because you have to put a deposit up to start the account. What is the cost of the platform per month or are they gonna give it to you for free? Those kinds of things. As far as to take the trades, to see the gaps to do my system, you need charts of pre-market data and a level two to take the entries. That's a good question. So it's good to have a mentor. I'm here for people. I did a mentoring session last week. I'm trying to figure out if I can air it. On YouTube, but the man actually, I don't remember where they did the class with me. It was a long time ago. Long time ago, he got busy, never ended up trading. Now he's back into the room and he wants to trade. Ended up going through and helping him set up his platform and go over some very basic stuff and I was shocked by some of the questions he asked me. He had done the class a long time ago. I've had the business for over five years now but I do offer mentoring training sessions for people that are my students and I don't know what people know. I just don't. I don't know what people know and when people say, well, how long is it gonna take me to make it? It's like I would have to have a window into your mind and know you as a friend. I don't know everyone as a friend. So I don't know what people know but I'm telling you, if you're worried about that, then you can do a mentoring session with me after the fact. So in one one hour mentoring session, I answered many of these questions that this man had which I was surprised that he had and then it was mind blowing to him. All of a sudden he got all the answers. So just having a mentor helps whether it's someone to call the trades in the room, whether it's someone to ask a question, whether they're there to do a mentoring session, it's just a second set of eyes. I don't know what everybody knows. It would be impossible with all the people that I've taught and the people that I will teach in the future but I do know what people don't know when they ask me questions. So it's up to you. It's the same thing with anything in the world. Everything that is happens is up to you. It's up to you to be successful. It's up to you to take the trades. It's up for you to show up in the room every day if you're gonna join. It's up to you to take the risk if you wanna make this kind of money. If you wanna be serious about making 20 grand a month then you better be serious about what you're doing in the trades. Rate the gaps yourself with me. See the entries with me. Get good at it. Take it seriously. Don't be so focused on the money that you miss learning the whole process because it goes hand in hand. I mean it just goes hand in hand. I've just been doing this a long time but it's easy for me to say that but like I said, you gotta know yourself and you gotta go easy on yourself with your own learning process too because there is a part of that. So what is it about the gas that makes them so profitable? It's really that the fact that institutions are moving the stocks and they move the stocks with so much money in such big positions and that we just have to just ride the coattails of them. So hedge funds, institutions, institutional money, they're moving stocks. Those are the ones I'm looking for. Netflix is another great example. For the stock to gap up at 196 and run up to 211, that's crazy. Only an institutional money would move a stock like that and you could have played it. You could have done it even at that price point as an option trade. So that's what makes them so profitable. Not every stock that gaps is made with institutional money. That's where the 26 points comes in. It looks for high quality gaps that are being made by institutional money so that you know that you can do those ones because those are the ones you wanna do. That you were looking to predict the move before it happens. You wanna fast move to happen. You wanna get in the mood in 30 minutes and out and follow the system. You get up in the morning, you follow the system. If something doesn't rate per the system, you don't trade. If it does, you do it. If you get two gaps, you could do two. I like to focus on one. I never skipped this checklist. I've never done it in 10 years of training ever since I created the system which took me about three years. I rate every day. Every single day I rate every gap up forever for the end of time. I'll always do it. I never, never skip it. That, this rating system, me knowing the points, me saying, this is the one. That allows me to risk $1,000 of my own money or whatever I'm risking that day. That tells me that I can do it. It's okay, Melissa. So it's very, very important to have a system and I don't care how long you've been doing it or how much you're risking even. Any questions? So anyways, focus on that period of time is the right thing to do for the money moves. And again, if you wanna make 20 grand a month, okay, you want to risk between $1,000 and $1,500 a train. And then if you do that, you're gonna make well over 200 grand a year. So I say ease yourself into it. Like I was saying, even $500 a day is $2,500 a week and that's 10 grand a month. Whatever you can afford. There's no set amount. It's whatever the broker tells you that you need to set up the account to actively day trade. And you figure out your position side different. Every trade based on the difference between the entry and the stop, okay? You're looking to turn around your money. If you risk 300 bucks, you're looking to make 300 bucks. That's what you're looking to do ideally. Whether it's an option or whether it's a day trade. But your success or failure has to do with your right mental attitude. You're giving it the most of what you can do, but none of that will work if you don't have a good system. So you must have a good trading system. That is the foundation. The rest is up to you. I can be the support system for you, but you're gonna have to apply the information even if you learn it from me. And really that's following it. And the following it means a structure, okay? You need to know what stocks to trade every day. You need to know when to trade them. You need to know how to make money. And as much as it's great to look at moving averages and supporting resistance and all that stuff as great as it is, you really can't make money constantly going long support and shorting resistance. You really want to go with the momentum. And that's why I'm looking at gaps. I'm going with the momentum. I'm not waiting for it to go against the momentum, before I'm into the momentum. I don't know if that makes any sense. I know we're running out of time here. If I can, I'll bring up a chart at the end of the market. Any questions here as I'm getting to the end of the slides? Just let me know. Shall my system predicts high probability of directional bias for the entire day? Big move in the day? Move between 9, 30 and 10 and precise entries with a good follow through and risk to reward. That's what you learn from me. Your goal every day is one to three. It depends on the target. It depends on the quality of the gap. And also, you're trading it live. I'm calling the trades. I'm telling you the exit, sorry, listen to me. Create a money management plan for yourself. If you want to do this, it's January. You got 12 months left. You got 12 months to get where you want to be, to make the money you want to make, to get the skill level you want to skill. And I say, don't wait. This year has started out with a bang for longs and shorts and even I am in surprise. I'm not surprised the market made new highs the first week of the year. I'm surprised it's continued to even still a little bit. I'm surprised that there were so many good shorts in that period the market's moved up. I mean, this is setting up right here now in January to be a very, very good year to trade. So think about it in a practical way. You want to get the right knowledge. You want to take it seriously. You want to do everything right. There's so many people that email me that have done classes and blown up accounts doing crazy stuff. It's just do not do that, okay? You must have a structure. I use stops for a reason, you know, it would be like impossible for you to blow up an account if you came and traded with me. I only do one trade a day and the worst days, if I take two or three trades, it's still only two or three trades, okay? I do not tend to over trade and if I do, I'm having a bad day and that's three trades. Some places take trades all day long. They do 50 trades a day. No wonder people blow up accounts. You have to have a structure, all right? It is very important. Part of that structure for me is using hard stops. So anyways, I teach a class. It's January 20th and 21st. So I do not know the next class date after that. My schedule has been based on, you know, trading, television, all these things that I've got going on right now. I have the class schedule for January. It's in two weeks. If you want to sign up by this Friday, I'm offering one month free in the trading room as an early bird special, which would be a great time to trade because earning season is gonna start this month in January. Now, earning season is a time when there is a lot of gaps. It's not earning season right now, but it's gonna start in January. In two weeks, I think. So that will be a time where there's lots and lots and lots of trades. Again, I will rate all the things in the morning. If you wanna do more than one, me personally, I focus on one. So it's first quarter earnings that starts mid-January. I have to look up the date when that is, but it's gonna be an exciting time to trade. And some of these things, like I said about Amazon today, I mean, it's hard to imagine where that stock could possibly go on earnings first quarter. So the class is January 20th and 21st, nine to five Eastern time. It's online. It can be anywhere in the world and take it. Class tuition price is $54.99. You must email me to sign up. The registration papers are not on the internet. Excuse me, not on the website. You have to email me. Any questions? I'm gonna bring up a chart real quick. Hold on.