 firm that empowers traders with a complete and detailed system to become profitable traders. Melissa Armo graduated magna cum laude from Gettysburg College with a BA in philosophy and a minor in Latin and political science in 1994. She was employed with several banks and brokers in Pennsylvania, Florida, Arizona, and New York as a mortgage broker for 17 years. She changed careers from banking to pursue a security-treating career in 2008. A self-taught day trader with seven years of experience, Melissa's specialty is a trading strategy that focuses on shorting stocks that gap. It's now my pleasure to introduce Melissa Armo, founder of the stockswoosh.com. Hi, everyone. Welcome. Let me know if everybody can hear me. Also, let me know if you can see my arrow and the slide. Wonderful. Great. Thanks so much for having me, Darla. I appreciate everyone coming today. I'm going to talk today about one of my favorite topics, which is day trading and just trading in general. Today, I'm going to talk about how you can make over $100,000 a year trading if this is actually something that you want to do. It just so happens that the strategy that I do myself sets up very quickly into the open in between 9.30 and 10 a.m. Eastern time. If you would like more information, you can always reach out to me at Melissa at the stockswoosh.com or Paul Lange, who works for me. You can email him as well, and you can also call me. I have a lot of videos on YouTube if you want to go there and follow me as well prior webinars. So tonight, we're going to talk about breaking it down, how you can make six figures a year doing this if you want to do it for a career, and also day trading, what it takes to be a day trader, and how can you make this kind of money in 30 minutes. And then, of course, we're going to talk about the strategy I train, which is gaps. So let's get started. Any questions? I can see them right in here. As we go along, I can try to answer the questions tonight as well. So a lot of people come to me and they want to learn how to trade, and they want to trade for a living. So there's unlimited profit that you can make in the market, but it is a factor of how much money you risk. So we're going to talk tonight about what kind of money do you need to risk to make $100,000 a year, and also the strategy that I personally use that you can make this much money or even more. It's all the same strategy. You can use my strategy for day trading stocks straight out, right day trading equities, or you can do it for day trading options, or you can just even do overnight options. It's the same strategy, which is gas, which we're going to talk about. So it really is a function of when you want to make this kind of money or any kind of money. Let's just say your goal was more than this. Let's say it was less than this. It's a function of doing one thing and being very focused. You've got to have limited losses if you want to be a profitable trader. So that is a function of discipline and focus, and also having a good system. Some days I get up, and if I don't have my criteria in the stock that I'm looking for, if I can't find it anywhere, then I don't trade. And again, that's a function of discipline. It's not over trading. One of the things I think is good about my strategy as well is that I don't trade the afternoons. So I literally am looking for a very specific time of the day in the morning, and I take the trade, if it sets up, I do it in that timeframe. If it doesn't set up, then I don't do anything at all. A lot of traders, day traders lose money as they trade all day long to four o'clock. I don't do that. And I also say, don't be pigish about your targets. You're just trying to chunk it out and make whatever money you're trying to make in the move that happens in that first 30 minutes. Sometimes it's a big move. Sometimes it's a small move. Sometimes it's a medium move. But really, if you're trying to make $100,000 a year, your weekly goal is only $2,000. And $2,000 is very reasonable. It's very reasonable. You're risking between $300 and $500 a trade, which is considered an intermediate risk. That's what you would need to risk in order to make $100,000 a year. Now, what does that translate to? What does that mean? Before we actually talk about the trades themselves, I want to talk about share size. So how do you break it down? If you have 1,000 shares, now I'm talking about day trading, for example, if you would short a stock, and if you'd short a stock with 1,000 shares and a stock with 50 cents, how much would you make? You make 500 bucks. If you short a stock with 2,500 shares and it moves 50 cents, what do you make? You can make $1,250. This is more than half your goal for the week that you can make just in one trade of a move of 50 cents. And this is very reasonable. So many stocks move way more than 50 cents, way more than 50 cents, particularly in gaps, which we're going to talk about a little bit, and also particularly into the open in that first period of the day. But to be honest with you, I'm looking for a dollar. I'm usually looking for a dollar move or more. So obviously, the more size that you have, the more you can make with 5,000 shares, and the stock moves a dollar, you can make $5,000. So this is what you have to look forward to once you get good at actually trading, because you can obviously make way more than $100,000 a year. But it is a function of the size, of the share size quantity. You have to have good money management. I think this is really common sense. Paul, who works for me, is very good about that. And I also use stops. And we'll talk about this when I show you the charts and the trades today we're going to review. I'm big on stops. I've always used stops. I'll take a position and something with a, I'll take an 8,000 share position and something to use a stop. And I'm trading stops with volume. Okay. So stops work. They protect yourself. If you don't have a stop, you really have essentially unlimited losses, which I don't suggest for anyone, because you can give profits back too easily if you have unlimited losses with no stops. So it is about the focus. The focus is on the quality, not the quantity. Usually I'm looking to do like one, maybe two, but usually one trade a day is all you need. And also that limits your losses too, because if one trade doesn't work, big what? Okay, one trade should not be the end of the world. Does anyone have any questions so far? So again, common sense is what? How do you hit these numbers? How do you chunk it out? You have to have consistent wins. You have to have not that many losers and your losing trades can't be bigger than your winners. And so how do you limit your losses? You use stops. You have a set amount of trades that you're taking per day. You don't go against that. You only trade in that first 30 minute period, unless something's still going. If something's still going past 10 o'clock and I'm still in it and I'm making more money, I'll follow it through. But you're really looking to get in the trade between 9.30 and 10. And then when I do options, which we'll talk about a little bit here at the end today, when I do an option trade, I have a fixed risk. So all I would lose in an option trade if it didn't work would be the amount of the cost of the position. And again, that helps too. So it is very realistic to make this kind of money. It's just that many people do not have a good system. They are not focused. And a lot of day traders that I talk to, don't use stops or scared of stops. People are afraid of stops. They think that if they put a stop and they're going to get taken out, it's going to whip them on out and then go on to work. You have to just learn where to put the stop. That's all. You just learn where to put the stop. And so it's something that it's very simple that you can learn. So let's start looking at some charts. So as I was saying, my strategy is gaps. And I termed my system, the golden gap, because it's like finding gold in the market when I find what I call a good one that I want to do in the day. And I'm only looking for one. I will tell you that I prefer it too short. Most of the days in the market that I'm day trading, I'm shorting. Now, that's not to say I'd never go long or to go over one or two longs today, but I do prefer to short. And the reason I prefer to short is because down moves happen quicker and faster than up moves because panic comes into a stock faster than someone decides to buy it. So let's look at SWHC. SWHC is a daily chart. This is a daily chart. I'm looking for the gap on a daily chart. Now, if you don't know what a gap is, I'm going to teach you here. Go back. This was the previous day. So at four o'clock Eastern time, the U.S. market closes, and here, I lost the pointer. There it is right there. That's the close of this bar here in SWHC. Then the stock opened at a different price in the next day. It opened down here. You see this? The difference between the close and the open is what a gap is. That's it. That's all that a gap is in simple defined terms. Now, this amount of the gap could be any size. It could be a dollar. It could be 50 cents. It could be 10 cents. There's no percentage or size that it has to be. But what I do is I see the gap in the morning pre-market or sometimes at night, post-market, and I'm looking for the gap, and there are many reasons a stock's gap. Now, I look at it and I rate it per a 26-point rating system to determine if the gap's going to keep going in the direction of the gap. So in other words, if I see a gap down, I'm looking for it to keep going down. If I see a gap up, I'm looking for it to keep going up. Now, what's a gap up? I'm just going to go back here. I didn't do this one. But the stock gap up here, it closed here, and it gap up. You could have bought the stock on this day here as a gap up. So it closed here, and then it gap up. So this is a close, and this is the open. 4 o'clock, 9.30. Remember, this is a daily chart. Now, is every gap in the direction of the gap work in the direction of the gap? No, no, no, it doesn't. So it's about finding that very, very specific one. And really what I'm looking for is I'm looking for institutional money to follow through on the gap. I'm looking for banks, hedge funds, big position traders. Again, I'm trading stocks with volume that get playing on through, and they move. Typically, the stocks that I trade move a dollar or more on the day. And so I'm looking for an institutional really sell-off in a gap down, which is what you saw here in this one here. It was a good one. The red bar down depicts the sell-off on the day. So if you short this right in here at the tippy-tippy top, that's how you're getting the money, that's how you're getting the move. Now, let's take a look at it. So I'm picking and choosing which stock I want to trade based on the gap on the daily. Then I'm waiting. I never get anything in the pre-market. Why? Because again, you don't have the same defined level of risk where you can put in a stock in the pre-market. So I wait to the open. Stock has to sit up. I want to see what stock open. Here we have one-minute chart. So I'm taking the trades in the one-minute chart. I'm very nimble. I'm trying to get in and get out into the morning. So this is a one-minute. Here's the stock open, dropped. Rally. This is a weird-looking neutral bar here. Dropped. Boom. You could have shorted this right here and gotten immediately out. Now, this is 931, 932, 933. This is a couple minutes into the open, people. So do you see what I mean here about the 30 minutes? If you find a good one, a good gap, you can get an immediate sell-off in the case we're looking here again as a short, because again, you have bullish gaps too, but we're talking about shorts right now. So you can get an immediate sell-off in here very quickly. You don't have to hold the trade all day. Now, in this case, it did actually keep going. You could have held it longer. You can see here was around 11 o'clock. So you could have had it longer. I usually don't. I usually don't. I'm looking to get in and I'm looking to get out very quickly. That also helps to protect the profits. So I'm looking to get just that move, the quick move, the very concentrated move in the sell-off. And this is a big move to happen right here in within three minutes because you literally took the trade here and then you could have gotten right out of it here. So bottom line is this moved and it moved big. So if you would enter the stock, shorted it. Again, we're talking about shorts. At $26.20, stop was $26.45. So you would have taken the trade here and you would have put the stop over here. Okay? And if the stop would have gone over this number, then you would have lost. The risk amount in this is an advanced risk of $1,000. This kind of risk is even if you want to make even more than a hundred grand a year. But this is where you can be headed people is what I'm saying. You get to the point where you're really good at something either and you can hold it longer and make more money or B, you can risk more and get in and quickly get out. So total profit on this. Nice move in this. Again, you don't even need to hold this all the way down to the low of the day. You don't even need to even worry about that. Another nice thing is you don't need to worry about the market. The market's been really back and forth, back and forth now for the last few weeks. People have been getting chopped up. I'm talking about the overall direction of the market. And if you are needing a strategy to day trade where you've got to have the market with you, you've got to get the market right. And it's been hard to read the market recently in the last few weeks. So anyways, the risk in this was $1,000. Total profit, what? Two grand. $2,000. Okay? Any questions about this one? So again, in this case here, you could have done this one trade and you could have made your goal for the week in one trade. Obviously, if you get other good ones during the week, you could keep trading. But I'm saying here, this is very realistic to do. And this is again, not some piggy target. You're not being even in it all day. I'm looking over here. I don't see any questions. But just let me know if anybody, if anybody does, I have the question bar open. So next thing is going back to what I was saying, why do these have such big moves? Because panic comes into a gap. Conceptually, common sense tells you if you're in a stock, okay, and you are up in it, and you are all of a sudden then down in it, what would you do? You would panic. And the right thing to do what most people do is sell. Now, not everyone does, but most people do. And so when you are making money to the downside, you're really shorting selling action. The beauty of what I do is that I'm looking for one specific gap or stock pick each day to only do one trade. And that's where you limit your losses. And you're also looking to have that momentum, the momentum that comes into the open. Most day traders don't even do anything until after 10 o'clock Eastern time. They're waiting to see the trend of the stock on the day. They're waiting to see what the market does. They're waiting to go and scan, scan, scan for the first 30 minutes. I know by 9.30, A if I'm trading or B if I'm not even trading at all. I know for something good or maybe there's nothing that meets my criteria at all, and then I won't even trade. Okay, so I'm not making these quick moment decisions on what stock I'm doing. I have it all laid out. I've everything situated. I either know which one I like or I don't. But I still don't take it until into the open. Okay, when it sets up. So here we have one here, SKX. Here's another one. What is this? It's a gap. Again, what is the gap stock closes here? Gaps down. Boom. The price here of four o'clock of this stock close is different from here. And now I remember why this, this one gap down gaps happen for many reasons. Could be news. Could be something like what's happening with the Wells Fargo situation. Could be earnings. The stock could gap down with the overall market. Okay, so there's many, many reasons a downgrade. Okay, many, many reasons something could gap. So this gap down. So you don't know that this is going to happen. What I do is predict. I predict before this happens, before the market even opens, before the stock even trades that I like this to short, and then I'm watching it, and then I'm watching it to do it. Okay, so then I get the confirmation once the stock opens and trains and sets up, boom, then I'm in. So here we have, again, I'm taking the trade. All right, and I'm putting the stop on the one minute chart. So the stock open dropped, had a little green bar here, had a red bar here, boom, you're in, stop over here, you short it. And again, you see this down here depicts volume, and you can see the volume here, and the stock dropped immediately. So as soon as you took it to drop, and as soon as you took it here, look at the move it had. So all of this, you see the time of the day, this is the open here, here's 10 o'clock. Do you see all of this in here that's happening within the first 30 minutes? Now, of course, it did keep going, you could stay in it longer, like I said, if you want to, but things wiggle and jiggle, things wiggle and jiggle after 10, and this is all you need, people. This is what I'm saying, this is all that you need. Okay, this is how you can make a living doing it, is that you can make more than enough money doing it. Day trading is about chunking it out, you go into the market, you just pull out the money that you can for the day, whatever that money money is, and if you are very disciplined like I am, and you have a certain timeframe that you're looking for, I mean, I have targets, but I'm really looking at the time of the day and the targets to pull out the money that I need. And that's how I protect myself then with the profits, and then you have the consistency. It's always that with the time of the day and the move. So entry in this, again, this is a short, as I told you I like to short, entry here $22, stop $22.45. What does that mean? That means the risk is 45 cents. So 45 cents is your risk. So you would size yourself accordingly. Share size for an advanced risk in this is what? 3,000 shares, risk $1,350. Total profit, this is not, this isn't even anywhere near, anywhere near the whole move. This is just the first sell-off. You could have made $1,260. You remember that chart that I showed you at the beginning? You're up $1,000 or more. You could take it. You're up your half your goal for the week, your goal for the week, and you can take it. I mean, no one said you have to hold these things all the way down. No one said you have to hold the trade at 10 o'clock. No one said you even have to trade all day at 4 o'clock. That is a misnomer. I tell you, I really started, when I started out eight years ago, I started out trading and I taught myself and created my own system. I tell you, one of the best things I ever did was stop trading after the morning. It was just, if someone had told me when I first started out not to trade all day, it would have made a huge difference in my life back in the beginning, but no one told me that. It is so important when you make money to market to stop. And when you make it so quickly, so quickly, and it gives it to you so quickly, it's less is more of the idea. You make more by doing less. Okay? Unless it refers to size. And that's all you need to do really to make more. You just risk 3000, 4000, 5000. Okay? Now, here is another one. Again, this just went ridiculous. Some of this went past every target, went to the dream target HRB. Again, completely different chart. We're still looking for the same thing. We're looking for a gap, but the gap has to rain per my system, as I was talking about, which we'll talk about more at the end. It's a 26-point system that tells me it's a short because it might have been long. It might have been a long, but it wasn't. It was a short. So it was a pick. So the stock closed here, gap down. Different price here from the close to the open. Here is the sell-off. This is what I'm talking about. Here's the panic action. And I love bars like this when you see this in the charts. So the stock, here's a one minute, closed here, gap down, dropped, rally, boom. Short it, you're in. This was a bleeder. I don't even know where everybody got out of this a different place. You could have held this into here, got out. You could have held this into here, got out. You could have held it all dead. This was one of those ones that just bled all the way down. But again, you're looking to get into it in the first 30 minutes, and you're really ideally looking to try to get out within this period here by 10. Okay. So what was this one? Again, you can risk whatever amount you want. But if you're going to risk to make at least 100 grand a year, you've got to risk between 300 and 500. You don't have to risk $1,000 or more. I put that advanced risk because I'm risking between 1,000 and 1,500 in my trades. But this example here shows what you would be to risk if you really wanted to do something like this. But this was, this had just moved huge. I mean, it had a $2 move. Now, even if you only held this a buck and you had 2,500 shares, your risk was 525. Even if you only held it for a dollar move, you would have made your goal for the week in one play. And if you had held it down all the way down, again, this bled all the way down and moved more than two bucks, you would have made your goal for two weeks in this trade. You get these kinds of moves in quality gaps, but you have to know what to look for. And as I was talking about, many, many people aren't even looking or scanning or finding HRB that are day traders till between 9.45, 10 o'clock. So I'm in this here. I could be out by the time that many, many people are finding this on their scanner that is weak. See the city advantage, the advantage of the prep work in the morning. Let me just see a question here. Let me just go back. I have to scroll up. You heard most of the time the gap will be filled. That's incorrect. How you pick stocks and determine the lot size and stop loss price. Which day is better for that, like Monday or Friday or ending else? Okay. That was a bunch of questions there. As far as day trading goes, Mondays are slow days. Personally, I don't trade in a Monday. I don't trade in a Monday. I haven't for most of this year. I've just decided not to do it. I've decided to step up my risk. And I'm also doing options now. And I don't like trading in a Monday. Why? You don't really get that many gaps in a Friday night. So all you have in a Monday is whatever you have Monday morning reporting. And I find it's the slowest day of the week. So me personally, I trade Tuesday, Wednesday, Thursday, Friday. Mondays are slow. The room is open. I have a trading room. Paul trades in a Monday and he sometimes finds something. But other than that, Tuesday, Wednesday, Thursday, Friday are good days to trade. So it's just the Mondays are slow. The idea of gap fills. I'm going to show you Oracle here. I'll show you the gap fill. Here. I'll show you. Well, here's who can do this one example right in here. Let's talk about this. There's two. One here. Oracle is a better example. I'll show you why gap fills don't work. I won't forget that question. Let me go get to that when we get to the Oracle. But I will talk about it here. This was a gap up. Remember, I prefer to do the shorts. But this actually was a good one. So the stock closed here the night before and gapped up. Someone was asking about the gap fills. If you thought this filled the gap, you lost money on this. Because if you thought it filled the gap, you would have thought it would have dropped into here into the support. It didn't do it. What did it do? It actually held here, held the gap up and rally, and it was a long. So you would have rated this gap as a bullish gap. It either meets the criteria to go long or it doesn't. You don't short this. The idea of gap fills doesn't work. And I'll explain why in a minute when I get to the Oracle. But this was one you might have thought that too and then you lost. Is that why this went so monstrous on the day up? Probably also why this went like a crazy person. Because some traders did attempt to probably short this. Thinking it would do that. Where? They may have shorted it right in here. Stock rallied. You could have gone long this here or here. Some people probably shorted this in here. Never broke the low. Set the low of the day into the open actually. Set the low of the day into the open in the first bar of the day. Boom. Anyways, it was a long. But some traders probably did try to short this and where did it get stopped out here? And then sometimes people even try to short it again. But it never filled the gap. And that isn't a criteria that works. And I'll talk about that more later. But anyways, here's the long in this. So again, you're still looking why they do a long or short. It's still a gap. You're going with the gap and the direction of the gap just got bought. Huge move on the day in this. Huge. Okay. Did not fill any gap and kept going. So this is an advanced risk. Again, 2,000 shares. This is nowhere near the high, by the way. This is just that immediate first move. Because it's typically what I do. You could have made $2,000. Now, what if you risk 500? You could have made 1,000. Still have to go for the week with a $500 risk. So you don't even need to trade five days a week. So that's why there's no reason to panic. If you get up on a Monday with nothing to do, don't trade. You don't get paid as a trader going to your desk every day. You don't. If there's nothing there to trade, you won't make any money. In fact, you'll lose. So you don't do anything. And you don't even need to trade five days a week. You don't even need to trade four days a week. You need to pick out the good ones. You can make your goal for the week in one trade. You can make your goal for the week in two trades in a slow week. And then you'd be careful and you don't lose or you don't trade. You don't get anything good. So it's, again, it's about understanding what you're looking for. Following the system, you've got to get it right into that period. It's got to be between 9.30 and 10. It's got to meet the 26 points, which you're going to talk about later, or you're not doing it at all. I think the next one's Oracle here. We'll get to the Gapville idea in one second. I won't forget. Anyways, here's this A&F. A&F, another good one. Closed to your Gap down. Boy, these retailers are getting crushed lately. So look at this one. Fell off a planet. Continue to fall. You could have done this as a swing trade or an option trade. Not only could you have shorted this as a day trade here and made good money, you could have followed this all the way down. This broke. This closed the night before up here at 23-something. Open the next day. What? Under $20. I ended up in the morning. You would have saw the Gap. I think this was an earnings one. You would have seen it. You would have rated it. You would have said, I love this thing. Let's see if it sets up. Boom. It did. Right in here. You're in it. Drop. You could have got out here. You could have shorted it here. You could have held all the way down. You could have shorted it here. You could have held it all the way down. Again, look at this. This is what you're looking for. You are looking for this time of the day. This is the time of the day that if you ran a hedge fund, let's say you ran a hedge fund. Let's say I ran a hedge fund. Maybe some day I will. And I say, you know what? These earnings were a piece of crap or whatever, whatever. I don't like it. We're at, you know, this thing, enough of this thing. And so you decide, you're going to dump it, so you dump the shares that you own into the open to get out as quickly as you can immediately, knowing that you don't want it anymore. Not even carrying where it goes or what happens today, tomorrow, whatever, later in the day. You want out. You didn't like whatever they said, whatever, whatever it was. I don't look at fundamentals, but other people do. The people that I'm looking for to move the stock are looking at those things, so I don't need to. What I'm looking for is the price, the price of the gap. And then I have a 26-point criteria that I look at the daily chart and I rate it. And that's how I'm predicting that XYZ number of funds or whatever are going to sell this puppy. And they're going to make it drop on the day and drop on the day big time. And again, it's not even about getting out of the low of the day. It's about taking size and it's about getting the right entry and putting in the stock and taking it down. This really fell off the planet. Advanced risk in this, $1,120 bucks, share size $4,000. You could have made a buck in this. You could have made over $4,000 or whatever share size you had. So what if you only risk $600? 500 bucks. Either way, you could have made two grand in this. So again, that's your home goal for the week in one trade. Now, this is what I want to go over about the gap, though, because this is a, oh, this was just a good example. In fact, I talked about this. I think I have a video this on YouTube. Oracle closed here the night before. Then it gapped down. It gapped down to support. It was like hovering in this area in the morning. I looked at the gap. I said, Oracle is a short, but some traders thought it was a long line. They thought it was a buy-in to support to fill the gap up. And it did have a very strong bar the day before. I mean, no one could complain in here. This got bought here. It got bought here. It got bought here. How do I know? I can see it. I can see the price raise. I can see the price rally. I can see how it rallied more than $2 since the bottoming tail that happened back in here. And that's exactly where the stock went to. And yet it did not hold. It did not hold. It did not hold. It did not get bought. It didn't fall through higher. It didn't fill the gap. It didn't fall through the buying that it had the last week. Do you see this? It made this top detail thing here, and then it broke. I waited a long time in the stock for it to go. That's how much conviction I had in it. But day traders went long this for the reasons I just described. This was not a gap fill to do. Gap fills do not work. Again, going back to the idea of institutions. An institution isn't going to say, well, I'm going to buy this here because it's going to fill the gap. That makes absolutely no sense. If you went and had an intelligent conversation with someone that ran a fund or a bank or a professional trader, that would not even make any sense to them. They would say, what are you even talking about filling the gap? What do you mean? People are analyzing price. They're analyzing price, which is what I do. It's being some advanced technical analysis. I'm a chart reader. I read price. I read price action and gaps, and I make the predictions, and then I take the trades. People look at real fundamental reasons for why they have a long bias for a stock or a bullish bias for a stock or a bearish bias for the stock in which case they would sell it or short the stock. You have reasons you do things, but it's not based on a gap fill. That strategy in and of itself has no intellectual meaning, and it does not consistently work. This is one of the reasons I will tell you that I ended up having to create my own system eight years ago because so many things out there about gaps are false. Even to this day, it's so hard. This is why I have such a niche. This is why I'm making money in the market. This is why I will short or I will make money and we're pulling it and taking it away from people that are going long. They're doing the wrong thing, but I'm playing with the big money. How do I know? Because you can see. You can see what the stock did in the day. It dropped like a brick. You have to play with that institutional money. It's so easy to make money if you're with the right side. You don't have to do anything but take the trade and put in the stock and let it move you, as you can see. But if you're on the wrong side, it's stress. You lose. You question yourself. You don't have confidence or conviction of what you do. Some days you win. Some days you lose. You're either down or you're breaking even or you make a little bit. You never really get anywhere. You definitely don't make $100,000 a year. You have to believe that what you're doing actually makes sense. What I do is very, very much based on common sense. Gap bills make no sense. I know people teach it. It doesn't mean it works. People teach things all day long that don't work. You've got to think about your opponent in the trade, but you also have to think about who do you want to be with. I want to be with the rich people. I want to be with the money people. I want to be with the people that have millions of millions of millions of shares of Oracle. I want to know what they're going to do with it. My gap rating method, which I use pre-market or post-market, like tonight for stuff that's reporting right now. You could rate tonight. You write a trade tomorrow. The bottom line is, I want to be with those people, the people that move stocks, the people that have money, that are invested in these companies. They either sell them or they short them or they buy them, but those are the people that I want to be with. That's how I'm going to make money. If I don't see it on a day like I said, then I don't do it. Anyways, here was Oracle. Here you can see. You can see how long is held. This is the low of the day. I was in the short. I was in the short waiting, waiting, waiting, waiting, waiting, waiting for it to break. I lost patience in this. I did not get this whole move down, but I did get a short move in it and I made money and I was happy and I was out. But you see here, people are buying this. They were buying the dips, retesting the low of the day of traders, but not me. I was short. It was a beautiful call. Riskiness and advanced risk, $1,200 is just a quick, quick move into 10 o'clock. I did not get all of this in here because, again, I told you I don't like to trade late, but if you did, you made even more. So $1,440. If you were $600, you would have made around $700. Either way, you've got to get the direction right, but you can see here, the big move it had, huge move here into the open. I shorted it. This move, I will tell you, is the tailing thing happening here. This move, that one minute chart, is that happening? I'm shorting this tail. It's very, very specific. You must know to do that. If not, you think that's going to fill the gap. I know it's hard to sip it now because I'm showing you the whole thing. But if I took this all the way and you watch this live, you'd be like, oh, crap, this is rallying. And you probably would have gone long. You would have gone long here. And even if I had taken away this part from the thing, this came down, retested below, did a bottom and tail and set up as a bicep here. So if you don't know how to look at this, you probably would have been long this, looking at the one minute chart. This was an expert play. This is a professional play all day long. I do this all the time, though, because I have conviction in the gap. I'm playing the daily chart. I take the entries in the one minute so that I can trade nimbly because I'm not taking one million shares of something and I got you to stop. And I'm not running a fund. I'm just trading my own account. But I will tell you that I'm looking at this from the perspective of actually a professional trader as if I had millions and millions of shares of the thing. Because either way, it doesn't matter that it's the only way you can make money. That was a great example of that. Great example of that because we waited a while for the trade. Now, how do you make money? I just went back here for one month's worth of trading, which was basically the month of September if you did an advanced risk. This was at an advanced risk. You could have made, and this included an option trade in BABA, which I'm going to go over. But even if you didn't include BABA, if you had traded the day trades, you could have made 16,340 bucks for the advanced risk. So if you didn't do the $1,000 risk, if you only risked half that, you still could have made over 8 grand in one month. And that's not including the option trade that everybody did in the room, which I'll go over in BABA. It's still the idea of the gap though. So it is so possible for you to make this kind of money. You could have made 8 grand in one month. Your goal is only $2,000 a week. But you can see here you could have made way more. You can make $20,000, $25,000, doing options, doing day trades, and taking them with size, and doing it right. And this is usually enough money for most people to make a living trading. This is what you have to look forward to if you can learn my system and actually implement it, and take my trades. I mean, I run a live trading room, call on the trades live. I have a prerequisite that you must take my class and 26 points to be in the room with me. But I'm making it easy for people because I'm calling the trades live when I'm doing them in the moment. And you just take them. And I tell you where to put the stop. So it's just, I think a lot of people have this mental conditioning. They're just mentally they have a mental block because they've either lost money in the market, which everybody does when they don't know what to do. I did at the beginning. So I figured this out and it took me a couple of years. Or people have a mental block because they paid for classes. There's a million people out there. Okay, they're teaching all kinds of things like the gap fill thing that somebody just mentioned. And they didn't learn how to make money. And so people have mental blocks and they think it's not possible, but it is possible. It is possible. This is not beyond the realm of imagination. I'm trading. I'm making money in the market. I'm teaching people how to do it. They're making money too. So this is, it's not like fantasy world. It is realistic. But you do have to have all the pieces of the puzzle lined up. You have to know the time of the day you're trading. You have to be very focused on doing one pick or two picks a day or one trade or two trades a day. You have to get the directional bias right in the stock. You got to be with the institutional money moves. I think you need to pick a time of the day where you get that move the best time of the day to get the biggest move you can. And that's where you take the entry. You got to use stops. So you don't have unlimited losses. And you have to have a system that works and it's good to have a mentor. And this is a reason people come and want to learn from me because it is good to have a mentor. Now, whether you do it on your own or not is up to you. But it definitely makes it easy for someone if they want to become a trader and they want to take this seriously enough to learn how to do it to make it their career to come and learn from someone that's been doing it for eight years, like me. And I've only ever been doing gaps. This is one of the reasons I'm very good at it and I've made such good predictions because this is all that I do. So being a trader, what is it about? You can work from home, which is great. You can be anywhere in the world and do it. It's only a few hours a week. You're your own boss basically. If you want to take a day off, you don't have to be there. You want to take a vacation, you can take a week's vacation. You have more time for yourself on weekends off. A lot of people work weekends. It's about the personal freedom that you have when you are day trading. You only are there during Monday through Friday. You're only there in that first half hour of the day. You could spend a half an hour prepping or one hour before the open, whatever you want to do. I usually get up in the morning and then I usually give myself between eight, nine o'clock. I'm prepping. And then, like I said, I'm running the room. And then I take a little break and then I'm ready to go by 9.30. Now, this was one Twitter, another beautiful gap that did what? Stop close to your gap down. It was a short. This was an institutional sell-off that happened in the Twitter. And by the way, the gap down again. This gap down again on Monday had another fall in it. I didn't do that one because I didn't trade Monday, but you could have done it again. Here you have the sell-off. Then you have the rally. Boom. You could have shorted this here. You could have shorted this here. You're getting in the trade. You're taking it down. Look, another beautiful one. This was not a long. This was a short. How do you know you get up in the morning? You look at the gap. You rate the gap. Share size in this. This is an intermediate risk. Five, 600 bucks. If you want to get to this point where you're making six figures a year, 2,000 shares, this is not a huge size people. And you could have made over $1,000 in this trade. It was a very nice trade. It moved almost a buck into the first move in here. You're trying to catch 70 cents, 65 cents, 75 cents, whatever you can catch in it. And then you're done, and then you're out. And sometimes, like I said, these keep going, and sometimes they just keep going for days, but you're just trying to get that move that happens in this period. And so I shorted this. This is a big rally. I shorted this in here. And again, this is another one we might have thought it was going to fill the gap. You might have thought it was going to fill the gap or rally up here, and it came into support. This is a 20-peer moving average. This is an 8-peer moving average. This is a 50-peer moving average. This is a 200-peer moving average. So you might have thought this was a buy, again, to fill the gap or buy in support, but it was not. It was not. It's another beautiful, beautiful one that sold off. And here was the advanced risk. Again, if you wanted to risk enough to make more than $200 a year, you'd have to risk more than $1,000. So risk in this, $1,240 total profit. Again, just that first quick move in there. You could have made $2,760. Most people don't even make that in a week. And you could make it in a few minutes, in less than 30 minutes. It's very realistic because gaps have momentum. What does it take to do this? You have to find the right stock to get the move. If the stock doesn't move, you're not going to make any money. I don't trade penny stocks. They hardly move. I don't have to take 250,000 shares or something to get it to make this kind of money that I'm making in penny stocks. I'm trading stocks with volume. I'm trading stocks that move. They move in the market. People are watching it. People are in them. Funds are in them. Okay, they're trading them. But it is about the right skill set and having the right knowledge to know how to do it. Again, as I was saying, many people have a mental block, but it is not beyond the realm of your imagination to be able to do this. $2,000 a week. Trading stocks that move, all of the ones I've shown you, I can show you a million, is very realistic. It's just that many people, number one, do not have a system that works. And number two, people just don't even understand that they have to get the timing right. If you are waiting till 11 o'clock to take any one of these ones here that I showed you, you're probably pulling at $0.10, $0.15, you're getting jostled around. Who knows what the market's doing by then? You have to be able to predict before the stock opens, before 9.30, what the directional bias of that stock is going to be in the day. You must predict, and that's where my 26 points, that's what my system does. I predict this is going to drop in price, or I predict this is going to go up in price. And that's what having a system is important. Because you're looking for that time with a sell-off. And so one of the reasons why I think a lot of people come to me to learn is because they may have other jobs, they can't quit their day job or the career until they learn how to do this. They don't have to devote a lot of time to trading the morning, and they can still keep their other job and make the transition. So this is a good strategy to make a transition. If you really want to become a career trader where you're doing this full time, you don't have to devote a lot of time during your day to actually trade this, and you can learn it. So you could take as long as you want to go through the process and learn it and still keep your other income until you're making $100,000 a year or whatever you need to replace your income. I always tell people, ease yourself into it. There's no emergency. The market isn't going anywhere. There's no emergency that you have to run out tomorrow and all of a sudden risk $1,000 in every trade that you take. Give yourself the time and the chance to learn it and gain the skill set in gaps, because that is where my edge is. I'm excellent at reading gaps. In fact, today, I will tell you the market and the QQQs on the spy gapped down. Guess what? It wasn't a short. It was not a short. Market gapped down today, but you could not be short to make money. Rally today had a nice close on the day. So you can't short of a gap down. You can't buy every gap up. You can't play every gap to fill. You have to have a system that predicts what institutions are going to do with any of the gaps. It could be ETFs. It could be the overall market. It could be companies. But I will prefer companies myself, because I think you get bigger moves in companies because you have more motions in stocks like Apple or Alibaba. But you need to have something that you have an edge in. And I guess for me, it's really trading, not just predicting that move it's going to make, but that time period. I mean that 9.30 to 10 a.m. time period to see that. So I explain this already, but really stocks, only thing a gap is, is when something closes at one price at four and opens the next morning at 9.30. And so you have post-market trading and pre-market trading. And that's when the gap is forming. And you can see it. Like right now tonight, there are things that are gapping. You can see. I don't know what's out tonight, but I know all the banks are out tomorrow morning. City banks out tomorrow morning, Wells Fargo, JPM, they're going to gap. I don't know where they're going to gap, but they're going to gap on the earnings. They could gap up, they could gap down, and you could rate them in the morning and look at them. So that period of time that happens from 4 o'clock to 9.30 is when people are doing stuff. These institutions are doing stuff. They're making the gap. So I use my system to predict, hey, are they going to follow through once 9.30, hence, or are they not going to? And that's what I do. Now, this was another one here. This is a really good one. Do you see this tail here? I shorted the tail and got right out. This was just the other day. In five minutes, boom, stock dropped. I did it. Boom, boom. You're in, you're out. And actually this, I had a great exit on this. This was at the low of the day. But the point is that the move happens fast. I'm just looking for that quick, quick move right into the open. And that's it. And again here, this didn't fill the gap. This flipped then after it hit the target, but it didn't fill the gap. So here's my shorted it. And here's where I got out. Five minutes. So I'm saying 30 minutes, but I'm looking for the trade in that 30 minutes, but it doesn't mean I'm in the trade for 30 minutes at all. So this was a quick one. Again, risk, if you want to do an intermediate risk, 750 bucks in this, you would have made 795. 700 some bucks a day. That's not bad. Advanced risk, your risk $1,500 in this, you got a move, boom, out. 1,590 bucks. It's money. And you just take it, you get out. And in this case, not everything goes to the target right away, but in this case, it did. Eight dollars. What is the target in this? And it went immediately there. Boom, out. It could have kept dropping, but it didn't, but I'm at the target out. Okay, $1,000 and we're out. You're at the target out. Time of the day, out. Okay. So you're looking at all of these things. Does anyone have any questions here? I've been talking for a while. Let me just scroll and see if I have any questions. Okay, I think I answered everything so far, but feel free to ask me anything else. So, you know, as I was saying, this is about only doing one thing. If you want to make money in the market, you must be focused. I think this is one of the number one reasons for my success personally and also with the business teaching people. It really doesn't matter if you want to do this for a living or not. It's the idea that even if you want to do this part time, you know, to trade only half an hour a day or an hour a day, you have to take it seriously. You have to take it seriously. Okay. You can't just say, well, I'm going to do this because, you know, so and so said, this is a good trade. Any money you risk in the market, whether it's $1 or $500 or $1,000 is your harder money. And you want the trade to work. You need to believe that it's going to work. Okay. You have to have reasons for doing things and they need to make sense. And they're not based on rumors or this, that and the other thing. There's something called calculated risk. When I look at a chart, I use my 26-point rating system and I rate the gap. If it meets my criteria, I'm saying, you know what, I'm going to take the calculated risk and I'm going to take the $1,000 or more risk. I'm going to put in the stock. This is worth it. Could it not work? Yes. Some trades that I take lose, but more win than lose for me. And so I make money. So you have to look at it as calculated risk. If you are just doing it on a whim, based on, well, this kind of looks good and it's coming in the supporter where there's a rumor out that Twitter might get bought, I think I'll buy Twitter. No. Well, that's not a strategy. Okay. That's why I call it a comma causing. That's not taking calculated risk. Now, let me just answer a question here. Let me get this one. How do you identify stocks that have potential for big gaps or big F ups or big gap downs? I just look at stocks on a scanner. You don't need, you don't know. I'm not predicting if it's going to gap. I'm seeing the gap. So when I see the gap, I can see if it's big or small, but that doesn't have anything to do with me doing it or not necessarily. In other words, I will short big down gaps or I will short small down gaps. So I'm not predicting that it's going to gap. I wait for the gap. I wait for the gap to happen. I see the gap in the morning pre and post market. That's what I'm saying. So I already know the size of the gap in the morning. I'm using that price wherever it is, whether it's small, big or medium. And I have 26 criteria points to look at. So it doesn't matter the percentage or the size of it. I'm not predicting if it's going to gap. I'm predicting the move it's going to make on the day after the gap. Is that clear? Let me just say here. Can I show some losing trades that many stocks cover back up the gap instead of continue? Honestly, I know it sounds crazy, but actually, I've been doing very well. Paul, are you here? What was the last losing trade I had? Yesterday was FTNT. I didn't do it. I saw it was going to fail right in the open. I didn't do the trade. I didn't do anything. I mean, after eight years of trading, if something doesn't work, I looked at a stop, a gap the other day FTNT. In fact, it's on YouTube, but I didn't do it. I saw it right away in the open. It wasn't going to work, so I didn't risk any money and I didn't lose and it didn't work. So at this level of my experience, I'm seeing live that some things are not going to work and I don't do them, which saves me the losses. But this is eight years of trading experience. I mean, if I can never get to the point where I never lose, who knows? But I do have some losses. I can't think of the last loss. Paul can maybe write it in the room. I can't. But there's been days where I like something, but then it doesn't set up and I don't do it. Paul, if you think of the last loss, you can write it in the room. So what is it about gaps that makes them so profitable? Just that they move a lot, that institutions move them. And so it's something that you can predict. You can predict and you can predict it beforehand. So I'm not predicting the gap. I wait for the gap to happen and then I'm predicting if it's going to keep going down or if it's going to flip and go up or if it's going to go up if it is gapping up. So I'm looking in that move in the first 30 minutes. And as I said, I rate them. So sometimes I'll watch a gap as I was saying, it rates good, but then guess what? Never sets up. And then I don't do it. I don't lose any money. But some trades I do lose. I honestly can't remember the last loss I have. If anybody's in here that's a student, you can plop it in the room, the last loss that I took. I mean, I think the benefit of doing something and nothing other than one system for eight years going into nine now in 2017 will be for me, is you get really good and you make more money every time. And by the way, that's the way the yield curve is supposed to be people. I mean, common sense again, you're better and doing something the longer you do it, you get better. Let's just say you were a baseball player over. You're playing baseball for eight years. You should be pretty darn good. You're playing piano for eight years. You should be good. You should be making more money trading after eight years, not less. I have no idea why. No, I, that's not, that's not true. I do know why. I know why as time goes on, people never get to that point because they don't, they jump around. They don't stick with one thing. They jump from thing to thing to thing to thing to thing to thing to thing to thing. They'll do gaps and they'll do the gap those and they'll reverse the gap, then they'll do biceps and they'll buy support, then they'll short resistance, then they'll do it on a fundamental reason, then they'll do this and they'll say, no, I'm going to do ETFs and they'll go to Forex and they'll say, no, I'm going to do futures. I'm going to do options. They will do every class and trade every strategy and anything that has to do with anything that moves to the market from now until the end of time. I guess what? They will get nothing. They will get good at nothing. They will spend endless hours. I guess what that does in your mental conditioning, it ruins it. Okay. I'm very confident in what I do because it's the only thing I do. I create a system myself. I'm teaching people now for more than four years. I'm trading for eight. My trading's getting better. I'm making more money as time goes on, but that's the right way to do it, people. Okay. You can't be jumping around. Find something that makes sense. And maybe it isn't my system. Maybe what I said today resonates with someone in here and you're just like, yes, this truly makes sense. I get it. I've seen gaps move, but I just never knew how to get the right one. You can come and learn how from me. Or maybe what I said doesn't resonate for you and you're better off doing something else. I'm telling you, stick with it, whatever it is you do, unless you're losing a bucket full of money, in which case then you shouldn't, you shouldn't stop the thing. But I'm telling you that people jump around too much and you can never get anywhere like that. You just can't. Okay. Now let me just see here. But many stocks cover back up the gap instead of continue, but I'm not doing those. See, I'm using the criteria here where I'm not doing those. I'm, my criteria, the 26 points is looking for the ones that do continue because those are the institutional moving ones. You have traders that tend to do those gap fills and they do not consistently work. Do you use any indicators other than your point system? No. Just the, the charts I show you, I have the 28-peer moving average, 50-peer moving average and the 200-peer moving average. You could consider those indicators. Candlesticks are indicators. Time is an indicator, but that's it. I don't use Fibonacci. I don't use any special fancy dancing things. You don't, you wouldn't come to me and buy some scanning software or some extra thing. No. You learn the points. You mentally do it. I sit down every morning at a rate the gaps and I do it and guess what? It's my mind. My mind does it. My mind would check it off. Do, do, do, do. So the golden gap system is what I call my system. It's a 26-point system and I look for the bearish ones first. The purpose of the system is to help you evaluate which gap to trade each morning. Is it a checklist? And the checklist tells you what to trade. Like, if you were a pilot, you would go and you would check off. Is the, is this and do we have gas in the engine, this thing, this thing, that thing or the door's locked? That's kind of how I do it in the morning. And that is, again, a professional way to trade. The fact that you're doing it from your house, I think maybe your pajama should have nothing to do with it. You need to act like you're sitting at a trading desk on the floor down at the stock exchange and you've got real money and you have, you're responsible. I mean, that's how I act. I always say, people listen, you think perfect for 30 minutes a day. I can be perfect for 30 minutes. I can be right there perfect and read everything right and be totally focused. I don't, I can't be perfect for six and half hours. I can't be perfect from 9.30 to four o'clock. I don't, no one can. All right, we're human beings. The phone rings to get a text. Somebody has your email, your doorbell rings. 30 minutes, block out the world. And that's another thing that people don't do. They think they can trade all day. No, no you can't. Your eyes get tired. You get hungry. You get distracted. Okay. So anyways, I'm looking for that first 30 move. And then here was the one in Bob I was talking about where you can get the follow for you can do options. So this, again, I waited the gap happened here. So this gapped up. This is on the earnings. I did an option trade in this after the gap. I'm not predicting this is going to gap. I'm saying, well, let's see what happens. It gapped up on the earnings. I bought it here as an option trade and I played it on through afterwards. Look what it did the next day. And you know what, many people thought this would fill the gap. They shorted this. They shorted it thinking it would fill the gap because it was a huge gap up that happened here in this again. So let me do it with the size. It doesn't do it with the size at all. And it closed here and it gapped up and people look, why do you think this bar went like this? Why do you think this bar went like a crazy person the day after because first of all, it was getting bought by institutions and second of all, people were shorted and they were blown on through. But I was on the right side. Look where it went after. I predicted that this would do this in that one little teeny weeny weeny. I was in the stock long on that day. Look what the stock did afterwards. I can't wait until I can start taking the millions of shares. Anyways, I did it as an option trade. I had an expiration date. I got the move in it. I made over $11,000. It's above me on my day trading. I took an exit one day and I took the rest of the exit the next day. So you know, here you go. Real money people. And this actually is one of my students. He's been doing the day trades and the options. This is Philip. He made $19,000 in a week. He's been doing mostly options, I think, in some of these things. And right now I'm actually in a trade. I'm in Apple. So I'm in an option in Apple. It looks amazing. Apple looks stronger in the market right now. I'm in this. I'm in this. I'm in this puppy here. I can't wait to see what happens. I'm falling through. I was up five grand a couple of days ago. I didn't get out. I'm holding it through for the bigger move. So we'll see what happens. One of my students did get out though. One of my students got out and he made over $5,000 in this. This is Jaguar Pop. He did this and he was in and he was out. So he got the move up. It gapped up. This gapped up. This day in here. This is Apple. So he got out here. I was up a lot too and I stayed with the trade. I'm looking for the next move. But anyways, he got out. So there you go. So that's basically, it could be your goal for two weeks. And that was one of my students. So you've got to have a system that tells you how to take it, what to take it, when to take it, the time of the day. And this is how you can make so much money. I mean, the money is unlimited if you know what to do and if you know that something works, you will take more risk. That's the beauty of it. You say, I have 100% conviction. You won't say, well, it's a 50-50. There's no 50-50s. You either believe in the trade or you don't. So I have a system as a 26-point checklist. I'm looking for a high probability of directional bias for the entire day. A big move of the staff on the day, precise entries. And between, like I said, 9.30 and 10 to take it. I know we're running short of time here, but it's overall, it's really about the focus. So it does cost money for my class. It's 49.99. It's five grand for my class. But it saves you money in the end because you will spend money in the market, blowing up accounts, and back and forth trading, never getting anywhere. So it saves you time and money when you come to learn from someone like me that has a system that works and you can make the money back to the class very quickly in a few trades if you just do the calls I give in the room. So it's earning season. It's fully underway. And so I'm doing the class next weekend, not this week of the next weekend. So it's October 27th and 23rd. It's 9 a.m. to 5 p.m. Eastern time. It's during the weekend. So it doesn't interfere with my trading. Retakes are free. Once you sign up for it, you can retake it as many times as you want to after you pay for the first time. That's it. And if you're interested, you can email me here at melissathestockswish.com. Now let me just see if I have any other questions. I know we're over here almost. T-TPX 20th of September was a loss there. So that must have been somebody T-TPX. I'll do a video on that tonight. There it was two and a half weeks ago, a few weeks ago, whenever that was T-TPX. Does your rating system help you to decide whether to trade the stock or do options? Whether I do the option or the equity trade is based on cost usually. Like, BABA is expensive. Apple is expensive. I did Google and Amazon earlier this year. Those are expensive. So to be honest with you, you can do both. You could have gone long as a day trade. BABA and Apple, any of the days as equity trades end of the option. You can do both. It depends on you yourself, how much size you want to take and what the cost is. I mean, right now, I didn't see what Amazon closed today. But Amazon is so expensive. Even to day trade it. When you're looking to take the trade and put in a stop as an equity trade, the stops in some of these are three bucks or more. Which means even if you want to take size in it, you can't even take as much size as you want to. Now, they move. They move. I'll tell you that. But it gets to a whole different beast when you're looking at some of these things are very costly. So I would say for me, I'm looking at the cost of the stock and the position size I can take. Like right now, I have 50 contracts or 5,000 shares of Apple. The price of that that it cost me to take the position and I'm still protected because I have a fixed risk is way less than I'd actually outright belong the stock overnight in an equity trade as a swing trade or to even do it as a day trade, even with leverage. Do you understand? So I can take bigger positions and more expensive stocks cheaper. So that's, you know, a lot of it weren't I talk about. Let me go back here. How do you determine how many shares to train based on the stock? I don't know if I have time to go back. I'll really quickly go back to one of the trains here based on the stock. We're talking about the day trading. So for example, this is just the RCII. It's a difference between the entry and the stock. So the entry is 855 and the stock is 905. What is that 50 cents? So 50 cents. So you're sizing yourself based on 50 cents. So if you take 100 shares, what would that be with 50 bucks? We take 1500 shares. What would that be 750 bucks? So it's based on the difference through the entry and the stock. And that's how you're sizing yourself. Why? Because your risk should be equal or close to equal in every trade that you take. You don't want to risk. And I used two different risk examples here. I used intermediate if you want to make 100 grand a year. And then I used the more advanced risk because that's the goal that you should be trying to do. You don't want to risk $500 Monday and Tuesday and then Wednesday, Thursday, Friday with $1,500 in three days of trades. That would be a skewed risk. Your results will be all over the place. Do you understand? It's okay if it's like $500, $600 or $1,200. Your risk should not be all over the place risking $500 one day and $2,000 and another day in a trade. You should have a similar amount of risk on every trade. Make sense? Let me just see here. I know we're getting up at the time, but I appreciate this. How many items do you rate before the open each day? It varies in how many gaps in the time of the year. Right now, it's earnings season, so I'm rating more. There's many, many more things to actually look at in earnings season. There could be 30 things in the morning. That's not to say that I rate every one, but it's definitely, I might rate eight. I may rate eight to 10 things on an earnings season day if there's a lot of gaps because I want to make sure I get the best one. In not earning season, in the in-between times, I may only rate two or three or maybe even one. I will tell you that it only takes, if you're new, it probably takes five minutes, five to seven minutes to rate one gap. If you're doing it as long as I'm doing it or if you've been doing it for a while, you can do it in one to three minutes. It doesn't take that long to rate the gaps, but you definitely have more in earnings season, but that's good. I personally only do one trade a day, but if I rate three things and if everything rates amazing, one rates 23, one rates 24, one rates 25, you could do them all. I mean, you could do three trades if they all rate good. Me personally, I try to pick the best one and only do one, and every once in a while, I like two things pretty much close to the same, and I might do two. That's not all the time, but it's every once in a while. It's usually an earnings season if I do it, but you could do everything that rates well per the system, but the idea is not to do anything that's under 20 points. It's a 26 point criteria, but 20 is the benchmark. Let me just say. Do we keep the 1% of account as risk per trade? I don't know if you're trading at a retail account or prop account. Whoever just asked that question, if you're at a retail account, you need a minimum of $25,000. If you're at a prop place, you could have a minimum of $2,500 to day trade at a proprietary day trading account. I would say it depends exactly how much cushion you have in the account as far as the percentage of the place that you trade. Because at a retail place, your leverage is four to one, and at a prop place, your leverage might be 10 to one. I say to anybody that's brand, brand new that you should be conservative on your risk. Even if you could afford to risk $500 in trade, that doesn't mean you should be doing that the first day after the class. Risk $100. What do you have to lose? Pro that you can make $1,500 the first week, $1,000. Just prove you can even do it. Because a lot of people have been losing for so long, and I think mentally, like I said, I talked about this earlier, a lot of people have mental blocks. Get over the mental block. Prove yourself. You could be green, green, green, green, green, green, green. Prove yourself. You could actually say to the broker, I would like to withdraw money from my account. Would you please ACH that money into my account today? When you're emailing the broker saying I would like to withdraw this money from my account, you know you've made it. And so I think many people never get to that point and said they're sending money. Start pulling money out. Pull it out of your account. Pull it out of the market. Take it out. And then you can start to increase your risk. And then it could be more than 1%. There's no limit. I mean, you could have a $25,000 retail account, and you could even be risking 5% in your trades if you're good. You guys were great. Thanks so much, everyone. Thanks so much for coming. Any questions, email me at melissa at thestockswish.com. And I really appreciate the time here. I know we went a little bit over. Had some good questions here. Thanks so much, darling, for having me. It's been great. Thank you so much. And have a great night, everyone. Have a wonderful day.