 Swoosh. And so, Melissa's been on our show for a couple of summits now and we're very happy to have her back. She appears on TV as an expert stock market analyst discussing the market stocks, news and world events. So you can see her on Fox News, Fox Business Network and much more. So, Melissa, we're happy to have you with us today. Good morning. Can you hear me? Hi. Good morning. Yes, I can. Great. Let me see if I can share my screen. Okay, let me know if you see the beautiful picture of the Empire State Building. Yes, you can see that. It looks good. Thank you. You gotta go take care of your doggy there. Yeah. All right, you're good to go. He needs a morning snack. Hi everyone. So nice to be here today. What a very interesting time to be trading. I mean, here it is. It's the middle of July. We're halfway through 2022. And look where the market is. I mean, we're down again this morning. Every day you get up, something interesting happens in this market even in the middle of the summer. So it's really been quite an interesting market to trade. And it's been very volatile, but actually volatility means good trading and good opportunity if in fact you know what direction to trade stocks in the market and when to trade them. So if you're interested in more information, you can reach out to me today. We're going to talk about shorting stocks using the system that I used to trade. And you can always email me at melissathestockswish.com. If you have questions after today, you can call me at 929-3200 Gap. As Marissa said, I do appear on television. I'm on TV today at four o'clock on Real America's Voice. Probably talking about inflation because of the number yesterday, but you know, I try to put my TV hits on YouTube as well. And I post when I'm going to be on TV on Twitter. So let's get right into it today. What are we here to talk about? We're here to talk about trading so that you can be successful trading. I think the thing is a lot of people, they trade and they try to trade and they fail and they lose money and then they give up and they keep going at it. Some people have been attempting to successfully trade the market longer than I'm a lie. The most important thing is never give up. You can be successful trading. You really, really can. And when you start to give up or you start to go negative in your head about it, you're actually just working against yourself. So you're really hurting yourself when you're thinking negatively. And I get that sometimes people have bad days. I have a bad day every once in a while, but I get up right back on the horse the next day and go into the following day with a positive attitude because you must, you must because if you quit, you definitely won't make it. So guess what? Don't quit. Most people didn't start trading day one and all of a sudden make money and all of a sudden become successful. People go through a process to get to that next level of success. And sometimes it's taking 10 steps up and two steps back and five steps up and three steps back. But as long as you're moving up and learning along the way and eventually getting to the point where you're making money, you will get there. You will get there. Okay. So anyways, we're going to talk today about shorting. Interesting topic considering the revamp earnings today that are down. JPM is down today. The market's down today. We saw the market down yesterday. We're going to talk about shorting. And again, this has been a great year to short. I've always shorted since I started trading in 2012, which was actually 10 years ago now. I've been shorting. And I actually preferred a short I always did even in a bullish market like we had in 2021. I was shorting. It's not to say I never go long, but I do prefer to short. And I find that a lot of traders actually don't know how to short or they don't know how to short well, or they don't know what short stocks to short or when to even short the market. So if you'd like to make money shorting, you're at the right place today, that's what we're going to talk about. And really shorting can be fun and very profitable. Sometimes traders are scared about shorting or they don't know how to do it. And again, for some reason, most day traders, most active traders prefer to go long. I don't know why. Maybe because the concept of going long buying low and selling high is something that people can wrap their head around. But you can make money shorting. And what do I mean? If you're basically betting that a stock price is going to drop, if the stock is at $10 and you short it and it drops to $9, what are you going to make a dollar a dollar times the number shares that you have if you have 2000 shares, you'd make what $2,000. So shorting can be profitable and it can be fun. And not only that, shorts happen quickly and fast and time is money. Time is money in the overall market. So I mean, and everything that you have to do with your life, you know, I mean, if you could make $1500 a day in five minutes, would you rather that or make $1500 a day in eight hours of work? Well, the answer is easy. Okay. So the fastest you can make the money, the fastest that you can get in and get out, I think the better off you're going to be. And again, with the volatility in the market, when you're in and out quick, which we trade in the morning, I'm in and out down quick in the morning in the first half hour of the day, when you're in fast and out fast, you don't have to worry about economic reports in the afternoon. You do not have to worry about the Fed. You don't have to worry about all these things that could affect positions or trades that you're in later in the day. Okay. So you never know what's going to happen. Nobody knows what's going to happen. Did anybody think there'd be a war with Ukraine and Russia this year? No. If you rewind 12 months ago, no one would have said that. Let alone the prices of gas and oil and food and everything else that we're paying right now. I'm going to quickly show you here again how profitable shorting can be. I have the whole entire year's results so far year to date, which is about six and a half months into the year. I had to squish to get in. Actually, it didn't even show yesterday's. It's down there somewhere. I just wish to get in the results on this. I'm going to have to start a second slide. This is the entire year, including yesterday we did Dow. Dow was earnings. Dow was a short. We made money in that it was a short. It was Delta Airlines profit so far year to date with an average of $2,800 per trade risk. These are equity trades. These are day trades. We're in and out fast in the morning with $391,374 year to date. Now, obviously, I'm not running my trading room this morning. My assistant is because I'm here with you. So you should feel very special today because I'm taking the time to be with you today from 9 to 10. I don't know what my assistant is going to do this morning. I do know the market is very likely to fall. I don't know what time. But I always look to the short side first. Always, always, always. And making money in the market can really be magical. Why? Because you can make thousands of dollars quickly. Thousands. I mean, again, where can you make four grand, five grand, three grand in five minutes, 10 minutes, 15 minutes? I mean, there's nothing else that you can think of that you can do. Even if you were a surgeon, you know, you're not working five minutes a day, 15 minutes a day as a surgeon. You may earn a lot of income, but you're working very, very hard to make that money and very, very long hours as well. And you have to go to school for a long time, 12, 13 years and do residency as well. And you may have a million dollars in educational bills. So even though it takes time to learn, even though there's a class to learn to trade the market, it is very profitable if you learn how to do it. And it almost is like magic when we get the trades like we got yesterday and now. We were in and out quick and fast. Boom. And done. So I think it's very important if you're here today and if you're spending the whole week actually here listening to the people, you should get clear with your own financial goals. Clear, clear, clear with your goals as far as what you're doing. Because if you don't know how much money you want to make or or really how much money you want to even risk with your trading, it's really going to screw you up because you'll you'll hold for the piggy target when you maybe had double your goal in, you know, or you'll get out too quick in something even though the trade was fine. Say I want to make this much a week. You can break it down into daily if you want. You can. But I think looking at it weekly, monthly, yearly, it's a lot easier for people to grasp on times because sometimes people make the risk of $1,000 in a trade and make 500 bucks and say, oh, that wasn't enough. And they won't get out and they'll try to go against them and they'll give back the profit of the 500 and then all of a sudden they'll be down 1,000. That's silly. Okay. It's chucking it out. That's how you make money in the market. But you should know what your goals are and how much money you want to make. And let's get back to what I was talking about shorting, shorting and selling pressure. Okay. So when you are looking to short, what are you doing? What happens in a short? You're getting pressure. You can't see my hands right now in my face, but it's pressure that's coming in. Pushing, pushing, pushing, pushing the stock price to go down. We've seen that this year in the market. We saw that earlier in the week in Twitter. In fact, I have that chart up in here. We had a beautiful, beautiful couple trades in Twitter. This week they were shorts and putts and options. It's people are dumping their positions, selling and that puts pressure on the stock. And then of course you get the shorts. Okay. Yes, it's panic. It's panic and it's pressure. Emergency. Oh my God. What are we going to do? This is falling. What should we get out? What do we do? We're down money. We're not up as much. Okay. That's what's happening in the market over all this year. From January again, the QQs did not make a brand new all-time high at all this year. The spy did at the beginning of the year, the first day of the year and fell ever since. So people are like, oh my gosh, what do I do? It's selling pressure that's coming into the market and people are then forced, active participants, people that are in positions, retirement positions, swing trades, you know, short term investments, whatever. People are feeling forced with the pressure that's on the market for many, many reasons to make a decision about what to do with yourself. Again, I don't look at fundamentals. I discuss them on TV. If the fundamentals help you make a decision to trade, fine. But every decision that I make is based on technical analysis, advanced technical analysis, which is what my system is based on. But the fundamentals, if they help you, fine, but you can't trade based on fundamentals alone. Okay. In fact, we rally in 2021 and have very bullish year and the fundamentals were crap. They really were. It was a recovery from 2020. Was it like new jobs are being made or anything like that? Even now, there are jobs that are being added back since pre COVID. So, you know, you've got to trade actually looking at the price action and looking at the chart. So why do I like to short? I did say this earlier because they happen fast, they happen quick. And we're usually done by the day by 10 o'clock, 1015. But if you're going to short, you need a system to pick the best short. And you can't short everything. You just can't. All right. You need a system that produces results in order to make money trading, doing anything at all. Okay. Particularly, particularly in this type of market, which I am going to call volatile. I absolutely am because nobody knows what we're going to be in 30 days from now or 60 days from now. But guess what? The easiest thing about day trading and active trading as much as people say, oh my God, this is so hard. I don't know what to do. No, it's a lot easier for me to see that Dow is going to fall in five minutes, 10 minutes, 15 minutes. Then it is for me to tell you where Dow is going to be by December 2nd. Okay. So actually a volatile market where you have the speedy moons and they go quickly and you grab the money and you're out. That's actually, I find it pretty easy to trade. Okay. But people are getting tripped up. People are getting tripped up because they don't know what to do. Should we go along? Is this the low? Should we buy the dip? Is this the end of the drop? Whatever. Okay. Very hard to predict the high of the market. Very hard to predict the low of the market or any stock. You should not be doing that. Your goal is your one goal. Every single day when you get up is to make money. Okay. Anyways, my system and what we're going to talk about today looks for quality gas. So what is the gap? This is a chart of the market only through a couple of days ago. This is not through this morning just so you know. But this is a chart of the spy. The spy is the ETF for the S&P and yes we do trade it. I mean it's kind of expensive now actually. Consider where we were a couple of years ago. But here is going back to June. What is a gap? Okay. A gap is a difference between the clothes and the open. So these are candlesticks for Japanese candlesticks. So the close is a four o'clock eastern time to every single solitary day. And at 9.30 in the US stock market opens. I live in Manhattan. I live in New York. I live in eastern time zone. If you're in a different time zone you can still trade the US market even if you're outside of the US. But you have to be aware when the market closes and opens. So it's four o'clock eastern 9.30 AM we open. This was a gap down fell. Okay. We were in shorts in this with a good position in this. But anyways, here's the price that it closed. Here's the price that it opened. So it opened down. This is a gap down fell. Then we got another one. Snuggles a bug. This one closed here. Take it over. Got the drop open lower fell. Okay. And then we fell fell fell. This was the middle of June rallied again. We'll see where we go today by the close and tomorrow. We got a lot of data out tomorrow morning too that could affect the market. But overall a gap is a difference in the clothes and the open. You also have bullish gaps. We're not talking about those today. But I will show you what one is. This was a gap up. Actually, let's go back over here. The market closed here at 4 o'clock opened up a 9.30 at a higher price. So this was a gap up. Okay. Theoretically, you could have gone long this. And if you got out by the end of the day, you made money. I did not go on this. I did not. But again, theoretically, you could have done a long in here and got out with profit if you got out by the close. But you cannot short every down gap and you can't go long every up gap. And again, this is why people find gaps confusing too. This was a gap down, reversed. Market closed here gap down, rally. Green bar depicts buying, red bar depicts selling. Okay. So what is a gap? A gap is a break in continuity, interruption in hiatus. A gap is a divergence, a difference, a disparity. What is a gap? A stock gap. So in the opening price today is different from the closing price of the previous days trading. Simple. Simple. A gap is a break in the price action from one day to the next. Very easy. And they're easy to see. What people find difficult about gaps is they don't know how to trade them. Okay. People think gap fills work. They do not. They do not consistently. What do I mean? Sometimes a gap fill will work. Not consistently to play to make money and therefore, no one should be doing them. So the reality is that I created a system to qualify the gaps that I'm looking for. And again, I prefer to short. I'm looking for bearish gaps and then I'm looking to see if they're going to follow through in the gap down with the selling too short. Not everyone that our rates does. Okay. You've got to find the good ones. And again, we're looking for ones with momentum. Okay. Momentum means big movement and we're going to talk about that too. Again, I just mentioned Twitter. So this was last week. Okay. Twitter gap down here. This was Thursday closed at four o'clock open Friday morning down. I called puts really early Friday morning but she couldn't do them into the open. And we also shorted this as a day trade here Friday. That was the eight. Then we had the big news Friday night. I don't know if anyone noticed it or saw it. I did. I saw this live. We crashed in Twitter. Fell off a planet Friday night. Saturday markets closed, Sunday markets closed. Monday morning we were here. And then Twitter open and fell and we had a beautiful follow through in this. Now we'll discuss a few options in here but one of the advantageous things about trading options is you have a fixed risk overnight. You cannot lose more than you have at risk in the number of contracts in an option number one. And number two, you can capture overnight moves. You can capture overnight moves and that is what we did with this Twitter. Everyone made money in it that was in the trade Friday even though it was up it was only up a little. You wouldn't have gotten out and then poof and it fell and that was Monday. Okay. The pre-market is when the volume is going on. That is where the gap is being created. I do not trade the pre-market. I do not trade the pre-market. Again, that's like the wild, wild west. I'm doing my analyzing and determining what I want to trade in the pre-market, okay? The importance of a system is that it is a map for you to say I'm going to do this today or I'm not going to do this today or I'm not going to do anything today. It is a map that tells you where to go. Like if you were going overseas or going to a foreign country and you're like, I've never been here before or I don't even know where the road is or the next town, I need a map. Okay. So you follow the map or you have a GPS in your car that's following the map. You don't want to get lost. Many people start their trading day every morning and don't even know what they're going to trade or what direction they're going to trade anything at all at 9.30 and they make their decision at 10, 10.30 or sometime later. That's a crap shoot. That's a 50, 50. That's what most people do and they lose and then you wonder why. You need a plan of action before the open even happens. You're either doing nothing or you're doing something. We actually did nothing on, what was yesterday? It was Wednesday, Tuesday. Tuesday we did nothing. There wasn't anything good to do. No gaps rated for my criteria. That's okay. It's better than losing. But the busy season starts today for trading because earnings season started today but either way, you have to have a map. Having a system is the roadmap. So my system is called the golden gap. It's a trading system that looks at 26 points to examine and rate the stock that's gapping. We're focusing on gapping downs most of the time. This is how you can find which gap is the best gap to trade each day and I like to focus on shorts. Again, for speed. The idea of panic. The idea that fast trades come in and out. They're the best trades in any market in my opinion and really in this market, I think it is also critical. There are people that are up in trades and if they don't get out then guess what? They're gonna lose. Okay. So you must take profits also in trades when you're up. You can't forget that either. This is again, active trading. This is a long-term investing. Okay. That is not what an active trader is doing. But again, shorting is like a pressure cooker. It's like a fire. It's an emergency. You have to call the fireman, put it out. It's falling. Quick, quick, quick. We have to make a decision soon. Get that fire out. That's what it feels like. That's what it feels like when you're playing it. That's what it feels like when you're watching it. When you're only watching the options trade, when you're watching the candlesticks. And again, if you're on the right side of it, you can beat up a lot of money like that. Whether it's an option or a day trade, it doesn't matter. And so, again, it's finding the right ones all in the morning early when I'm doing the ratings in the pre-market to determine what to do. So we're gonna go over one week of trade results. This was the last week in June. I could have done this past week. I just didn't have time to get this week's trades in. It was a very busy week for me because, of course, everybody wants to talk about the inflation number and everybody on TV wants my opinion on the economy. Listen, I wanna give good news to people, but what do you want me to do? Be truthful or lie to you? So I'm truthful, I'm an honest person. I said, listen, things could go up. Rates or could go up. Things could get more expensive. Yes, that's the reality. So you can be negative, you can harp on it, or you can say, you know what? I'm gonna pull up my bootstraps. I don't wanna change my lifestyle. And I'm gonna find another way to make money for some extra income coming in. And trading is that. While it's an investment to learn how to trade, while it's an investment because you have to put money in the trading account because you have to risk money to make it, in the long haul it will pay off. And I know there's people that are probably like, gosh, I wish I would have done this in January. Wish I would have learned how to trade right a year ago. Well, hindsight's 2020. It's never too late to get started. We could be in this period of a high inflation environment. Some people say we're in a recession already. We could be into this until the next presidential election in the United States. This could go into 2024, 2025, okay? For people like the Fed that are saying that they're gonna pull inflation levels down to 2% by raising rates by the end of the year, it's a fantasy. It's a fantasy. Like I don't even know if they even believe what they're saying anymore at this point. Anyways, this was one week's worth of profits and trades. Here, let me go back to the slide. 10,794 for one week of trades. 627 was a Monday. What did we do? We did the same. Again, this was 627. So we were here. 627, boop. See it? So we shorted it at 2310. Share quantity for an advanced trader risk 7,000 shares, 2,800 risk, 2275 profit, 2450. So here is the gap. Stack close your gap down, boom. Shorted it, got in, got out, boom. And I always get this question. I get this question a lot. I teach the targets and the exit into the class. I did not always get a low of the day exit in short. It's not an option or anything else, but the reality is that's not your, shouldn't be your goal. You are trying to do the best you can to make money. It's very hard to get the lowest, lowest exit in a short. Just like people trying to pick the bottom right now in the market. I mean, that shouldn't even be your goal. Your goal is to make money on a regular basis. That's what we should be focused on. This was a nice trade, but it did continue. We did not do an option in this. And again, to make $2,400, $2,450, in and out quickly in the morning is great, okay? So anyways, this is the one minute, okay? Remember, red bars are selling, green bars are buying. This was the 27th, here we are. We got in, got the drop, got out, done. Now you wanna see here where it came down. It looks like it ended up coming all the way down at one point to 2232, 2232. Someone's asking me about how much do you have to have in your trading account? Well, it depends where you have a trading account. If you have a trading account in a retail broker, then you're gonna have four to one margin. You have a minimum requirement of 25,000 to have a margin account. So you have to have at least 25,000. You'd have 100 grand in buying power at what's called margin. You can take the position that'll equate for that. If that's all you got, that's the minimum. So you should really need to have more than 25,000 because if you go under it by one penny, at 249999, they're gonna shut you off. If you go to a prop broker and there's a million out there, you must do your due diligence to go to those and find out about them. You can trade with more leverage and deposit less money. Some places allow 5,000, some places allow 2,500, and you can get 10 to one margin. I am not a broker, you have to do your own due diligence to check places out, but there are places that people can trade. And again, your margin will depend on where you trade. And you have to have the account set up as a margin account. You must risk what you can afford. What if you took half its position? Okay, then you made 1,200 bucks. That's a good trade. What if you took only 100 shares? Okay, that was money. It's the whole idea of making money when many people are in fact losing. All right? And again, I showed the stats in the beginning so you could see we have more winners than losers. That's how you're moving ahead. That's how you're making money. Not every trade that I take works, okay? In fact, here was a loser. Tuesday, the 28th, we did Nike first trade stock. We did it again. This was a little wild one here. This was earnings too. Stock closed to your gap down. Closed up here the night before. Snub as a bug right here. Opened down. We were in it. We shorted it, then it spiked up and we got stopped. It's okay to get stopped. You're better off getting stopped. Look where it went. If I ain't on the stop in, what if it wouldn't have reset up again? It did. I'll show you the trade that worked in a minute. It went up to 114 and change. And the entry was 107.40. So it would have been $7 times this. That's why you gotta put in a stop. I use stops. I talk about stops in the class. You gotta do it. So we lost in the first trade in this but it was because of the ugly tail. Then it reset up. I stayed on top of it. I believed in it. I believed in it. And I believed in the gap. Here was the spike in the one minute. I just wanna show you. So we got in here. We had the stop. And then it stopped us out. And then it went poof. And then it went like that. But we were lucky we got stopped. Do not do the same trades in the day trading room as in the options newsletter. I have day trades, which I do in the day trading room that I call live. The options newsletter is a subscription service that is separate. And those trades are emailed to you daily. Do I do the same trades both in the room and the letter? No. Some trades I do in the options letter I do not do in the room. They don't make sense to do as day trades or better options. And some things like save. I don't do as an option. And we do it in the room. It's different subscription services. I think people are so hyped up on the amount of money that they need to trade. Make money with the money you can afford to risk and do well. If you had a million dollars and you didn't know how to trade, you wouldn't be any better off. You'd lose it. You'd lose it all. And there are people that are trading big accounts that are losing money that don't know what to do. I just story from another guy that didn't know how to trade and he lost 250 grand last year. Now he has no money to train and he has no money to sign up for my class. Well, I don't know why he would lose 250,000 dollars in a year. He didn't know how to train. This is, you know, it doesn't matter how much money you had. It matters how you know what to do. You need to know what to do. You must whether you have a big account or a small account, all right? Now here was the one that worked. 10820 shares was 2,700. Risk was 2,970. Exit again was 106.55. 4455. Here is the enter where we did it and we got the drop. But I really want to show you where this went. Again, I did not, I did not have a low of the day exit in this. You see where this went? This was around three o'clock. It was like 102.85. I thought it was a good trade but we got out of it again. Oops, let me go back. 106.55. We made 4,500 some dollars on the second one. Here, we got out about here. But it was brought me around for the day from the first stop was positive but I could have made another $3 plus on it. But again, I would have had to be in it all day. I don't like to necessarily do that all the time. No, I cannot show you my system at the open this morning. No, one, it's two minutes for the open. Two, my class is 14 hours. I'm gonna live 14 hours today. Marissa would be very upset with me if I talk for 14 hours. And three, you have to pay for my information. You have to pay for my class. You have to pay for the information to learn in my time. That's what the class is that I teach once a month. And I couldn't even myself rate a gap in two minutes. I looked at it this morning but at the time since I've been here talking to you, I'm sure the price of the market open has changed. There were two significant earnings this morning. One was JPM and one was Morgan Stanley. And so there were two significant bank earnings this morning and we were down. And you have to watch what's happening today. I wasn't planning on trading today so I didn't rate those gaps. Do I think overall the market's lower at some point, whether today or tomorrow, Monday? Yes, do I know if I would short the market as a day trade today? I don't know because I was here. I didn't rate the market this morning and I've been talking since 9 a.m. Okay, so that was a good one. All right, let's talk about the QQQs. We event on did so that was Monday, that was Tuesday, that was Wednesday. So we did save, we did Nike, one stop, one retake, Wednesday we did the QQs, entry was 282.80, shares was 1,700, risk was 2,890, your risk should be the same. If you can risk 500, 500, 500, 500 fine or 2,800, whatever your risk is, it should be equal or close to equal. Eggs, it was 2,8148 and the profit was 2,244. So let's look at this day, it was 629 here. So again, this was a nice one that fell, closed here. This is the QQs, gap down, we got it. We got the drop in and out, done, boom. This was right before the holiday, right before July 4th, we did it, got out, boom. This was a gap down to the market. We closed up here and we opened down here and we fell. Let's look at the one minute. What day was that again, the 29th I said. Oh, here, here it is. We got in, got the drop, got out. This is perfect. Look how it reversed later in the day. Again, the only time I'm holding something all day, to be honest with you, is if it didn't go. And a minute and I'm still at the stop-in and I didn't get stopped out and I'm either breaking even up or down a little and it didn't stop out and I'm waiting for the trade to go. That's the only time I'm gonna be in something all day. It's really not what I like to do. 30th to 30th, we did the QQs again. It's so funny, like the market, we've been doing the market a million times. Entry was 2,8055, again, 1,700 shares, risk was 2,975, exit at 2,7790. That's a nice trade. That's a good trade, $1.50, two bucks, you're in, you're out. 4,505 is a profit, again, risk half. Take 800 shares, 850, whatever. It's still money, it's still profit. So this was then, what was the day of this? Oh, it was the 30th. So here was this, we got in and got out. And again, fast ones. And then July 1st, I closed the room for the July 4th holiday. Took a long weekend, market was closed Monday and we didn't do anything on Friday. And again, when you work for yourself, you can do that. So that was one week with an average risk of 2,800. Trading results were 10,794 and one day we didn't do anything. And we had one stop and then the rest of the trades worked, so this is pretty much an average week. There are some weeks where every trade works. So you don't know, but absolutely not every trade that I take over the course of the year works. That's why you stop. So again, Nike was an example because if you end up stopping, you could have lost $7 until it came back down again. What if it hadn't, you never know. So stops are like the insurance, they protect you. They protect you. I'm seeing somebody is saying about asking a question. I can see a question. Someone's saying something about the QQQs. I don't know if you have a question. That's all I see. Anyways, how do you get the kind of results that I'm getting? I've been doing this, like I said, for a long time and I created my own system myself. I started trading in 2008. I started the business until 2012. So I mean, I've been teaching people for 10 years. I've been trading for 14, going on 15 and I've only done nothing but gaps. And the fact that I created my own system is I think one of the reasons I'm very good at it. But it's all about high probability because nothing is 100%, nothing, nothing, nothing. Look at the Elon Musk deal with Twitter. Everyone's like, oh my God, he's gonna buy it. Everything's do, everyone went long. When the news came out and the stock price jumped up to $50 some dollars and all of a sudden, oh, now it's unraveling. Now, oh, that wasn't 100%. Now no one knows. It's a 50-50 crapshoot. Now the courts are gonna decide, no one knows. You know what I mean? So again, people that have gone long that stock since we shorted it the last two days, that's kind of ridiculous. That's a ridiculous if people aren't that long. No one really knows what is gonna happen with that outcome. And never bet against Elon Musk. He's one of the richest people in the world. And whether or not it actually works in his favor or not, it'll be very interesting to watch that play out. And it's probably gonna go on for a year. Could be even be longer. So I'm looking for high probability. That's all that I can do. There's nothing that's 100%. I want the highest chance of favor and that's why I'm only doing one thing a day if I can do it like we did down yesterday. One thing, get in, get out, make money, that's it. The probabilities lessen the more trades you take. If you wanna trade all day from 9.30 to 4.00, guess what? You're probably gonna make money in the morning and give it back. Your probability goes down the more trades you take. Less is more in trading. Risk more money, take bigger positions if you wanna make more. Again, do options and the day trades. So I took that a high probability of direction of bias for the entire day. Big moves in the day, early confirmation of my bias and the move in precise entries with follow through. And again, I'm looking for high quality. I want something to work. And again, this was a great gap. I was a little surprised actually Friday that this didn't move bigger, but it waited. They waited until after the close on Friday very sneakily and then came out with the news that the deal was over and he was canceling it but we were already shorted. My expectation was that this would happen on Friday in the day, it didn't. It happened overnight, we still got it. We still got it, but there it was. Well, I do putts too. A putt is a short, a putt is an option. We will talk about a couple options here in a minute. So you can day trade short, which I do. You can also do my system as an option. A putt is a short, okay? Where you're not taking out a margin. You do not need to, you do not need to have a margin account to do options. Now, if you want to, you can. You can get in and out and be more nimble but you can have a cash account as an options account and you can open up an options account with as little as $2,000 but you can't risk the whole amount in a trade. Do I use hard stuff for options? Or do I watch a trade to stop manually? I don't have any stops for options. I don't kill trades in the middle of them. Either I win or lose in the options. And when I lose, I lose, the whole thing goes bust. As far as the risk, if you wanna risk a thousand, that's your stop, that's your stop. Do I hold overnight? Options, yes, not day trades. What's the risk to reward I aim for? As far as the day trades, I'm looking for one to one. As far as the options, I think 50% is good but some options I take like that Twitter are way more than 50% why I'm in it. It gaps in my direction overnight and it goes in my direction pretty big and then I make way more than 100% or way more than 200% or way more than 300% cause I'm in it and it's gapping down in my direction. If you wanna do one of the other ETFs, you can. Everything's risky when you trade. There's no less risky. You can lose money when you trade. There's no less risky or more risky. I am young, thank you. All right, let's go over here. The rating system. The rating system is a checklist. One, two, three, four, five, do it. You learn it, you do it. This is like when you would go on an airplane and you're a pilot, you have a checklist. I mean, he's responsible for people and he also has to make sure that he's checking everything. He wants the flight to go safely. He's being paid to do a very good job. He's experienced, he's passed the tests. He's gotta go through the checklist. He can't just skip the checklist because he's been doing this a long time. No, he has a checklist that he has to go through and check that the equipment's working and this thing and that thing, okay? It's the same thing in anything. We were talking earlier about surgeons. It's the same thing in the medical field. You have a checklist to go through with the patient before you take him into surgery. This is what we're gonna do, okay? But I'm looking for institutional money in a chart in the gap. And that is the big footprints of institutional money, head fudge, big professional traders. Institutional money is big money in big positions and stocks in the market. Large professional traders, hedge funds, investment banks, all take positions and stocks in the market. You're seeing that a lot this year. What do I mean? They're selling, actually. They're not buying. That is very clear to me. If you are with these big position players, it will be a lot easier for you to profit versus going against them. So if you've been going along this market this year, you've been losing because institutional money isn't buying the market. You can say they're not because of this, inflation, recession, oil prices war. They're not supporting the market. Otherwise, guess what? We'd be near the highs. We'd be at the highs. We'd be over the highs. We would have made a new high. You have to learn how to trade with institutional money. They are not the enemy. There was a big scuttle, but whenever that whole Reddit thing came out with that stock GME, I don't even remember, was that 2020, 2021 now so long ago? And people were poo-pooing hedge funds. Actually, if you learn how to trade with hedge funds, you're gonna fare a lot better off, okay? Most of the time, 99.9999% of the time, you're not gonna be able to take positions and make money against them. Well, it's always a day trade in the day trading room. The live room is day training. The options newsletter is the option. That's how you know, John. If you would sign up for the options newsletter subscription, you're getting the trade emailed to you. Here, we're gonna go over them shortly. I'm just gonna talk about the market. Okay, let's talk about momentum. Oh yeah, I was talking about the market this year. Institutional money is selling into this market. This is from just April. This is a snapshot just of the last three months. April, sell-off, May, sell-off, June, sell-off. Here we are. So again, if institutional money, big traders funds wanted to buy this market, they would. In fact, you know, I know that some funds are just not even trading. Funds can short, by the way, professional traders can short, but some are not shorting and they're not going long. They're sitting on the sidelines. So people are also sitting on the sidelines with cash. They're waiting to see what is going to happen with what, with earnings season, with earnings season, with oil prices, you know. And so, and with rates, okay? We have a big number coming up at the end of July with the next rate adjustment. I mean, that's what everyone's been talking about the last 24 hours with that inflation number. Are they gonna raise rates now at one point instead of 75 basis points? In my personal opinion, that's a mistake. It will hurt the consumer to raise rates, but they have not made any good decisions, in my opinion, for a long time, the Fed. Either way, as a trader, you can make money in any environment. You can make money when the market's selling off. You can make money when the market's rallying. People have had a hard time this year because they don't know how to short. That's why. Get on the right side of things and get the right picks. Momentum means you're in it for the moment. You get the move, you get it out. You make the money, you get out. I call it the money move. You're in, you're out. In an option, it could be a day or two. It could be a week. In a day trade, it could be five minutes. It could be an hour. That's still quick. It's all quick. Momentum means movement and big movement. Big movement that comes. And it doesn't matter if you have a large account or a big account. Either way, it's a big move. Okay? I was just gonna say what I was gonna say. In center buying, institutional buying, you can see what's happening in a chart in something. There's nothing that's not in the chart. You can read it right in the chart. Okay? You can see the volumes there, the price actions there. It's all there. If we have time at the end here to talk before I'm done here, I will pull up the live market if we have time here. Anyways, this was another one we did with Momentum. This was UAL. It was a little while ago at the beginning of June. It was a month ago. Stop, close your gap down, fell. We had a nice trade in this, a beautiful trade in this. This is what I mean by momentum. It's a big move. It's a fast move. It's lots of volume. Boom. This again was up in here in the 40s. The flow down here was in the 36s. This is a sell-off. You would want to be short. You could have done an option if you wanted to, or you did the day trade. And again, this is in the moment. Whether or not this goes to $52 by September or whatever, I don't care. In that moment, on that day, that was a short. You do it, you get out. Done. Okay? Anyways, momentum traders take positions in stocks in anticipation that the stock will have an explosive move. That's what you want. That's how you're going to make money. You've got to be in the direction right, but you always have to be in the direction right. This enormous move is in one direction, and it happens fast, ideally. Momentum trading is one of the most profitable and fastest ways to make money trading. Momentum trading in shorts is the best because they happen to quickest. And again, Twitter was one of those ones on Monday this week that was so amazing. It was a huge trade because it worked good on the day. It was a huge option because we were in it before it even gap down Monday morning. I did not anticipate Musk would kill the deal at five o'clock or whatever on Friday night. He did. I raided the gap on Friday, looking at the price action. That's it. And that, again, is the magic of the market. But again, fast is good for shorts. Fast is good for making money. And active trading is about consistently booking money. I don't know why people have this buy and hold thing. You want to buy and hold, look at, you know, you can look at your IRA and take positions and stocks that you like that are strong right now. If you're young and you want to invest in something for the long term, the market will eventually come back. But to say when is like asking me, well, when are we going to get snow? Well, it's 82 degrees today right now in New York City. I have no idea when we're getting the next snow. It's not today. It's not tomorrow. And it's not anytime soon. Okay. So worry about what you've got going on right now. It's the same thing where people say, well, I really want to trade but I need to have at least $50,000. I need to risk at least this much money. No, if you have enough money to trade and you can learn what to do, you can take that money and grow it. And then you can have a bigger account. Then you can have your risk and you can take that money and you can grow it. I've seen people do it, people that are with me, that are trading with me. And again, summer trading is good for over nights to capture the moves in the market and stocks and options. We've gotten a lot of huge options trades this year because we're in things, then they go overnight. And it is safer in my opinion than doing something where you are at risk with a full position, like a cash position and swing trade. You're at risk no matter what. Even in an option, you're at risk but you're only at risk of what you have at risk in a swing trade. The whole position is at risk it could all go bust or you could even owe the broker money. That has happened to people this year. I've heard stories like I told you about the other guy because people really don't know what they're doing. And they've been buying every dip. And I don't know why. Anyways, let's talk about a couple options here quick at the end. So we did target. Let's look at the trade. So target 155 strikes. We did the puts that I called here and here on 218 on 69. The expiration date was 617. I usually give myself a week of a lease of a cushion. It was a put, a put is a short. Someone was saying, do you do other things? A put, a put is a short. If you're on the newsletter, you got this. You got it at 218 in the afternoon. Cost was 260. This was kind of cheap. 30 contracts and advanced trader risk of 7,800. Sold at 13 profit, 31,200. Return investment was 400%. Let's take a look at the chart. So 69, the 155s was here. It may not even look like much, but I got the timing beautiful there. And here's the drop. Boom. So this is just another way of doing a trade, okay? You could have taken one contract and risk $260. And you still could have had a 400% return investment. I also want to point out, because everybody always says, do, do, do, do, do. This was still not the lower the day exit. I really don't hold trades into the last day if I'm up. It just doesn't make sense to me. I will if I'm down in the case that it might flip for me. This was worth the most the last day. I didn't hold it till here. Look where it was. It was under 140. So that was a good one. I'm bad, but you made a good sense. Again, take the amount of risk that you can afford, Glenn. I just said you could take one contract and spend $260. You could take two. You could take four. You could have risked $1,000 in this trade. And that's not a huge position. It's a good amount. You could have taken four contracts roughly, would have been a little over a thousand bucks. And you could have made basically $4,000. That's a good trade in a couple of days. Okay. So there's all kinds of people out there with all kinds of size accounts. You do what works for you. And if you have questions, you can ask me, what do you think, Melissa? But again, trading isn't gambling. Trading isn't gambling. You have to know what to do. It's about high probability. Using a good system. How do I make the picks like Target? How do I make the picks like Twitter? I'm looking at a quality system. It's 26 points. It's enormous amount of detail that I'm looking at each day. If you're new, it may take you five to 10 minutes. I can do it faster, but to be honest, I don't rush it in the morning. I like to take my time. It's looking at the price action of the gap and using technical analysis at an advanced level to pinpoint which stock to trade that day and in which direction. Then we also did the overall market. Of course, we've done this a lot this year, to be honest with you. I have the results for the day trades at the beginning back, if you look in here. My P&L, as far as my win ratio, if you're asking the win rate, averages somewhere between 70 and 80% in any given week. There's been some weeks this year we've had no losers, but overall, if you look at the whole year, by the end of this year, there'll probably be a between 70 and 80. Depends where we are for both the options and the day trades. I'm risking more in my options, so I did not put those stats, but I do have a YouTube with the current stats up through June for both the day trades and the options year to date. If you wanna go look at it on my YouTube channel, if you wanna subscribe, so far year to date for the options where it's 79% win ratio, which is outstanding. That means every 10 trades I call, you figure eight are gonna win and two we're gonna lose. No, I hold my losers till the end. They could go bust. Actually, I'm in two things right now. I'm in a bunch of things. I'm in a bunch of things out till next week, but I'm also in two things out till Friday that I may lose in them completely. We'll see. Let's see. Spy June 9th, 575, we did the 409s. 15 contracts, risk 86.25, sold at 36. Profit was $45,375 for a higher risk. I risk more in my options because I like to do expensive things like Google. We were doing Amazon now. That's not expensive, but it used to be and Tesla is still a little pricey. A little pricey. Some of those could be 30 bucks for one and I like to trade that too. Return of investment was 526% and here let's go look at the June 9th. Now I call this at 946, the 409s, June 9th. Here, called the 409s. You can see what it did. And again, I wanna point out the expiration date you could have made the most. So this was actually 50 points through the strike on the last day. Like this was like probably 700% or something in the last day. But this was a great call. It didn't matter where you got out of it, quite frankly, you made a lot of money. I did show a beginner risk here for people. So two contracts with a new risk of 1150. You could have made six grand with two contracts. Those of you that are asking about the risk, $1,150 in and out of the Spy 409s. But I call this is not the low of the day exit. This is into the first drop in the first three days. You could have made six grand, risking 1150. The idea of options in capturing meals overnight is exactly that. If you're in it in the wrong direction, you will lose. This was here. This was this, boom, get the drop out, done. And that's a lot of money with someone that's risking $1,000. That's a lot of money with someone with a small account. But again, time is money, you have to spend it wisely. And I think you need to spend it on an education too. Because whether the big account or small account, if you don't know what to do, you're gonna lose money in the market. You can't give all your harder money away to the market in mistakes, batting it out. You have to invest in your own learning. You have to invest in your own education. It will pay off in the end. It's an investment in yourself and your own well-being. And you have to be different with when you look at things. If you're trading with most traders, know them most lose. Many people are buying the dips this year and it isn't working and they're losing. So invest in yourself as a trader. If you wanna come learn my class, I teach you once a month. The class for July is July 23rd and 24th, which is not this weekend, next weekend. It is a complete system that will teach you how to rate gaps, to play bearish gaps, and the entries and everything else. So I don't have anything back in the class. It is full on, full on class. This is a 26 point professional bearish gap trading system. The purpose of the system is to help you evaluate which gap to trade each morning. Since there are so many stocks each day the gap using a system is significant to your success. And again, I developed the system myself for nobody but myself, which is probably one of the reasons why it's so good. The class is online, it's two days. And again, if you wanna sign up, you have to email me to sign up. It's a 23rd and 24th, nine to five class tuition is 69.99. Class is online, email me if you wanna register. You can get in and start trading before the week. Again, it's been a good period here. I am doing a Christmas in July special is through tomorrow only. I've been running it for the last couple of days through the 15th. If you sign up by tomorrow, July 15th for the class on the 23rd and 24th, you'll receive the trading room through the end of the year free, the options newsletter subscription through the end of the year free and two free one hour mentoring sessions with me on Skype, which we can do after the class if you have questions. And again, that's included with the price of the course right now. I think we have, I think we have a few minutes. Do I have two minutes to pull up? Cause I now gotta take this on and take this off to get the charts out. Do I have a minute here to just look at the market for people that are out?