 Hello there, can you hear me? Let me know if the sound is good. And if you can see the screen. Welcome, thanks so much everyone. Can everyone hear me? Just give me a heads up. Allison, am I good? Yeah, the screen looks great and I can hear you clearly. Thank you so much. Thanks for having me everyone. Nice to be here today. Beautiful day in New York City. And welcome. My name is Melissa Armal. I own a company called the Stocks WUSH LLC. And I am going to talk today about finding a winner daily. And this could not be a better day to discuss this actually because I had a huge trade this morning that is still going on, although I am out of it. And I just put it in the webinar in the last hour, which I wasn't planning on doing, but we're going to talk about the trade that I actually did today. Huge winner today. Stock moved more than $4 from my entry. And this is exactly what the discussion is going to be about today. I have a method that I use to find the right stock to trade every day. It is a 26 point system. In order to make money in the market, you have to find the right thing to trade. And you only need one thing. And all you need is one thing each day that you go into the market. And if you have something that moves like the stock that I did today, you really actually could survive on a move like that, like doing one a week, but let's get right into it. If anyone has any questions, you can email me at Melissa at thestockswish.com. You can also go to my YouTube link. I put tons of videos on there. In fact, I take the live trading room today where I called the trade that I did. And that link is on YouTube as well. So 2015 is about working for yourself. It is about empowering yourself to work for yourself to do things for your own finances to improve your finances this year. We're getting into an environment where things are changing, okay? The gentleman earlier was talking about the health care laws and all the different changes. I mean, constantly, constantly we find ourselves being bombarded with more and more expenses year after year after year. And if you have a regular job, a lot of times what's happening is employers are taking things away, taking away pension plans, taking away just normal cost of living raises. When you work for yourself and can become self-sufficient for yourself, you have a lot of freedom and you can really set the income that you want to make for yourself. And I have done that in the market and I am teaching people how to do that in the market because really learning how to trade the stock market and becoming successful is something where you have an unlimited amount of income that you can make. And then you can pay for all the things that you need to pay for that come through your life. Finding a winner daily can really change your training life. It's kind of like when you have kids. Now, I don't have children. My sister has two beautiful children. And I've seen how her life has changed. I would like to have children someday, but I know that it will dramatically change my life. And when you get to a point where you are losing in the market and then all of a sudden you are winning in the market, your life completely 100% changes because finding a winner daily can change your whole trading life because you get from the point where you start to believe, where you actually believe that this thing that you have invested so much time and money and years into was worth it. At the beginning when I started out, of course I was losing like many, many people before I created my system, but there was something inside of me that I always believed that I could do it. And that kept me going. It kept me going through the losses. I always believed in myself. You really do need to believe in yourself to do this. And you have to believe in the market. And I call it conviction. We're gonna talk about that because today was 100% conviction in the trade that I took today. But it's about having conviction and believing. The belief that you can do this and you can make money doing this. And you can make money doing this if you wanna do this for a career. And if you wanna do it for just extra money then that's fine too. But the idea of being self-sufficient in this year, this calendar year 2015 is a goal that is still achievable because we're only halfway through the year. So if you're thinking about making a career change you can do it. There's still time. It's all about the good ones. This was Friday, right for the holiday. And no one was more surprised than me that there was something to do the day before the long holiday weekend. But this actually, this red bar here, this was Marvell. This was a stock that had a drop of more than a dollar on the day. I found this on the Friday morning using my system and I shorted it. We're gonna talk about shorts in a minute. But the gist of it is that you are only needing one of these. Now, this is a daily chart. This is a daily chart and we're gonna look at daily charts here today and also one minute charts. But you can see down here, this is a daily. So I'm looking on the daily to find the pick, okay? Then I'm looking to take the trade on a smaller, smaller timeframe. Now, what is this 26 point system that I use to find trades like Marvell and Coors, which I did today? It is a 26 point professional bearish gap rating system. So I'm looking preferably for the shorts. The purpose of this system is to help you evaluate which stock to trade each morning. I trained usually only in the morning and I'm done and out of my trades very quickly. Sometimes within the first 15 minutes, half an hour, one hour. Again, that's one of the nice things about my system. I'm trading in the early morning period into the open. Now, it's something like the one today. You could still be in it into the afternoon, but I usually like to do the trades and get out very quickly. Why should you learn this system? Because there's so many stocks each day that you could trade in the market and the strategy specifically I trade is gaps which I'm gonna explain in a minute. But it's just the idea that there's thousands, thousands and thousands of stocks in the US stock market. So how do you know what to watch? How do you know what to watch? How do you know what's gonna move a dollar? How do you know what's gonna move $4 or $2? As a trader, as a day trader, a swing trader, a court trader, the only way you make money is if that stock moves and you have to be in it in the right direction for the right move. So using a system is significant to your success. And having a detailed way to find which stock to trade will really make it easier for you to achieve success. And I figured this out very early on, actually, that really only needed one trade a day. I really only needed one pick a day and it had to be good. So this idea of trading, trading, trading until four o'clock or doing 10 different trades or 10 different stocks was not the key to a success and is, I think, the downfall of many, many traders. Now, the 26 point system I apply to a strategy, the strategy is gaps. Okay, now I'm gonna explain what a gap is. A stock gaps, when the opening price today is different from the closing price of the previous day's trading. A gap is a break in the price action from one day to the next. That's it, that's all that it is. So many, many stocks gap, actually, in any given day. In the case of Marvell, Marvell gap, this was the one from Friday. So the stock closed on Thursday night at approximately $14.30 some cents. And the next morning, on Friday morning, before the open, or by the time the open hit at 9.30, the US stock market open, the stock open at a different price. So it closed here and open here. And that's it. It's a difference, a differentiation. It opened at like 14.10 something or whatever. So I am looking for a gap. And then I use my system to rate the gap. To determine if this is a long or a short. I have to determine the direction of bias before I take the trade. That's the only way I'm gonna make money. I wouldn't have made any money if this was a long in the day because it fell a dollar. If you tried to buy this on Friday, you lost. You had to short it if you wanted to be profitable. Again, as I said earlier, I prefer the shorts. You can flip my system to use for longs with the 26 points, but I really, really like shorts. And today, I'm gonna show the example today and I'm gonna explain to you why I prefer shorts. Now, what makes a gap? Money. That's what makes a gap. The gap is made by buying or selling action. That really is what makes gaps. And in the case of stocks that gap down, it could be shorting action plus selling action. Similar to stocks that gap up, you could have people covering shorts which make the buy to cover or you could have buying either way. But to be honest with you, it is money that makes gaps. Whether it's buying, selling, or shorting or short covering, it is money that is moving the stocks. So the system really is designed for one purpose, to find a stock that will have a high odds of working in the correct directional bias on the debt and with a strong momentum move. The strong momentum move is the way to make money trading effortlessly. And I gotta tell you, I don't think I would do this for a living if I didn't know what I do as well as I do. I talked to so many people, I've had the business since the end of 2012 and there's so many people that are struggling out there that are trying to make it as a trader. And I gotta get people credit for sticking with it when they do. But I will tell you that it is stressful if you were trading the market every day and you were losing. And it is stressful when you see your account going down rather than up. In ideal world, as time goes on, your account should be increasing in profits. The curve, the directional curve for your trading account and your P&L should be up with experience, not down. And it is the adverse way for many, many people in the market. It really has to do with focus, okay? And if you take away one thing from me today at all, it is that you must have 100% focus in what you do in the market. And it is not about gambling. And if you are good at what you do, you can make money trading the market effortlessly and I am living proof of that. Now let's talk more about the 26 points. The point rating system works because it is such a detailed analysis of the price action. Course today is a good example. The price action and course told me that that was a short. It also works because everything that is being looked at in each point uses a daily chart of the stock. Again, I'm determining what I'm doing with the stock based on the daily chart, whether going long or short it. The daily chart of a stock is the most powerful and real indication of what the trend is in a stock for any trader of any kind. And I'm even talking about day trading now, by the way. You must get the direction right on the daily chart if you wanna make money trading. I don't care if you're day trading, swing trading, core trading, you gotta get it right. Okay, the only difference between day traders is you're in and out temporarily. Now let's go back to look here at the Marvell. So you would look at the Marvell and you would rate it with the 26 points and then you would determine that it was going to work as a good short. You were determining this all before 930, way before the market even opens. And many, many people don't even decide what they're gonna do that are day trades until after 10 o'clock. Well, if you waited until after 10 o'clock, you missed half this move. So, same thing with course. You didn't even get course today if you waited until after 10 o'clock or you got a horrible entry in it. I'm looking to figure out what to do way before. In the morning before the market opens. And again, that goes back to the idea of the focus. The idea of the focus is what tells me that I am going to do this. The decision is made out ahead of time. This takes away the idea of the gambling again. You are deciding. I have 100% conviction that I'm going to short Marvell today and I'm gonna risk this much money and I'm going to take it. And this is the target. And that's how you process in your mind and think it through. Now let's look here at the actual trade setup. And I can't really see any questions here. If anyone's typing questions, I'm not seeing them. I only just saw what you wrote, Alice, and I'm not sure if that's where the questions are coming through, but if there's questions, if you can just type something else and let me know. I will ask questions as we go along here in real-life time. Anyways, Marvell, okay? Marvell here, this is a one-minute chart now. So now we're off the daily. This is on a one-minute chart. I'm looking to take the trade. I've decided I want to do this. I've decided it before 9.30. The stock opens here at 9.30. 9.31, it's starting to train, okay? I've determined per my system that I want to short this stock. This is my pick, okay? I'm using the 26-point system to get a good pick. And I've also determined from the rating system that this is a short, not a long. So the stock opens and trades and starts to move, okay? Has volume in it. And then I'm looking to short it, okay? Now, this is really right into the open. I mean, this is how I trade. This is right into the open here. Like, you're not getting the better price than the price that I'm getting in my trades, which is one of the reasons I make money. I'm like a tiger, a lion, going out to get my prey in the night. And I hit it. Now, here is the draw. In the case of Marvell, you could have shorted this after 10 or many people do. And you did get some of a move in here. I'll go over that trade as well. But this is a better price. You have more advantage getting it, knowing what to do early, because you could get a bigger move, more money, be done sooner. And of course, you can decide if you want to hold it or get out quickly. Whereas if you take something like this late, it may be done. Not every stock goes to the target, okay? But in this case, this actually did. The first trade, though, in this, the entry price you would short it at 14.10. Stop is 14.18. Risk then, therefore, is eight pennies. So what does that mean? That means that whatever size you take, you put the stop at 14.18, and you're risking eight cents, okay? So if you are determining your risk by the monetary amount, let's just say you want to risk 100 bucks, okay? You back it off to determine that eight cents means you can take however many shares to risk $100. This amount here is the amount that has to be fixed. So the risk as far as the pennies where you put the stop will vary in different stocks. In the case of Marvell, it was only eight cents. But this amount over here is called your risk unit, and this should not vary or should not vary greatly from trade to trade, okay? This is how you determine that you're profitable on a regular basis because you can't risk $800 on one trade and $100 on another trade. Your results will not be consistent. I think this is another thing that many, many traders need work on is the idea of staying consistent with the risk amount, okay? Because what if you risk $100 and that trade works and then you risk $800 and that trade fails? You won't be consistent. So you have to risk the same amount or close to that on each trade that you take. It's called an R unit. That's not something that I embedded. It's just something that is widely used in day trading circles, okay? Now this first exit then into the first drop in here is $1378. So if you risk $800, your profit would have been $3,200, okay? Risk to reward is four. That's a really, really nice trade. Every trade that you're looking to do, you were looking to make at least one to two. Now I'm gonna go back here in a minute and show you here is this drop, okay? So the red are the candlesticks that signify the shorts, the selling action, okay? And you just take it right on down. Now if you wanted to hold this for longer, you could have held this for longer in here into the second drop on down, same entry price, same stop, same size, same risk, okay? And in the case of Marvell, it has a lot of volume. You can take this type of size in Marvell and get filled, okay? Second drop exit, $1358, okay? And you could have made over $5,000. Now what if you didn't wanna risk $800? What if you only wanted to risk $400? You still could have done this same trade and made over $2,500, okay? By risking $400. How are you able to do this because of the move the stock makes because of the getting it at the great price, okay? Knowing that it's gonna be a short, taking the size and then putting the stop in, all of these things here. You really, really, again, have to know where you're taking the trade. If you're waiting till late, till this is moved way, way down in the 60s or low 70s to short it, you're basically scalping it then and you're not getting the momentum. You're not getting a nice 40, 50 cent move. So this, again, has to do with knowing what to go for, getting the direction right, taking it at the right time to get the best price and then also knowing where the stop needs to be. Great risk to reward in this as well. Now, there was a second trade in this. I'm gonna go back to the chart in a minute, but let's just say you took trade one or trade two, either one and you got out and you had booked money in the morning, whatever amount you risked, okay? You were up and you were flat then, but then you did sit and stick around and you watched it set up again. It did set up again. Target was $13. It got within five cents to that. Low of the day was $13.05. Price of this next entry after the first morning drop for the next entry was $13.62. Stop is over $13.70. Risk again, it was very, very good in this. The stock trades like this, it's eight cents. So on a move like this again, you're looking to keep your fixed risk. So if you had booked money from either one of the morning trades you did, you would have been risking a portion of that in the next trade. If the second trade would have failed, let's just say this wouldn't have gone to $13, even though it did, you would have been down this amount, but you still wouldn't have been positive on the day. Exit on this drop into just the quick, quick drop. It's $13.32. Total profit on this is $3,000. Now let me go back and I'll show you this one. So here's the first quick one, if you got right out. Here's the second quick one, if you got right out. Now you're up. Whichever way you look at this, whether you took this one or the whole nine yards down, you're positive. So you see the $13.00 target at hand and you're being very, very patient here waiting. You can short this again and here was the second set up and then it dropped again. So you could take this and hold it down just right into the next time period, which is 11 o'clock and that's where the second one went or the third one actually. You could have done this, this, this is the third example, but this really was the second trade set up in it. Okay. But the whole time you're shorting it and I just wanna point out here, do you see here what people were trying to buy this here in these areas? Sometimes people were trying to buy this in here, but it was a short, okay? So you really have to know what you're looking for to know that this is a short. Otherwise, you might think this is a long, but it's not, it's a short. And what tells you it's a short is the 26 points. It not only tells you that you should be watching Mar-Vell on the day, but also that the correct direction for this is short, okay? So I'm reading the gap in the stock. Now, again, this is a one minute chart. We looked at the daily. Here you can see the gap. The stock closed up here at 1435. This is again Thursday night and in the morning it gapped down. It gapped down here and opened at 14 something. So this is a gap. It's just on a one minute chart. Same difference here from this, let me go back. Same difference. This is the same thing. This here is just a daily and this is the one minute. This is all the same thing. A lot of people ask questions about stuff and a reference to charts. It's like, they say, well, what chart do you look at? What chart do you look at? I look at everything. It's all the same. It's Mar-Vell. It's just Mar-Vell. It's price of Mar-Vell as it's trading, all right? Now, I rate the gap using the 26 point rating system, but actually you could use it for any one of the time frames. It doesn't really matter. I focus on the daily, but I take the trains on the one and that's how I get the good risk to reward. Now, if you really did wanna hold Mar-Vell and had the time to hold it longer, it did actually go to the target. This is the dream target for the day. To have something go like this into lunch the day before holiday is really pretty fantastic, but the stock did drop. You would have had to hold it though past one o'clock, which is late for me to be in something, but if you did it, you could have shorted it here and it went to 13 and that was the target. And this would have been a dream target for this on the day and it went there and it worked. Why? The gap was good. So, same trade initially. Right out of the gate, 14.10, you would have shorted it. Eight cents is a stop. Exit, you would have got out as quickly as you could once it didn't break 13. And if you had taken 10,000 shares of this, you could have made $10,000 on the day. I did not hold this down that late. I traded the morning trade in this. I did not want to hold this into a late, late trade, but I had a nice day before holiday weekend. If I had, if it hadn't been Memorial Day Monday and may have held it down, or if it wasn't a Friday. But if you did this, it went to the target and the risk to reward is 12.5. Again, that's a phenomenal trade. How do you get risk to rewards like this? And again, what am I meaning by risk to reward? I mean, for whatever dollar you risk, you're looking to make how much? Okay, for me to do this every day and make money to pay myself, I need to looking for three. Now, does that mean that every trade goes to three? No, some trades go to two, some go to one and a half, some go to one, some go to 10. Okay, but I ideally am looking for a target of three. I won't do it if I don't think that I can get it to a target of three. Although, like I said, it doesn't mean that some just don't go to the full target. But you have costs involved when you trade. You have broker fees, you have platform fees, you have commissions, you have trading room fees. You've got to be able to cover those things and still pay yourself. So in order to do that, you have to do something that has target in it. It has to move. I'm not a scalper just doing things for five pennies, 10 pennies. I need to see it move. It's got to go. And I want to see it go with momentum. And you see this here in the stock at Marvell and the drop. Does anyone have any questions about Marvell? I'm still not seeing any chats. I hope I'm not looking at the wrong place. I might be, but Allison can let me know if I am. Anyways, does anyone have any questions about Marvell? So it was a good short that was Fridays and it raided per my system to be able to short it. Okay, let me just see here. There are some questions. I think I'm not getting them. You have a question about my initial entry. A loser actually in a little bit here. If someone asked me about a loser, I'm going to go over that. Yeah, I'm having trouble seeing the, I can't see these actual things. That's the problem here. I can't actually see these. These are too small. I don't know if Allison, if you can tell me how to make this larger. I'm seeing, I can't see the questions. They're way, way too small. I knew to get in here because I raided the gap and it raided per my system, the 26 point system. I teach the 26 points in my class. So I'm not going to talk about them today. Not that I could even talk about them in an hour. The class is 16 hours. You have a question about my initial entry. Go ahead and ask me about that. The lines on the graph, these are moving averages. This is volume. I'm trying to scroll through here, but I really have no idea how to make this batter. If you can tell me, Allison, how did I define short using this 26 point system? That that's what I figured out in the market here to determine that this was a short and you got to know. And a lot of people don't know until it opens and they wait till after 10 o'clock. And I don't trade something if I'm not in it before 10 o'clock. The 26 point system told me it was a short. Let me just scroll up here to see because I really missed all these questions because I couldn't see them. Could I get more perspective? Do you enter trades in the pre-market? No. Can you get more perspective on winners versus losers? I'll just quickly, and I am going to go over one loser that happened in the last two weeks. You, when I lose, I only lose one amount. So do you see how that is the other thing too? First of all, I get it right a lot because my system has a high accuracy rate, but when I lose, I only lose one risk unit. So do you see? So that's it. So if you have two trades, one is a loser and you lose the one amount and you have a second one that's a winner and you make four, you're up three between two trades. Do you see the difference? So it's the high accuracy rate by being picking the right thing like Merbell or course today. It's also the fact that I, so I don't have the many losers, period, in a month, but it's the idea that when I do have a loser, that's it, boom. One, that's why you have to risk the same amount on every trade or close to it. So if I have a loser, then it's one amount. It's not like something crazy. Do you see? Let me just see here. Gaps do not close themselves. That doesn't work at all. We'll talk about that briefly if we have time at the end. I don't get charged any hard to borrow rates at all on my broker. You have to change brokers if you are. If you're deciding which stock before the market, how do you know which one until it shows you? I know because I can see when I scan the warning. I can see all the pre-market activity and the post-market activity. I think I've missed a lot of questions here. So, Alison, if you can tell me how to scroll up and make them fatter, I would appreciate that because I really don't know how to do it. To be able to, in your screen there, you can pop out your questions. Pop out my questions. If I click on questions, it makes a big, it makes, I just, I only have two options, either plus or minus. If I plus it, I can see them, but I can only see the tail end of it. How do I make it bigger? Scroll over to the right-hand side. Next to the X, you should have a small arrow with like a 90-degree angle in it. You can use that to pop the box out. If I pop the box out, I still can only see them. It's still too small. And then you can just drag it and make it larger. If it's popped out of your screen, onto your screen, then just grab the corner and drag it and you can make it a larger screen. Okay, I did make it fatter. I'm sure I can't make it any lower though. I did make it fatter, but I still can't bring it down lower. You can also go through it or I can and delete the questions you've already asked and that'll help as well. I'm just gonna keep talking. I don't know how to do it. Maybe next time you can help me, I'm sorry. I did just make it wider, but I have absolutely no idea how to actually make it go down like where I can actually see it. We should have gone over that yesterday. It's my fault. All right. Yeah, I'll try to look right now to see current questions. I have it up now to see current questions. That's all that I can see at this moment because do you enter trains in pre-market? Oh yeah, I answered that. No, I do not enter trades in the pre-market because I can't put in a stop. This just goes back to what someone has asked about winners and losers. If I lose, if this trade would have lost, that's all that I would have lost. If you trade in the pre and post market, then you do not have a fixed loss amount because you can't put in a stop. This is a stop. It's a limit order. It's a hard stop. I'm not losing more than this. If I have a little bit of slippage with size like this on mine, but to be honest with you, a lot of times I don't have that much slippage because of the volume that's in Morville and the ECNs that I'm using. But that's it. Okay. My accuracy rate for day trading is well over 70%. In the last month, it's incredibly high. I mean, again, just going back to what I was saying, I've been trading for seven years. I'm getting better. The call I made today, was so amazing. I mean, the room had a huge day today. Every single person in the room made money today and people had some of the biggest days of the year. And I asked people if they would have taken the call without me and they said, no. So, I mean, you should be making more money. 2016, if you're trading, you should make more money you did this year. And I will. And I'm making more money trading now this year than I did last year. And that means my accuracy rate is up as well. You should be getting better over time, all right? And if your winners and your accuracy rate is anywhere over 70%, you're up. Okay. You're up. So, let's go on and look at today's course. I have no idea where this was. DreamTarget was $45. Last time I looked at it was 46.10 right before the jiggy, right before the webinar. I have no idea where it's at today. If anybody wants to look up, you can look up and tell me where it's at. But if I didn't have the webinar today, I would have held this longer than I had a webinar today. So I got out of this this morning and I'll go over the trade I did. But I did not get this down to 46 something because I was doing the webinar today. But honestly, this really, the DreamTarget was 45. It might be there already. It's still probably trading lower. This was an amazing, amazing call. So let's look at it. Again, I used the 26 point rating system. The stock closed up here the night before at $60 in some sense. It opened this morning right in here, well under $50, okay? And the stock moved more than $4 from my entry. So cores open, rally, and I shorted it. Boom, and I had to stop in. How's that for accuracy? If you did not get this trade in here, you shorted a falling knife and that would have been idiotic because at any point in time it's gonna backed up. And you have to hunt down where to put the stock. So this was the trade and there was no others in this stock the entire day. There was no correct accurate setup with risk to reward in this the entire day unless you took my call. You cannot short something just falling off a planet. Just like you can't just buy something that's rallying. That makes no sense. That is not a professional trader and you will not make money in the end like that. There was one call today and it's the one that I did. And if you didn't do that, you didn't get this. And if you shorted this, you didn't have a proper stop anywhere. You had no risk to reward. You wouldn't have known to hold it that it was gonna go $4. Okay, you have to know what you're doing to make money consistently in the market. I cannot stress that enough. And it has to do with accuracy and it has to do with detail and knowing what to do. Price of the entry today was 50-10. Style was over 50-60. This is a 50 cent risk. This is way different than Marvell. This was a good, good risk for this though because the stock, I mean this could have been a way bigger stock. I was thinking in my mind 70, 80 cents even. But this was good. 2,500 shares of this I took. Risk was 12.50, okay. Exits 47.90. So this is where I get out of it. This actually dropped $2 from where I get out of it. I had a webinar today, which I'm doing right now. I could have made another $2 in this with the share size that I had. Okay, but I had a fabulous day. So there you go. Anyways, great trade. And there were people in the room that held this down. And got it in the 46th is I had people emailing me after I closed the room out. I only have the room till 11. I'm just gonna show you the whole move there. This is what it did into lunch. And it hit through a 46-10. So I don't know if it's actually got to 45. But the dream target was 45. I did all my best and felt like 48. 48 was a real, real target for the morning. And I got out of it when it broke 48. Here was this whole thing that I got in here. And I got out of it when it broke 48. But it went down. And this is just, this was just amazing. Look at this. So this is a one minute chart, okay. Now let me just look at the questions. It's at 46-13 low now. If this stock is at the low of the day right now, it's gonna break it. I tell you right now, I don't even have to look at the chart. Because I have it in my head and I watched it and I've been watched it all morning. All morning I was in it. I tell you right now, this is gonna go to 45 something. This is crazy. It's 222. The market has another hour and a half to go. Of course it's gonna go to the dream target and I said in the room today at 9 a.m. It's gonna go to 45. If this is near the low of the day where I just saw it at 46-10, it's gonna break it. It's gonna break it this short right now. Right now. If you wanna short this stuff right now, I can't see the chart to tell you where to put the stop. I cannot see where to tell you to put the stop. Because I'm not looking at this live and I'm telling you right now this will break it. It will break 46 dollars today and go to 45 and tell you right now this is short. And it's a short, it's gonna go to 45. It's 230 reversal time and a three o'clock is gonna drop. This is hilarious. I said in the room today this could go to four o'clock. Oh my Lanta. This was such a great call. I can't even tell you how, what a great call this was today. To do that stock in there at that entry, at that time the stock had gapped on $10 overnight and I knew it and I knew it. And I knew it because I know how to trade and I know how to trade because I know how to trade gaps and I know how to trade gaps because I studied for three years and I did it and I'm telling you this 26-point rating system tells you what it is and what is gonna work. And every once in a while if you get one that doesn't work you take the loss of the fixed risk and that's it and you're done and you're just losing the one. This is gonna break a new low right now and I can't do it. I'm talking right now. Oh my Lanta. I hope somebody in the room is still in it. Anyways, if I had held this, which I did not, I did not because I was ready for this thing. I could have made $10,000 today. Just taking the entry, hide and holding it and it's gonna go another dollar. I know it right now. This is just fantastic. It just, it's fantastic. I have no words, I'm speechless. So the whole point I'm trying to make is the importance of directional bias. The importance of directional bias makes a difference. If you're trying to buy a course today you've lost money and if you took my short today then you are up huge. Why is direction important in trading? The number one reason why direction is important in trading is for you to make money. Taking a trade in the right direction to profit. Profit, profit, profit. There is nothing that I like better than profit. I love to make money as quick as I can in the morning. I like to trade and be done very quickly but I'll tell you, I would still be in course today if I wasn't doing the webinar. Understanding and reading the trend correctly will make or break you as a trader and you've gotta learn how to do that. In fact, it is so important that it almost gets overlooked. Simply because people assume that they know how to read a stock's direction. The very reading of a stock's direction is so commonplace that people just forget how much attention they should be paying to it. It is vital to the success or failure of a trading position. It is so significantly obvious that it just often gets overlooked. Why? Because people assume that reading the direction of stock chart is easy and it's not. And I know a lot of traders thought that that would fill that gap today in course and somebody asked about that earlier. No, it rated for the 26-point rating system and that was a short and I gotta tell you when I woke up in the morning and I looked at that course, it was at $55 and I could have shorted that pre-market. I did not because that's not what I do but I could have made $5 into the drop in the pre-market and when I saw that fall of a planet in the pre-market it just kept falling off a planet. I said to myself, oh my Lanta because I was trying to figure out then how I wanted it to set up and it set up exactly the way I wanted it to set up. Anyways, if it were easy to read the proper direction in a chart then a lot more people would make money trading to lose money but as you know, that is not the case. It's important to note, if you err in your directional bias too often you will lose money. If you read the directional bias correctly you will more often make money. Now, why is direction important in trading? Again, Netflix, another great call that I made in a gap. This is a bullish gap. We've been talking about bearish gaps but as I told you, you can use my system for longs to flip the points. I called this one, Netflix made a new high and a bullish gap that happened back here in April. Target on Netflix long-term is 750. It will get there in 2015. I called this. This was also a swing trade I did that I called. I have a swing trade letter, the swing trade call I made back here. This was in January. Target was 600. It's blown past that and 750 is the dream target in Netflix which this will get to this. So again, directional bias. But in this case this is a long. So what is the number one reason why people lose money trading? They get the direction wrong or they're trading. People think it has to do with discipline. Well, that may not, you may have poor discipline and that may affect your training but you would still make money. Even if your discipline stank if you got the direction right in your trades more often right than wrong. So one of the reasons I'm successful is because I get the direction right. How do I know that the 26 point system? And people misread what they're doing. They're getting there when they should be getting out. They're getting out when they should be holding on and they do not know what to do or how to do it or when. And I'm sure somebody tried to buy that course as a climactic buy today somewhere. I'm sure of it because I know what traders do. You know what? One of the reasons I'm so good at making money I've been trading for seven years but I also know what other traders are looking at. I know who is against me in the trade. I know what people are looking at. I know what they're trying to do in these things and I know that people were trying to buy that course this morning and I shorted it right when people were buying that sucker and that was so aggressive today when it worked. It was the only right entry in the day. I take money from people. I'm taking money from people probably here right now and today I'm sorry to say it. This is a zero sum game. Everyone is out there trying to get the money and if you wanna make it then you gotta be right. And I'm sorry to say I'm not creating anything when I trade but I am profiting and it has to do with knowing what to do and a high level of intelligence and you can learn it. You can learn it but if you just wanna churn and burn and churn and burn and churn and burn you're gonna give money back to guess what? People that know what they're doing. People that know what they're doing in the market. People that are bright and smart and have an idea what they're supposed to be doing and get the direction right. When you trade and make money you're taking it from somebody else. That is what you are doing when you do it and when you give it into the market someone is taking it against you. There are people that make money in the market and they make a lot and then there are a lot of people that lose. So you gotta decide where you wanna be. It's just as simple as that, okay? Not knowing what to do is confusing and stressful. So glad I'm not in this position anymore but I am helping people who are confused and stressed and I meet new people all the time and they come to me and I teach them and then you get the clarity. You have to have the clarity. 100% conviction I call it. Now you can make money on crappy trades. Someone was talking about gap fills. Could, of course, have filled the gap today. Yeah, it could have, did it? No, no it didn't. Could it have been along and could I have lost money in that? Sure, I could have. There's always a chance you could lose in anything you take. That's why I put a stop. But the fact is it didn't. Anyways, you can make money on poor trades but it's the worst thing that can happen to you because then what happens is you think that you did something right but you did not and how do you know whether it works consistently or not? You can make money on crappy trades but it won't last. This is the lure of the market. This is where people start to think about gambling. The only way that you know that something is good is if you are making money consistently and you all have to be making money consistently in order to pay yourself if this is your career or job and why wouldn't you wanna do this at all even if it was part time or for something just for fun, for extra money unless you are making money consistently? You have to be consistent. If your days are hugely up and then hugely down like a yo-yo that's total stress, okay? Can you make money in bad trades? Yes, but you won over the long haul. You won't even over the course of weeks or months, okay? Only smart money lasts. That is the only way that you can last in this environment. Smart, smart, smart, smart money. Now someone was asking about loser staples was a loss. Although I will tell you where I had the stop was 16.30 and the high of the day was 16.32. I actually killed it before it hit 16.30 so I didn't take a full loss on this but I did take a loss, one loss and that's it. And you know where I had the stop 16.30? The high of the day was 16.32, talk about accuracy and that, it didn't work. 5.20 was the date on this, this was last week. It was a short, okay? Stop was 16.30, high of the day was 16.32 so yes, this failed. I took a stop, I actually killed it in here because I didn't like it in the morning and I got tired of it and I didn't want to stick through it anymore and it just wasn't going and I killed it but either way if you got stopped out and held it you took one loss, that's it. And how about accuracy? That held 16.32 and I said 16.30. Again, course is going to $45. Someone tells me when that goes to $45 how about that for accuracy? I knew it, I knew, I knew when that broke 48 that was going to go to 45. Anyways, okay, let's just get back to this. So you lose one in this and that's it, okay? And you don't keep taking it, taking it, taking it. Some days you'll have to take a loss, that's it. Big deal, you have to accept this. You have to accept this as part of trading. Anyways, the entry time was here, price was 16.20, stop over 16.30, this was a good one. I mean, really, if this had just gone anywhere, anywhere at all but it just didn't work right on the day. It would have been a decent trade because the stop was 10 cents. Like this all it's had to do is go 30 cents so it would have made three risk units. But anyways, it was a loss, okay? So there, one loss last week. But the month of May has been really fantastic. It really has to do the difference between no conviction or conviction. No conviction means you have no idea what you were doing, you're in fear. You're in the dark. You don't know if you should buy cores or short cores or take it or kill it or do 50 different things in it, okay, and you lose. And then I call this 100% conviction and this is where I live. I live in this land of the light, okay? I know exactly what I'm doing. And I'm not even bothered when I take a stop in something like Staples because I have 100% conviction in my 26-point rating system and my own knowledge and ability to trade. And if you are not at this place where you have 100% conviction and a strategy or trading in the market, then I tell you to take a step back because every dollar you risk in the market is a waste if you don't have conviction in it. You are wasting your money and I can hit it and risk money like nobody's business. At 9.33, I can risk over $1,000 in something if I have 100% conviction and I won't take 200 shares of something that I hate that I have no conviction in. I won't do it. So it has to do with the ability to know what you're looking for and having 100% conviction or I just don't do it, you know? Thank you so much, Melissa. I'm sorry to interrupt here. We are up on time and need to move along to our next speaker. No, I know. I know I started a little bit later because the last person, whatever, let me just show the information about the class here if you can give me a chance to do that. Sorry, I wasn't watching the time, but I know we started late. I know it's no problem. Okay, I do teach a class. It's June 6th and 7th, 9 a.m. to 5 p.m. Eastern time. The cost of the class is $34.99. It's online. If you're interested in signing up, just email me at melissaatthestockswish.com. I am offering a special for May. If you sign up for the class for June by May 31st, you can get the rest of the live trading room for free, which is a savings of $1,500. And the trading room is only open to people that actually have taken the gap class because I feel that you need to know how to trade to take these trades on this one-minute chart. I just emailed me if you have any questions and I'm sorry I didn't get to everyone's questions today and I just was talking, talking, talking about course too much. Well, thank you so much. And again, that email address is melissaatthestockswish.com. Thanks everybody. Thanks for having me. Thanks, Allison. Thank you. Bye-bye.