All right everyone., If you've watched my videos if you've listened to the podcast. If you've been out of PreMarket prep, you know I kinda get a little OCD about follow the plan. Follow the plan follow the plan. I go over and over again.

And I hammer home sticking your plan., But sometimes the old Mike Tyson quote, comes into play, But sometimes the old Mike Tyson quote comes into play. ``, Everyone has a plan until they get punched in the face.''. Today, I'm gon na talk about the times when you need to take into consideration what's happening after you enter the trade to maybe bail and exit that plan. Earlier., Hey everyone before we get started, be sure to like share subscribe.

And, if you're on YouTube, bring that bell to be notified. As soon as we drop a new video., We do so much on the channel.. I want you in the know. I want you there.

I want you to getting better smarter, faster, stronger, every single day., All right.. So again you know just to rejuve in the introduction.. You know I'm always talking about clearly defined entries. Exits stops having that plans., Something I say over and over again, if you're in a trade - and you don't know what to do after you entered that trade okay..

You put your money on the line and you don't know what you're gon na. Do you screwed up okay., I think of it. Many of you might know might be familiar if you've done some basic coding to like an if-then else. Statement..

That's how I think about a trade. Okay, It's like an if-then else statement and there's a workflow and ultimately and I'm talking once you're in it, okay Once you're in it, there should be very little decision. Making., You should be making all the decisions doing all the analysis before you enter.. I mean that's one of the biggest mistakes, so many newer traders make..

They see some stock moving. They see it mentioned on Twitter. They get some alert. They see it in a chat room, they get FOMO and they get in..

Then they start thinking ``. Oh, what's my stop now? What's my goal now? What do I do if this happens? What, if I do, if that happens, ?'' You screwed up.. You blew it. Okay Seriously, if you don't know what you're gon na do after you're, risking your money.

Listen, you can be undecisive before you press that buy or sell button, and you can spend your time to think through it have your process.. I talk about the worksheets, all the time. There's a time to be indecisive., There's a time to have unknowns and work through variables.. That's before you enter afterwards.

It should be set in stone and you should just follow that plan. That being said. Ha. What's the theme of the video When to break your plan okay., So what I'm talking about typically, is you know, ultimately you make your plan, you have your goal, you have your stop.

And a lot of this is time-based so like for the sake of this video. I'm gon na kind of talk about a day. Trade. And let's say you're talking about a trade and you entered into the 9:45 window, and you know that I talk about one of the best times: you'll 9:45 2:00 PM our favorite times to enter these short-term day.

Trades. - And here you are it's noon - it's 1:00 PM., I mean just not much going on. And it's like. Ultimately, I talk about mental capital..

Lot of people talk about mental capital, whether that be anything relationships. Investing. I mean you know you only as a human. You only have so much brain power.

You only have so many hours in the day. And, if you're in a trade, that's just doing nothing. Ultimately, it hasn't hit your stop. Hasn't it hit your goal.

Two things. It's burning up your time, your energy, your thought, process, ,'cause, you're, sitting here and you're watching this thing do nothing. So and then all of us, you know I mean listen. I know when that happens.

I just I start feeling tired. You know I could. I can have a great night's sleep, I could get the workouts and I could have my nutrition on point and all of a sudden, it's like 12:30 and I'm tired, because it's just draining the life out of you. And then again to me.

It ends up costing you opportunity as well. I mean you'll, hear about opportunity costs because now you're staring at this stock and you miss a better play.. So that's where I talk about you know no follow through, especially like traction on the news.. So a lot of the stocks we trade are news-related, you know we're looking for whether they drop earnings, they got a new product etcetera.

And you buy that big break and you got a good entry.. You know again. Maybe you nail that morning move and you're up a little bit or maybe you're flat or you're slightly down., But listen if it's a 9:00 AM PR which we love. You know we love.

Those 8:30 9:00 AM PRs.. If there's no follow through by noon 1:00 PM you're, probably just wasting your time burning your mental capital and burning opportunity, cost ultimately.. So I don't you know, I know a lot of you like you know, distinct answers.. I don't have like it's not like.

I can say: wait an hour wait two hours wait: 2.1467 hours., But ultimately at some point, if you're just like, I think it's almost an experience and an emotional type thing., But if you're just like it just feels draining. Back to my example, if it's 12:30 in The afternoon middle of the day, you're wide awake and you're feeling drained.. I think that it's time to exit the trade, because it's just your brain is telling you something that you saw an opportunity. You saw the news, you interpreted it, but it's not following through..

So time no traction on the news. Other thing: is you know that failed breakout.? You know I think of like OPAD was 1. This morning.. This thing right now failed breakout..

This recent SPAC huge breakout this morning, you can see it broke out to all time highs. This morning. - And you know right here - broke the pre-market high, which is that level we look for at 11:05 AM at 1850 and it spiked as high as 1950 and then just slammed back.. Now it helped VWAP.

But to me that's a failed breakout.. Now you might look and be like ``. Well Tim, it went all the way to 2087.'', but two red five-minute candles in a row understand the five-minute candle theory. And it just immediately slammed back..

I mean to me: failed breakout, just move on. And listen. You probably could have stopped out it break even or maybe a very small loss ,'cause.. So let's say you entered this trading you're risking this VWAP..

It never touched VWAP until you know two hours later and actually gapped down hard into a halt.. But here's the thing if you follow this advice after those two red five-minute candles, if you did move on, you didn't endure that look at that $ 5 slam back after it touched the high of the day.. So it keeps you out a lot of that trouble. And those are the situations where there's that failed, breakout.

And again defining failed breakout.. Look at this five green candles. In a row. I mean it just looks beautiful and it breaks the height of the day..

Then big candle to the downside and to back-to-back five-minute candles. That is definition of failed breakout.. So I would have stopped before VWAP, which ultimately, in my opinion, kept you out of trouble, kept the loss smaller. Even though it's violating the plan., Then the last one is when the short term moving average breaks through the long-term average..

You know you hear a lot about 20 MAs and 200 MAs.. This is a little more applied to swing trades.. So if you're in that swing - trade. - You know swing trading is a little bit of a longer term idea.

And quite frequently, based on the SteadyTrade Team methodology., I mean we nail these earnings winners, these good news, breakouts. And the nice thing about these swing trades that We look at quite frequently the downside, the biggest downside is they just kind of tend. You know, and this is the downside. This is the ones that don't work.

Okay, I'm focusing on quite frequently significant majority of time. We nail these swings, but when they don't work typically, they just kind of start to go sideways. The volume goes away and they slowly slowly trickle lower trickle lower.. Now, with swing trading, you've got a multi-day, multi-week methodology.

And you know it's down 1 % a day. It's down, 1 % is down 1 % You're not getting crushed on this trade and you're, not hitting your stop, but when that 20 versus 200 averaged crosses there's a lot of day. Traders that are watching that and when that happens, you'll tend to see a gap down because people exit. So the best thing you're gon na do if you're swinging, even if and ultimately you may be making profits on these trades ,'cause.

That's the thing with these swings.. I mean you might be nicely in the green, but then it just kind of slows down and the volume goes away. And like let's say you bought a 100 break., Your risk is 90 and your goal is 130.. Let's just say like a stock like Asana would be a good example of that..

You know a stock that really just blew through blew through a hundred on earnings. You know, and maybe your risking down at 90 and your goal's 130, which looks like it wants it.. But let's say here: we are at 117., Let's say it just kind of starts to dry up and then trickles, the 115 trickles, the 114 trickles, the 113 you're green on this trade ,'cause you're in at a hundred, but the momentum's gone, and you got that moving Average cross., Maybe you move on at 113, you made 13 bucks a share, not bad, but you're not waiting and letting your profits evaporate.. So again, that's more of a swing trade methodology, which is something we talk about every strategy session in the SteadyTrade Team..

If you're learning and really looking to get more involved in trading, I think the SteadyTrade Team is a great way to do. It. Twice a day, every single day, webinars. We talk about, we typically focused more on you know, momentum day trades in the afternoon, then we've got an afternoon webinar as well, where we're talking a little bit more of like those swing trade strategy..

So, if you're really looking to flesh out your trading and master, this stuff check out the SteadyTrade Team, I think it's a great way to do. It. Have a great day. And we'll see on the next video.