 Good afternoon, everyone, and welcome. This is Melissa with the stockswush.com, and I'm here talking to a brand, brand, brand new trader, just brand new, never traded US stocks in his life. So I decided to tape it. His name is Mike. He lives in California. Hi, Mike. How are you tonight? Good. Good. Mike contacted me on Skype. We don't even know how we got each other's information, which is funny. But anyways, I'm explaining to Mike what a gap is. So we're going to tape it. All right, let's go back. So urban is actually gapping down tonight. So you see here that it closed the price of the stock if you own the stock. If you were long urban or short urban or whatever, the price of the close was around $40.71. But the earnings came out. I don't know what they said. They could have been bad. They could have been good. It doesn't matter to me. But do you see here all this red is selling action. So the stock is actually, and shorting too, the stock is actually gapping down in the post market hours. I don't trade this time. I'm not in this. I'm doing nothing with this now. But it's 7.09. And by the time that tomorrow morning where the market opens at 9.30, the stock will still be holding this gap. I don't know where it's going to be opening. Because right now it's at 34.29. Do you see that little moving price there? You see that? Yes. OK, that's the price where it is right now. But that's going to keep moving. And by tomorrow morning, this will be different. So I don't know exactly where it's going to open. But what I do, Mike, is I will get up in the morning, 7 AM, 7.30 tomorrow on Tuesday, and I will rate urban. I will go through my 26-point rating system to rate urban on this chart. And I'm going to do that to determine if I think it's a short or if something that you want to buy. Or maybe you shouldn't do anything with it at all. My rating system tells me if it's a good short or if it's something that maybe you don't want to even do. The stock has to rate 20 points or more. If it does, then it's a short. And if it doesn't, then I'm not going to do anything with it. Or it might actually even be a buy. But usually I would probably like to find another short. I really, really like to go short. Have you ever shorted before? No. Do you even know what a short is? The short is down. Yes, yes. And the line is up. The green is up. Yeah. Yes, OK. So you see all the red here. This is telling you that it's lower tonight. But I'm not making money on this because I didn't short it before the close. So I'm waiting until the gap happens. So this is happening live now. And we're going to see tomorrow morning. I will get up and rate it. And you're going to be in the trading room for the trial. So we'll see how this rates. And then if it's a good short, I'll short it. And that's what I do. So I make money then shorting the stock. For example, I'm just going to show you an example here. Pretend this is all stuff that actually was happening during the day. This is a one-minute chart. Pretend this was live in the morning. And actually, this is the open pretend. The stock fell off a planet here. And I would be looking to short urban probably around this level in here, like 36.20 or so. And then I would put in a stop. Now the stuff that you were talking about about the situation that happened to you, see, I don't. I have a fixed amount of money that I risk in every trade. Like I take the trade, it's a fixed amount. I can't lose more than I'm willing to risk. I put in what's called a hard stock. So for example, if you wanted to take this trade with me, let's just say, and you shorted it at 36.20, if you put the stop at 36.50 just to make it easy, you would be risking $0.30. So if you took 1,000 shares, you'd only be risking $300. If you had done that after hours and with 1,000 shares, you would have made almost 2,500 bucks in this trade. You risked 300, you made 2,500. That's a good trade. Now again, I'm pretending this is the live day. I don't trade after hours, but I'm giving you an example of what you would do if this was after 9.30. So you could have risked $300 and you would have made 2,500. See, that's a good trade. Okay. Now what happened to you since I'm taping this? Tell me exactly what happened to you. Were you taking, you were at this other place and you lost this money. Were you actually taking the trades or the people were putting the trades in for you? Like have you ever traded on your own platform looking to candlesticks like this or not? No. You never placed your own trade? Yes, but I trade. I trade with the binary options, this currency. Okay. But did you do your own orders or was this broker placed doing the orders? Yes, but as all the broker platform is scammed, it's not true. You mean they weren't really putting in the orders or what do you mean? And which broker is good for you to comment? Which to you? Any broker that allows you to trade equities you can use but I'm gonna refer you to a couple of places because you have to talk to them yourself because they're gonna tell you how much money you need and the buying power. And so I'm gonna give you a couple options. But what I'm saying is, did the broker place the trade for you where you were losing or did you place the trade? Did the broker just losing for me? I know, that's what I'm saying. That was a sign, that's a sign right there. Like if you take a trade and you lose cause something happens, then that's normal. If it's something the broker is doing where the money's going away, that isn't normal. Yes, normal. Like if it ever happens again, like one time, that's it, you're done with them. Do you know what I mean? Like you had said you kept sending money, don't ever do that again. Like if one thing happens that tells you it's something's wrong, like take it as a sign. Okay, but now I can't tell us to know any broker. I don't know, does it have any broker in California? Yeah, that's what I'm saying. You gotta go to a place that you feel like you could pick up the phone and talk to the person or go meet the person face to face or whatever. I will send you referrals for people to do that, okay? Okay. You need to be with someone that you can trust and have a relationship with because in a longstanding relationship because you're gonna have situations where you're trading like maybe the internet goes down. You have to be able to pick up the phone and call the broker and that's not the broker's fault and then help get out of a trade or whatever. So you really have to have a broker that you have a good relationship with because any customer service issues, you need to have those taken care of immediately. Good, because I look for a lot of, I search a lot of broker, but all the broker have in the London, I couldn't find any broker in my place. Well, I'll refer you some, yeah. I will refer you to a couple of places and you can talk to the people and find out all the information, the commission costs, all that stuff. And then what you should do is practice on a demo, on a platform demo, before you even deposit any money and practice taking the trades like on a demo account, you know? Yes. And make sure it works right and you understand how to place the trades and things. But conceptually, I wanted you to understand here what a gap is. Do you understand this now or not? Pardon? I wanted to explain to you what a gap is. Do you understand now what a gap is or do you want me to still go over it again? Yes, I got it. Okay, good. Good. Yes. So every day I'm looking to do one of these because that's all you need, all right? Like, so if Urban opens, let's say for example, if it opens at this price here, it's at right now 34.17. And if I rate it tomorrow and I like it and if I want a short Urban, you know, I'm gonna try to get at least $2 out of this because it could move that much, it could move even more. And if you look at the bars of Urban here, like this red bar that happened two days ago, it had a nice move here that was more than two bucks. So the money that you make, we were asking about this before, the amount of money that you make has to do with your risk and the share size that you take. Obviously if something moves a dollar, and you have 2,000 shares, you can make 2,000 bucks. If something moves a dollar and you have 3,000 shares, you can make 3,000 bucks. So you have to be able to take position sizes like that to make that kind of money. But at the beginning, I think it's really important for you to just learn how to do it and make money using like probably a medium size because of what happened to you with the other place. You really wanna, I think for you, you need to just start making money, like whatever, however much it is. Do you know what I mean? Yes. Yes, I mean, this was, but the first time I think so, I have to find out the sum broker for investments and then starting with you. Yes. Yes. Yes. And I think that just in your mind, clear yourself from what happened with the other place. Like don't be negative about it. Like I was saying, you gotta look at that situation what happened with you as something that was the cost of learning how to trade. Like if you would have stayed with that place or if that would have never happened to you, then maybe you wouldn't have found me. You know what I mean? Like you always have to look at it like everything is like a path that you're on. And this is like the next step and it was just one of those bad situations, but you could have lost all that money in one trade. I mean, people have had worse things happen. I've talked to people that have done stuffs, crazy, crazy stuff and over nights that have lost like 50 grand or more in trades because they were like against the trade. And that's devastating. For you, it happened over a period of time and it was not a good situation, but I'm just saying you could have as easily lost it in the market. Instead you lost it someplace else. It doesn't make it any better, but I'm just saying look at it as something that was an experience that taught you now something about this business. You know what I mean? Yes. You're just gonna be smarter about it now. Yeah, but my time is, I think so the morning is better for the stock market, correct? Absolutely. I mean, you have to get up early where you're living in California. Can you get up early? Well, yes. Okay. Yeah, I mean, as long you need to really be ready to go by 9.30 and the room opens at 8.30. So you really should be sitting at your desk and with your coffee, whatever, awake by no later than nine. Nine a.m. Eastern time. So for you, that's six a.m., right? Yeah, but you'll be done so early. I mean, even if we're in a trade till 11 a.m., that to you is still only eight o'clock in the morning. Yes, exactly. You know, so you could do whatever the rest of your day. Do you have a full-time job or what do you do? Full-time job for a stock. I want a full-time job for a stock. Oh, you want to trade full-time? Okay, I didn't know if you were doing something else in the meantime or not. That's why I was asking. Yeah, if I can't have full-time, I can because I don't have job now. Okay. And how long you're working in your stock market? I've been trading for seven years, but I lost at the beginning, until I figured this stuff out. So I've been trading since the end of 2008. It's 2015, but at the very, very beginning, I didn't know what I was doing. And then I just started trading and going and back and forth and back and forth until I figured out all my 26 points, it was a process. It was a long process. That's why I'm telling you that money that you lost from that situation, that bad experience, you could have lost 10 times out in the market. If you had done what I attempted to do, and luckily I succeeded, but the market will just keep taking. The problem with your experience was that it was so, it was just like this one situation where you lost it all at this one place and then it was very frustrating. But you really got to learn how to train to make money and you'll make that back that you lost and more if you just learn how to do it. And you got to do it with a good broker. I mean, that's just like normal. Yes, I know, a lot of people have bad experience. I know, and I guess I've always been lucky in that regard. But it's something now that you learned that was a lesson. And I remember early on when I first started out, like I was at a place that was an okay place. It wasn't a bad place, but I remember the commissions that I was paying were insane. And there were days like I would actually be down, come back from being down and make money. This was like right when I started. And then I'd make the money back. I was down, I'd be positive on the day and then I wouldn't be after the commissions. Like that's how much, how high my commissions were. And then I had to screw this and I found another place. But it's all these things you have to think about. The platform, the broker, you got to have it all. Okay, great. So do you have any more questions for me about Gaps or anything else like this for tonight? Just I want to know, how can I put a thought for you with the first step? I'd say that again, I lost you. What is the first step for starting with you? The first step for starting with me would be to take the course. The next class isn't until June. So my suggestion is for you to get set up with the broker in a starter demo account and then get set up with the broker and then be in the room. You could be in the room until the class but I would just observe. You could practice on the demo until the live class in June, okay? And then take the class in June and then go live after the class and trade live. So if you register for the class by Memorial Day, I'm giving the rest of the year free in the room but I just wouldn't trade live with real money in the room until you do the class cause Gaps are new to you but that'll give you like three weeks practice on the demo and at least you could see if you traded live what you'd make in that three weeks. You know what I mean? On the demo and then you'll be practicing on that and that'll kind of tell you how your things are going with the broker too because you don't have to send the money to the broker until you're ready to start trading. You could practice on the demo for like a week or so and see how the services with the broker, the platform and stuff before you actually set it all up and then that gives you three weeks to set it up before you're even gonna go live after the class. Oh, good, good. I think that's a good way to ease yourself into it because you're gonna be brand new but I'm gonna send you the trial for the room tonight. Tomorrow you're gonna just watch, just watch everything and then I'll refer you to the other places on the email tonight too and I'll send you the stuff to sign up for the class and you know, I mean, if you do all of my trades in the room and follow me, you're gonna learn a lot and you should do well. I would just put the experience that you had behind you and say, you know what? You're gonna make that money back in like 10 times more. Good and already offered me the any broker? Yeah, I'm gonna send it to you but it's too late tonight for you to probably talk to anybody. You'll have to call them tomorrow. Okay, I'm ready for your email. Okay, wonderful. Have a great evening, Mike. Thank you, my pleasure. Okay, talk to you soon. Thank you. Bye bye. Bye bye.