What's up everyone? All right? So um, I'm going to go over, uh, a little bit of the game plan for the week ahead and hopefully we can put together a little bit of a watch list. Uh, right now you know. As of today, I've locked up. uh, 155 000 in profit on the month of August, which which makes it the best month of the year.

These are my last, uh, 30 days here and you'll see there isn't a single green day. It's a couple small green days. Sorry, a single red day. A couple small red days.

like, uh, green days. Like right here? 271. Another one here. But um, I've been on a nice hot streak.

So the calendar here for the month of August is looking pretty nice. Last red day I had two in July back to back. So since mid-june I've only had two red days, which is, uh, pretty good. So I'll show you where I sit for the month of August.

Uh, As always, a reminder that my results are not typical, but I share this with you because I want you to know the person that you're learning from is credible and is qualified to help you build a watch list and tell you about the process of learning to day trade. And I think I certainly am. So there's 155 000 in profit on the month of August: 70.6 Accuracy average trade four minutes long for winners, three minutes for losers not bad. And if we look, um, if we go back to January you'll see 750 000 in gross profit.

And if we go back to overview and look at um, the year, you'll see that Right now, I'm on the best month of the year, Which is really surprising because August is not typically when I expect to do really well. And I said this at the beginning of the summer. I was like, you know, I'm setting low expectations for June, July, and August. I'm looking forward to September, October, November, December.

That's the time of year that things usually pick up Well, I was pleasantly surprised that things picked up here in August. So during the last week, um, we had some momentum on a couple different names. so I'll go back to Um, back to August here. All right, so detailed.

Um, so we can look at instrument and this will show you my biggest winners and my biggest losers of the month. So uh, Meg L. is the biggest winner of the month at this point. However, and by the way, those who didn't check out Um uploaded a new podcast on Wednesday.

So if you didn't check that out, you can. Um, I'll put a link for the podcast on this in the description this video, you can check that out. So thank you guys who have been tuning in to the podcast episodes. There'll be another one coming this coming Wednesday.

So Meg L, Uh, at this point it's I'm not interested in it. We had a couple of good opportunities on it. I did well on the day that we got this dead cat bounce here. it went from like seven eight dollars up to twenty dollars a share.

So that was nice. We had the initial breakout day on the ipo, but it came all the way back down. and unfortunately, this has been. um, really, the theme of these ipos.

It's been brutal. I mean, they've They've been opening at outrageously high prices, and then they just sell off. That's what happens. Insiders, people who got shares early, they're just dumping them on the market and it's kind of.

I don't even know who's bidding it up to buy it. At 126 or 138 dollars a share, this went to a high of 186 before selling off and I just said, nope, I'm not touching it. In any case, the volume was like non-existent It halted up on 14 000, Shares resumed, halted up on another 21 000. Halt it down on 17 000.

you didn't even have 100 000 shares of volume between here and there, so there's just no volume on it. So Jay-z uh, no interest. Mega L: Same story Hkd. This was kind of the one that got them all going.

This Chinese ipo that went way way way up here and it is still holding up at around 165 dollars a share, but only 12 000 shares of volume Friday and there's just nothing to trade there. so that is off the list now. Drug ended up um, being my second biggest winner this month and this one gave us multiple days of opportunity. I mean, it was like, you know, one, two, three Well, but really, it was the green days.

This red day. See, this is an interesting volume profile because we had high volume green day, very light volume red day, high volume green day light volume red day Uh, slightly higher volume red day It squeezed up, but then closed Red high volume green day And then Friday. We squeezed up to a high of 416 before rolling over and selling off into the clothes. So at this point, given this red day here, I feel like it's probably done.

Um, but you know, maybe maybe on Monday morning it'll be gapping back up to 345 350 and then we'll be looking at a squeeze through four dollars. But I feel like it's done. However, if it breaks through 475 or even yesterday's high 416, it is worth watching. So that's a that's a possibility so I can kind of add it to my um, I'll add that one as one that I'm going to keep an eye on.

So Drug, we'll keep an eye on it going into next week. So that's one possibly some of the others on my top performance. They were from earlier in the month tlg, Mdia, Env, Mtc, Rebn. those were all earlier in the month.

so this last week was pretty slow for me relatively speaking. I if we look at, um, my calendar, you'll see that I was green on Monday. Uh, smaller Green Tuesday Smaller Green Wednesday Again, small Green on Thursday. And then the best day of the week was on Friday.

So you just as it turns out, I started and finished the week well, but that was thanks to Drug and it just was pretty slow all around. So Drug, yeah, we can keep that one on watch. Yesterday Friday we had nerve open up. This was a daily setup and you got a nice breakout on it.

I mean you, you really did. It was above the 200 moving average. It was the first daily candle to make a new high and this thing squeezed up, broke through the high of 858 and went higher. I didn't trade it.

uh, yesterday. I, you know, I kind of said to myself, um, I've done well enough. I was. I was really totally happy with the 12 000.

I didn't feel I needed to try to fight for more. Uh, it's been, you know, I just one of those kind of weeks where I was just grateful to finish in good shape. But you definitely got a nice candle right here as this pulled away at 850 and squeezed up to 923. Then it went all the way up to 1025.

pulled back a little bit, came back up, broke through 10 into the Cl, into the close there and went up to 1068. Pulled back and then after hours it goes up to 12.. So that's nice to see. Um, I think this is worth watching.

uh, Monday for a possible continuation just because of the fact that it closed strong. So it is a recent reverse split, right? So recent reverse splits certainly have, um, some potential. The float's pretty low. It's not a recent ipo, it doesn't have that going for it.

It's been around for quite a long time, but we'll see. Maybe there'll be some more opportunity on it. So let's watch this one on Monday. So that's nerve and E R V.

All right, So we'll keep that one on watch. Let's see and thank you. By the way, for those who are, uh, getting tuned in here this morning. Appreciate you guys as always, hitting the thumbs up and hopefully being subscribed to the channel.

All right, so that's nerve. Um, now we have the S P 500. So the S P 500 got pretty, you know, spooked and sold off hard on Friday. we actually had the biggest red day that we've had in quite a while.

So what ended up happening here? Um, and this is sort of, you know, the the global macro economic picture, but this was all related to inflation and the Federal Reserve increasing interest rates. So um, you know the the speech from the Chairman uh, from Jacksonville, Wyoming. He said that the Federal Reserve is committed to achieving Uh or re regaining price stability and that one good month of data from July is not enough for them to start tapering or slowing down on the interest rate hikes. So the market didn't like that sold off here.

But you know at the same time having just runaway inflation that that's not. That's not good either. So it is what it is, but markets pulling back a bit. we may see a gap down going into Monday.

Obviously, we had the lows back here of about 362. And because we have this descending resistance line that we ran into and couldn't break also under the 200 Sma, that's definitely a resistance point. So we're probably going to continue this leg down on a little bit of pullback and we'll see where we find support in the market. Maybe it's around the 400 on the S P Maybe it's not until some of the lows of these pullbacks here 389.

I hope that we don't go all the way back down to 373 or 362, you know? Obviously for everyone's sake, but you know if we do, we do. It's just the way it goes. So that's that's kind of the big picture. and I think that it is a reason to be a little bit more cautious as we sit down on Monday, just because if the overall market is gapping down and is selling off hard, then you know it's it's a headwind, so that's something that, um, you know we obviously have to be aware of, but I think that we're gonna have these periods where we have these kind of sharp sell-off um, you know, flushes that are part of the Bear Market, And that's fine.

During those sharp sell-off periods, it feels like there's a headwind. It feels like the Algos are kind of trading against us. And then when we get these bounces, you know this was a Bear Market rally right here. You know this was.

This was a really nice move up and a lot of traders were able to do quite well during this rally. Even though we're still in the context of being in a Bear Market, Bear Market rallies can be really strong and we can do quite well on them, so I'm going to be more cautious trading to the long side on small caps if we're on the leg down. Just reduce share size, take the quick base hits, do more scalp trading, just get in, get out, lock up profits, and then once we get to the next leg, back up. That's when I'll start to be more aggressive, and, um, you know, kind of be a little bit more aware of the overall market uh, than maybe I have at other times.

So if we go back to like 2021, you know when the overall market was just generally quite strong when we had these leg down moves. Like, right here. You know any of these kind of little leg downs. They were so small, and they were in the context of a generally bullish market that they really didn't have much of an impact on small caps.

but um, Iwm Small Cap Index Russell 2000 obviously showing weakness, which is not surprising. It is correlated to the overall market. Uh, we're in this Bear market here, and with the S P being down as much as it is, it definitely feels like, um, you know we have a headwind and so I think that's just something to be aware of. I would also reiterate what I think is the importance of honing your skills during a difficult time in the market, because if you can do well in this market, I think that that's a re setting a really strong foundation for your future.

I I think that that's really, um, you know a big deal, so you know that's that's what I would say there in terms of whether or not it's worth practicing and learning during this market. I think it is. Um, we will come out of it and whether it's in six months or it's in a year or whatever it is, those who survive will be, um, set up well to thrive when things open up. So you know this is definitely there's a lot to be said for just kind of trying to tread water a little bit.

Um, you know, keep your head above above water. Stay green. It's not the time to be going out and swinging for home runs and hail Mary passes and stuff like that. And so, to a large extent, my metrics for the month reflect being, um, actually, quite conservative.

I have a couple great bigger green days in the beginning of the month at 28 000 and 26 000, but um, you know which those two days represent basically a third of my profit on the month, and then the rest has been just slow and steady. And I'm totally fine with that. You know, 15 000 there? 12 000 here? I mean, these are these are solid green days, but they're nothing. They're nothing crazy.

They're nothing outrageous, so just trying to be consistent. We've got three days left in the month of August, and then we're going into September. So you know, at this point, I want to just finish the month strong. I'm aware of the fact that the overall market is pulling back, so we've got this, um, impossible issue there.

We'll of course, see what the market looks like on Monday, but it seems like we're after that big red candle. You know we may have a gap down and a bit of a move lower the way we did back here in this area of June. So if we do have something like that, um, you know, I just have to work with those greater market conditions. Be a little bit more selective to wait for stocks that are just really bucking the trend and are just super super strong and then you know, trade those as best as I can.

No trade days are totally fine if we end up having some So nerve that was a good one. Um, just checking the high day momo scanner from the end of last week sxtc. Sort of doubt there's going to be anything on that. A little bit lower priced? Yeah, Sort of popped up and pulled back more nerve.

That's noon time Pxmd ipo. Just another typical sell-off like we've seen on most of these ipos. So pops up, rolls over and doesn't hold up. So I I really have very little interest right now in the ipos.

They just while we had some good action on Hkd and that created a little sympathy momentum and I was able to do well on Megal right now. It's just they're overdone and they're priced too high and then it feels like they just get sold into really hard. So so really. at this point, the two that I'm watching going into next week are drug and um, Nerve.

Nerve is the better of the two for sure, so we can be hopeful that we get some action on Nerve on Monday. That would be certainly nice, but you know it may be a little optimistic and it may depend a little bit on what happens with the overall market, right? So if the overall market continues to be weak, then that could be a problem. So that's kind of my, um, high level game plan for the week ahead. something that I talked about towards the end of Um, last week I was talking about and I talked about this a little bit last week as well.

but I'll just reiterate it here. So for me, one of the goals each morning when I first sit down is to try to build my cushion. And as you recall last Friday and also on Tuesday and Wednesday all three of those days I went into the red before rallying back into the green and I think that one of the problems there was that I was getting a little, um, impatient. You know we we weren't seeing big momentum and I I was.

It was getting later in the morning I was like, you know what, I just have to break the ice and take a trade. And then I was breaking the ice and taking a trade on something that really wasn't like a super high quality setup. And so no surprise I was getting caught in some nasty flushes and then I was starting the day in the red and I had to spend basically the whole morning. All of the next trades were just digging me out of the hole so I wouldn't hopefully close the day red and that feels sort of exhausting to spend the whole day just trying to get back to flat that's not.

Nobody really wants to do that. So going into Thursday and on Friday I tried to be a little bit more, um, conscientious of that habit and just focus on sort of one of the things I was talking about last week which is trying to really make sure the first trade has the potential to give me 20 30, 40 cents of profit. and even if I only get 10 or 15 cents out of it, that's going to get me green. it's going to give me my cushion and then from there at that point I can continue on to the next trades.

If the first trade I take ends up being like a 30 40 flush, even with 6 000 shares, I'm gonna be down fifteen hundred. you know, eighteen hundred dollars or more. and that just immediately puts me in the red. and then the next trade.

I have sort of two choices. I either take the next trade and I'm more aggressive on it because I'm trying to dig myself out of the hole. So the fastest way to make back eighteen hundred dollars would be to take ten thousand shares and get eighteen cents a share. On that next trade, you do that, you catch another thirty cent flush.

Now you're down five, six grand. and this is where the day starts to really get bad. And so the other approach is. uh, after that first loss to take smaller size on the next trades, which is what I did on Wednesday and Thursday or Tuesday and Wednesday.

But then the problem is, even while some of them were good trades, I'm not making as much and so then I'm slowly recouping losses until finally I get back to flat And I get frustrated because you know, I there was a really nice move in the stock, but I wasn't positioned to be able to take a big share size and then as a result I I didn't lock up. Um, you know, big gains And so starting the day on the right note is super important And so I started the day on the right note. Uh, on Friday I got green and then same on Thursday I was able to build the cushion and then from that point kind of work forward. So the first couple trades are super important each day.

Those are your kind of icebreaker trades. If you break the ice and you know you can get green, then you've got a cushion. You can work with that when you break the ice and then you go red. Then I think what happens for a lot of people is sort of.

the fear sets in of like uh oh, I'm in the red. I'm moving in the wrong direction. Now I have to keep a really tight leash on this. I have to be really careful.

I prefer not to have a huge red day should I stop here and then on the next trade. You're a little bit nervous, or you're a little impulsive to try to immediately make back the loss because one of the things that happens. of course, when you're when you're red, when you take a loss generally for most traders, is an immediate feeling of dissatisfaction. You're frustrated, you're upset, you're uncomfortable, you don't want to be red, and so the fastest way to alleviate that discomfort is to have a winner, right? And so, the drive to get a winner really, really quick to therefore alleviate that feeling of discomfort can create a bit of an emotional hijack, where now you're seeing the market through a very different lens.

You're seeing it through this lens of desperation. and then you lower your standards, and now you're willing to take B, C, or D quality setups with way too much size. And then that's when things can start to snowball. So for me, I, I'm grateful that I was able to prevent snowball days on each of these three days this last week.

and whatever that I did go red on each of them, I was hit a low point and was able to rally back up and come in just above green on the day. And basically I I sort of said all right This point, I've changed my goal from hitting the 5 000 daily goal to just getting back to flat. and if I can get back to flat, I'm going to consider that a victory. Even though it doesn't feel like a huge win in in some ways it feels like you spend all morning just to get back to flat.

But you know at the same time it means another small green day and that's certainly better than a red day. You also need to be careful about revenge trading and something that I was thinking about here. Uh, I'm dealing with a little bit of fear of a red day because I've had such a long green streak here. and some traders who have had long green streaks, you know you kind of know what I'm talking about.

You start. You start being very aware of the fact that you know right now you're three days away from a no red August and that starts to create a very unnecessary pressure. Because the reality is, if I have a red day on Monday and I lose a thousand or two thousand or five thousand dollars, it is it. It shouldn't really mean anything, especially since I'm up 155 000 on the month.

So even if I lost 15 000 on Monday, I lose 10 of what I'm where I'm at. on the month. I'm still going to finish the month over 100 grand. I'm still going to be above the goal for the month.

It's It's okay. but what can happen is that as soon as you go red, you start to feel this, um, you know this added pressure that you need to maintain this green streak that you're on because you sort of set this as like a thing that you're aware of. So something that I'm considering is actually forcing a red day. Um, on the next day that I think that there might just be no trades at all, just going ahead and taking one trade and just basically by pressing the buy button for like 200 shares and then immediately pressing the sell button.

So I lose on the spread and just forcing a red day of like 50 bucks or something. Whatever it is just to break the green streak and to kind, of, um, remind myself that it's not important. It doesn't matter and so just breaking the streak, um, you know, breaks it. And then I don't have to be feeling that anxiety that I'm still on a green streak.

but I, I'm not gonna. um, I mean, I, I'll do that on a no trade day or a day that would otherwise be a no trade day. I'm not gonna just try to lose on a day that there's good setups. I mean, obviously that I'm not going to do that.

but if there's a day where I'm looking at not taking any trades at all, then that may be the day where I force a red day just to break the streak because I know that my longest green streak is 56 consecutive days. and I know one of the last times I got close to it, I started thinking hey, I might have a chance at breaking that 56 day green streak. And so on day like 45 or whatever it was, you know I started to go red like a thousand and then 2 000. And then I'm thinking I have to get green so I can preserve the green streak.

And then that's when desperation set in. That's when I started getting really, really aggressive. And so I ended that 40 whatever day green streak with a huge red day. And that's something that I have to be aware of is a bit of a trap for me when I start getting into this headspace of thinking that I need to maintain a, you know, a green streak or something like that because it really is not, um, something that's important.

So forcing a red day would be um, one approach to just breaking a streak and then taking that added pressure away because listen, trading is difficult enough without these added sort of totally self-created pressures that we might apply to ourselves. So anyways, that's something that I'm thinking about. Um, but you know it's always nice to have a nice long green streak like I have here. Um, I've had a couple others, you know over the years and um, I guess I didn't have one.

I think it was in 2020. I had a couple really nice. Yeah, I had a really nice stretch here in 2020 between April, May, June, and July. I mean, if you recall though, we can look at the S P 500 during that period from April to July and the market was just.

I mean, it was absolutely on fire, right? So here we go. There's the beginning of April and there's you know, through July. I mean the market bounced. It was an epic bounce in the market.

It was like, I mean from 220 up to 3, 10, 3, three thirty, It's like almost a fifty percent, uh, bounce. It was pretty mind-boggling from the low back to that peak. So yeah, um, the market. That was a time where we had a really strong tailwind and um, I was able to.

I was able to do really well there, I'm you know. And I was continued to do well through all of 2020 and 2021. but then of course, 2022 with the market peaking and going into a bear market. I have not done as well this year.

So the best year that I've ever had was 2020. About 5 million in gross profit. My second best year was last year, around 3.8 or maybe 4 million or 4.2 million. something like that in gross profit, which was great.

and right now I'm sitting at 750 000 in gross profit. So this is my third best year. Um, but it is really substantially less than what I was able to bring in in the previous year. Now you might say, as a beginner trader, how does that? you know, how does that kind of correlate? Is it more difficult right now to capture like 100 200 a day? uh, than it was a year ago? It's I guess it's impossible for me to say for sure, because I'm not.

That's not what I'm trying to do, but I feel like, uh, what we're not seeing as much of are these big extensions where stocks just like they go up 400 500 in one day. So if you were a trader back in 2020 2021 and you were trying to just take like one trade, get in, get green, and you're like 200 bucks. I think Realistically, you're leaving a lot on the table. But you know part of being a beginner trader is being consistent getting green, getting out.

And listen, I, I'm sure that there are traders that lost money in 2020 and 2021, even though it was a big bull market that still lost money from over trading. Poor strategy, execution, risk management. You know for a variety of reasons. So it's not like everyone in those years was making money.

I'm sure there were still people that were losing. So if you're someone that was trading once a day and just trying to get your daily goal, maybe you did leave money on the table. But if you walked away green, you know you walked away green, That's still pretty good this year. Um, I feel like if you were taking that approach of just like one trade a day, getting in, getting green, and walking away.

I I don't feel like that would have been much more difficult this year, but I think what has been more difficult is trying to extend that first trade into like big gains. And that's where I've run into trouble, where I've tried over trading and I've just tried to like scale up and then we just don't see those big extensions and they end up churning shares and then catching losses and giving back profit. So I think it if your focus is on trying to scale a strategy and to make a million dollars a year. I do think this is a very difficult year to do that.

If your strategy is to try to be really consistent. Get in, get a base hit, get out. Then as far as base hits go, there's still been a lot of basic opportunities, so that's kind of the thing. Home run traders I think have suffered this year and base hit traders have probably done fine.

Um, but base hit traders who would have done fine in 2020 and 2021 were probably also leaving a lot of money on the table. So you know I think it's important to be able to put the pedal to the metal and gun it when the market's hot and then ease off the throttle when it's cool. and that's kind of been. One of my goals for the summer is to kind of keep my head low, not over trade, focus on trading in the morning when I usually do the mat the best and then just you know, be done.

And that has been really good. not just in the metrics, but also up here in mindset because there's a lot of confidence that comes after you know, 10, 15, whatever consecutive green days you start feeling like okay, like I'm in a nice groove here. And listen, you know the P L in my account right now. Um, you know I mean we can go back to.

I mean it doesn't matter, but you know 1, 22 or 20 20. you know we look at the P L in my account if I go to detailed and then when loss expectation. I mean you can see my account is literally at all time highs. You know every single day that I am green, my account is just getting a little higher.

a little higher. Um, there's a lot of traders out there. a lot of home run traders out there that are down six figures, probably even seven, maybe even eight figures this year because this has not been a market for hitting home runs, but traders who have just been locking up bases are the ones who have done well. And you know, I started the year continuing the swing for home runs that was paying off so well last year.

But as you can see while I made a hundred thousand real quick, I then gave it all back. Then I rallied back up, started to give it back again. Rally, give it back again. Rally pulled away a little bit, then gave back a bunch, then a little bit more profit.

And you know I mean the year has smoothed out substantially for me since. I guess you could say around like end of April. but it was really at the middle of June right here after this red Day. So that red day right there in the middle of the G of June that actually it doesn't probably seem like it should have been anything significant.

but that actually was a day where, um, it was right here. I was about ready to take my computer and light it on fire. I was so frustrated. I was just like this year has been really hard.

I am getting so frustrated. I keep having two steps forward. Two steps back. I'm in the same place My account was basically like a month ago.

I just keep swinging for home runs. it's not connecting and that's when I said you know what you're done trading with Big size I put a 10 000 share cap on my account. I put a 10 000 share cap on my account right there in mid-june I said i'm I'm not I actually started with 6 000 shares and I was like, okay, that was a little too tight, moved it up to 10 000 and one share so I could buy 10 000 share max size and I kept it that way for a while. Um, my cap right now is at 20 000 shares.

Although I have learned that if I press the buy button really quickly I can I, I can get up to like 25 000. The orders will just sort of all go through at the same time. Um, so I think yesterday on Friday my biggest position was like 23 000 on drug which again that was a three dollar stock. It was a cheap stock so it wasn't like a lot of risk.

I'm not taking 20 000 shares of high priced stocks right now. So generally I'm trading with smaller size and that for me was a real, um, a real game changer. Because while initially I felt the frustration of I'm not going to be able to make much money with small share size, right? I won't I won't be able to throw down big wins with small share size. So I felt a little frustrated.

I didn't want to do it. I was like oh this is stupid. I even remember. I think on the first day I bought a trade with 6 000 shares and I was up 50 cents and I was like I'm not selling this.

I mean it's only six that I'm only up three thousand dollars. You know I'm down 15 in the last two days and then it went back to break. Even so, it kind of took a couple days for me to like, really embrace this, um, smaller share size kind of mentality. But I did.

And um, then since then my trading has gotten better because with smaller share size, I can just be so ruthless about hitting the sell button. just bailing out like just cutting it. When you start sizing up to 25 35, 45, 50, 75, 000 shares. you can't just press Ctrl Z and dump the whole position.

You can't just bail out. If you do, the market makers will destroy you. They'll You are the type of trader they love to make money on those high frequency trading algorithms. For those that know about how they work, you know what I'm talking about.

You will see You'll press the sell button, the stock will go, and then once your order is filled, it'll pop right back up and there'll be a little candle wick and that was your order getting filled at the very bottom. They take advantage of retail traders like crazy. So with with big size, that's a problem. With small size, that's not a problem.

So with and eight eight, ten thousand shares rarely an issue. So smaller size easier Just like Cut it and say you know what, I'm done, I'm out of this trade, not get too much slippage and just move on. And that allowed me to let go of trades that weren't working and then you know, just to hold on to trades that were working and that were I was happy with. And so now in these last couple weeks on Drug and a couple others, I sized up a little higher like 15 or 18 000 shares here and there.

And that was okay on lower price stocks that had really good liquidity. I didn't get much slippage drug yesterday. I mean, we could check the volume, but it's probably almost 100 million shares. I mean, it had so much volume.

Let's see. Um, so 106 million shares on Friday? No surprise. I mean, it's tons of volume, so it was no problem to sell 20 000 shares. You know, when you've got that kind of volume.

But um, you know, something like Meg L. Just you know. for instance, um, you know this thing. Even on the day it moved up, it only had 600 000 shares of volume.

On the day it bounced, it had 77 million. It looks like, um, that was a good. That was a high volume day. That was good.

but you know a lot of these like Jay-z and some of the others, they just don't have volume. And if you jump into those with big size, you're gonna get stuck. and then you're gonna get emotionally hijacked. And it's just not worth it.

So reducing share size has been a strategy that's helped me get through this period. and as a result, my biggest draw down this year was a hundred thousand. So I gave back a hundred thousand in profit. and I didn't like that.

I wasn't happy about it. and so I made a conscientious effort to not let myself have drawdowns as big. So the next couple drawdowns were like half as big at 44 000. And then even then at the end of April I was like, nope, I don't like this.

I had 18 000 in May and then this one in June is when I was like, really frustrated. Even though it's not a lot, I was really frustrated and since then I've brought it back down. I'm not saying I won't have another big red day this year, I'm sure I will. Maybe it'll be 10, 15, maybe 30 000, but hopefully I can keep them as few and far between as possible.

and hopefully in the moment when I'm looking at considering taking a trade that might have that 25 30 000 risk on it, I'm really asking myself, does it have the potential to give me 40 to 50 000 in profit if it works? And if it does, and I have the cushion on the week or the month to take the trade, then that's fine. It's a risk decision, risk, reward decision, but if I take it impulsively without fully thinking about the risk, then if I take a loss, it's my own fault and you know that's just the way it goes. So yeah, I would say for anyone right now, um, you know, trying to get through this Bear Market Focus on base hits, focus on micro pullbacks those have been working really well and try to stay focused on the leading, most obvious stocks each day. So for those that didn't already, check it out.

we do have a two-week trial at Warrior Trading right now going on. Um, I'll put a link at the end of this episode to my Bear Market Strategy I during the Bear Market Strategy video at the very beginning of it, I put a link in the description that you guys can click on if you want to do a two-week trial. So check that out. I'll put that video right there for Bear Market Strategy and I hope to see you guys in the chat room this week.

Let's try to finish up the month of August with some more nice green trades and we're going to roll into September, hopefully with a little bit of momentum. Small caps have been hot, overall markets cooling off a little bit, but I think we'll still find some opportunities. And the good news is we're coming into the season the time of the year when typically things start to pick up, right? So, September, October, November, December. I'm excited for the end of the year, I'm going to try to finish strong.

I'm going to try to finish consistently. And you know, by the way, I was just thinking about this yesterday. Um, I I was thinking about it was kind of funny because I was thinking about um, you know many of you have subscribed to Daytrade. Dash over here and thank you guys who have and who are members.

There were um, where you guys are helping us build the platform so we're hiring two new senior developers to continue to build out that platform. We've got a lot of things that we're going to be adding to it, um, in the coming weeks and months. but one of the things I was thinking about Um is you know, how does a trader choose someone to learn from and I was thinking you know, if I was trying to choose someone to learn from, what would I be looking for And one of the first things that I said is I'm not looking for the person who makes the most money. That was like the first thing that came to my mind.

I'm not looking for the person who makes the most money because the thing is, even today when I got started it was the same. But even today, some of these traders out there that make a lot of money, they make a lot of money in a way that is really it's It's great that They do that. It's awesome. I'm happy for them.

It's fine, but um, but for a beginner trader, it's like nowhere near obtainable for two primary reasons: A lot of the people who make a lot of money are taking huge positions, and they're holding them through really big drawdowns for multiple days. So they're taking like a real, like high risk trade and they're like I'm going to hold it until it goes up like 200 percent and they can afford to hold through really big drawdowns and they can hold it overnight. And most beginner traders with smaller accounts they're not gonna be able to do that. they're not gonna.

If they do that, they're gonna tie up their whole account on that one trade. and even if it, you know if you've got a three thousand dollar account and the stock does go up 200 percent, but it takes two weeks to do it, your account's gonna be up to six grand. but you wouldn't have been able to take any trades during that period of time. any day trades, and during the drawdown.

if you're holding it and you're using leverage, I mean, it's just not even gonna. it's not possible. And then some of the other traders out there, uh, they take a ton of positions. They've got complex options positions, They've got stock, they're hedging the stock with other options positions.

and so their portfolio is so complex that a beginner trader isn't going to have. It isn't going to be sophisticated enough to understand how to set up their portfolio in a similar way. Number one and number two, they're not going to have enough money in the account, and so the type of trader that I would look for. And this is just me.

I would look for someone who's consistent. I would look for someone who is consistently green. That's that's what I would look for. and I'd want to see it on the broker statements and I would want to see that this is someone who really is consistent.

Now, I I know that I do trade with large positions. There's no doubt about that. The thing that I sort of feel on that is that when I trade with a large position, I'm taking the trade the exact same way that I trade when I have a small account. Like when I've done my small account challenges.

583 dollars. Whatever. I take an entry, I'm up 20 30 cents. I take profit.

If it's still going, I get back in, I get back out. And you could do that with a hundred shares. You could do it with a thousand. You could do with ten thousand.

You could do it with thirty thousand. You probably can't do it with three hundred thousand shares, right? But those quick breakouts, those quick scalp trades you can take just as easily with five thousand as you can with 500 shares. And so to me. And I also only take one trade at a time.

So I mean I. I just. I think that a lot of beginner traders have a hard time finding someone to learn from and you see people out there who are profitable, but you know they don't necessarily show you exactly how they're trading. You don't see their statements, you know, so you don't know.

Is this person taking holding 10 trades all at the same time? You know and I? I. I know from when I was getting started that when I saw someone and they had like 10 trades in their portfolio, I just was like, well, I can't do that. I I don't have the money to do that. I can take one trade and I don't even want to hold it overnight because that's basically my entire account and if I do hold it overnight, the only amount that I would hold overnight would be so small that what I'd be likely to make is like, basically irrelevant.

So that's what I was looking for. I was looking and you know, I was looking for basically me. And so this is very much like personality based. I was looking for someone like me who takes one or two trades three trades a day.

Whatever gets in, gets the profit gets out, doesn't take multiple trades at the same time, doesn't hold stocks overnight. And yeah, if that person ends up on a really good day taking 20 or 30 trades, that's fine. I probably wouldn't have taken all of them, but that's that's what I was looking for. Now the fact is, there's other traders out there who will say ross, um that whole strategy that you trade that you're looking for in someone else.

That's not what I look for. You know, you might say I'm looking for someone who does swing trade because I can't. I don't have the time to day trade. Okay, that's fair enough you may say.

Well, I'm looking for someone that does these like lottery ticket options because I only have a 2 000 account with Td Ameritrade and I want to buy you know 100 option contract that could go up to a thousand if it works. And and that's fine. If that's that, you know that's not what I do. So if that's what you're looking for, then that's certainly different from what I do.

But I think that one of the things that's really challenging is when you have all these people out there who are teaching they don't all. Not everyone puts out the same level of information about their strategy. Not everyone provides the same level of transparency about their recent trading history, their gains, their losses. So it puts you in a really difficult position as a beginner trader to figure out whether or not this is the person that I want to learn from? Are they credible? Is the strategy even something that I could approach and and is relevant to me? So in any case, a good way to find it out is you know to give it a try.

So we do have this a two week pro preview. It's a two-week Warrior Pro preview you guys can check out if you want to. If not, no, you know, no worries. I'll be here on Monday morning in any case, for the morning show.

But if you want to check it out, you're welcome to and um, you could be in the chat room on Monday morning. So again, I'll put the link here to the Bear Market Strategy episode. At the beginning of that episode, I give you guys the link for um, the two-week trial. So hope to see you guys there and uh, everyone else.

I'll see you guys back here on Monday morning and I hope you have a great weekend. All right! Thanks guys! Talk to you all soon You.