 Good morning, everybody. Thank you for joining us today, June 19th at Investor Inspiration. We will begin in just about five minutes. Before we do, I do want to make sure everything is running smoothly. So if you can hear my voice and see the slide on the screen, can you please just type in a yes or a Y in the chat box, letting me know. All right. Thank you everybody who has responded to me. I do appreciate that. And in that same questions box where you guys responded, you also use that to interact with today's presenters. So if they do have any questions for you, make sure you respond there. If you do have any questions for them throughout the presentations, make sure you send them there as well. They do appreciate that. It makes everything a lot more enjoyable for both you and the presenters when you guys interact with them. And secondly, make sure that you do have a pen and paper available. We have six great presentations for you today. So there will be a lot of information. I'm sure you'll want to take some notes and make sure that you are subscribed to our YouTube channel. The URL for that is on the screen. That's youtube.com slash investor inspiration. All of today's presentations are recorded. So if you miss anything, you will be able to access them there. And if you subscribe to the channel, then you'll be notified as soon as they are available. All right, and we will begin with our first presenter shortly, and that's Melissa Armo. And she is the owner of the Stock Swoosh, which she founded in December of 2012. She's a magna cum laude graduate from Gettysburg College, and she has been a very successful, has had a very successful career as a mortgage broker for 17 years. She gave it all up in 2008 to pursue her love for trading. She became a very successful trader after she developed her own system for trading that relies on capitalizing on the big moves that occur near the open of the stock market every day. She's built an international business that informs clients how to trade successfully utilizing her systems. All right, so we will begin with her in just about two minutes. So please give her a warm welcome and I hope you guys enjoy all of today's presentations. This is the answer of New York City. We're here today. A lot of good speakers today. Glad to be the first one up. Hopefully everyone is having a great trading day today. So I think I'm going to begin. If we go through and have any questions, I can see the questions as we go along. I will look for the questions as we go through and then answer them. And if you have any questions, my email will be in here too. You can always reach out to me after the fact. It's an exciting time to trade the U.S. stock market, which is what I do. And if you're interested in trading, there's so much opportunity. Why? Because the market has had a really crazy year. And we dropped today. We fell today. We're falling right now. We were up near the highs. We didn't get over them. The market's been very volatile. And as a result, guess what? That means opportunity, opportunity for you as a trader, as an active trader, whether you're a day trader or swing trader or whether do options or long-term investor, it's an opportunity for you to make money. So we're going to focus today really on how if you have the ability to just stick to one thing each day, it really helps your ability to be able to make money trading. Because you'll get better at that one strategy and more efficient at honing your skill set more in that specific strategy the longer that you do it. And that's really one of the reasons for my success. I started trading the end of 2008 and I only focus on gaps, strictly on gaps. And we are going to go over that today. But no matter what you do, no matter what you do in the market, I'm telling you that the focus allows you to get good. And when you get good at something, you have a higher percentage chance of making money. Trading is about percentages as far as consistency for the wins. You need to be winning and taking more positive trades and good trades than losing trades in order to make money in order to get ahead. It's not about just having one huge massive winner and then 10 losses. I mean everybody loves it when you have a big winner, but that's really going to make your P&L go up and down and swing wildly. Also it's very, very stressful. So you want to keep the stress level low and having one focus keeps that stress level low. And if you get up in the morning and one day and you don't see your strategy set up, then maybe that day you don't even trade. That's rare for what I do, but it can happen in the slow periods in the market. Now let's get going here. This is me for those of you that don't know me. Again, I started trading in 2008. If you're interested, you can also watch me on TV. I'm on Fox News and Fox Business Network. I'll be on tonight at five o'clock Eastern time. If you're around, you can watch me on the evening edit. I'm going to be talking about the market today. A lot of exciting things happening in the market right now with tariffs, with Trump, lots of, lots of things. If you'd like more information, you can always email me at melissathestockswush.com or give me a call at 929-3200 GATT. And for those of you, if you have to sign out, I just want to let you know I'm running a special in my class. It's a great special. Here it is real quick. We'll talk about it more at the end. And I'm running it for the class that's this weekend. If you decide you want to learn what I do. Now let's get right into it here. What's the purpose of focusing on one thing? I kind of got into it a few seconds ago. It's in order to get good. If you're a jack of all trades in the market and doing many different things, you're never going to really get good and excel in one thing. If you excel in one specific strategy, guess what? You are good in it. You have confidence in yourself in it and your abilities in it. And you can do it better than anyone else. And therefore then you can risk more money and you can feel confident risking the money instead of scared. Sometimes people are scared when they risk money in the market. Why? Because they don't have confidence in the strategy or the trade that they're taking. It's like they have a 50-50. 50-50 is not really good enough in order to make money in the market. So when I'm looking to do something, I'm really usually narrowing it down to one stock symbol a day. Maybe two. Today actually we only watch the market. Today we watch the SPY. That's the only thing we looked to short today. Or you could have looked to short the QQQs. Both are ETFs in the market. But I am focused. Why do people find day trading though so hard? Well, there's many, many reasons. But one main reason, one big reason is a lack of focus. A lack of focus, a lack of clarity. Traders very often second guess themselves. You need conviction to trade well. You need conviction in yourself. You need conviction in the market. If you want to make a living trading and by making a living that could be anywhere over six figures a year. Which is substantial money in the market when you think about it. And it doesn't have to take you forever to get to that point. I know we're halfway through 2018, but you could get to that point even still this year if you get good at one thing and do it. One trade a day is all that you need. One fifty cent move, one dollar move, that's it. But the conviction comes from the knowledge because without that it will never be successful. So why do you have to focus on one thing? Why is conviction important? Why is the knowledge important? Because when you are trading, you are bombarded with so many things that are happening at you. You get this thing. You get this email. You might have the television on. You might get a text. You might be in three different trading rooms. You might be looking at five different charts and then they're all kind of telling you different things and then you're not sure. Then you second guess yourself and that is very often what people do. I don't do that. Now what do I focus on? I only focus on gaps. And I'm going to show you what a gap is here in a minute in a chart. But I also focus on a specific time of the day. That makes it easier too. Between 9.30 and 10. One of the reasons I'm able to be in this webinar today at 11 o'clock is because the trading for the morning is done. I'm in and out quick. I may not be in a trade for 30 minutes, but I'm looking to get in and out by 10 a.m. Eastern. Market opens at 9.30. It doesn't mean I won't stay in a trade a little bit later, but I'm usually in and out. Five minutes, two minutes, three minutes, 15 minutes. We'll talk about this more later too, but day trading is you're chunking it out. You go in and you take, you can't see my hand right now, but if you take your hand and you just grab it and you just grab the money, you're just taking it out. And you just grab a handful and take it. That's what day trading is. Day trading is not long-term investing. So to not only have the focus on the strategy is good, but also to focus on the time of the day that you're going to get the money. You're going to go in for the money at this time of the day. And if you don't get the setup at that time of the day, then you're, then you, then you don't get it. Then it's off. Okay. And that's how I look at it. So I'm focusing on that 30 minute period. I might watch a little bit after 10, but that's the main period for me. And it makes it nice, especially in summer trading because you're done very early. And no matter where you live in the world, obviously it's a different time zone. I live in New York City, which is good because you still have the rest of the day to yourself after 10 o'clock. Your idea though, your purpose, the reason that you're trading is to make money. So you want to do as well as you can. You want to give yourself every shot, every opportunity. You want everything on your side. You've got to have money to trade. You can't just take a trade with no money at all. You can't take a trade without a brokerage account. You have to set up an account somewhere. We'll talk about that in a little bit here too, where it's a proprietary day trading account or retail day trading account. You have to have money in an account physically to take the trades or you can't get in. You can't take a trade with thin air. And then all of a sudden somebody's going to magically give you money. You have to take whatever amount of money you have, open up a brokerage account, and then your idea, your objective is to grow it. You want to grow the money. Does that make sense? So you have to open up an account. You need to have the internet connection. I use technical analysis, which is charts. I'm going to go over that here too. But your reason, your purpose is to take what money you have, whatever amount of money that is, that you can afford to put in a brokerage account and take it and make it grow. You want to build it up. Now, I'm going to show you what a gap is. I was talking about strategy. What is a gap? A gap is when a stock closes at a certain price at four o'clock eastern time and boom, opens the next morning at a different price at 9.30 eastern time. So there are many types of gaps. I focus on gaps that are made with institutional money in the market. And guess what? I also like to focus on shorting. Most of the time in any calendar year from January to December, I'm doing shorts. Occasionally I'll go long, but I prefer to short. And one of the reasons I prefer to short is because selling action happens and comes in quickly and it comes in faster than buying action, typically. So Oracle was a short. Oracle also has earnings out tonight. For those of you that like to watch, Oracle reports tonight. After the ballot four o'clock, you can watch it. So let's take a look at what happened in Oracle last week. This was June 14th. I forget the reason for this gap. I want to say it was a downgrade. I think it was. The reason why stocks gap. Anyways, the stock closed here the night before around 48.20. Boom. Open in the morning, here around 47-ish. Should the stock gap down? Now if you got up in the morning and saw this, this blue line here is the 20 period moving average. This is the 8 and this is the 50. This is the daily chart. It's a daily chart of Oracle. So if you're looking at this, and if you saw this last week, you might have thought that Oracle was a buy on the support because this came down on the prior support, which was the 20 period moving average right here. And here's the little support over here. Should the stock open on the support? Now how would you know not to have gone long this on support, which some people probably did. How would you know this was a short? Well, I developed a system. And that's what you learn in my Golden Gap course. How to determine whether stock is a short or a long in the gap. Now in this case here, it was a short. So the high up here was around 47. Low down in here was 45-ish. Like I didn't even get this whole thing. Huge move in Oracle on this day, big sell off. Now I don't know what it does tonight. So don't get crazy. Don't do anything until after the earnings. But tonight I will be watching Oracle when I get home after being on TV and I'm going to see. Is it gapping up? Is it gapping down? And what does it rate? Okay. So I focus on stocks that are gapping and then I determine if they're long or short. How are you going to make money in the market? If you're in Oracle on this day on June 14th, you would only make money if you were short. You would not have made money if you were long. What's the basis? What's the concept? What's the thinking process of this short here? That institutions are dumping it. They dumped it. It's sold off. So I'm looking for institutions. Are they buying the stock up? Is it rallying? Is it lifting or are they dumping? Dumping their shares, which in this case here in Oracle, on this day it was dumped. Okay. It fell and it fell hard. Now here was the smaller timeframe. Okay. This is a one minute chart of Oracle back on this morning. Here was the trade. You can't see this here because the clock is behind the minute chart, but stock gap down here. This is 930. So now we're on a one minute chart. Remember I said I like to focus on the time in the morning between 930 and 10. All right. So here you have it. Stuck open drop. Boom. Short it. Get in. Get the drop. Look at this drop in this. Now again, I didn't get this whole thing. I'm going to show you the trade in a minute, but it doesn't matter where you got out. This was a profitable trade. Whether you got out here, whether you got out here, whether you got out here, or whether you got out here. Now one of the things like I said I focus on is not only gaps, but I really focus on the time, what you see here. And I also focus on shorting when something, when you're shorting a stock. I know people, most people prefer to go long than short, but I'm telling you, you can make so much money, so much money shorting stocks. And quickly too, which I love. When you're shorting something, you are, it's like you're betting that the price is going to drop. So if you've got a stock at $47 and it drops to 46, that's a buck. That's a dollar. So whatever share quantity you have, you're going to make a buck. You make the dollar into the drop. You got to be shorted, okay? So that's the concept of that. If you'd have 2,000 shares and it drops a buck, what's your profit? $2,000. Now somebody asked a question here, let me go up. Doesn't look like you can use your strategy in IRA because of the no shorting rule unless you can buy a put option as a substitute. I would refer, you need to talk to whoever handles your IRA as far as if you're trading your IRA, what you're doing with it, what you're allowed to do with it, I don't know those rules. If you cannot take a position, a short position as an active day trader in an IRA, then no. You cannot do that. Then you'd have to buy a put if you wanted to do this trade. You can buy puts, which are options. You can buy puts, you can buy calls. I do have an options letter. I called an amazing columnist five, which was a put. People bought a put. That is profitable the last few days. I'll go over that at the end here. But yes, you can do that if you cannot take the outright equity trade. But I still think this is a preferable way to trade. If your IRAs account, all you have, that's all you have to trade. Then you have to follow the rules. I would talk to them about their rules. But you can buy puts. Yes. Does this only work on stocks and not futures? Listen, I know everyone likes futures. Why? Because of the low amount of money you can put into an account. That's why people tend to gravitate towards futures trading. Because you don't need a lot of money to open up an account. And you can get in and out and scout quickly. But I'm telling you, if you want to be a serious, serious trader and make substantial money, you're going to have to move past that kind of thinking. It does take money to trade. It does take money and a learning and a knowledge to do this. Just to do something, like Forex has some ridiculous leverage. Just because something has a huge amount of leverage or a low amount of money, I wouldn't necessarily make a decision to trade based on that. That's not a good reason to decide to trade a certain strategy or anything. Save up. Save and get the money to trade equity trades. You can make really good money trading stocks. As far as futures go, you'll learn how to read the gaps in the market, which will most likely improve your futures trading. So in that sense, yes. But in reference to trading actively, you wouldn't be able to do these things then if you had a futures account, because obviously you'd miss trades like this, which there's a lot. So you miss opportunity when you're in that. But I know why people gravitate towards those things, Forex and futures, because of the high leverage and the margin requirements with brokers and the capital requirements, which I am going to talk about here in a second, as far as day trading. But I'm telling you, find the money to trade stocks. You are going to have more conviction in trading stocks. If I tell you that Netflix is an amazing long and that Netflix is going to double in price for real, okay? Because I call that stock to go up to 400, like in the last month, which it did. You're just missing opportunity because you're stuck in this mindset that, oh, I only need to open it. I only need $500 to open up this account and I can do it. But you're not going to make any real money. So just save to get the money to trade stocks so that you can have the big gains that you really, really want. Because you're never going to be satisfied with the small gains over the long haul. You're going to constantly be wanting, wanting more. And I was talking earlier about growing your account. It's going to be like watching paint dry to grow an account like that. But I am going to talk about those different levels in here in a minute. All right, let's get to the Oracle trade. And I'm going over two examples here, advance and beginner. Advance, trader, share quantity, 6,000. Entry is short, 46.83. Risk on this trade was 30 cents or $1,000 and cents, 1,800 bucks. I use hard stops. The stop was in. If this would have stopped down, it would have been a loss. It was not. But this is how you protect yourself. It's like the insurance. It's a limit order stop. Exit, 46.57 did get anywhere near what this move was down in the day, which I'm going to go back and show you. But guess what? This is a good solid trade. You're looking to take your amount of money, whatever it is, and flip it over, one to one, close enough. Profit, 1,560. Now, buying power needed. I'm going to talk about this a little bit too. You would have needed 280, some thousand and buying power margin and an account to take 6,000 shares of Oracle, which is why it's an advanced trader position. The cash needed, real cash in a prop account was 28 grand. In a retail account, 70 grand. Why? It's different. This is four to one and this is ten to one. You did not need to take 6,000 shares of this, but I want to show you this and I also want to show you this was a quick in and out. So this is what I like to do. But sometimes we'll hold it. Anyways, here was the short. Get in, get out. This kept going. Low in here, like I said, broke 46. Went more to the buck, went down to 45 something. Actually, I'm not even sure where the low of the day was in this one. But this was in, out. So what if you're a beginner trader? What if you have a beginner trader account? Beginner trader? Same exact trade. Quantity of the share size is different. Now again, this is taking the equity trade. You're shorted. Shorted. 600 shares. Boom. Entry, 46.83. I call this live in the trading room and where to get in and where to get out. You might have held this. This was $180 risk. How much did you make? If you did this one with 180 risk, 156. Buying power needed, 28 some thousand. This isn't cash. This is a margin. Everyone trades a margin that actively day trades. In the prop account, $2,809 is what you would have needed in a retail account seven grand. Again, you can, you can ask me about brokers or you can talk to brokers. There's two different types of accounts. One gives 10 to one margin. Usually one gives four to one. But again, the objective is the same. The trade is the same. The risk is different. The quantity is different. It's based on what the size of your account and your buying power. Oracle is not a cheap software. One consider an expensive. It's not like Disney. But you have to be able to take the position for the risk amount. Look to flip it over. That's what you're doing daily. So every time you take a risk, 100, 200, 500, with my system, you're looking to flip it over, flip it over, flip it over. She can see if you have five trading days in a week, okay? Whatever you're able and willing to risk, you're going to flip it over. When you think about it, as far as risk to reward, you're turning it over one to one a day. Now there are days where we turn it over more than one. You could have done that here. Okay? I called the first exit right into that first drop. But this was actually a huge trade if you held it all the way down. Why? Entry was in the 80s. Dropped all the way down was 80 cents. Stop was only 30 cents. So this trade was almost three times the amount you risk. For example, if you would risk 300 and held it, you would have made $900. Okay? Which you would have only needed to take 1200 shares if you had held the trade down. So the idea is though, your goal, some trades you're going to hold, some trades you're not going to hold, it's up to you. Personally, when I have my goal in for the day and it starts to back up, I take it, unless I'm absolutely in love with the gap. But your goal every day is to turn your money over one. And that's what you're supposed to do five days a week. And you have to look at it like you're getting in and you're getting out. And you're getting in and you're getting out. And that's what you're trying to do. So if your goal is to make $2,500 a week, you need to be risking $500 minimum a day. Per trade. Per trade. And we usually focus on one. Okay. Now let me just see if there's any other questions here. I don't think so. Anyways, this is a good discussion here because it talks about the buying power, cash needed, things like this. Okay. When you trade stocks, yes, you have to have the buying power, but everyone trades on margin. Now, if you want to do options, that's different. You take the risk and the option, you would buy five contracts, 10 contracts, or whatever the cost of the contract was. I don't know what they were in Oracle on this day. You have to go back and look at it. But say for example, the cost of the contract was a dollar. Okay. And you wanted to risk $600. You would risk that amount. That's all that you would lose. You don't put a stop in for that. If the whole trade would go bust, that's all that you lose. But in the case of this, if you bought puts at the right number in Oracle, you see where it went. You could have got out into the close. Into the close on the day on the 14th, or you could have even gotten out the next day. This fell a little bit into the 15th. With options, trades, you don't use stops. You have a set fixed risk. In the day trades, when I call it, I call a hard limit order stop because it saves you and protects you from losses. That's the other nice thing too about my system because we're not doing a lot of trades because we're only focusing on one thing or two maybe at the most. Usually one, you're not going to have a lot of losses. Okay. And we're not trading all day. So it would be impossible to have a lot of losses. Most traders give money back in the afternoon. It's deadly, deadly to trade at certain times during the day. And you know what I'm talking about if you're an active trader. You know what I mean. You want to be focused. Again, go back to the focus. This strategy sets up in the morning, but most moves that happen in stocks and the market happen into the morning, into the open, and guess what? Into the close. But who wants to sit there all day long and do nothing for five and a half hours and then come back at 3.15? Nobody. So this makes a lot of sense, all right? Any questions so far? Those were some good ones. So just getting into this here a little more detail. What kind of trader are you? There's many different types of traders. Okay. What can you afford to risk per trade? What size account can you open? There's no set thing where you have to take 6,000 shares of Oracle. No one says you have to run out and make 400 grand a year or 500 grand a year trading. Can you? Yes, but I think it's more important for you to understand what to do to learn it and confidence in yourself and the system. Plus you've got to have the money to do it. So start out with what you can afford. If you can only make $100 a day, then make it. It's still better than losing. And most people are losing in the market for all the reasons I've discussed and more, all right? But it is really important to set the proper expectations for yourself. Be realistic. That's what I'm saying. You're looking to turn your money over one. And before you even begin to risk any money in the market, you should really have a strategy to follow. I think it's beneficial if you have a mentor too. Like someone like me, you can follow in the trading room. If you don't, you still should follow a strategy, all right? Although having a mentor is definitely, definitely helpful. Now there are several different phases. One would be the practice phase. Usually if you start out, you can start out. Do my class if you want. Start out and demo. You don't have to trade any real money at the first week or two. Start it out. Get used to it. If you've never traded before, I've taught people that have never traded the market before and you're unfamiliar with shorting or doing gaps. This phase does not have to take long. It's still important so you don't do any fat fingers or any trains, especially when you're shorting. You don't go long. We're supposed to short. Take a week. Take two weeks. Take a month if you need it. Whatever time you need. Then open up an account with live money and start out as a beginner. Risk 50 bucks. $100 a trade. Again, if you're profitable, it's still money. You'll still have more money at the end of the week than you had last week. A beginner trader risk could be 200 bucks. Could be $250. Okay, have a range. Either way, you're going to be consistent with your risk and use stops. If you are doing well, you can step it up. I'd say be in this level after a few months of trading intermediate risk. $500 if that's your goal. Again, you'd be looking to make around $2,500 a week. That's still a really great amount of money for $10 grand a month. Okay? And you'll have some weeks that you'll make more. You'll have some weeks maybe you don't trade it all on a Monday and then you'll make less. But this is an average. You will still use stops. You'll still focus on learning and you get really comfortable doing this. And then you can really take some decent size in positions like this where the $500 risk. I mean, you can end up taking two, three, four thousand shares in things. It depends on the stock. Sometimes stops are 30 cents. Sometimes they're 50 cents. Sometimes they're 10. There was a great trade I called the other week in T last week. That was only about 10 cents. So you don't know until the trade sets up what your number of share quantity will be but your risk, your dollars and cents will be consistent or should be consistent. And then when you get to the level you're doing good and you're doing well and you've got it all down, then you can reach the advanced level which you may never need to be in this level. You may be fine in the intermediate for as long as you want to be. But this is where you'd be risking a thousand to $1,500 a trade or more. Okay? And I rough it I usually in five, 10, 15, 20, 25, 30 when I'm sizing myself and these things are happening very, very quickly I'm doing it and I'm roughing it out with the five set numbers. And if anyone wants a trial to the live trading room this week for the rest of the week Wednesday, Thursday, Friday you can email me. Email me at Melissa at thestockswish.com I made a good trade today and I think we'll have a good solid week this week because there's some decent things out this week but you'll see when I call the trades. All right? Any questions so far? Anyways, we talked a little bit about margin. These are not cash positions. They're margin positions, okay? Broker's margins vary depending on the type of account. I said prop, I said retail you got to check into it. The golden gap system which is my system that I created and designed can be traded with any size day trading account that you want but your risk has to go and make sense with your account. You cannot open up a $2,500 account and risk $1,000 a trade. That is completely ridiculous. All right? You must have a set amount in your mind that's realistic and normal and that kind of mindset is going to take you a long way into the future. Everybody has this dream, this goal, they want to make tons of money in the market, they want to get rich. I'm not saying that you can't make money in the market. I'm saying that in fact you can but I'm saying you still have to have common sense about it and that's where the divide is with many people in their mindset and people start out trading at whatever point they start out and whoever they get hooked up with wherever they take a class or do whatever and they are they are told all these completely insane ridiculous things that you can open up a $500 account and make $100,000 in a month or two months or something ridiculous like that. That is totally crazy and totally ridiculous and yet people believe that. They are intelligent, smart people out there that believe that because they want to believe that. I'm telling you you can do this you got to know what to do and no one's going to tell you what to do for free and you're not going to learn it online on the internet for free. You're going to have to pay someone to learn what they know that knows what the heck they're doing and for me I know what I'm doing or it wouldn't be a national TV. You have to know what you're doing and you have to have money and if you know and you're serious about it you can do this but you can't think insane thoughts that you're going to open up these dinky-winky-dinky accounts and make insane amount of money in a short period of time. That's not common sense that's not realistic. Think about it like this if you went and told your grandmother you were going to open up a trading account with $500 and you were going to make $100,000 in two months or three months and a year with a $500 account your grandmother would not give you $500 even though she has it she would say that's crazy and she wouldn't give you the $500 and she wouldn't believe the thing you said and she wouldn't give you the money because she would know your grandmother common sense of that is not realistic and trading the market is the same thing but unfortunately people start out and they have all these unrealistic expectations and then they think that nothing is ever realistic and then they become very negative I'm saying think positive about the market but use your head think intelligent thoughts use common sense when you're doing this you cannot make a lot of money trading without money you're going to have to pay someone real cash real money to learn how to do it if what they know is worth anything and if it doesn't cost any money that it's probably not going to teach a squat alright and you're not going to learn how to do it for free there are so many people people that live in this city right now in Manhattan that make a lot of money in the market but they're not going to tell you how to do it for free and they're not going to spend any time with you for free and chances are they've got money okay so how do you get to that point? it doesn't have to take your whole life and it doesn't have to take five years and it doesn't have to take ten and you don't have to start out with millions of dollars but you have to start somewhere you have to be realistic with your expectations of it and you have to use common sense and you have to stop wanting to believe these crazy things because the longer you want to believe that you're kind of like working against yourself in your mind and when you're working against yourself in your mind it's going to be hard for you because if you're working against yourself then guess what who's working for you? because you should be working harder for yourself than anybody else and hopefully that makes sense okay so getting back to what I was saying here I focus on the time of the day in the morning okay time of the day in the morning to train there's no overnight risk in day training you're in and you're out and you're always in control of your money alright you get in and get out when you're day training when you're doing options trainings you could be in overnight that's true but you still have to watch it you still have to watch the time frame you still have to watch when the option expires okay but the returns can be incredible for the amount of money that you're putting on for the quick profits like I showed you to be able to risk a certain amount and flip it around very very quickly in 5 minutes, 10 minutes, 15 minutes is great and the idea is that you're really when you think about it the risk you word one to one a day 5 days a week, 20 days a month you see that's a lot you would never put your money in a savings account or a money market account and get that kind of return on risk or return on investment alright any questions so far about anything now this was the spy trade from last week okay so the stock closed here gap down open dropped another beautiful short here's the first move down could it get out set up again got the second drop really nice short okay and again we did the market short today as well on the spy but this was last week this was on Friday advanced trader risk in the spy again you could have done a put in this I'm going to show you the put trade in a minute here 276.39 share quantity 4000 exit 275.40 again a dollar move really nice total profit $3960 okay let me just see here and this this this is expensive so you might have done this as a put I'm going to show you that trade a minute somebody's asking about broker yet you can email me if you want any broker suggestions and just specify in the email if you want prop or retail I have no affiliations with any places you can really go wherever you want like I said you have to have charts you have to have the one minute chart the day chart you have to have a level 2 and you have to be able to actively day trade so you can go anywhere but if you want suggestions sure email me but I was saying this earlier day trading is on investing and I think when you start to do this if you're going to be active you got to just remember that because in your head if you start to think hold hold that hold the mentality you may miss out on profits because the profits can can move so quickly like the short here so say you had taken this here you know you want to get out or if you took this here like you want to get out so because we rallied I think on Monday we rallied or now Tuesday we rallied it was so you want to know it was Monday we rallied you want to make sure that you're understanding the concept of active trading active day trading and there's a lot of money in that if you focus on set times of the day which I told you was in the morning and it's actually under the clothes too it's just that I focus on the morning so if your goal is to do this for a living a lot of people come to me and say well I want to make 100 grand a year 200 grand a year how much do I have to risk to hit those numbers you've got to risk an advance amount you've got to actively trade you've got to be there every day five days a week at least four and you're chunking it out you've got to use stops and you can't over trade you have to say to yourself okay I'm going to allow myself two trades today and this is it and you're focusing on those and this is my cut off time for the day whatever time it is if your goal is to make 100 grand a year you're going to have to risk at least $1000 in every trade you take just so you know that show you back it up then see what margin and BP you have decide what kind of broker you want to go with and what they're going to require for a cash deposit now this was I took this clip this off from this morning this was the options letter I sent out here this day this was so someone was asking as far as what to do you can do options this was an option trade you could have bought the option in the spy it went down here was up gapped down in Monday morning gapped down today up some more so you would be in this and here was the letter it was out till the 22nd this Friday it went through the strike today it gapped into it and through and past the strike you were all the targets this trade is still on for some people some people got out so this you just risk what you want to risk the amount it's not based on margin of buying power but this is an option it's not a day trade what's the minimum suggested investment capital for day trading you suggest it's whatever you can afford some prop brokers say you need a minimum of $2,500 if you can put in $5,000 that's better to start out with because you'd have $50,000 in buying power but again as I said earlier you have to consider your risk per trade then if you open up account with $2,500 that's fine but then you're not risking $500 a trade you're risking a smaller amount when you open up a retail account they require $25,000 your margins is 4 to 1 4 to 1 so you'd have $25,000 cash on your $1,000 in buying power then in reference to that I still would start out smaller because you don't want to risk $1,000 if you have $25,000 every single day does that make sense a prop broker is proprietary day trading firm you can look it up and google it just look at proprietary day trading firm on google they'll show you what to do it's a place that is going to give you more margin in buying power than a regular retail broker they have less cash requirements to put up money you can read all about the definitions of that online just put it in google again there's thousands of places but I wouldn't go to any place that's telling you some ridiculous thing like you only need $500 ok $25,000 is even low but $25,000 is doable because your BP your margin will be $25,000 I mean $500 $500 cash you're not going to be able to take any positions you need to save more money to get up to that and I would thoroughly vet and check out any broker that you would go to no matter who you go to alright so anyways that trade was a good trade because the market moved into it in the gap here this morning so you can do expensive things and you can use my system for options so you don't if you don't want to have a margin account you don't need one and somebody earlier asked about an IRA well you could have bought this buy could have bought this buy put some made money in your IRA yes ok so it's up to you personally I like the active day trading you know that's that's your call we're getting low on time here let me just kind of quick get through these anyways you can go through the share quantity it has to do with whether your stop is whatever the stop is $0.25, $0.30, $0.50 it depends so we train the nice thing about trading and the nice thing about doing this is you can work from home and you set your own hours and you set your own risk and you're supporting yourself it takes time to get to that point so you set your goals for yourself maybe you start trading now and your goal is to be completely financially independent day trading by January 1 I don't think that's unrealistic at all ok that gives you at least six months to do it and do well and stay with your other job and see if you can get to the point where you can support yourself doing it I tell people don't quit your day job until you know that you're making the money consistently and understand what you're doing until you get to that point but it's nice that with my system you can trade in the morning, you work your own hours and obviously the more share quantity the more you risk portrayed dollars and cents the more that you can make ok think about what you're willing to do to get there I know that so many people have this philosophy that it's not going to that they can do this thing and make so much money with very little money and some people say well I just don't have the money guess what, get it when you really want something to happen and when you really believe and when you truly want something to happen you can make it happen, I know that you can but you're never going to create something amazing to happen to you doing something that isn't going to go anywhere I don't know if that makes sense I was trying to talk on that earlier and I'm not sure if everyone understood what I was saying but this idea of common sense really is what you have to think about when you're listening to people when you're hearing different videos when you're even deciding to take a trade in the silence of your home alone look at the chart and look at what you're doing is it an idiotic trade that you're looking to take or is it something that makes sense for example today that would be a dumb thing to do you either do nothing with the market today or you'd short it wouldn't make any sense to go long at this placement right now with the market today on a technical level or on a fundamental level it just wouldn't make any sense so use common sense very important anyways focus on one system that's what I do the system I teach in my class is a 26 point checklist that's what you learn from me it measures gaps, you learn how to rate gaps that are in the market daily, you learn how to short you learn how to take the entries and literally if you decide to join the trading room with me you can make back the cost of the class in several trades if your risk is intermediate or advanced now I'm not saying that that's something that you may want to do you may only be able to start out with a beginner account but I'm saying people have done it some people have made the money for the class before even doing it in the trial but if you follow me in the room I call the live trains about being consistent you would learn my 26 point professional bearish gap rating system in the course it's this weekend June 23rd and 24th 9 to 5 the purpose of the system is to help you evaluate which gap to trade in the stock each morning or you could do an ETF like this by and use a checklist you can use it for options you can use it for swing trades you can use it for day trades the checklist tells you what to trade to meet and potatoes you're going to learn in the class you're also going to learn targets ultimately one strategy is all you need to be successful in the market you're going to learn how to read institutional money it's one of the ways that I've learned how to read this market and predict this market so well I've read the gaps in the market I've read the institutional buying or lack thereof and I've read the institutional selling which is one of the reasons why I called the market put last week and it followed through it followed through from Thursday Friday to Monday to today it was a nice call it was a really nice call so if you're interested email me at melissathestockswish.com to be in the trading room this week in a trial if you're interested in the class email me again it's this weekend cost of the class is 5,499 US dollars it's 9 to 5 classes online you can be anywhere in the world and take it it's eastern time I also teach another class it's a trends course special only through Friday for this class you would receive the trading room free to the end of the year the options letter free to the end of the year and the wealth manifestation course free you must sign up by Friday June 22nd and then you do the class this weekend Saturday and Sunday this is a great deal you get all my trade calls from now until the end of the year so far it's been a fantastic year I expect it to continue I've been very very focused TV has helped does anyone have any quick questions here just looking at the time jeez it's good I started talking early any quick questions from anyone if you're interested in the trial have questions or interested in the class email me you can go to my website www.thestockswish.com and if you're home tonight you can watch me on Fox at 5 o'clock eastern time any questions good group thanks for the questions earlier