 Hello, everyone, and welcome to this Online Trader Central. We welcome each of you to the presentation today. Your host presenter, Melissa Armall from thestockswish.com. Please put your hands together and welcome your host and presenter from thestockswish.com. Welcome to the Stockswish.com. Good afternoon, everyone. Thanks so much, Online Trader Central, for helping me and having me here. And welcome. My name is Melissa Armall. I'm on a company called the Stockswish. And today I'm going to talk about one strategy to make money consistently. And I'm going to talk about three components that I think are really important for you to be a successful trader. So if you're trading now and you're doing a lot of different strategies or focusing on a lot of different things and you're not having the level of consistency, then think about the things I'm saying today because it might pull some things together for you to make sense to figure out why you're not profitable. If you've never traded before and you're thinking about trading or doing it, specifically day trading because that's what I'm going to be talking about today, then you might want to think about the system that I'm going to go over and really the strategy that I trade is gaps. And that's what I'm going to talk about today and I will also explain in more detail. If you would like to reach out to me if you have more questions, you can email me at Melissa at thestockswish.com. You can also follow me on Twitter, Facebook and YouTube and you can call me at 929-3200 Gap if you have questions as well. So we're going to get right into it today. And I really think actually YouTube is probably the best place to go and follow me because of the fact that I put a lot of plays of the days and market reviews and webinars on YouTube. If you want to go there, Kathy can put my information back in the room. Excuse me. Okay, so let's get started. How do you achieve consistent profit of the results? Number one, it's the thinking. Now, what do I mean by the thinking? Before I trade each day, before the open, in the pre-market, okay, before 930, the stock market opens at 930, I am thinking and deciding what it is that I want to do. If I don't see my system or strategy setup or any stock that meets my criteria, in the thought process of the analyzing process of what I'm doing beforehand that I don't do anything on the live day, I don't trade. So in other words, I have decided before 930 if I like something to trade or not. The next thing, if I find a trade, a stock that meets my criteria, that's gapping, and again, I'm going to go over what a gap is in a minute, then once the day opens at 930, I look for the stock and I watch the stock to set up, and then I do it. And that's the doing part, taking the trade after it sets up on the open. And then number three is believing. And this is something that's very important too, and the reason that this is important is because if you don't believe or have what I call conviction in your strategy, it is going to be extremely difficult for you to be successful. And I found that many, many, many traders trade multiple different systems, use multiple different indicators and things, and they don't have the conviction. And that is one thing I have with my system and strategy, and I think it is extremely important. Now, I put in here, this is just going back the last six weeks of results. We're not going to go over every gap here, but I am taping this, and if you want to go back in milk, you can see I like to focus on the short side. Now, one of the things that I think is important as well, if you want to do it and actually see the results, is to get good at one directional bias. So what I've done is to focus on the short side. Now, that's not to say I occasionally don't go long I do. I do occasionally look at a bullish gap and go long, but it's not that often. I really veered to looking to short, I'd say 98% of the time. Only if I don't have a good short will I go look at a long. So most of these trades were shorts, but you can see here, if you go through each week, this was week one, there was one loser in here. Week two, there was a loser in here. Week three, there was not. And this one day there was two trades. The other periods in here, most of the days, I only do one trade. So again, the strategy, the system that I do focuses on one pick, meaning one stop pick per day. Now, this is the next week, the fourth week, there was an option in here. Again, one loser. And then last week, there was Monday, it was a holiday. And then today, actually, Target was a loser. But I called a put in this for the options letter because this actually did rate good as a short today. It did not work as a day trade in the morning. We're going to go over this as a loser today, but it is lower in the overall timeframe picture. So you could be in an option trade in this. You could have bought a put. Okay. So all in all, if you look at all the trades for the last six weeks, it's about an 84% win ratio. You need to have a very, very narrow focus, I think, to have the consistency. And I've always found it interesting when I talk to people, and they're in trading rooms that are open from 9.30 to 4. My trading room is only open from 9.30 to 10.30, 11 o'clock, whenever we're done trading and I'm done teaching. I have a very strategic time of the day that I'm looking to do these trades. I'm looking for the focus that we'll have to set up. And I don't call a lot of trades, as you can see. I don't call a lot. I don't do a lot. I don't think it's necessary. I think when you don't do that many trades, you have a higher chance for success because you won't have that many losses. And then the ones that work, you will keep the profits. Instead of trading in the morning making money and then trading in the afternoon and taking a loser and giving the money back that you make, which isn't good. Okay. That's never good for anyone. So it is important to keep the money that you make from the market. Now, this was the first week that I have in there just showing you the profits from these trades. And this included one loser, which was Juniper. This was back the last week of January. Okay. You can go back and look at the dates of these. Today, we're going to go over today the gaps in the last few days, the current ones for February. But this was back the last week in January. If you took an advanced risk, which is what we're going to look at today, which I trade with advanced risk, you could have made over six grand in one week. That is a lot of money. That's real money. It's real money. When I say real, I mean money that you can do something with, that you can pay your bills with, or do something with, use it, do this for a career, pay for a vacation, buy a car, whatever. Real money means not just, you know, 50 bucks a day. This was the week after that, first week of February it was, last week of January, first week of February overlap. Again, loser in here, small winner, still a very profitable week, $5,000. So, you can see with an advanced risk, and this is about $1,000, $1,200 risk, which you can do right away after the class, if you have an account that you can take the kind of risk, but you don't have to, you could risk 500 bucks or 600 bucks, whatever you can afford, depending on the size of your account, which you can talk to about. However, this is still real money, real, real money. So, the idea of making, you know, 20 grand a month or over $200,000 a year is very real, depending on your risk, it does have to do with the strategy, and it has to do with the focus, and it has to do with the three components of the things we're gonna talk about today, which is the thinking part, which is not on the live day when I'm deciding. See, when I get up in the morning and I'm looking at something, and I am that focus, I am choosing to do something or not do, or not do a trade before the market opens, so I'm not in the moment of the stress of the trade itself. I'm saying, yes, this is good, I apply the system, I think it through, and that's what you learn from me as a system, I apply it without the stress of being in the trade in the pre-market, and then the doing is after the open, and then if it sets up, I just do it, and I've already decided that I want to do it, because the thinking part was already done, then the doing takes place after that, and then, boom, you make the money, and that helps with the believing too. So getting back to the whole point of this webinar, how do you achieve this consistent results and profitable results it's thinking, doing, and believing? So, believing in yourself. We'll talk about this more at the end, but this is so important. So many people do not understand really how your mind works, and if you have one losing day, you can't go on a losing streak. So you can't just say, well I'm not going to trade tomorrow because I lost today, or I'm going to give up on this, or give up on trading if I lost today, no. There's no system out, there's 100% winners, but as you see here, you can still make really good money, even if a few a month don't work. And so you need to be prepared for that, and that's why I use stops, and we will talk about that today too. So the thinking part has to do with when your mind is relaxed before the open, before 9.30, and you are taking your time to think it through. So I usually get up early. I will start to scan for things around 7.38 o'clock. I'd say give yourself at least one hour before the open from 8.30 to 9.30 at least to prepare, to choose to trade, to think about what you're doing, to go through the process and do it in a non-stressful way. Allow your brain to read the chart and see everything and how the stock's moving, and then you'll be able to make normal decisions. Do I want to do this one or do I want to do this one? So the thinking is the strategy, which is applied in the pre-market for me. That's what I do. And processing the information ahead of time before you're in the stress of actually in the trade where you have the risk on. And I do this through using a checklist that I created. It is called the Golden Gap 26 point checklist. And you just go through it and you go through and you rate everything specifically. And you go through point by point by point by point and you do it. And if the stock rates or the gap rates 20 points or more per the 26 point rating system it's good as a short. And that is exactly what I do and what I teach people to do and what I've been doing now for 8 years. And I actually have a student that's been here with me for the last month. And it's very interesting seeing people and meeting with people and seeing them how they analyze and prepare in the morning trade and I've been mentoring him for the last month. This helps you get good and it helps you to stick with your game plan which is you're only going to do one trade or two at the very, very most. Now what are you thinking about when you're going through the process when you're analyzing the whole shebang? Institutional money. So becoming a successful trader and investor whichever you want to do, if you want to be a day trader or if you want to be an investor it's up to you. It requires becoming a specialist and defining where the institutions are buying or selling a stock. Learning advanced technical analysis that's how I trade, that's what I do and we're going to look at some charts tonight is how I do it. You've got to learn that and you will learn that from me in the class. Specifically you will learn technical analysis and gaps and it's in the price action. You've got to comprehend how to read it so you're predicting where the move is going to go in something and that's how you make money. You're predicting where the institutions that are moving stocks are going to sell the stock or are going to buy the stock on the live day. So we're reading the footprints of institutional money when we're taking trades. We're saying I'm predicting ACAM or QCOM is going to go here. It's going to go and sell off in the day or for example the spiders. I'm predicting that the spiders are higher which I did predict and they continued to rally. Now here's the chart of Google. This was a couple of weeks ago. Well no, it was one week ago. This is what this chart looks like. It's being bought. Now how do I know it's being bought? Going back at the beginning of February the stock had earnings. It actually gapped up on the earnings, rallied and then fell. It actually gapped down and the next day dropped, broke and rallied again. And the chart looks great. Now for those of you that do not know what a gap is I'm going to explain it to you right now. Again this is a daily chart of Google. Down here's the day. Over here's the price. This is volume. When a stock gaffs it gaffs when the closing price today is different from the opening price the next day. What does that mean? So Google closed here around 822 and opened the next day here at what? 915. So the stock closed here and gapped down. So this is what a gap is. A gap is where stock closes at 4 o'clock at one price and a different price the next day at 930. That's it. That's all a gap is. You could have rated Google here to short. Now I'm not going to short as a day trade a stock at this price point. It would be very expensive with a wide stop but you could have done a put on it if the gap rated good. In this case here it was Google. But you're doing this in the pre-market. You can even do it at night. Right now there's some things that are gapping. At night we can look out here if we have time when we're done. But you're learning when you read the chart to see where they're going to take it. They meaning the people that are controlling the stock. Are they going to sell it? Are they going to buy it? What are the institutions going to do? If you can determine where those institutions are going to take it and again it doesn't matter if you go long or short but I prefer to short. But if you can go with that you will be able to make money and you get in and you get out and you get the move and we're going to go over some one minute charts here today as well. The idea of shorting for me is very attractive because of the fact that the moves happen so fast and I like to be in and out of trades fast. That is my personality. I'm impatient. But there are many times where these trades do go to bigger numbers if you hold them a little longer. Even if you think there is going to one direction though. If you take it in the opposite direction in the wrong direction you will lose money when you trade. So it's important to get the directional bias right. And what I focus on is in the pre-market determining or predicting with my 26 points what institutions are going to do on the live day because that's what you really need to make the money if you're a day trader. If you're a day trader you've got to get in and you've got to get out before 4 o'clock. So if you want to make money consistently you have to be in the side of who is moving the stock preferably on the live day unless you're doing options. Now again, what's another example of power and money or what it looks like? Here's one here. This is Hain. This was from the middle of February. The stock closed here 3850 or something and then it gapped down here to like 3380. The stock had a large gap down $5 almost and it fell that on the day. So the short in this was in this tally thing here and you would short this. You can see here in the move the move was above. So the stock had a big sell-off in the gap itself. And in the morning you would know what this was going to do. You predict it by doing the thinking part which is analyzing what's happening in the gap. So in the morning you're seeing the stock you don't see the pre-market here but it's around this area 3380, 3370, 3360 and then you go through the points process and you figure it out. Now let's talk about the doing which was the next step. Doing, doing, doing takes commitment. It takes a full-on commitment to yourself to the market to the amount of money you're risking and you know having the conviction. So you have to feel certain when you do it that the thought process is there and it works. For me it comes with the focus for the doing because there's so many things that we're bombarded with every day. In any given day we get umpteen emails from a million different things. You're on Twitter, you've got news sources you might have seen and be seen. I mean you might be in three different rooms. Everyone has been barred with so many things and not only that you might have I don't know you know gosh knows how many indicators on your charts when you're looking at stuff. If you don't focus you're not going to get it right. You're not going to get it right. You're going to think oh well this thing told me this. Now this one might be good. Now this thing told me to do this one. This thing told me the market's short. Then this other thing said the market's higher. What do I believe? What do I do? It can't be all about that. It has to be that you know first from the thinking part using the strategy and the system that the doing part is going to be doing exactly what you thought through in the process beforehand and you're not going to change your mind based on something else you heard from somebody else. Again, the focus so it's about becoming an expert so that you can do it and not allow yourself to be distracted from the other stuff. In order to become successful in the market you have to become a specialist in one thing. One specific strategy and for me like I said it's really in one directional bias and it is because I'm looking to see who's in control of the stock on that day or they buying it or selling it. To me I call that power money you can call it institutional money whatever it's momentum that comes into the stock that moves the stock in a certain direction and you can learn how to do this and as you do it over and over and over and over and over again after you learn it you get good. You get good by doing it you get good at the focus over and over and I think that is something that either clicks right away for some people immediately after they come and learn from me into the class or it could take a couple of weeks or couple of months. Everyone has a different learning curve as far as where they're getting good but it is definitely an edge if you are focused on one thing and you are prepped before the open. So you think it through and then the doing comes you're watching a certain period of time that you're taking the trades for me it's between 9.30 and 10. Boom you get the move, you're up, you get out that's it, you're done. This is not long long term investing. This is day trading and so you take the trade in a certain time frame that you're looking to get in and then you get the move in your direction which like I said we're looking for the selling so you get the sell off you're up, you get out. Some days you will hold it to the target, some days you don't I do have criteria that I look at for reversal signs, reversal times to get out but doing one strategy like I said in mostly in one direction is what helps with the consistency. Number one it's your losses and number two it keeps you you know to do the one thing that you don't get impacted by all the other things that are out there that were bombarded with on any given day as traders and there is a lot of those things so as I was saying what I do is gaps and I did explain to you what a gap is but we're going to go even further here a stock gaps when the opening price today is different than the closing price of yesterday's trading this is a definition of a gap it's a gap is a break in price action from one day to the next that's really all a gap is like I said there are things gaping tonight and we can look at some things now what is a gap this was last week was LB this is a 15 minute chart what happened here the stock closed up here and then it gap down here look at the gap so the stock closed at 58 something opened at 50 something so it gap down like $8 and then it fell the stock was a short okay so in the morning before this even happens you don't even know you go through the thinking process which for me is the checklist I go through the checklist and I check check check and I total it up and if that rates for my system to short this you watch the stock on the live day to do it so my system has huge opportunity because it spots really that's something like this that sold off huge more than $2 you go before it happens because after it happens it's too late okay now here's what this ended up doing so here was the day before this is a daily chart that was a 15 minute stock closed here gap down you see the drop big big drop went to the dream target actually broke 48 here you have the one minute so the doing is what so the thinking is knowing this is a good gap and it rated per the system you wait for the stock to set up the stock opens rallies boom hit it you're in short drop and wherever you get out it doesn't matter in this case here you can see that the straight sell off happened very very quickly and you could have held this all along for the ride typical time of the day that I look to exit my trades though is right in here between 945 and 10 but there were some people in the trading room that did hold this longer you just never know you will get big sell offs many many days later you could lower your stop in some of these and hold it on down but again as I said before I'd like to be in and out quick now if you shorted the stock we'll go back and look at it in a minute at 5060 this is an advanced risk a thousand dollars with 2000 shares your profit this is nowhere near the low of the day but this is the first drop would be 4950 would be the exit you could have made 2200 bucks this is real money as I was talking about if you do one or two of these a week you're hitting it you're getting these some will be less than this some days you won't trade some days like today you may have to take a loss and we are going to go over the target loss here today anyways boom you're in take it put the stop get the drop again you could have held this down but that's up to every individual in the room because that's not something that I usually like to do hold it but in this case you could have any questions about this lb or anything I've said so far today I'm talking talking talking let me know does anyone have any questions about anything so far I'm going to keep going okay let's look at so that was last Thursday Friday wasn't anything Monday this one opened actually and fall off the planet the first move in this nobody I don't even think in the room got because it opened and collapsed now I just want to show you here selling in power of money high in here was 26 low in here was 21 something the stock fell almost $5 it was crazy today it rallied a little bit it was horrible here you see it look at the volume on that day this was yesterday now let's go back and look so because the first one collapsed so quickly on the one minute you can flip to a larger time frame this is the 15 minute here's the first 15 minutes of the day that's nutty look at that absolutely ridiculous it just collapsed but it's good stock close to your gap down fell this is the first trade in here which I usually get but this one just went so fast you let it rally back boom you shorted here and you get the drop and the first target you're out but this one too kept going so the first target and this really was $23 guess what the stock went to 21 something I mean look at what it did so price of the entry this is the 15 minute was 2380 risk 4000 shares or 1200 bucks profit at the first target what 23 dollars again it went to 21 something people and if you had 4000 shares you could have made another 4 grand on this you could have made over 7000 dollars more than that actually but you know it doesn't even matter at a certain point when you're up you got to get out of the first target and that is something we review in the trading room too but some people have an ability to hold these longer for me it's you know I really don't but you can this is a really good amount of money there were people that did this yesterday some got out before 23 some got out at 23 some held a little bit more this is institutional selling this ish where you want to be when you're looking at something there was someone doing a trial in the room yesterday that went long the stock I kind of talked about a little bit in the room I didn't give the person a hard time they were there in a trial they went long this why did they go long? because they didn't understand what was happening here this this is the daily chart this is how I base my decisions off of this is how I trade and this is the 26 points it's showing me and telling me that this is good and this is where the thinking process comes in doing processes here when you get the setup and you take it and you get out you take the entry and you get out with the money and all of this is combined with the purpose of like I said the believing believing that it is going to work so that you can hit it that you can take it and what creates the belief is you use the system and you follow it and you're prepared mentally in the morning with the thought processes to do it any questions from anyone so far now I'm going to keep going now target target didn't work today target was a loser to the short side although as I said earlier it looks lower in the overall bigger picture this had a huge collapse today in the gap 4 million shares before the open stock closed up here at 67 gap down in open at 57 opening open, it's set up in here look at the one minute chart, failed flipped you're done you could have done this later in the afternoon in the 15 minute if you wanted to but it never broke the low and never went red on the day it closed green with the topping tail but this really is still lower now what happened stock opened, rallied held held held broke you were up in here there was a couple of people in the room that actually got out of this profit but anyways it didn't really go full on should have kept falling, should have broke and it didn't so you would have gotten stopped down in here or in here wherever you got hit out this is still lower if you had taken this trade with an advanced risk and risked 1,100 bucks how much would you have lost $1,100 so I do your stops and up to 59 something you would have been down way more stops also help you to have the consistency because you will be out when the stop is hit if the gap doesn't work and if it doesn't work and some days they won't work you've got to understand that some trades will be losers so using hard stops or limit order stops helps you again condense your losses and keep the winners like you would have in the LB or the AFSI does anyone have any questions about this so again we can look at Target and we have time tonight I did do a video on this on youtube but this really is lower it just wasn't lower today but in the overall bigger picture it looks great alright now how do you find these people always say how do you find gaps you can find them on a scanner you can find them on yahoofinance.com most stocks that gap have earnings although not every stock that gaps has earnings some are news gaps you can find gaps so many places okay it's not hard what is challenging is picking the right one to do narrowing it down and having to focus on one and then determining the directional bias right and then on top of that make sure you get a good entry because if you don't get a good entry then you could you can miss basically a huge percentage of portion of the move like actually this here let me go back to the AFSI let me go back to this this this this collapsed this open here up here at 26 do you see where this even set up in here it was down more than $2 over since that oh I just keep getting a noise can everybody hear me I don't know why I keep getting a noise do I still have sound on you guys I just keep hearing a bleepy thing am I still connected to hacom hello hello I keep hearing a noise it looks like pippy long stocking asked a question I don't know why that was a bleepy noise there maybe it's fine oh okay um I forget what my train of thought was here on the AFSI oh if you don't know what to watch then you miss the you miss the big momentum in here but sometimes even in this case here I don't know how it fell you still gotta catch it so if you're watching on your scan or like after 10 o'clock you often can lose or miss the move pippy long stocking is asking about the selections you notice that most of the gap stocks don't have liquid options any thoughts on that I'm day trading pippy long stocking I'm not doing options trades every day the options is another way to play I miss them but that's not what I do daily so I don't really care about that every once in a while I will do an option or call an option in the option letter or even call it in the room if it does make sense to be honest with you that is usually on very expensive stocks and those do have the liquidity and they do have high volatility for example amazon or google those are the best ones they have about 2 people in the room they just have been doing options for years they prefer to do options and some they do and I'm doing the day trade and some they don't do because it doesn't make sense for them and they don't do anything that day but the system itself is designed to read the gap you can play it as a day trade you can play it as an option you can play it as a swing trade you can play it as a long term investment and the real profitability here if you want the quick cash it really is the day trading it is these moves here these moves that have the specific entries where you're in and out quick and you're not worrying about time value or expiration dates or any of that stuff or even getting filled because even when I'm doing sometimes like google you gotta put the order out throw orders out I just go and I press it with the hot key to fill me with a limit order uh, bogey is talking about a gap right now look at it when we're done PANW you scalp 98% of the time well I don't consider the scalping that's interesting that Pippi Longstocking said the scalping this a dollar move to me isn't a scalp what do I think is a scalp here this is a scalp target's short move today was a scalp you know you could have made 500 bucks in this in 5 minutes but why get out so this is a scalp move to me this is a flush this is a sell off this isn't a scalp and even down to the low here which was 23 this is not a scalp so this to me is what I look for this to me is a scalp and I don't get out these moves this is why like I said this was a loss for the room today except for like you know two people that do scalp in the room but you never get the big big moves if you get out right away every time you see a green bar you're not going to make the big move because this very well could have gone to work and I think it works tomorrow and this is a good example actually the put I called in this the play in target to the downside for the option trade is through the strike it's not for the time value it's got liquidity but it's it's doing it for the for you through the strike and still sees AFSI I have target up I have the target up he's stuck is it am I stuck here there can everybody see target you're all stuck maybe that's what that noise was that was weird so you find gaps and you rate them and you use the checklist and they have to be qualified and the thinking process is first you think it out you decide to do it the checklist tells you what to look for in the price of the stock and that's how you know how to do it and that's how you're making the money and that's how you get the conviction gaps happen every day you get tons and tons of gaps every day both bullish and bearish someone asked about the longs yes you can go long you can use my system to go long if you want to flip it but I don't like to do that every day I prefer to short and you can see why I mean some of these things just go so fast but either way whether you decide to do bullish gaps and use the system either way you're looking to get it with where the power is taking it that's the concept is still the same whether you go long or short you're still looking for the gap to follow through you want the gap to follow through in the direction of the gap okay so for other words I'm not going long target today even if it fails as a down as a short you take the loss you're done boom okay you don't flip it it's annoying when it doesn't work like today because I know that's lower tomorrow but you can make money the next day as a follow through continuation gap or you do a put okay the put was two weeks out March 17th so I use a checklist and this is the thinking it's the thinking that tells me the key to making profits consistently though is having all three the thinking the doing and the believing okay so you think intellectually and process it in a relaxed state when you're not at risk and you're not in any line before the market opens and you're not in any trades and I don't trade the pre-market or the post-market either it's too wild so you have time to work it all out you have time to decide how much you're risking you have time to decide if you really like it if you've got the conviction if you want to do one trade in two trades if you want to do only one thing if you like it enough if it's got the volume you have time this is the process the 26 points helps you that's the thought process you learn it is this going to get moved with the money in the right direction follow through is it going to get the sell off okay is LB going to sell off it gapped down eight bucks how did I know it would continue selling off two or three dollars okay then you do it when it sets up and you don't question it you learn the entries in the class with me it sets up you do it if it doesn't set up you don't do it if it doesn't set up and sometimes it will not set up so you have to know what is the correct entry or not but it's all about learning what buying looks like if you're going to go long or selling looks like if you're going to go short because this is you can't make money doing things in the app as a direction again I talked about the person that went long in the AFSI on Monday that wasn't the right thing to do that person might have made ten cents that's what I consider a scout but it is too too hard to make money trading like that to the tune of two thousand dollars or three thousand dollars or fifteen hundred dollars or thousand dollars or eight hundred dollars because you have to take so much size for to get a tiny dinky rinky dink move that you don't without any follow through meaning fifty cents a dollar two dollars you have to take such an enormous size that you're so much at risk that if the trade didn't work you'd have a big loss so I don't train like that I don't scout I'm looking for a move to me a move is like a dollar or more or depending on the stock it could even be fifty sixty cents okay but understanding how your brain works is very very important we had a whole discussion about this in the room I think it was a Monday it's just so important to have the focus it's what gives me the edge and even if something like Target doesn't work today it doesn't set me off because I know the system works I've been doing it for so long and I understand that a lot of day traders were trying to go long target today for a gap fill play but it was still about being institutional money that's probably why it continues tomorrow you've got to be with that power the power that's moving stocks and day traders did not move that stock really anywhere today they moved it up above so you couldn't make money as a day trade doing it going short but the reality is that when I talk about power it's a big flush like the AFSI like the LB something coming in and literally wiping out all the logs and it gets the flush of the move and if you are doing the same thing over and over and over and over and over and over again every week every day every year and especially in one direction which I do your brain gets into a pattern of behavior that you think it through and you do it effortlessly and then you believe so the believing is part of the whole process to help you risk a thousand bucks or more if you want to do it but even if you don't want to risk that if you want to risk 500 dollars it's still 500 bucks you can still make good money with that but you got to believe in it when you do it and that thinking process the system and following it in the morning ahead of time helps you feel good about doing it and not be under stress where you are not stressed in the moment trying to decide what to do oh my goodness do I go long target or do I short it no it's either short or it's not either sets up or it doesn't it either works or it fails you do it if it sets up you take it if it stops you're out if you're up you get out so it is easy to press the button which is the doing part once you know what to look for which is the thinking but the problem is if you don't know what to look for you are making decisions on the live day you haven't thought through anything you're just doing without thinking you believe in absolutely nothing when I see something I believe and say targets low or boom or I believe in something and say LB is low or boom if you don't know before it goes then you don't believe either way and how can you take any risk at all how can you risk a buck do you know what I'm saying people I don't know if this is coming across but it is very very important and a big part of one of the reasons why I'm successful and I'm successful directing people too because you have to get this in your head right in your mind you need conviction to make money this is the belief this is the belief system if you want to trade effectively you cannot go with a crowd of day traders they are making decisions in the spare of the moment they are not prepped before the open at least not as long as prepped if I take an hour before ahead of time they are not prepped they go with the crowd they would do a trade like target they would go short it then they would slip it along it I don't do that I don't teach people to do that again it either works in the gap correctly for the rating system or it doesn't in the direction of the gap always so going with the crowd as many of you know stink stink stink stink you've got to think of yourself as someone different someone that is going to stand out like this guy here he's amazing and he's very very happy it stinks when he has to take a loss like a day like today in target but he's very happy when he makes three grand in the trade and overall he's winning week after week as you saw the results at the beginning of the seminar you go with it you think it, you do it, you believe in it you process it and you move forward because you can't be like the crowd because the crowd for the most part are whineys whiney losers now anyone have any questions you may have some time here at the end to look at some things tonight so I called the market very well continue to make new highs I don't know where we go tomorrow we were a little bit red here into the close today but I did call this very well and my edge in reading gaps is one of the reasons I was able to call this market higher in fact if you look back here the market has gapped up literally almost every day the whole month of February so we gapped up here this is the beginning of February gapped down, gapped up gapped down, rally, gapped up neutral, rally, gapped up rally, gapped up, rally, gapped up gapped neutral, rally, gapped up gapped down, rally, we rallied actually I didn't clip this to the end of the month but we rallied or gapped up almost every day in the month of February that's insane people that is institutional money moving the market higher you can't even question that and there were people that were short the market in here that got stopped there were people that were short the market in here that got stopped I think there were people that were even short the market one day last week I forget the day and then we moved up higher again I don't know where we go tomorrow every day is touch and go just up up up but I will tell you that this was hard to read I did it very well many people didn't think we were going to continue higher Friday I called the market higher and that was a crazy call because we gapped down and we had been up for so many days we could have fell and we didn't you've got to understand what's going on here the market's getting bought and if the market's getting bought you're not going to make money shorting this or anything that look like this or the QQQs but you could have done bullish gaps in the market someone said about going long you could have gone long in the market you could have gone long in the market in options in swing trades and in the gaps opportunity sets up daily in gaps you've got to look for it again I prefer too short now this was an option someone was saying about options here was a good one this was back from before awhile ago this was one here just a quickie just a quick quick one that worked like in two days okay you could have bought it this is the price of the option at 2.75 and sold it you could have actually sold it at 6 but the entry I gave for the room and everybody was 4 because it was in the morning with the day trades you could have made 1.25 this is a good trade 650 bucks if you risked 1375 and you actually could have made more if you held it but again if you're up and you're in an option trade and you're day trading the same day is a lot going on because usually the volatility in these happens between 9.30 and 10 as well the same time as the day trades so you can go along bullish gaps and you can make money doing them but most of like I said the options we do are the with the volatility the target put is through the strike and so every penny through the strike in the put and target you're going to make money any questions so far with anything here any questions so you move forward when you know what to do that's how you were in the money knowing how to do it helps you to do it and then once you make money it helps you believe so my strategy is called golden gaps I've been saying this all the whole time here it's one of the reasons that it makes it possible for people to trade because it would be very challenging I think to trend trade and make any substantial profits particularly the way the market is so volatile I think years and years ago when the market was in a very bullish trend like in the 1990s it was easier but you know you really got to know what you're doing anymore for trading particularly for day trading you got to read stuff right you got to know how to read charts you got to have your pick ahead of time and if you want to consistently make a lot of money in the market the only way that will happen is you're trading with a focus and I think it's important to use one strategy and you have to have all these three things in place you think it through, you're prepped ahead of time you do it in the live day when it sets up and you believe that it's going to work you don't have a negative attitude having a negative attitude doesn't help you and it doesn't help you succeed so what do I teach in my course it's this weekend Saturday and Sunday a 26 point rating system the course also teaches you how to enter and exit the stock on the day the course teaches you price analysis and technical analysis on an advanced level and you will learn that from me I have people that have been with me for the year that are still learning, they're making money with me but they're still learning every day I teach the strategy I prefer to short I teach you how to read support and resistance in the right direction mind you I teach a proficient and advanced way to read charts it's focused on technical analysis and gaps in your training and the market and the idea that you can actually do this and you can make money and you can do it consistently and it's not about having huge wins and you can have a lot of losers but you will have some and as I looked at the results it's okay, you still make money if you have a couple losers in a month so you still hold the conviction and the belief system and you follow the system every day you do the prep work and you do it with a factor in your training one of the reasons I also like gaps is because they set up so fast again some of these things follow through you could have shorted target later in the day today but it didn't have a big move and I like to be in and out quick so if you want to do this you can, you can do it from home you can be anywhere in the world you don't have to live in the U.S. time zone I focus on is between 9.30 and 10 a.m. eastern time for the setups that's when the market opens at 9.30 like you need out when you're day trading 500, 600, 200, 1,000 300, 2,000, whatever you're in you're out whether you're doing the options of the day trades you chunk it out and that's how you pull together the profits you won't get home runs in every trade that you take you can't have a lot of losers you gotta be there every day to see what's good you don't know something could be good tomorrow morning and we won't know it'll be get up and see it there might be nothing good tonight it might be tomorrow morning it is about having the 100% conviction you have to have the belief system and the strategy you have to have the belief system in the market you have to have a belief system and this is very important I'm gonna say this you have to have a belief system that there's a reason that something is happening that you can predict that there's a predictability about it that you can do it and you're not put off with the fact that one doesn't work like today I know that's gonna go tomorrow at target and actually the market probably breaks tomorrow I'm not saying it does for sure yet there's a gap in the morning but that will probably help that go as well so empower yourself to trade today the class is called the golden gap course and I teach it this weekend it's a full two day course and how to strategically find pick and play stocks that are professional bearish gaps retakes are free once you sign up to the class you can do it you can be anywhere in the world the class is online and again it's this weekend from 9 to 5 it's a bearish class the cost of the class is $49.99 if you want to try out the trading room this week email me at Melissa at stockswish.com you'll be in the room Wednesday Thursday Friday three days left March 1st is tomorrow it's hard to believe it's hard to believe it's March already and this was a testimonial from a student he this was a testimonial from him he was a dollar eight away from making his goal this he wrote this on Friday I have to email him tonight where he ended up he is a new student he did the class I think in January and he's doing very well he goes by Chinchilla does anyone have any questions for me as I'm going along here so I'm doing a special to help people this week for the March class starting tonight you can sign up Tuesday night Wednesday Thursday Friday is the last day as I talk to people as I'm helping people again I have a student here the feedback I get from the room it seems that no matter what level people are on whether they are a new trader completely new or whether they've been training for years but new to gaps that people really feel like they need or want the support system of the trading room so I'm offering the trading room free to the rest of the year for anyone that signs up for the class in March this weekend that is a long time and a lot of time for you to be in the room and get my calls I listed that I just went back and listed at the beginning I know that the room is a support system for people you still have to listen to what I say you still have to go through it and I think rate the gaps yourself take it through yourself do it yourself obviously you're pressing the buttons and also get out and you also have to believe that will determine along with your account size your risk but you know I've been doing this for a while and it really feels like the best thing I can do to help people is have the support system of the live room and the rooms had a great month I mean even with Target losing today it's been a good month for the room so you've got to believe in yourself to get things done and to do it any questions from anyone at all any questions if you want to try you can email me at melissithestockswish.com you can email me at info anyone want to go over anything now I'm going to look here at let me just pull up my charts I'll look here at the WTW it was the one watch I had but I think it's gapping write any questions you have in the room we're going to look at some live gaps here tonight and we'll look at the spiders here too oh something's up tonight the market is up tonight something's up tonight that's moving the market up does anybody know we just got a pop here because we didn't close like this when I looked at this before can everybody see the charts gosh we might be hired tomorrow this is craziness let me look at the keys maybe we won't pull into tomorrow we may hold again something is giving this market a pop State of the Union he's not talking yet he's not talking at 8-9 o'clock or whatever he's not on this said State of the Union maybe but it's not election night it wouldn't happen before no I don't I mean there's no he didn't talk yet alright let's look at WTW this I do not like I don't like it at all it's kind of a bust for me here I wouldn't go long and I wouldn't short it what was the other one P-A-N-W-M don't think there's anticipation of him saying morning if there's a positive sentiment who knows look at this holy guacamole gosh this is expensive though this is gonna have a big stop well here it is here I didn't look at the daily and I'm too tired to rate this now it's 530 and I've been talking all day but let's look at this this is gonna be wild first of all it's 530 and this could open completely different than it is right now tomorrow morning between now and 930 is 100 years away from where the stock could trade look it just this just happened what time did it report it's too far to even look at this 4 o'clock it's still selling off so from in the last hour and 26 minutes the stock has collapsed through the floor of the earth and between now and 930 gosh does what it could do it could drop down to 115 it could rally back to 130 this is like too early to rate it something like this I would just wait to look at it in the morning but I don't know how this will rate because I don't know where it's gonna be in the morning it may not be looking like this it may look better it may look worse I don't even know what this would rate like this but even if this works here tomorrow even if it rates good it's gonna be a wild ride I don't know I'm looking for something better than this tomorrow I'll definitely rate it if you're a student here tonight you can rate it if you want to but this does show you here the power of the gap itself I mean the move from the close in this to where it is at now here again I didn't rate it I don't know if it's a long or short I don't know what it is I did not rate this I'm too tired I like to look at stuff when I'm fresh and have a good night's sleep in the morning but this is something that you could rate and would rate and could rate good I don't know but I'm not sure where it will be tomorrow this is wild this could be at 110 tomorrow that's how crazy this looks look it just dropped 30 points in an hour but this does show you the power of institutional selling because that's what you got here people now whether or not it falls through in the live day or not will determine by the rating system and you have to see where it's at in the morning because I don't know this could do anything it could drop another 10 points this looks like a wild one so that's a watch anybody want me to look at anything else before we go here tonight good class today I hope you learn something you know the market's up tonight Smith thinks it's because Trump's gonna talk I can't argue with you Smith that the market overall has loved Trump loved him the press doesn't love him but the market does so here you go I mean anything could happen tonight will I be able to sleep tonight I can sleep every night I could fall asleep right now I never have problems sleeping I need a piece of chocolate and fall asleep immediately I could have caffeine and go you know you don't follow fundamentals as I don't either this is Pippi Longstocking no I don't I wouldn't have time then I would never get any sleep if I had to read the fundamentals in the morning I wouldn't be able to have time to do anything oh Pippi Longstocking is saying he's supposed to announce budget plans and probably talk about the wall Smith is saying it could be a leaked speech you guys must be on twitter because I can't see any of that right now because I'm talking to you I don't know if that's true or false I don't know let's just go with it let's get up in the morning and rate the guy see he was saying what's your risk to your ratio to three my goal in every trade is three but I don't hold every trade to three and not every trade goes to three and if your risk on the day and your goal is in and it's not a three-hour risk then you get out at your goal I'm talking about your monetary goal I did a whole lecture on this with Gala had two weeks ago whatever and I do talk to the room about this it's not about I want to see that it has the potential to drop like a brick and be a three-hour trade but it by all means does not mean that I'm holding it so many of these do go and end up being three-hour trades but they may take longer than 10 o'clock to hit on through and will I be in them? No so you have to determine your own money management and I believe that a lot of that has to do with your personality for me I'm an impatient person and I understand it about myself I want to make sure I'm out and I cover because if I'm up money and I'm up my goal in the day and the stock pushes back against me and we're in a bullish market which we are it's never over to the fat lady sings and I want to be out more and more in the longer I trade I'm not overly concerned about how many risk units the stock goes and I've started to talk about that less and less what I do believe is extremely important I'll say this one last thing I'll let everybody go is getting it right a lot which I do so if I'm consistently picking the right stock to short it doesn't matter whether it goes three hours or one hour or two it just doesn't because if you've got more wins in a high percentage win ratio like 84% like I showed you earlier it doesn't matter if it goes three hours or two hours or one and a half or a half if you don't have the many losers and you're winning you should be up and the options I tell people to kill them at half loss they usually run into the money right of ways or you kill them with a half lot we can talk about that more later alright good talk tonight have a good night stay up all night and watch Trump I don't know what happens to PNW this was a crazy one and now who even knows because of Trump and the talk and the market who knows have a good night I'll see you tomorrow WTW is a botched PNW is a watch email me if you want to try if you're interested in the class email me if you have questions email me and I'll see everybody when I see you have a good night you're welcome