So what is one company I am looking to swing trade? What's going on guys, it's Ricky here with talk about Solutions I Have not filmed a video like this in a really long time and if you enjoyed these videos again, all I ask is for your support here on YouTube Make sure you drop a thumbs up and make sure you subscribe and let me know down in the comment section what you would like me to break down. Next, let's go ahead and just jump right into it. I'm going to start sharing my screen I want to make sure that you understand whatever stock it is that I'm talking about today. In no way is any stock suggestion.

this is 100 my opinion and again I just want to break down what I would need this stock to do and what I'm looking for for this thing to be something that I would consider to meet my criteria for a swing trade. Again, let's go ahead and just jump into my screen. So overall NASDAQ Market was selling off today. We took a really nice position on Skq.

Uh, today's Friday September 15th I'm not too sure when I'm going to upload this video but 27 kids What? I closed Sqq with and then 4k on the day on Tiki you all together for a whopping Thirty one thousand dollars on the day. So the stock that I'm going to be talking about today that I'm going to be breaking down is again. if you're part of my Lpp team, you know exactly what I'm talking about. This is something that I like to swing trade from time to time or I like to short when it's at overbought levels.

It's kind of my. you know how like Tkq and Sqq are my bread and butter daily. Anytime American Airlines approaches 12 a share, it's my bread and butter. Anytime that it approaches 16 to 17 a share, it becomes overbought.

I like to sell at those levels and then I like to get ready to open a short position if my criteria is met. Now let me explain right? So American Airlines recently came from a really nice rally. It peaked at highs of what is that nearly 19 a share and now it's pulling on back. The setup that I'm talking about is again.

you don't need to agree with me, but this is what I tend to see happen. It tends to consolidate within the range of around 12.50 Just like I said, right? Common support level here. Common support level Here your common support level here. it's not perfect.

But Comment: Support level here. Comment Support level here. We're approaching it. This is why I'm making the video.

Common resistance range is right around 15 to 16. Just like I said, sometimes it does exceed that again depending on conditions. but around 1550. Resistance here.

Resistance here. Resistance here. It surpassed it, but then eventually got rejected Resistance Here it surpassed it, but eventually got rejected resistance there, right? Uh, In a perfect world, right? If I was a perfect Trader which I am not right at overall lows to overall highs, you could see 24 almost 25 percent. This is why I find it to be attractive.

Now one of the first things that I want to share with you is when it comes down to taking a screenshot on American Airlines I Never tried to go beyond a fifty thousand dollar position size. Um, again, for those that know me when it comes down to trading Sqs or Tqs I can sometimes open a position of half a million dollars. right? Five hundred thousand dollars My intention with American Airlines It's more of a fun swing trade, but I also understand that it comes at a different tier of risk. So to respect that risk I don't go uh Beyond a specific price point I Make sure that I respect the risk enough that I take my position size into consideration.

Remember, something can be extremely risky, but if I only if I watch my position size and I only put a dollar amount in which I can tolerate that. Again, a way that I'm managing my risk is because I'm managing my position size. So just food for thought, right? But as of right now, What? I buy it Right Now the very simple answer would be no right? It's not indicating signs of a reversal or recovery. What exactly do you mean, right? Well, there's something that I break down within the Learn Plan Profit Lesson library.

For those that aren't familiar with that, it's the second link in the dot uh in the description, but it's called the three stages of reversal, rejection, consolidation, and then confirmation. Obviously I Want to make sure that I put my money in something that is showing signs of growth, but that's also a good deal that is on that confirmation stage which we definitely don't have right now. So if I were to ask you, is this in the rejection, consolidation, or confirmation stage, a lot of you guys might be saying rejections rejection stage and I would agree with you right? we're showing signs of consistent lower highs and lower lows. And why would I want to put my money in something that is continuously showing signs of it selling off and losing value? Very simple.

Don't try to predict the bottom of something, wait for it to really present itself to you where it's actually beginning to indicate signs of recovery. Right when we take a step back, it's very easy to see. Yes, this does have potential for it to recover great. Just because it has that potential, doesn't mean that it's going to happen right away.

This is where you need to respect yourself enough, respect your criteria enough that you wait for that opportunity to present itself. Yeah, 1330 might be cheap based off of previous highs of 19, but guess what? 1260 is cheaper. Eleven dollars is cheaper. Ten dollars is cheaper.

We don't know how bad things can get before they get better, which is why again, the cheap can always get cheaper. That's something that we always try to preach to our LBP team. One of the things that I want to make you aware of is, you know what is causing some of the selling pressure American Airlines and Spirit slash Guidance. it's more.

uh, it's more turbulent for the sector. So pretty much, uh, overall expectation for up and coming quarters, they have a lower expectation, right? So American Cuts its uh, substantial one. American cuts are substantial driven by higher labor costs. following its pay agreement with Pilots Again, I don't know if you guys remember that, but there's about to be a pilot right for uh, planes at a Pilot uh, pretty much like um, what is it called when all all these employees pretty much go on strike, right? I think that's what it's called, but pretty much saying that they won't go to work if again, this pay agreement is not met.

and essentially it's 80 into their net profits, right? So overall guidance has been lowered for something like American Airlines and also for Spirit if we look at Spirit that's ticker symbols. save for all those people that like to fly Spirit Spirit's just kind of been all over the place. Direction: there's a little bit less clear, it's more bearish. American Airlines is my preferred one based off of the one that I like to trade and how I like to trade right? Just because I see value in it does not mean that you need to and I want to make sure that I remind you of that, but in a perfect world I would like this thing to begin to sell off even closer to 12.60 As you can see I don't have an open position in it right now I want it to begin to consolidate and then I would wait until it actually begins to indicate signs of a recovery.

So once we get that confirmation of the break above the EMA and not just the break above, but I want to see progress above the EMA Remember I'm not a perfect Trader you aren't either, right? So let's not pretend like we are. We have 25 margins to work with. even if I capture half of that, that's still a successful swing trade. so I don't like to over complicate my trading I don't like to pretend like I'm perfect I don't like to be greedy I like to wait for confirmation.

Once that criteria is met, then I'll average into my position out of the 50k that I might intend to you know, put into this swing trade I might originally go in with 5 or 10K I like to size down and if I still get that confirmation and Direction looks favorable, then I'll add more to it in increments as long as the upside outweighs my downside risk. Right at some point or another, the goal might be to be in with 50k, but at five. but if I'm only in with 30k and it's already too close to the resistance, then I'll just leave it at 30k. Remember, it's not that serious.

The whole focus is to make sure that every move I make is calculated and at the end of the day that my intentions are are calculated as well, right? So as we begin to get closer to the resistance around 1550 again, that's going to be something that I'm going to have to pay attention to. Patterns tend to repeat themselves. they don't always have to. Yes, next time it could go up to 19 again.

But at the end of the day, I'm not here to Try to Make It or Break It I might even just consider locking in profits if I see any indication of a resistance the previous time it got rejected at 1730. So I might leave a portion of my position open, right? I might still have I might sell 75 of my trade, but at the end of it I can leave 25. and if Direction still looks favorable, I'll leave that 25 to run up until it actually sees a break if pattern or we reach very overbought levels where I can therefore end up locking in profits. But the whole idea is to identify on opportunity.

Great, we did it. Now you ask yourself what I need it to do for me for it to be an eligible swing trade for me I need that confirmation right? I want it to sell off I've already identified the setup of the lows and the highs now I Just need to con I just need that confirmation of that reversal once I get that confirmation I can ease into that position I'll add more to it when direction is favorable or I'll cut losses and manage my risk if it ends up breaking this pattern and go and begins to go back. On the downside, right? Very, very simple. The beautiful thing you might be asking Ricky why do you size into your position which again, you don't have to.

But one of the things that I like about sizing into a position is by me going only in with five or ten thousand dollars instead of the fifty thousand dollars all at once if things don't go according to plan right away and it is a false breakout right? and then it begins to pull right on back. Then at that point, I only have five or ten thousand dollars at risk, which again is much easier to mitigate and manage my risk versus fifty thousand dollars. How many times have you taken an aggressive position because you got that confirmation of that criteria being met and then things go south and then you hesitate to manage or mitigate risk. Remember, it's just about putting yourself in a position in which you can tolerate and that you are still effective and efficient in.

and that's again, my main focus every single day to put myself in a position in which I can succeed in. So just because I choose to average up does not mean that you need to. it's just the way that I like to trade, which again, I explain in a little bit more detail in the LPB Lawson library. But all together I see decent upside potential if we begin to indicate signs of a support and then once we get that confirmation, I'll add to it I'll average up as we get closer to the resistance than a lock in profits again.

This last rally is a perfect example of the three stages of a reversal. and how in a not so perfect world this reversal would most likely end up forming, right? We sell off, we begin to consolidate. that's stage two, and then we get that confirmation. and it's not perfect, right? Because we push up, We pull them back, We push up, We pull on back.

So that's about what is that? Two weeks of trading and that's there's inconsistencies there, right? So this is why I'm saying that this is a swing trade, not a day trade. But then One Direction becomes favorable and we begin to show signs of consistent progress. Then I can really begin to step on the gas getting closer to my fifty thousand dollar go of my position size and then work towards selling at a potential resistance or any indication of a potential resistance at overbought levels. So again, that's my overall swing trade plan for American Airlines It's one thing that I really like to, you know, pay attention to when it reaches those that 12 price point or um, when it approaches the 15 or 17 price point.

I like to lock in profit and then get ready to short this on the way down. for those that are not familiar when it hit highs of 19, I actually had an active short position and I wrote it down to like 16 or 17. I made a couple bucks and then I closed it out there I made a few thousand dollars but uh, again, it's just the swing Trader that I like to do for fun. It's not my main bread and butter, but it's just the one that I like to mess around with that seems to be pretty consistent based off of previous patterns.

And you guys let me know down in the comment section what you think about my breakdown and if this is something that would meet your criteria. So I really do appreciate you guys. thumbs up! Uh, please consider subscribing and remember I do trade live every single morning. The Market's open with one team and one team only I only offer one service and that is my OPP lesson.

Library You get to watch me trade live every day and you get access to the A to Z video Lesson Library It's a one-time payment lifetime access and it's the second link in the description down below. If you're looking for the biggest discount, it is linked there for you. Already appreciate your time like always. let's make sure that we're in the year I'm agree.

now. take a dizzy team.