 Welcome to Access a Trader, the number one community for those who are committed to taking control of their trading in order to achieve success, profitability, and longevity. Thank you for joining us. Here's Dan Shapiro to help you find your edge, master your process, and own your future. How do you technically get out of a position if it goes wrong? All right. Here's the thing. There's two ways of doing this, right? There's two ways of doing it, and both ways, and both ways are technical, okay? There's both ways of technical. So sometimes, especially on the day trading aspect, and it's kind of a good segue into what we just discussed, sometimes there'll be a pivot in the stock. Let's just say 113 is the pivot, right? 113 is the pivot, and we all know you have to use second entries, which basically means when I put a pivot in, the pivot is 113, 113 needs to build, which basically means the stock needs to take out that 113 level, and volume needs to build over that 113 level. That's what building means, right? The longer a stock stays above the pivot, that is called building. It's nothing more, nothing less. So let's just say the pivot is 113, right? And it takes out 113 and puts in a new high of 114.32, right? 114.32, and I'm actually going to cover both, you know, kind of a two-sided question here, because somebody also asked how big of a retrace do you need before it causes second entry? So we'll kind of cover both sides of that question simultaneously. So let's say the stock puts in a new high of 114.30, OK? What you need to do is let the stock retrace at least, if it's $113 stock, at least 30 to 50 cents, right? At least 30 to 50 cents. So for example, if you're trading the video, right, you need to retrace at least 30 to 50 cents. If you're trading Facebook, at least 30 to 50 cents. Again, I don't care if it goes down more, $1, $1.5 more, at least 30 to 50 cents, right? When you're trading Netflix, probably about $1 just because it is a lot wider, OK? A lot wider. Roku, the same thing. Tesla, you need at least the dollar, right? You need at least the dollar retrace. Amazon, you need at least $3 to $5 retrace because it's a $3,000 stock. So you get that retrace, and once it retraces and goes back to that new high of 114.30, that is the second entry, right? That is the second entry. So what do we know about second entries? The second entry, the stock needs to explode. Once the stock takes out that new high, the second entry, and you get in, that stock needs to absolutely explode and price appreciate within the next 30, 45 seconds, or you know it's stalled out again, right? You just know it's stalled out. So the prudent thing to do, and I've always advised newer traders this, especially newer traders who are fresh to pivots, what I do advise is that if the stock stalls out at the new second entry at 114.30, and you just don't see it going in the first 30 to 45 seconds, get out of the trade. Just get out of the trade, right? Just absolutely get out of the trade. That is basically telling you the stock is not ready yet, okay? It could go later, but the stock is not ready yet. So if it doesn't price improve on the second entry in the next 30 to 45 seconds, maybe a minute, depending on which one it is, you know what? You say, you know what? Maybe an adult about it, right? Something's wrong there. It's gassed out a little bit. Maybe it needs a little bit better rest, okay? And I could always enter it later, or I could enter it on a 60-minute dip, right guys? If you guys noticed, we're getting tons of value on rising 60-minute support. Like that's value, man. If the uptrend is still intact, it's going to bounce off that 60-minute support. You've seen time and time again how advantageous those entries are. So what you want to do is have two courses of action. If the stock doesn't go right away, these are both ways to kind of measure risk. If the stock doesn't go within the first 30 seconds to a minute after your second entry, use break even as you stop, or slippage up a little bit, down a little bit. It's the cost of doing business, right? All right, if you want to give it a little bit more rope and you just feel, hey, the stock is very strong, it has confirmed that the daily chart, the stock looks really good, I'm really loving the option flow that I'm seeing for the last hour or so. What you could also do is use the previous five-minute risk, right? Previous five-minute candle low. So if it takes out the previous candle low, then you say to yourself, well, that's my max pain. You know what? It's broken's trend. It's not just tired here at the macro, right? It's not just tired here at the macro, it's just tired, right? Maybe it goes later, maybe I'll have a better entry off the rising 60-minute support, or you know what? Tomorrow's a new day with that stock, but again, you're in control. Guys, that's the common denominator. You're in control. So you're either making a feasibility study at that point. You know what? Let me get out of this thing, especially if you're a newer trader, right? You're trying to preserve as much capital as possible, it extends your shelf life. So you're saying to yourself, you know what? Dan says the stock is still a little tired. Again, it's not like it's a mystery, you know, I'm commenting on the stock. You guys hear me say, hey, something's wrong, the stock is stolen out, consider using breakeven. That's not mixed signals. That means the stock is stolen out, consider using breakeven. So you could either use breakeven or slippage on the entry. Or if you are a more experienced trader, you've been doing this for a very long time. You've been with me for 11 years. You can say to yourself, you know what? Let me use the five minute previous candle's low, give myself a little bit of a shorter leash. But you know what? I still kind of love the idea. Let me stay in it. Or if you're a really, really experienced trader, you can always use the previous 60 minute low. And that's going to really give you a dynamic view of the overall trend of the stock. So I think that the most important part of that first aspect is recognize that the stock is just tired, right? The stock is tired. Maybe it's put in a majority of its average range, right? Maybe the stock is just tired, remember. It's like a human being, right? Think about it. It's like you just ran a marathon 26 miles. You feel good about yourself, right? That's the stock. So I broke out. You feel good about yourself. You realize, well, wait a minute, it's not a marathon, right? It's a triathlon. Now I have to run for five miles, right? I assume you have to swim for five miles and I have to cycle for another 10 miles. You're going to be tired. You achieve what you want, right? You got to that level, but you're going to be tired. Stocks are exactly the same way. They do get tired, right? They do get tired. They need a rest and they either resume a little bit later that day or they resume at some point during the week, but at least you have options. And again, the controlled theme is you're still in control, and that's a very, very important level here.