 Good evening, everyone, and welcome. My name's Melissa Armell. I'm at a company called the Stock Swoosh. And tonight, I thought I would talk about sizing. I've done several webinars in the last few months about making certain amounts of money, whether $20,000 a month or $1,000 a day. And a lot of people ask me, Melissa, how can I make that kind of money, and what are you talking about, and how is it possible? Everyone that's in my life trading room with me is probably risking a different amount. You have to choose the risk amount on talking dollars and cents monetarily that you can afford to risk. So everyone is different. Everyone in my trading room is different, the amount they can risk. Everyone that comes to learn from me, people that I talk to, it is based on your own individual financial situation. So for example, if you can afford to risk $100 on a trade, your results will be different as far as how much money dollars and cents you make from someone that can risk $500 a trade. The amount of money that you risk, the trade is the same that you would take. It's the entries that I teach in the golden gap class, but your share size will be different. Your share size will be different, and therefore the amount of money and dollars and cents that you risk will be different based on the amount of risk you're taking in the trade. This is common sense, but I feel the need to explain it because I've had some questions lately, all right? So the bottom line is if you risk, for example, I'm gonna be very, very, make it easy for you. This is very simple arithmetic. If I call a trade in the room and it's 10 by 20, what does that mean? That means we're shorting the stock and I never say the dollar number. Nine, 10 by nine, 20, it might be, but I don't say the nine dollars or isn't time. Everyone knows the stock I'm watching. So say 10 by 20, okay? That means you're shorting it at 10 and putting the stock at 20. That means your risk is 10 cents. Now, what does that mean? That means if you're willing to risk in dollars and cents, 100 bucks, you can take 1,000 shares. I short stocks, I short equities, okay? So you take 1,000 shares of it. You take 1,000 shares, you put the stock at 20. If the trade would fail, how much money would you lose? You would lose $100. And then I'm gonna talk about slippage. Slippage is rare, but it does occasionally happen. But you put the stock and it's a limit order. You lose 100 bucks if the trade fails. If the trade goes on to work, I'm gonna give an example. Say the trade drops 50 cents, okay? So if you're shorting it and it drops 50 cents, how much are you gonna make? 50 cents. 50 cents times 1,000 shares is what? 500 bucks. So if you risk $100 and you make $500, that's a good trade. That means for every dollar that you risk, you made $5. That's a great trade, okay? So you might want to risk more. What if you want to risk $500, okay? You have a 10 cent risk. The same as the person that risked 100. I call the trade in the room. Two people are in there. One person risked 100 bucks. One person risked $500. The person that's able to risk $500 can take how many shares? 5,000. So that person is taking 5,000 shares. Stock drops 50 cents. Guess how much money they're making? 2,500 dollars. 2,500, okay? So that's a lot different than 500 bucks. But that person was able to risk $500. So when I talk about these monies that you can make with the market, it's infinite depending on how much size you take. I mean, if you can afford to take 50,000 shares of something, then take it, okay? And so the 10 cent risk would be five grand. And if you would lose, you would lose $5,000. But if the same trade were going to work and the stock dropped 50 cents to 50,000 shares of something, guess what? How much are you gonna make? 25 grand, $25,000. So it all has to do with the position size, but you have to be able to take the risk, dollars and cents, all right? And by the way, I only trade stocks at a volume. I mean, several hundred thousand shares in the day and preferably several million on any given day or the days that I'm trading them in the gaps. So you can get filled size in the stocks that I trade because they have a lot of volume and they're major movers in market. And that's what you wanna trade stocks of momentum, stock to the volume. So I hope that answers the question for some people that was asking me about sizing and how I call my entries and how many share sizes to take. You can talk to me about it based on the size of your account if you want to get my advice, but you can only risk what you're willing to lose in the trade and how much money you're willing to risk. It means how much you're going to make. So this again is common sense because really you can make way more than 20,000 in any given month. You could very easily make 30, 40 in the market if you're taking a good share quantity and it has to do with the dollars and cents of the risk between the entry and the stock. So the first number in the room that I call is the entry and the second number is the stock. And that varies. It varies from stock to stock and you know it when you learn that in the entries and when you look at the stock of the day that we're trading and I usually give people an idea in the room what I think the stock's gonna be before it sets up as well. And we talk about that in the morning. Have a great night everyone. If you'd like more information on how to trade gaps, how to short stocks, how to learn my entries, you can learn it in the golden gap course. Email me at melissa at thestockswish.com. Thanks everybody, have a great day.