I will be the first you said: paper trading is easier: okay, i'm never gon na deny it, but if you think you can trade real money when you're not even consistently profitable paper trading, you know - and you know and again hey if you're risking two bucks - 10 Bucks that's great, but why do that? Why even risk 10 bucks? If you have no idea what so welcome back to the steady trade podcast four and a half years, i've been waiting for steve, you know he's always stephen always he spends all week six days and 23 hours trying to come up with a sick burn and he Fails every time, but maybe someday. That being said, welcome back to the steady trade podcast everyone i am tim bowen back with kim and stephen um, actually jokiness all. Joking aside, i was 19 minutes into my 39 minute introduction. Last week and stephen introdu interrupted me, and i actually complimented him so on that point: i'm gon na hand it over to steven and let him do the intro.

He picked the topic today. He had an epiphany, he you know he he saw the lord and he's got something he wants to discuss today, so so so for a lot of years, um i've always been a proponent of trading, very small size when you're learning, because when you're trading very small Size when you're learning, you still have the emotional feel you have, the the the same. Psychological aspects still play a part as if you are trading professionally to a degree, but when you're paper trading uh, it's just like you just play in a game that has no meaning, and so, as usual stephen. You completely botched the introduction.

I handed it over to you and i was teasing it so i'll take back over for the listeners out there. What we're going to be talking about today is stephen's newfound love for paper training, which you didn't even bring up. Sorry at all sorry, i i went into the deeper long part of the story without giving the hook so you so so if there was a hook for this episode say this is a must-watch episode, because i'm going to reveal the importance of why we should pay By trade, but i still don't fully believe in paper trading, i believe in it, i believe in it to a degree. I i think what i found is and i'm so.

My apology to people is that i rubbish paper trading, i'm apologizing right now for the last three years ever apologize, never apologize um, especially in the cat in the world, we're in never some when i'm wrong i'll apologize, and i think that's the right thing to do So i rubbish people are trading, i made fun of paper traders and i frankly said it was just bs it's and anyone with peer by trading and anyone who's paid by trading. If they've got profits, it's not legit. The only thing that i stand by is that if you do have p by trading profits, it's very difficult to match those same executions when there's money on the line right, that's that yeah! I mean that's, that's one of my big things. It's like you know, and and listen i've done youtube videos talking about it.

Listen if you're, if you got a thousand dollars to your name and you're paper trading, a million dollar account. That is a complete waste of time. You know, and you and you'll see that you'll see people doing that. So what i always say is i mean: listen if you're paper trading it and you have a thousand dollar account trade you'll set your paper trading account to one thousand dollars.

Don't you know don't plug, i mean because i mean that's the thing with paper trading you just plug in whatever equity you want and then you're like. Oh you know i mean so you got ta, treat it like it's real or it doesn't. Do you any good, but but like what? What i would say is that i i think that, and and this is my new stance on learning right now, like i don't believe paper trading - should be ruled out as part of the learning process uh. If you've got bags of money, maybe you can skip it and just start trading small people, why throw it away yeah well? Why throw it away, which is exactly but so what's been happening with me recently? Is i've been trying to learn longs and i must have threw away about five six.

Seven, eight thousand dollars learning longs in the last year, which is which is it's? It's it's not it's a bit more than i it's more than i want to lose, but it's every day i accepted that i'd have to lose to learn um and then i just added a paper trading account and it's i just it's turned me. He trains. So much more consistent because once you have even a small loss, even a small loss, long puts emotionally affects you and then makes you make bad decisions on higher value positions. So i don't understand - and this is where the changes come from.

I don't understand why you would want to affect your psychology by trading a long set up or trading any setup, that you don't have backup that you don't have proven success on with real money. I don't know why you'd want to risk tilting yourself when you can just trade it for with paper. I don't know and again that you know - and i saw some of the comments that that you got and you know and people brought up like you know: bryce bryce tui. We had him a couple times.

You know when he talked about that two dollar strategy. You know risking two dollars which i like, but again i think that's that's like phase two, i mean my thing is you know going back to? If you got a thousand bucks you can learn. You can trade, but i mean even two dollars ten dollars, two dollars. Ten dollars i mean over time, it adds up.

So that's why i beg people paper trade. You know because, because here's the biggest thing - and this could be the name of the episode i mean, if you can't i mean ultimately - i will be the first to say - paper trading - is easier. Okay, i'm never gon na deny that. But if you think you can trade real money when you're not even consistently profitable paper trading yeah, how up is that logic? You know - and you know and again hey if you're risking two bucks 10 bucks - that's great, but why do that? Why even risk 10 bucks? If you have no idea what you do at the end of the day, 10 bucks is like it's a subway or it's a wendy's like.

Oh, it's the the train, the metro right in, but the way i i don't know why you would lose money, not knowing what you're doing. Why? Don't you just find a setup that works yeah prove that it works, and that only means like three paper profits in a row on that setup. If you had three paper profits or if your paper profit that week, i'm not saying paper trade for a year, i'm just saying exactly make sure you trade it ten times and fifty percent of the time it and just either it works half the time and you Get two to one risk reward or it works thirty percent of the time, but you get ten to one risk reward like whatever it is, make sure it works and then do do it risk in two dollars. Then do it risk in five? Then ten, then twenty, because and and that's the way because i'm not kidding you, i've knocked thousands.

I've knocked thousands of dollars off every month, even losing 10 20 15 and then going on tilt with shorts. Small losses affect other trades. Why not just trade perfectly? All of the time and keep your stupid experiments to paper yep makes so much sense. When, when did this hit, you um a lot of things hit us recently, it's um, i was just i was just like.

I actually bought steven and alexa a couple months ago. All this stuff - and i backdoored it - i root kitted it. So, in the middle of the night, i've been whispering these things brainwashing, so he keeps making. He keeps coming up with all these these opinions and ideas that, oddly enough match up with a lot of mine, so that that's that's my opinion.

No no go ahead. Stephen! I just um he's struggling to deal with that he's. You notice he's in a loss for words he just realizes i've been. This is like black mirror, i've been programming, i mean he doesn't even realize it, but if you are, and i'm making more money then keep on programming it, i have not bought, but i just want to stress it's it's just a couple like because i went through A slump recently and just a couple of things like screen, recording, if you, if you screen record or if you can have a platform, that's got a replay feature, so you can re-watch trades or just record them in the first place.

I found that, along with people trading setups, it's kind of game-changing uh when you, when you watch a setup in real time, play out again that you traded it's unbelievable, what you see, uh, unbiased and without the money in wow. So just these small changes really transformed me uh trading is that is that just hit you recently yeah yeah yeah. If i try screen recording i mean um, i lost my laptop and town drunk. What are the chances that i would do that right um? So that's the story you're like okay, so i i need to know you're like doing shots with your laptop running and then run through run through that you're talking you get.

Do you get a fight in the back of the bar hit a guy with your lap? I mean what happened. This story is um every. I don't do it very often at all, but every now and then uh. If there's a trade out in the northeast region and they're willing to get the train off, not i've done it only once and then in dubai i did it once or twice um i'll meet them go for some vrs and then just just help them.

You know what i mean: there's no, no cost nothing like that. Just just have some bias talk trading, give them some tips um, and i did that with a guy and it was six o'clock had some beers chat to trade and obviously he had laptops, and i thought well don't want to go home in the casinos just over There and play some poker played poker did well, but then drunk and drunk and drunk as i was playing pogo with people who i hadn't seen in 10 years, when i used to play and um yeah and then just left me laptop somewhere random, like in a Taxi takeaway, restaurant, but the thing is, it was the best thing. That's ever happened to us because losing that laptop was some. It looked good, it was carbon fiber, but it didn't.

Have the good processor didn't have the good couldn't support heavy maintenance, video editing streaming screen? Recording by losing that laptop, i then start i had. I then bought another laptop that was capable of all this great features, and these futures drastically improved me trading, so losing the laptop was one of the best things that could happen to us. So just a quick tip and i'll, let all that kim back in, but you know, um keep in mind. You can always just like buy a better laptop.

You don't have to get drunk in the casino and you lose it it did. You know that little. You know that if it's always like at 100 and you're in your like memory utilization is always at like 90 percent, you can just buy a new laptop yeah laptop shakers, install the old one sell it. I just really hope that the laptop that i left uh in the tiguay restaurant went to a criminal with children who who really could do with the computer.

I just thought we went to a really good criminals. It probably went to some went to some russian. That's a happening: a u.s energy company right now, they're going to come, kick down your door because the guy's using your laptop wow, i was pretty scared like i had trade and passwords and money in my account, so i had to change a lot of. Do you have, did you have a password on the computer yeah, it's auto saved, like you just press log in and it goes like you got ta, be very careful.

Only passwords are auto saved to me laptop. It's terrible, very hungover, 1500 laptop gone, changing every password. The next thing it's terrible really bad day, but it's it's called. Did you call a couple of places to see if they have it yeah crazy? I called the police.

I called the police and i was like um my laptop's been stolen and they're like. How did you lose it and i was like i don't know, because i was in a takeaway. I think i left it and someone stole it and they said um i'll be i'll, be right back. You guys, keep going.

Were you drinking when you lost it? I'm like yeah, do you remember where you left it? I'm like no like. We can't help you like it's, not a crime that you you're, drunk and stupid, call call the poker please and call the cab company nah. I didn't want help and then and then the laptop's got um this tracking thing on and it was like in leeds like the laptop was like in lead. So it's like it's gone stall, but it's fine.

It's a good thing, i'm happy. It happened. Okay, okay and then what else is having a new laptop or new systems providing you you're able to watch your trades, i mean so what else so for me, uh reap i've. I've started using the future that can replay trades, so i've got software that every trade that happens every day.

I can just type in the data type and the ticket download the thing, and i can replay it at any speed and i can look at that across any time frame and i just re-watch re-watch and screen record all of the trades to be like what is The candle structure in formation or the energy flow of the chart, where i could have done better yeah and then i'll screen record me trades and be like. Did i need that entry there or could i have skipped this and then you develop a system that you refine and you just get better and better and better at it? That's how i learned how to long and then you start pay by trading. What looks good off the screen recordings and the replays and yeah, and that's how i'll like i've, been on the verge of like learning longs for a long time, but it was really these. Last few weeks uh, i just started seeing stuff so clearly, through these recordings and replays, it's unbelievable ten times better than saving a chart.

Wow did that encourage you then, to try the paper trading. What what prompted you to even consider doing the paper trading? It's purely the fact that i was losing small amounts long that would turn into slightly bigger amounts. If i got frustrated or i'd lose small amounts that would affect the psychology of me trading yeah and that would make us lose lose on other trades. And i don't know if i just pay for it.

It's emotionless, but i'm still getting the the reps kind of thing. I'm i'm just shocked that you even gave it a whirl. Considering your perspective was so anti-it, so i just want to acknowledge you good for you for having such a perspective shift like to even come. You know we're really dogmatic about something: it's really hard to completely make a pivot.

So congrats man, it's incredible. Well, i think, i'm just quite an extreme human um, but but when i realized that i'm wrong and then i'm wrong um and uh yeah, that is, it is what it is. I mean five years in the game, still learning as well and uh, and this was a good learning hate to say that tim boner was right. Sucks! That's right! Honestly! I didn't wait until i got back to say that i appreciate it.

It's honest to been along for like three years and i still didn't go along and then it's only in 2022, like megan, is making more or less as much long as short this month. So we're not we're. Not in 20, 22 yeah, sorry he's looking ahead. It's gon na be even better.

It's gon na be even better well, i thought i thought like put ourselves in 2022 yeah, like i barely even experienced 20 21.. You know, and you know, and here's the thing it's it's like a couple things on that note. I mean listen and and long time listeners know this they'll be like. Oh here we go again.

I you know, i i've said it a million times. I am not anti shorts and what i'm against is newbies, getting led by cool guys on twitter into 400 runners, because i've seen so many people it go bad and the thing with going long. You can lose tons of money. You can lose your entire account going long, but the biggest thing is barring something extremely unusual.

It doesn't happen in minutes, okay, and if, if you got a small account, it can be over in minutes. You know the stock steven's in right now. Bysi this thing not going great, you are very spot on on your uh. I tried getting yourself, but you won't ever listen to me.

No, no. It did sound like that. I sold someone 29., but you did tell us it would come back, so i bought more laura and i'm waiting for you to be right. I still wait for the v-rap wow.

So, to finish my point um that that's the biggest thing is because i've seen you know, i've said this many times. I know where the bodies are buried, i've seen it and i've seen it and i've seen it and i've seen these people follow the same people blow up and and then they're just gone, and you never hear from them again and you know going back to episode. You know when stephen and i met you know he he's. I thank him for giving that quote.

He's always liked. First thing, tim said was don't blow up stay in the game and if you blow up you're you're done i mean you are over. You know until five years later, when you save up some more money or something so that's my point and then you know recently on my instagram. You know i've gotten all these flames, but you got to remember everyone.

The reason i pick on short sellers so much on my social media is they have zero sense of humor, okay, zero and nobody. Nobody on the planet gets more easily butt hurt than short sellers. So that's why i do it i mean you. Can i mean stephen? You know this: you can make fun of somebody for bag holding a stock and you'll be like man you're, an idiot you're still holding that sketchy, penny stock and they're like yeah, i'm an idiot, you know.

Meanwhile, you you got some low. You got some short seller. That's down 300 percent and you and they'll fight you to death over. Oh, it's coming back, oh it's coming back.

They will never be like yeah, i'm an idiot. Do you agree or disagree? Do you agree with this? No, i agree. I agree and the reason the arguments are like that is because of the context that you are stupid, but you're stupid both ways, but the short will come down and the long won't come up, but maybe in this market it will. But but that's the reason why well as they are, but it doesn't matter if it comes back.

If you're done, you know, yeah can i just say um, you know the thing is with short selling it and, if you're new at a short sale - and this is maybe a good way to get into it more stocks and you'll agree, tim more stocks will fail. Midday most the most will well again, penny stocks we're more geared towards penny stocks. Yes, most penny stocks will fail errol at least they'll, at least retract 10 20 and then run day two, but most like more than half 60 percent, and the reason why these crazy moves happen in the afternoon. These crazy squeezes is, i believe, because shorts are always cold and thinking.

Ah, most of them come down and the one that doesn't blows them to pieces and they're all. Ah, it normally comes down and the one that doesn't blows them. Listen if bysi breaks, b-whap and bounces there's a reason why? Okay, so right now i mean everyone's adding. So as a it's 204 pm on august, 4th 2021 b-y-s b-y-s-i beyond spring, which number one's got: freaking: parkinson's, alzheimer's news.

If you're short now you're a freaking idiot, you you you that's your goal, i won't say i say i don't know anyway, currently under v right now, you know. Every short, that's bagged from this morning is adding right now and if this thing reclaims it's all over and it probably goes to 40, like you said so, but but but so the only. The point that i was trying to make is, if you're going to start choutin, would it not make sense that you just start throwing out about 11 o'clock 11 30.? Would it not make sense, because you will miss some you'll you'll, miss half of them, because a lot do die at the open or before 10 30. you'll miss them, but you'll not, but you'll be identifying, which ones are strong and which ones are failing, and the Other point i'll make on that you, the the afternoon moves, aren't as extreme either okay, you know again going back to my point of you know: shorting low floats isn't for newbies the reason i say it's not for newbies.

Is they move so fast and you're? A deer in the headlights, you freak out, and you don't know what to do. That's why somebody gets screwed in the morning where in the afternoon you don't typically, typically you don't get those extreme moves. You get more of that. Just grind back where then you're like okay, i got a little time.

Okay, i'm down! You know 100 bucks. Okay! Now i'm down 200! Now i'm down 500.! You have that time in the morning. You don't have that time! Yeah! I know i. I would say that yo at around 10 10 15 you'll get the initial shock of oh i'm down a lot, but it's okay, it's fading! It's fading, it's fading and then around 11 you'll get the proper true, oh i'm done.

Okay, do you know that you know that the porsche and then shorts think it's over, and then you get the secondary, unexpected move. Remember that was what squeezes there's like there's like 225 trading days in a year, you just described like 225 days for me in 2015. Okay, there's a reason i went. I changed that was every day in 2015.

For me, okay, oh i'm! I'm green! Oh, it's working! Wait! No! It's not! No! It's not! Now! It's not! I'm stopped tomorrow. Same thing, friday same thing, monday same thing, so that's why pain? That's why pain is your answer? You don't want pain, okay, definitely not. Can i just ask: do you think the market is manipulated more now than ever in its history um? So so i'm going to as usual ramble. That's a shock.

Okay! First time in steady trade history, but um, i'm going to say this define manipulation, i'm going to say um people or companies taking large share sizes and stock buying buying up a lot of the float and throwing retailers around uh and controlling it to um to either Squeeze shorts or trick longs. I agree, to a certain extent the the reason and good answer. The reason i asked that was to me and - and this is where again the no humor whiny short sellers. You know to me the wall street, that stuff isn't manipulation because that's where i thought you were headed, i mean again you look at robin hood, i mean listen.

Robin hood broke the ipo price and basically tripled in the last day or two. That's all wall street bets and - and i don't like calling that manipulation because to me - that's just that's just the market, you know and the big boys have been. You know, listen j. 100 years ago, jp morgan was in the smoky rooms telling all his buddies.

You know, and and now just wall street vets is just teaming up and doing the same thing well again: they're just all piling into the stock they're all just buying. You know how come that i thought they were so anti-robin hood. Well, i think they know that the big boys are short and robin. You know that that that i ultimately i don't.

I cannot connect as much as i would like to. I cannot connect with the hive mind of everyone on wall street beds, which would be pretty super dope. Hey elon musk, give me a neural link. Where is he alone? I'm waiting for this neural link to plug me into wall street bed, but if i had neural link or or or like the matrix, if i, if i had plunged into the back of the knife, i don't know if this is that quick anyway, i think you Can think they're going to know what happened they know or or so.

This is again strictly my opinion in conjecture, but they they wall street vets knew that everyone was going to short. I hope robin hood, because everyone quote unquote hates it. They knew the hedge funds were going to short it because they thought it was going to go down and it did go down a crater day one. But and again i got a 15 minute youtube video from thursday i on this three days in advance, but when these ipos break that that syndicate level, the opening price of the ipo everyone's now green and wall street bets knows everyone shorted that poll, if we bid It up, we got high short interest and we're going to smoke them and they spoke so so now again, i cannot prove that.

Like. Can i give you right data to to support that, but it's it's like. If you go to swaggy stocks, remember swaggy stocks is pretty cool. It looks at the most mentioned, and today hod is the number one most mentioned stock on wall street beds, wow ironically the day that it went up 70 today and right now, it's up 50, probably gon na reclaim the high of the day.

It's just so. I love it. I don't know the only thing we need now is just a couple of the famous twitter names to announce we're going all in shock and then it's the next leg gon na make your back gon na make that healthy account back. Oh, my god, so i mean just to summarize from me um, i think paper.

Trade is extremely useful when you you're trailing and tests and setups it's a good precursor to two dollar risk. Five dollar risk on every trade, exactly yeah and um. You know and that again that that would be my summary as well. I mean couple couple points i'll make number one treat it like: it's real.

Okay, don't trade with a ten thousand dollar account unless you have ten thousand, don't trade with a million dollar account? Because that's not real okay um do your best to treat it like it's real money. You know again. If you got a thousand dollar account you're down 150 bucks, that's really bad! Okay! Now i know it's not real money. That's our point, but you got to be stopping out there.

Okay, you got to treat it like it's real um and then you know and again maybe i never made this point. I can't remember if i have or not but agreeing with stephen, i mean we're not saying paper trade for five freaking years: okay, but but few weeks, a few months. Okay, then migrate over to bryce's 2.10 strategy, whatever you want to call it, but i mean just i just that's. My biggest thing is: if you're risking real money day, one and you're, like you, know again, what's b web okay and again i don't.

I don't expect you to know everything right if you're like, what's, b and you're, risking real money in a 300 percent runner, i mean come on, you know. So what's that good advice, good good for you, stephen! You had a change of heart, it's um yeah! I mean look it's maybe i looked at it um too much from me on perspective, because for me, for me to buy in an all right could afford to lose a hundred dollars a month like 200 a month it wasn't going to kill us, but but for A lot of people like other people, maybe like you, don't want to lose a hundred dollars. People have got like my risk. Tolerance is very bad, like i like to throw money away like i'm very bad, at throwing money away, um with laptops and stocks.

So but everyone's everyone's different and i needed to recognize other people's uh idiosyncrasies. I don't know what is this idiosyncrasies yeah close? Well, you you miss you mispronounce every word. You say with that fake accent! Oh no! If i'd read a book, i made a goddess but um, but money but money. You know you've got to think too that money is energy, and if you are, i i see it as a relationship money and if we would treat a relationship and take it for granted or you know not respect, even small amounts of it, then i think we're Kind of telling money that we're not going to be a good host or hostess or a partner of it.

So, even though, and i've heard that somewhere before, maybe from you - i don't know, i probably said it before, because it's so important, i think to trade. You probably come up with your own ideas, kim i just steal all mine. I just i just think that is important like we want to show money that we respect it. You know we want to have uh, we want to treat it like.

We want to be treated and i think if we set a precedent that even small amounts we just don't give a damn about then well, what's gon na happen, we have large amounts. It's gon na be the same relationship. I agree with us so anyway, i'm glad to have a picture and there goes b y s i tried. I tried, don't listen to me.

I sold some at the top. Don't listen to this old guy that all he does yeah a long time he's always bad. All he does yell nah i'll close that green, but i was up like 26 percent, not sometimes, but i closed it, green, it's all good, okay and then just now now just wait for that reclaim! Maybe 30 bucks re-enter 30. Then it'll go to 40.

If, if it gets there, you know if it gets there, oh yeah, so so yeah, it's 2 15 p.m. So we got plenty of time yeah it's earlier than i thought it's weird. I don't know why. I miss warped coronavirus, has warped side.

Nobody knows what day it is or or when the year ends. You're excited it's 2022., we're all confused all right. Everyone. Thank you for listening to the steady trade podcast stephen's rubbing off on me.

I almost forgot the name of the podcast. I saw that i saw that, like i had to think for a minute. Where am i i always if you'll notice, i always do like that. Look to the upper right here anyway, um it came so uh anyway.

Thank you. Everyone for listening, steady trade, podcast and you know the takeaway is we've said it a million times. You know, like many things, you know, that's why we called the steady trade podcast. So many people - i mean the reasons, penny stocks and day trading, i mean even day trading real stocks.

The i think, one of the biggest reasons for the stigma. You know your dad or your uncle or your mom will be like oh you're, just gambling. Well, you know what most people treated most people are just like: throwing 50 bucks on black or throwing 50 bucks on red and that's why that's? Why so many fail and that's why it gets a bad reputation. But if you spend your time, your effort, you actually you know, treat it like a business, treat it like a science experiment whatever.

However, you want to do it, i mean i always like just the idea of a business. I mean it's like. Listen if you, if you got a restaurant, you don't just blow two grand on a a gaming system or something you know that doesn't help your help. Your business at all.

You think about how you spend your money. You buy a new oven, so you can make more pizza or whatever so think of it that way approach it. That way, and you know, start out just slow man and until my biggest thing is until you can be profitable paper trading. I don't know why you would throw real money at it so and the other thing is it's not gambling, if there's no money in it, so you're, not quite in the beginning, because you've traded with paper.

Very true all right. Thank you kim. Thank you steven. As always head over to steadytrade.com any links, anything we mentioned will be linked.

There share with your friends and we'll see you next time on the steady trade podcast you.