 We'll click on Archived Trader Education Webinars. Next up on the line, we have Melissa Armo. She's based in New York. Melissa is an international businesswoman who empowers people all over the world to trade the market successfully. By studying and researching the industry, Melissa has found that she is drawn to a trading strategy that focuses on stocks that gap, and she's created a system. As she found success with that system, Melissa realized that she could help others attain their dreams by sharing her system with them. Her program teaches that all it takes is studying and concentration even for a few hours a day to begin a new income stream and lifestyle. Today, Melissa will discuss the Golden Gap 26-Point Rating System, unmuted. Melissa, if you are all set, I'll go ahead and give you screen control. Testing 1-2, let me know if everybody can hear me. We can hear you just great. Looks perfect. Exclusive, I really appreciate the opportunity to be here today. Gorgeous afternoon here in New York City. And again, my name is Melissa Armo. I own my own company. It's called the Stockswish LLC. And I actually do have an international business. It's so ironic because when I started trading, obviously I live in the United States. But the funny thing is a lot of people internationally love to trade the US market. Why? Because there's a lot of movement and volatility in stocks in the market. So 50% of my clients and people in my trading room and that have taken my class actually are not in the US. So it doesn't matter where you live, you can trade the US market. And specifically today, we're gonna talk about gap trading. Why? Because I love gaps. And it's the only strategy that I trade. And a lot of people find day trading. And this is, again, what I do. A lot of people find day trading challenging. But it's actually not if you're very, very focused, like honed in like a sniper, that you know what to look for every day to do it. So we're gonna talk about today, gap trading made easy. And if we have time, we'll have to see at the end. I actually did wanna bring up my live charts and talk about the market. And the market's open right now. So I don't have a lot of time. I'm hoping that we do. Even if I have like five, 10 minutes to talk about the market, because really that was the whole thing about the day was the market of the topic of the entire day today. And I thought, gosh, you know, I really would love to talk about it. So hopefully we'll get through this. I will look at everybody's questions towards the end and then I really would like to talk about the market. The funny thing is, I just heard the end of the last presentation by Robert. Unfortunately, I didn't get to hear his whole presentation. But Robert was talking about technical analysis. And guess what? I love technical analysis. That's the exact way that I trade. And really all technical analysis is, is reading price action. That is what technical analysis is. It's I'm reading the price action, but I'm using candlesticks to do it. But it's the live moving price. That's all technical analysis is. And that is how I make decisions based on my gap trading. So we're gonna talk about it in here today. If you'd like more information, you can email me at melissa at the stockswush.com. You can also go to Twitter, Facebook, YouTube and contact me at any one of these places here if you'd like more information. Now, if you want to see my market calls and plays of the day, you can go to my YouTube site. You can just subscribe on here to YouTube. And this webinar tape will be on there as well today. So this is me. I unfortunately don't have a way to show you a picture of me live with a webcam and a PowerPoint, but I started trading at the end of 2008. And here it is, it's almost 2016. And it's hard to believe. I cannot imagine my life prior to trading because I love what I do. However, I really don't not want to have a life. When I started out, I had no life because I did mortgages for a very long time and I had absolutely no life. I worked seven days a week. And one of the things, the reasons I started to trade was I wanted to find a new career, get out of mortgages but I wanted to have a life and I don't want to trade all day. And the strategy that I trade, I'm done and in and out of the trades very quickly. Sometimes in three minutes, five minutes, 15 minutes, 10 minutes or half an hour. I do not trade all day until the market closes. I run a room and I close it out every day and you know, later than 11, I have to have a life. And let me tell you something, it counts and matters in the quality of what you do to actually have that own personal space where you have time for yourself. Because for a long, long time I did it and it catches up to you after a while. And it really doesn't even matter how much money you make. You have to get to the point where you say, you know what, my life is in balance now and it can't be all about work. Now I love the market and I love gaps and I love trading and I love making money but it's not everything, okay? So I just wanna preface that as well. I do teach my class on the weekends. It doesn't interfere with my trading and I trade in the morning and I'm done quickly every morning. So you can do this gap trading thing that I'm gonna talk about today and still have a life, which I recommend is the point. So is it easy to make money if you know how to trade? The answer is yes. And if you are in this place with your trading where you're in this box and you're starting to feel like it's so hard and it's so hard and I'm losing and I gotta tell you, it's never too late, okay? Even if you blew up an account, you can keep working whatever your regular job is and refund another account however long it takes, months or weeks or years, okay? The market will always be there. Know that if you're stuck in this place where you are not doing well, you can just take a break. You know, the market's not going anywhere and sometimes it's good for people to do that. I have a gentleman that's been following me and he hasn't done the class yet but he's trading and he's losing and he hasn't taken the class and he's been watching me and he's suffering because he doesn't know how to trade and I told him, take a break because what happens is if your mindset is just not in the right place, you won't get yourself out of the box and you have to get yourself out of the box if you wanna be a profitable trader. So what does it take? Okay, how can you do this? You have to know what to do, where and also of course when. And the fact is it can be done. Billions of dollars run through the market daily and earning an income as a day trader means you would only be taking a small piece of what the market offers on a daily basis. So what I do like I said is gap trading and it's a very profitable way to trade and after you book the trade, that's it. The money is yours and if you have a retail account you can take it out the exact same day. So it is a highly lucrative and expeditious manner to trade and profit. The problem is that many people lose money trading because they do not know how to take out trades or what stock to watch or what direction to even take the trade in the first place, okay? You have to know what you're doing with this thing and I don't care if you're risking $50 or $500. You really have to know because you're taking risk in the market when you're actually trading. So many people then don't know what to do. They make mistakes and then what happens is they lose, okay? Then they're in fear and then they lose conviction in the market and you don't wanna lose conviction in the market because actually as I was saying the market is a place that you can make a lot of money. So you need to hold that conviction that it can be done. Now here's an example, this was Staples. Now Staples actually got down today. This is a one minute chart of Staples, which is SPLS. Again, you need to know what to do and where and when. Staples actually got down but it wasn't an immediate trade and you needed to know where to do this to take it to short it. It was not a long and was a short but it didn't set up right a ways. If you didn't know where to short this you might have lost money in Staples shorting it even though it went right on the day. So again, many people even if they knew to watch the Staples it actually had earnings out this morning and they may have thought, well, this is a short. It's a good short. If they didn't take it at the right place of the entry then they may have lost. So again, you have to have all the pieces of the puzzle together. It's the pick, it's the right direction which some people don't even know how to do that but let's just say you do, you have to get the entry right. And this is a lot of the big challenge with day training for people. They don't know where to put the stop and they feel like they get jostled around but actually it's easy if you know what to do. Now, here's the plan of action, Staples. It wasn't an amazing gap. This is a five minute chart in the Staples. Where was the entry on Staples here? It was on a five minute chart around 10 o'clock Eastern time. Not on the one minute which I normally train. I didn't do Staples out of the open today, okay? Because of the fact the gap was not amazing but it was a short and it was a pick and it was a watch but it wasn't a good one to do aggressively. Show the entry and Staples to short it was here. The stop would have been over this far here and again, this is a chart. You're looking at the price action in the chart to know that you could do this on the live day. You needed to let this whole thing do its thing here in the Staples into the morning into 10 o'clock to know that this was a valid short here at the time that it set up because it wasn't something you could have been aggressive in. So it's the plan of action. The plan of action is when I figure out my plan of action before the market opens and that's what I do in gaps. So what do you need in order to make money as a trader and specifically day trading because I really, that's what I focus on. Although you can do gaps for swing trades and overnights. Number one, you have to arrive the right pick daily. All you need is one. You can do as many as rate well, but you need one, okay? And you gotta get the right pick, which when I say pick, I mean the stock symbol, okay? Number two, the right direction to play the pick, okay? If you went long Staples today, you lost. You have to get the directional bias for the stock right either long or short. There's only two ways to play it to make money. You can only go longer short to make money in the market. Three, the right entry for the pick. You have to get in at the right price point. I call that the trigger point. It sets in triggers and you enter in the trigger and then you know it's good. And then what happens, you're up immediately and that's the beautiful thing about the way that I take my trades with my entries. As soon as they trigger, I'm up immediately. And sometimes they go right to the target and the trigger of the first entry. And then you need an exit for the pick. Where are you getting out? I figure that out before the market opens. I don't hold every trade to the target. Some I do, some I don't. So you have to know where am I exiting this trade today, okay? And all of this is figured out as a plan of action before you're even doing anything before 9.30. So it's about really working smarter, not harder because you don't want to exhaust yourself by looking at charts all day long. And that's what I was talking about earlier. A lot of people do this. It's insane actually. Your eyes get tired, your brain gets tired, you tend to make money in the morning, give it back in the afternoon. And even if you start the morning down, why would you trade all day then and just be down more? You have to just be so focused on what you're doing and why and then it either works or it doesn't. And at the end of the day, you'll make more money and be less at risk spending time in the market in a focused period where you're in the trades less time. So you're in it less time and therefore you're at less risk. It's about narrowing down what to do and then doing it well. It's really all about being good. And so you've got to find a way to make it easier for yourself and focus helps that, getting good helps that. So the object, I know this sounds like an oxymoron, but the object is to get good, not to make money. And as a result, if you do get good, you will make money and the more you will make. So this is again where many, many people kind of missed the boat with trading because of the fact that they are not focused enough on getting good. If you really set out to do this thing and you say, I want to be a great trader, you will end up becoming not only a great trader, but a very profitable one as well. If your only objective really is to just make money at any cost, then you're probably gonna end up defeating the purpose of you doing it and losing. Okay. So it can be easy to make money in the market if you know what to do. You just have to be focused. It doesn't have to be hard. And you have to know what the strategy is that you're trading. So for me, it's gaps. And I named my system the Golden Gap. And it's just because of the fact that I have a rating system that I feel like it's like gold when I find stocks that set up and meet the criteria in the market. And that's how I named it in the first place. So what do I do? I get up every morning before the open, 7, 7 38 o'clock. I go through and scan the stocks that are gapping and I focus on shorts, which we're gonna talk about in a minute. And I rate the gaps using my 26 point system. Then I wait till the open. After 9 30, I do not trade in the pre and post market. I wait till the stock sets up in a one minute chart and went till triggers. And then I'm in it. I put the stop in. I use the heart stop. And then in the first move, I'm either all out full in the first move or out half and I hold the rest of the target. And this depends on the market conditions on the day, whether or not I, the gap rating is high enough that I feel that the stock will go to the target on the day. And then also I do not trade when there is no good gaps. So the criteria of the 26 points tells me if the stock is gonna work or not. So if the gap rates 20 points or more per my system, in the direction of the gap, I short it. If it rates under 20, then I don't do it at all. And if there's none that rate 20 or more, then I don't trade that day. This is another very important factor in learning how to be successful in what you do when you make it easy for yourself. Because a lot of traders make it so hard when there's nothing good to do and then they force it. And then it becomes hard. The most money of the days that I ever made are the easiest days that I ever trade. And the days that are hard are the days that you lose. And it's not about the money per se. It's about the fact that you're trying to force something or not. So think about it. When, I always say, let the market give it to you. The market gives me the gap. It opens. It gives me the setup. I take it. No hesitation, why? Because I've everything planned out and have a plan of action before I even take the trade. Where I want it to set up, how I want it to set up. The entry, the trigger point, the target, where I'm getting out. And what I'm watching, okay? So there are a few critical factors that must be present in your trading if you wanna make real consistent money trading. And if these critical elements are present, then not only can you make $500,000 a day, you can make more than that trading. And as time goes on, you can increase your risk, meaning if you start at risking $100, you can all of a sudden be risking $1,000 on a trade. And obviously then you're making more. The sky is a limit in the market. It's just that many people never really get good at one thing. I have done that. I really am serious about this. And whether you learn to trade gaps with me or go to something else, I'm telling you right now, if you take this away from this webinar, it will be worth your time today. The way that you make money in the stock market is to be good at one thing. And that is all you need. You do not need to do everything. And the people that make the most money are very, very good at one thing. Now, that's all you need. I always have people saying, well, I'm less than one. But don't you wanna do Forex? Don't you wanna do this? Don't you wanna do that? No, no I don't. I just wanna keep risking more in the things that I'm doing. That's it, okay? That's all you need to do. You just increase your size and risk. So many people fail, however, to have all of the critical pieces that are necessary to be a successful trader. What are they? Number one, be focused. This is what I was saying. Number two, do one strategy. And I even do it in one direction. I even only focus on shorts. Now, you can go long, but I only go long, but I don't like a short. That's a personal preference. Number four, you gotta know how to take the entry. Number five, you have to know where you're getting out before the open. And if you know where you're getting out before the open, it's very helpful, like I said, because then you're not stressed out about what you should do on the very live day, okay? So it's all about focus. Now, who makes gaps? Or these gaps that I have the criteria called golden gaps. Institutional money, that's what makes the gaps. Today, Target had earnings this morning and it gapped down. The high of the day, this is a one minute chart of Target, which is TGT, 71.97. So here's the open. So you would get up in the morning and you would scan for your stocks and Target would be on your watch list. You decide if you like it or not based on the rating. Let's say you do, you don't take it yet. Anyways, you have to wait for it to trigger. As it turns out, here's 9.30. This is the 9.31 bar in Target. This actually opened and swushed, okay? This is called a stock swushed. So the high up here is 71.97. The low in here, into the drop, is 69.27. So the stock opened and swushed. Now this is an institutional sell-off that's happening in the stock. And it happened right here into the open. Now you might have actually played this or you might have watched it, seen the swush and then played it after the fact. But either way, it was a short. Now, what does this tell you? That banks and hedge funds sold out of Target today. So as a trader, as a day trader, you want a short selling action. That's the best thing that you can possibly do to make money to the downside. You want a short, big selling action which you had in the Target today. Now you would have had to be watching this though to get the trade, okay? Now let me see some questions here. Well, I'm gonna go over and show you how I scan them in a minute. Someone's asking about picking them, but I rate them. I rate them using the criteria that I have which I'm gonna talk about a little more to. I have 26 points, I just check them off. Do, do, do. Whether it's Target or the other one I'm gonna talk about today which was GoPro. That was the play of the day today in my room. I rate it. I tally them up. If they rate 20 or more, I do it. Where am I getting the points from? The daily chart. So I'm looking at the daily chart of the stock that's gapping when I scan the stocks in the morning or you can scan stocks at night. Actually there's a couple out tonight. I think sign is out tonight. End taps out tonight. You could look at them tonight. You could rate the stocks tonight. But I still double check them in the morning, okay? So what are these points that I'm getting off the daily chart which is based on technical analysis which is based on price action which is really how you know whether something's along or a short, okay? That's how you predict what it's gonna do based on really the price action but I have devised a method using a point system but I'm using the daily chart but I'm taking the entries on the one minute chart or the five. So the 26 points measures gaps by rating them on the daily chart to find stocks to trade that have number one. A high probability of directional bias for the entire day even if I'm not trading it all day I'm looking for something that would move all day. Have a big move on the day which target did and so did GoPro. Early confirmation of the bias and the move I got to see the confirmation between 9.30 and 10 and I'm usually in it by then and sometimes out of it by then and then I'm looking for precise entries with follow through and a good risk to reward potential. And what do I mean? I mean if I risk a dollar I wanna make two or three or four. Sometimes you take a trade deal and make one but it's still money. Now let's talk here. Someone was saying, well, how do you know what stocks to watch? Well, you get up in the morning, you look at your scanner. GoPro was actually gapping down today. Here's a pre-market chart of the GoPro. This was not last night, it was this morning. This did not have earnings. I forget the reason for the gap but it gapped. So this wasn't an earnings gap. Not every gap that I do is an earnings gap but I still rate the gap. So I rated it. How do I know what to do with it? Well, I have to look and see where this thing is. So here you are in the morning. It's seven o'clock, you gotta roll that a bet. And you see this is technical analysis. I'm looking at the price action of the pre-market trading of GoPro. It's hovering, hovering between 20, 25, 20, 30, $20, 20, 40. It's gapping, okay? So then I go through the points and I say yes, this is a good one, okay? And here's where you get them. You have a scanner, everybody does on their platform and if you don't, you can just buy a scanner, okay? But this comes free with the platform. I scan. So these are the actives, these are the gainers in the NASDAQ and these are the losers. I just focus on the losers and you got 40 right here, 20 and 20. And here's the New York. So again, I like the shorts. So I'm looking at the losers and these two columns and I go through, boom, boom, boom. And you can rate them all if you want. Now I scan because I'm doing this for a while, obviously, and I can pick the good ones. There was the GoPro. And so I have an easier time with it but I do still go through and look at them all and then I usually make a small list of maybe four or five or six. And in earning season, you could even rate 10 or something but you're getting them off the scanner of the down gaps, then you rate them. So you're doing all of this in the pre-market. So you're all situated. It's also easy to know what to do when you know what a failure looks like. The market actually gapped down. This is a one minute chart and I'm showing the QQQQs open on the 16th. This was just a couple of days ago. And the market gapped down. Some people might have been looking to short the market but it wasn't a short. In fact, I called the market long. I did not buy the market this day but it actually was a long and it had a good rally. This was two days ago. It was a failure. What happened here? Again, this is stuff you learn from me too. Not only do you know what to do, first of all, if you had rated the gap in the market when they rated good to short. And then also you would have seen it open, into the open and would have known not to short it. This is the market opening here. Sells off hard, drops and breaks the low, flips. Makes a bottoming tail with a green head and bounces. And rallies all day. This was low the day in the market on that day on the 16th. So you will not only know what to do, you'll know what a failure is. So you don't keep going after this. But by the way, you wouldn't have done anything with this if you had rated it because it didn't rate good. It did not rate good as a short of the market. And you can use the system for gaps for ETFs. People always ask me that too. I prefer the stocks. But you can do it for that as well. Rita is asking me what platform do I use? I use Sterling for my live platform. This is not my live platform. This is Orvis, just the charts. And actually I'm thinking of changing to eSignal. I'm playing around with it, trying to get used to it rather than and get off the Orvis. But this is not my live platform. Sterling has charts, but they don't have enough data in the charts. I only go back five days in the charts in Sterling. So I actually don't like to use the Sterling charts to make my decisions. People always ask me that. You don't see my live platform in the room. It's Sterling, it's not this. But I like the candlesticks here. So you can use two packages, which I do. One for the live trading because Sterling has a fast execution. And I've been on it forever. And you just get used to an execution platform system for the order entry. And then you just don't wanna change. And that's pretty much where I'm at with Sterling. But this charting system I've been on for a long time, but I think I'm gonna change. And eSignal has a lot of different functions and features. So anyways, we can talk about that more later. But the charts that you see when I talk and teach and trade in the room are not my live platform, Sterling is, but it only goes back five days in the charts. So you gotta have two things. One, a fast execution system to use hotkeys which Sterling has to take the entries when they set up on the one minute chart. And I do use hotkeys, and two, you gotta have charts. And they gotta be live moving charts that have quality data. And the good thing about having two systems as well is I can double check the price is accurate. So the benefit also of having the live charting package with a separate place than my live data feed for the order execution platform, which is my live platform, is that I actually can verify the price to see if it's similar, okay? That's just a little sidebar. All right, so it's easy to know where the targets are ahead of time so you know where to get out if you figure it out before they open. Otherwise, you're just like, you know, you're willy-nilly. Again, I figured out in the morning the target on GoPro was $19. So here was the trade. Stop closed the night before up here, here it's worked out and it opened. This is the GoPro, this is the play of the day today. So in the morning before the open, I figured out the target. The target was $19. It went to 1904 before 10 o'clock. So it went there. It actually went past it. But again, you need to know in the morning before you take the trade or you're getting out a target or you're holding the morning or you're getting out by 10 o'clock. You've gotta know, okay? It's really easy to know what to do if you know what to watch, what direction, where you're getting out. You know the targets. All of us are figuring out before 9.30. And you ran to the gap, you did everything. So that when 9.30 rolls around, the stock opens, drops, rallies up here, holds, and you short it. The short of this was right in here, right in this bar here at 9.33. No hesitation, boom, you take it. Stop is over this bar here. So if you're all situated and ready to go, when it opens and triggers, you just take it. And look what it did. Again, as soon as it triggered, it fell off a planet. And you could have gotten out of it in here or you could have held it to 19. Or you could have held it even longer. But I like to be in trades and out of them quickly. So again, it's easy to know what to do ahead of time when you have it all figured out because you know the rating. G-Pro rated 20 points or more. Here's a daily chart of G-Pro right in here. And this, you didn't know. You didn't know in the morning. All you saw was this back here. You saw this, gobbledygook. But it's price action in the pre-market. It's the gap happening live. You don't see this until the open. Then it goes and then it goes and you watch for it to set up. So that's why you gotta know what to do. But I'm telling you, this is like gold people because you know what to do because of the stuff. In the rating system, it tells you that this daily chart of G-Pro is lower and therefore it's short. But you have to wait till it sets up. Now here was the trade in this. It was a short. 1985 was the entry stop was 2010. Risk is 25 cents. This is actually really, really good for a stock at this price point. This is an advanced risk. $1,250 was 5,000 shares of this. If you held it to 19, you could have made $4,250 today. 3.4, our trade in 10 minutes. This is, your day is done and this is an entire amount of profit for some people that could last for the entire week or even month. This is just one trade. Now, I'm gonna go back here. Here's the short. There's the stop. And actually I also figure out the resistance and the support in the pre-market in the morning. And I have a worksheet which I teach with a class which I give over one and I put the numbers in the room in the morning. I know what the resistance is and know what the support is and I know what the targets are and I know the gap rating. And that's why it's easy. It's just boom, boom, boom. What if it had opened and not set up? Well, then I wouldn't have done it. What if it had opened and set up and found and flipped me out and I got stopped out and I lost? Well, then that's it. Then I take the loss. You have to have a system that has more winners and losers. You cannot have the expectation that every single trade is gonna work. That's false. Okay. But you have to have the expectation that most of the trades that you take will work so that you'll take them. And how do you do that? Because you follow the system and you have everything figured out and planned ahead of time before the market even opens. And then when it does, you just do it. So you are always, always so focused on what you're doing so that when it hits, you can take it. But if you are waiting or don't know or you're insuring yourself or you're in fear, then you're gonna miss it, okay? So this is again where it ends up being where I'm focusing just on one strategy, which is gaps. And it's also shorting to the like to short. And that's how I've gotten really good where I have so many more winners than losers. And that's how you can make your career out of day trading. Because if you take a trade, we make $4,000. And the next day you take a trade that loses 1,000. If that's your risk, you're still up three. You see? So it's real money. But you don't have to risk this much. But I'm telling you, if you get good, you certainly can. So the one of the things I like about gap trading is it just goes so fast. I mean, to be able to make that kind of money in 10 minutes, it's addictive. But it's real because of gaps in the way that they work. Now here was TGT today. I didn't do this, but I tell you, it was, it opened and swushed, okay? And you could have rated it in the morning and you could have done it. I'm gonna go over what the trade was if you did do it. But this high of the day here at 72 and low of the day, right before I came to the webinar, was like a $4 move in the stock. I mean, this is incredible. And this is what I'm talking about, about gaps. And you could have done them all, okay? You don't have to just do one trade, but I usually just like to focus on one thing, but everything that rates 20 or more, you can do. But it's the idea of the same strategy, one strategy, okay? And having still everything figured out before they open. You're not doing this on the fly. You still have to figure it out beforehand to know to do it. But I will tell you that when the stock opened and swushed, it gives you immediate conviction and confirmation of your bias, which is what happened here in the TGT today. Let me just look at some questions. Actually, I only have one more. Somebody said something about teaching or making money. I think that's such a funny question. I don't wanna talk too long on that, but I won't answer it. I live in Manhattan. I don't know if anybody in here is from New York. Does anyone have any idea how much money I cost to live in Manhattan? I mean, I wanna make billions of dollars. So whether I charge money for my time, which by the way is very valuable, and so is my information when I teach the 16 hour class. So it's worth it. But also I'm done trading like I said every morning. So I certainly have time later in the day or in the weekends. And still I can have a life. And I wanna make tons and tons of money in my lifetime. And by the way, I will. So I always find that such an ironic question. I can have a life and still make tons of money and do something I enjoy. And so can you, okay, to each zone. But the reality is that Manhattan is a very expensive place to live. And the type of apartments that are here costs millions of dollars. And that doesn't even include like everything else that it costs to live here. So either way, even if I did live in Manhattan though, even when I lived other places and I lived all over the country, actually in the US, I've never lived outside of the US, but I've lived all over. I lived in the West Coast, I've lived down South. I've always, always been driven to be very successful. And if I wasn't, guess what, I would've quit this thing. I wanna quit within six months of doing this thing because it took me three years to figure this out. And do you know in that time I lost money and I kept working and my job funded my losses. So I wanted it very badly. And you can teach yourself something as well. You can make up your own strategy just like me, but you better be well-funded and you better have a lot of money behind you. And luckily I did, why? Because I was very successful in my prior career doing mortgages. So I funded myself, but it was a long road and it was a tough road. And I don't wanna ever have to redo it. But I will tell you that you have to be success-oriented and driven if you plan on making up your own strategy in the market, otherwise paying me for my class, which is four grand, is a heck of a lot cheaper. Because the market will take everything you got and more and way more than $4,000. And you can make it in one trade as I just showed you, so teach some. But anyways, getting back to the TGT. So this was a short today. I did not do it, but it was a good one. I'll go back and show you the entry. Price of the entry was 70, 25. Stop was over 70, 50. If you risked 25 cents on 5,000 shares, it's $1,250. Exit was $69 as a target, but I actually dropped another dollar and went to 68. So you could actually be in another dollar out of this. But this is an advanced risk again. Profit is $6,250. Risk to your word is five. Again, we're talking about cost of living and things and everything else. You know, four, five, $6,000. You know, that pays your mortgage and your housing to live in New York. Give it in one trade. So I mean, this is a very profitable method to do as a career if you wanna do it. And some people trade for a career. Some people just wanna do it as a side thing. Some people don't wanna risk a thousand dollars. You can't afford to take 5,000 shares or something. But I'm telling you if you can, it's very lucrative, okay? And here again is where it benefits having substantial funds. Why? Because 5,000 shares of a stock at a $7 strike price is not chump change to have in your account for real cash value that you gotta take. Now it's not dollar for dollar, but even with the leverage you would need on this, even at four to one, or even at 10 to one, you gotta have real money to be able to take that position because you gotta be able to afford the position, okay? So again, this is what trading is. The more that you make, then the more that you can and you build on it. You gotta start from somewhere though. What if you can only take 100 shares of this? 7,000 in BEP or whatever it would have taken, fine. It dropped a dollar, you only made 100 bucks. Dropped $2, you only made 200 bucks. Guess what? $200 a day, every day for 200 trading days is how much money? 40 grand a year. 40 grand a year, you're making one year. Next year you're making 80. The next year you're making 160. The next year you're making $300, some thousand dollars. And that's where you go, okay? But you're only working such a short period of time. I mean, that's the great thing about this. So anyways, here was a short, there was a stop and there was a drop. Okay, very quickly. So again, it's easy to trade gaps if you follow the system. And if you don't get a 20 point rating, then you know trade, no trading. And it's just not stressful for me anymore to trade because of the fact that I know what to do. So one huge benefit of trading gaps is you're done trading early in the morning as I was talking about any of the rest of the day to yourself. If you wanna make more money doing something else, go. If you wanna just sleep on the beach all day, do it. Whatever you wanna do, okay? I think it's about the balance. Have to have the balance. But what you spend your time on each day counts. Time is so valuable and it actually becomes more valuable the older that you get. It matters, it matters whether you're young or old. And you do have to have goals. Like if you make your goal for the week for your bills in one trade, you could take the rest of the week off, okay? The only time that's really required for you to do this is the time it takes to do the class, invest in doing so, and then following along. I find a lot of people just really have to learn how to take direction, okay? Don't try to reinvent the wheel. Just do exactly the stuff that I teach you to come to learn from me. And you can reinvent the wheel if you want, but it's gonna be very costly in the market. Because the only way you really learn how to do something, guess what, is if you're doing real money. When people say, well, I'm practicing on a demo to see if I can figure this thing out and I've made $200 billion doing it on demo for the last year, that's a waste of time. The minute you go live with real money, you'll see it all plays out. Because when you're figuring something out, even on your own, if you don't do it live money, it's not real. And it'll be starting from scratch when you do it with live money, okay? So how do you do it? You spend 30 minutes training in the morning, but you gotta learn the system if you wanna do it. Now, here was another one today, Q-Com. This had a $4 drop too. Look at this, amazing. Hi, the day appears around 52. I don't even know where this ended up. It's gonna close today, but it broke 49, which really was the target, and went down to 48 something. Guess what? This opened and swushed. Here's Q-Com. Again, I'm teaching you something here. You rate the gap in the morning. You know to watch the Q-Com, you scan, you find out on the scanner, you rate it. Guess what? It opens in the morning and swooshes. Boom, immediate confirmation of your bias. Why? It's to sell up an institutional money into the open. And since someone was asking me about teaching and stuff like that, I will tell you one, first of all, I do enjoy making money very quickly in training, but I will tell you that the benefit that I get out of teaching people, I guess, is that, well, it's really running the room. I shouldn't say that. It's really, it's running, it's when I run the room and I tell people ahead of time what somebody's gonna work. It's that ability that I have to be able to predict something to people, which means I'm accountable to them, which is different with I was alone, okay? It's the fact that I'm accountable to people that I'm making the predictions and then they're playing out. That is something that is very, very challenging to do that I do very well that a lot of people can't do. And I hope we have time to talk about the market because that's one of the things I'm predicting too. Anyways, here, here we go. Q-com, it's a short. And boom, here's the 49 number, but then it broke and went to 48. Price of the entry is 50, 10. Stop was over 50, 35. Risk was 25 cents. On 5,000 shares, if you took again an advanced risk, it's 12, 50. Again, the idea of predicting it, this is where the thrill comes to it for me besides the money because I'm predicting what something's gonna do and then I'm accountable for the prediction and then it comes out to be true so often. That power, if you can learn what I know and be able to predict things too is where you're gonna make the money in the market and you can make as much as you wanna make and over time you will. So what can you afford with your account to risk? You have to decide. You have to decide. It's different for everyone. You don't have to take big amounts of risk. I'm gonna show you the fossil. Now I risked a good amount of the fossil but if you only risked a little bit of the money in the fossil, then how much would you have made? This was a trade from Friday. This actually had another beautiful move of the day. Huge move of the day in the fossil. You get up in the morning, you find the gap, you rate the gap. Fossil did have earnings. Here's where it opened. You're watching it for the setup. You're waiting. Here's the short in fossil. Boom, okay? In and out. Here's the money that I made in the fossil, okay? But I'm taking more of an advanced risk. Oops, I didn't put the trade in here. I thought I plopped it in but the short was here. The stop was over here. In the fossil. And here was the exit. Right in here is where you would have taken it. It was 34.90. Stop was over 35.50. And then it moved more than a dollar. I thought I had it in there but I didn't. But here's my P&L from Friday. Anyways, the point I'm trying to make is you don't have to take an advanced risk to still make money. Again, it moved more than a dollar. So if you took 200 shares, you would have made more than $200. 300 shares would have made more than $300 in a dollar move, okay? Sorry, I didn't put in the exact entry than that in there. But the point I'm trying to make is my system is easy to follow once you learn it. And that's the whole point I'm trying to make is be focused, be prepared in the morning before you trade and know what you're doing. You're trading accounts, you'll be growing over time. You should have a high success rate and everything you do so that you can make money. And I teach a class as I said earlier. So the Golden Gap course teaches a 26 point rating system to find the best stock to trade each day. It teaches you how to enter and exit the stock which is imperative besides getting the directional bias right in the pit, because many day traders don't know how to take entries. And that's something you'll learn from me. And I'm using technical analysis, which is price action. That's what technical analysis is. And I teach people how to read charts. And if you want to get good as a trader, then you really do need to know how to read charts. If you want to look at fundamentals, fine. They can support your chart read. But how do you know what something's doing is what the price action is telling you. And that's how you know as a day trader because you got to make money on a live day, okay? And that's how you do it. But I'm mentoring people to do it. And when you become a good trader, then you could do this for a career if you want to. I mean, you could. It's up to you, all right? So let me just get through this so I could try to quickly bring up the market. The class I teach is a full two day course in how to strategically find pick and play stocks that are professional bearish gaps. You can retake the class for free anytime. It's online, like I said. And it's this weekend, Saturday and Sunday, November 21st and 22nd, 9 a.m. to 5 p.m. Eastern time. Email me if you want to sign up. The papers to sign up are not on the website. You have to email me directly. Cost of the class is $39.99. But I'm doing a webinar special for traders exclusive. If you sign up for the class by Friday, you will get a discount, 10% off the class price and the room free to the end of the year. So for $3600, you could do the two day class and be in the trading room live and get all my calls and just take the trades with me. Just like fossil, just do the call. Just take the trades with me, like the GoPro. And I tell you right in live time, 10 by 50 or whatever the entry is and then the stop. But the deadline for this offer is Friday, if you want to sign up. I do teach a bullish gap class. I'm doing it at the end of the year in December. This is during the week. Cost of this class is $39.99. But if you sign up for this by Friday, you can pay $3600 and get the discount for this as well and the room free too. And then I teach another class of trends, which is $9.99. If you want to sign up for a gap class, either bullish or bearish and the trends class, I'm offering a special on this and the room free to the end of the year, it would only cost you $400, say 1400. And I'm telling you, you just take my calls in the room. Boom, boom, boom, boom. And again, this has to do with following direction. If you want to trial to the room, just email me at the info at the stockswish.com for the trial. I'll give you a one week trial to the room or you could be in just the next two days if you want to do the class this weekend. And I'd say observe, okay. Observe in the room when I'm calling the stocks and trading, you must take the class to be a remember. Everyone in the room has taken the class, just so you know. And you can go subscribe here. So I don't know if we have time to talk about the market or not, do we or not? I want us just telling you, even if we don't, the market's bullish, bullish, bullish, bullish. 100% conviction, the market will make a new high before the end of the calendar year 2015. The market is bullish. Do we have time to talk about it or not? And let me see if there's any questions. Do you have any options for the trades? Yes, but some won't make sense. I don't teach you how to do the options. You have to know how to do the option. I teach you the rating system for the directional bias of the stock. So then you could say, oh, this is a good one, but you'd have to still know how to do the option yourself. But you would get the rating system would tell you how to take the option. In what direction? Does that make sense? And you'd know the targets. What is the most important criteria you look for to rate the gap? Excellent question. There isn't just one thing. There's not the one thing that's the most important. And we were talking about this today in the room. It is in black and white. Why do you think I look at 26 points? It's not black and white. I don't know what that is about. Traders in general, it's like, it's like somebody is born a trader and every trader that's born thinks that way. I don't know, maybe it's because I was a philosophy major that I don't think like that. And I understand a broader spectrum. There isn't just one thing. There isn't just one thing. It's many, many, many, many things. You take them all together and you take them all together and you wrap them around yourself and you say yes, it's good and you do it. It isn't just one thing. It isn't just two things. It isn't just three things or four things or five things. It's everything. And that's what actually probably gives me an edge because I understand that. I understand that. You gotta be ready in the morning prepared. You gotta know what to do. You gotta know the strategy. You have to know what direction you're taking it. You have to have the sport. The resistance of targets. You gotta get the setup. You gotta wait for the market to open. You have to look what the market is doing. It's everything. That's why you gotta get good because you have to have everything. It was just one thing or two things. Guess what? I would make a black box and I'd land at every day and eat bonbons and look outside at the Manhattan and just eat bonbons and my black box would trade for me, but it can't because it needs me. Do you see what I'm saying? It's not just one thing or two things but that was a great question. We just talked about that in the room. What about SSR with gap down stocks? What do you mean SSR? I don't know what that means. Lost 11 New York, fabulous. I don't know what you mean by SSR. Okay, any other questions? I might be too late to tell you to talk about the market but listen, listen, I'm gonna do a market video if you wanna go. Go to Melissa at thestockswish.com and email me or go to the Stockswish on YouTube. I'm gonna do a market review right now because I really wanted to get to it and it was a topic of the day. Just go there and subscribe and I'll do a market review of the whole shebang because I'm telling you the market's higher and I don't know what other people said today but 100% conviction of Mark will make a new hype for the end of the calendar year and I told John that like a year ago and he's probably laughing right now. All right, thanks everyone. John could have made a million dollars on my market call and retired actually. John and Dan should have just bought the market when I said it a year ago and I first did the webinars with them and they would have just retired. I wouldn't even be here today. All right, how do you do that? Thank you so much, Melissa. Okay. All right, if you have to leave early for any reasons please remember you can go to tradersexclusive.com then go to tradereducation.com then to educational webinars on the left side of the page and again you will click on archived tradereducation.