All right. Well, I'm gonna come on here, live for a little bit and hang out with you guys. This is what I'm thinking: I'll do tonight: I'm gonna do a little day trading 101 Saturday school session and I'll probably wait for maybe 200 or 300 people to be live-streaming and then we'll talk about what the topic is gonna be for today and then I'm gonna teach a short class on that topic and then we're gonna do Q&A So while folks get logged in, I'll do maybe a little bit of Q&A to get things started I Just want to check my output settings here. It might increase my output and see how it handles it all right.

there we go, just bumping it up a little bit. we'll see if that streams a little better. Hey you guys! Alright so we've got a good group of folks getting logged in here on YouTube and we've got some logging in on Facebook as well which is great I Hope you guys all had a good week. I Will show you my P&L for where I finished the week this was I mean this was a solid week for me I I Was impressed.

We had some really good momentum in the market. We had some stocks that just made huge moves and you know the overall markets been. Well, you can see right here. I mean we've been put up the Sp500.

It's kind of insane when you look at it. This was the fastest 30 percent drop the market has ever seen and from 218 bouncing back up to 287. I Mean think about that. So 21 points is 10% So when it hit 240, it was up 10% when I hit 260 was up 20% When I hit 280, it was up 30% off the lows.

My God. Unreal. So unfortunately when it drops 30 to get back to break-even it's getting back up. 30% isn't enough.

It's got to keep going higher. And that's just the the way it works with those types of drops. Alright, so let me just check in on my YouTube feed. Alright, so we've got about three hundred sixty four people streaming right now and about a hundred sixty-nine streaming on YouTube So what? I'm gonna do real quick here I'm gonna just pull up my trader view metrics.

What I want to do is I Want to give you guys a chance to tell me a little bit about where you're at with your own trading? Yeah, but hang on. let me just put this up here. so Feb see April 1st 2020 - April I Like to just go to the end of the month? so April 30th 2020 Yep, all right. so let's tag all right now.

I've got to grab my trades from yesterday. Friday Was kind of a little bit of a slower day, but it was my 12th consecutive Green Day which is not too bad at all. Some of you guys are watching this on the replay so bear with us for one second while. I Get my stats up here and I think when you're watching a replay, you can actually see the chat feed from people who are streaming this live.

So those of you guys who are alive hopefully you've already typed in how much you made last week and do me a favor and type what was your biggest winner from last week which stock was the biggest winner while you're doing that I'm gonna import these trades. Alright, so this is my Friday trades. One of the nice things to do with the software that I use is I can tag my trades based both on which account I'm using retirement account May account and based on which strategy I'm trading. Okay, so let's Quarantine live Can it's alright? I mean I'm definitely getting a lot of time hanging out with you guys, which is good work.

CH Ci nice t RN X aik I Yup, that was a big one. Tesla Alright, Tesla is obviously a large cap stock, but and I certainly gives some potential. Alright, so let me let me switch this here to my screen. There's this over here.

Push this over again. Alright, so let me see if you guys are able to see this. so let me make this just a little smaller. Okay, alright so what you guys should be able to see here this is: April These are my stats for the month of April So this is the calendar so far not bad.

12 green days in a row. It's a great month. Look at the detailed P&L and right there you can see the gross profit. Forty thousand, Six hundred, Sixty Two dollars.

My average winners are three hundred and forty, My average losers are a hundred and seventy three, and my accuracy is seventy two percent. So I would ask you would you risk a hundred and seventy dollars to make three hundred and forty if you knew you'd be right 72% of the time. So my feeling is that based on my track record and I've been training for a long time I Feel comfortable taking that risk 173 to make three hundred forty, it was 72 percent accuracy. My biggest winner is two thousand Nine hundred Seventy One dollars Biggest Loser 1,100 Not too bad.

My trades are about five minutes long, three minutes for the losers. And this month so far my best days have been on Wednesday and Thursday Although that's not historically been the case. last year my biggest day was actually on Fridays. But in any case, that's just what it happens to be right now.

and you can see the bulk of my profit is between 9:30 and 10:00 10:30 and 11:00 a little bit and not too much. Lost $300 during lunch and had I think one trade between 11:00 and 12:00 So being pretty focused on staying within my wheelhouse, this is performance by price. Not much under - mostly between two and five and five and ten. So these are my statistics here just for the month of April If I go back to starting January 1st 2017, this is gonna be a lot more data that's 1.5 million dollars in gross profit 69% accuracy, the profit loss ratio not as good, and one of the issues last year I had a couple of really big losses trying to swing for the fences.

So while that drew down my average losing trade and thanks to a few really big losses, my profitability is still really good because really, mostly thanks to the accuracy, average winters 7 minutes average losers about 10 minutes. So you can see here the profitability by price is still about the same and profitability by day of the week. Wednesday seems to be leading the way right now over the last three years, but I don't know why that is. The majority of the profit is between 9:30 and 10:00 a.m.

So if you only have 30 minutes to trade, well, that's the time that I would be trading between 10:30 10:00 and 11:00 is okay - so you can see profits. For me, we're coming in right now January Now of course this is a little bit skewed because this already includes January February and March of 2020. So these the months moving forward include 20/20 Ously! So in any case you can see April is usually pretty good May is usually pretty darn good. Things slow down a little bit June July and August for me, September Historically has been a slow month and then October November December it picks up again.

So I Want to encourage you guys to be studying so you can really capitalize on the momentum that we're seeing right now in April that we will probably see in May and hopefully we'll carry it through June and July before things slow down a little in August and September. All right. so what I want to do for this livestream is I Want to teach you guys a lesson? but I Want to let you guys tell me what you want me to teach you. So we've got 650 people live streaming on YouTube and we've got about let's see 163 on Facebook so type right in the chat, feed what you want me to teach and those of you guys watching this later on the replay.

I'll probably update the title of the video to whatever. I End up teaching and make sure you are tuning in the next time. I Pop up and go live so you can have your voice heard of what you want me to teach. All right.

So let's see. So I'm seeing entries, proper entries, scan criteria I'm looking for kind of a consensus here: I'm seeing a lot of different things right now so I'm seeing some scanning I'm seeing some level two I'm seeing a little risk management I'm seeing some entries and confirmation Level two consistency. So it seems right now that entries and scanning and level two are the big ones. So what? I'm gonna do I'm gonna put a link right here.

this Beginners Getting Started Guide: This is going to talk mostly about Risk Management and Stock selection which includes scanning. So download the Beginners Getting starred guide because you'll learn all of those things as you go through that guide. So let me put this here. So what? I'll cover for you guys which is not already included as much in the beginners Getting started guide are the entries.

The beginners getting started guy talks a lot about risk management, talks about stock selection, talks about scamming, talks about you know, basic the setup of like which brokers to use things like that. So let's do. let's do entry points and in level two is a little bit of an advanced one. I I Don't mind doing that at some point.

but I think I might lose some people who are sort of beginner traders if we go into level two. So why don't we start with getting into entries and then that, and pretty much inevitably we'll get into level two a little bit, but just sort of at the very beginning. Alright, so again, here's the link to download: the Beginners Getting Started Guide: Those of you guys who want to learn about risk management and some of those other things, download that. I'm gonna pin that to the comments and I'm gonna put it there you go.

I can also put it in the description for those who are watching this on the replay. Alright, so Saturday schools in session I Want to do maybe thirty minutes of of class here on entries and then I want to switch gears and do some general Q&A So those of you guys who stick around and you know have other questions, we'll get to those as well. and I'm also going to come online tomorrow. So if you end up watching this on the replay, well, you know come on, tune in tomorrow! I Haven't decided what time yet, but just keep your keep your phone handy.

All right. So let's put up some charts here and let's talk a little bit about entries. So and what I'd like to do: I'm gonna try to find a good live trading example because that'll that'll probably help you guys better understand the entry on specific trade. So let's see.

I'm just looking through my archives here of the live trading recordings those of you guys who are and I'll just put this up on screen, share for a second Again, same as last week. I'm juggling being just on one monitor here, so forgive me for having things seem like a little jumbled. Alright, so those you guys who are already in the class is at war, you're trading. You can go to the members dashboard and I'll click on view courses here and I'm gonna go look at my live trading archives for a good example.

So the live trading archives are right here. although you can also access them through the end of the small-cap day trading course. So you'd go into your learning path. Go to the Warrior Proq course.

This is the Warrior Pro curriculum. You go through the starter class, then you go through my day trading course. Then you can go through some of the other elective courses that we've included for you guys. But first and foremost, the foundation is starter into small Cap Small Cap Part two.

and then the live trading archives are right here. So Live Trading archives. Um, that was a good one. That was not a bad one.

So I'm gonna look at this trade I forget about some of the shirts that I have. this shirt is it's camouflage. Alright so this is day I made seven thousand, Two hundred forty one dollars. Not bad I just want to see the entry on it.

Mmm I Want to make sure? I mean you know if I'm going to show you if we're going to cover entries here I Want to make sure that I have one? That's that makes sense. Yeah, this one actually does look pretty good. Okay, all right so let's let's look at this one. So this is straight out of the lab Trading archives and this was on.

It looks like the 21st of February. So let me pull up the charts on this real quick and we'll look at the charts side by side with Gwm. see with the live trading. All right.

So what day was this is February 21st? Mmm. must have been this day. It's not really February 21st Hang on. Um I know I'm looking at the chart and oh I was way back too far.

Okay, this is where we're looking. All right. So this is the day right here. Oh that's the 23rd of January This right here is February 21st.

Okay, so as we look at this stock we can see that it has a history of making some big moves right here and again right here. So stock selection. How did I find it? Everything else that is in the beginners getting started guide. So I'm just gonna assume that you already understand right now how I found the stock, What made it a good stock to trade? All right.

So let me just make sure you guys are still seeing this the way I am. Okay, you are good and okay. all right there we go. Sorry I'm just rearranging my OBS here so I can see my stream and see you guys.

Okay so let's go back here to the 21st. All right. So this is this is the day in question. As you can see the stock was gapping up, it pulled back and pretty much out of the gates.

It squeezed from 450 up to a high of 850, which is pretty impressive. The 5-minute as you can see did have one pullback, but I'm gonna focus on the 1-minute chart because I know this trade would have been in the first part of the day and at that time using the 5-minute really would have been more probably easier to focus on. So and I'm actually gonna go down to a let's see if I can see a 10-second chart on this that far back. I don't usually trade with a 10-second chart.

However, what I will do and I do this quite a bit is I'll use the ten-second chart later as I'm doing my recap or as I'm explaining, this is what I saw in this moment. You know I saw this micro pullback and that's what gave me the conviction to you know, press the Buy button. So I am using it really more as a teaching tool than as like. while I'm actually trading the markets moving so fast that it's just difficult to use a ten-second chart on an average day.

So let's see time template 24-hour and it looks like it's not loading ten-second charge. so we'll do one minute and I think what I'll actually do here I'm gonna put this up and I'm gonna switch to this and turn off each signal. Oops, I'll turn off my charts and I'm gonna put this down here. so I'm not gonna be able see the chat feed for a second.

And let's talk about the entries on this stock. Okay, so this is straight out of the Warrior Pro class. Alright, so what we're gonna do here is breakdown the the trade on TW MC So let's see in this video I have I'm really I'm actually replaying in this video the live trade from this morning from that morning and I'm doing essentially what I'm doing right now which is annotating that trade. Alright, so you can see here that I just took my first entry TW MC is on the level 2 right here and I just took my first entry of 2,000 shares at 578.

So let's back this up just one second. Now if you look at the 1-minute chart, what you can see is that this stock is just squeezed from 420 all the way up to a high of 570 which is a 580. Pretty nice move. It then did what I would call a micro pullback which is where this white arrow is right.

here was a micro pullback and for whatever reason it looks like I it said cannot place any new order So I probably tried to take the trade and I had forgotten to switch my account into my IRA account and so my order was rejected which is very frustrating. So I missed the first entry which would have been right in this area at the at this pullback so now it's popped up to a high of just over 580. It's pulling back again and what we're seeing is a second micro pullback. So when we're talking about entries, the basis of a good entry on really any stock is a place where you can get in with a minimal amount of risk and maximum profit potential.

Entries are really hard for a lot of beginner traders. How many of you guys are struggling with your entries right now just by just by show of show of hands in the live feed? Let's see, let me switch this over here. so I can see this mimimi Tim Brian Benjamin It looks like we've got how many do we have streaming right now? we have about 872 streaming on. YouTube Welcome you guys, thanks for being here! Okay, so when we're talking about trying to dial in and get a really good entry, what we're you know, essentially looking for is number one, a strong stock.

We want to see a stock that's strong. You know that's first and foremost. And then we want to see some type of pull back because that pull back helps to re-establish low risk in terms of the entry point. and it's something that a lot of us struggle with, especially when we're getting started.

So obviously we have the the beginning challenge of when you're getting start trading of how do you even find good quality stocks but again I'm assuming you guys and I'll just paste it again here. Have already download the beginners getting Started guide so you know how to find good quality stocks. You understand how to manage risk. Joseph I asked if everyone I asked I said say me if you have trouble finding good entries.

All right. So this stock was moving up quickly so I knew it was worth trading and what I was looking for rather than just jumping in as if squeezing I was waiting for a pullback. Now it's currently up 65% which is impressive to say the least. and so I'm gonna take my first entry on it right here.

So I'm gonna press the Buy button. Now those of you guys who know my strategy, you know that often. I Enter orders right in here. this is the order entry window and so I've got my order set up there and the reason I like to do that is if I press my hotkey if I just press shift 1 for instance, I'm gonna be marketing into that position and if the stock starts moving really quickly I could end up getting filled at a pretty high price and I don't want to get filled at a really high price.

So I enter D and I see volume. come in and watch this I see green right there when I saw that green and that was on the level to time in sales so you guys are learning a little bit about that. that was what gave me the indicator. Press the Buy button I knew other people were stepping up to the plate and so I stepped up also.

Alright, so that was the first thing that I saw. Now let me listen to my can you guys hear me? Okay, as it as I play through that audio, let me just jump back over here. Okay um, let's see I think I can actually run the audio straight through. Wait, let me try testing this.

Oh pull back here with a high just over 80 and I'm thinking now that it's broken over 560, my next target is $7.00 Look at that look. look how fast that broke. Now all of my shares filled right here at 78, 79 and 83 and now it's $6 on the ask and I'm showing an open P/l of $285 I don't really look at the open P/l that much I don't really look at it that much I know that I'm in and my initial target on this is a base hit I want to hit a basis? So what is a base hit? A base hit was six thousand shares, Ten cents, Six hundred bucks if I can make 15 20 cents and make twelve hundred dollars or 1500. But realistically ten cents is great.

So when I got in this my first target mentally was six dollars and then 625 650 kind of thinking in terms of logical psychological resistance points. So now we've got six. So this is nice for you guys to be able to listen to this because you're you're actually listening to me as I was doing this commentary on the day that I took the trade I mean it's easy for me to look back and I could look at some trades from this week as well if you have some specific ones that I want that you want me to look at and but generally on this I was looking for that first pullback. we got the first pullback and then we got the pop over six and I wanted to take some profit into that move.

So let's watch this again. and I add again at six now that it's moved this quickly. I'm starting to think that this might really open up on me anytime. I have a trade where I take the micro pullback right here and I'm immediately up 20 30 cents I feel like I'm in the driver's seat.

This this is. this is doing exactly what I want and now look at this 614 by 620 right? it's starting to open up dollars. I still have an order to buy at 588, that order never filled. it moved too fast.

If I if that order had filled I'd be up 9,000 I'd be in with 9,000 shares and I would be up well. I guess an extra 2,000 shares times 34 cents. Now one of the things that you may Be curious about is you know what is the target on a stock like this, you know. Initially I got in this on a micro pullback and so we have a stock that popped up and pulled back and popped up and pulled back.

So I bought that pullback. So initially a target could be anywhere from 20 feet, 10, 15, 20 cents. but one of the things that I often do is I say well is there a reason to sell right now I'm up twenty one hundred I've hit my 20 cent profit target but it's not giving me any reason to sell. so look at this it's and let me just fast-forward this just a smidge and it has jump a little bit further forward.

Alright so I must have been going over something or there here anyways and so you see it pops up there. So I take a little profit off the table. all right, take a little profit off the table and now I see the halt level L ul D is at 6:42 and now I'm gonna be oh I take a little more off the table and now I'm holding the rest into the halt. Now this is.

this is sort of like the basis of basehit trading to not try to swing for homeruns. You know what I might have done on another day is held the whole position into the hall and in fact on this one I'll fast forward this and we'll see where it ends up opening. So it ends up opening way up there up over seven dollars and so in this case I decided to go ahead and add even though I had sold I added back because now I'm looking at it and like this is showing strength. So what's gonna do right here and let's just watch.

this is a micro pullback right underneath I believe the half-dollar So I'm holding a thousand shares right now and now I'm looking for another trade. So one of the cool things with with trading is that once you know different setups, you can. you can take multiple trades on the same stock. So this is a stock that probably gave an early breakout trade right here at five, a first pull back, a second pullback, a squeeze into a halt.

Now it's giving a little pullback right here and so what I'm looking for is this to pop up over that level so it pulls back here I often buy right around half and whole dollars with ten to 15 cents tops which is what I did in this case and then we're gonna look for this to pop back up through the high of 750. All right. So let's look at this. so we've got a high right now of seven Fifteen or I'm in at seven fifteen.

I'm looking for that first candle to make a new high which would be over 750. And there we just got that squeeze on this micro pullback as it pops through the half dollar. So you know this ends up being a trade that was kind of. you could tell a little bit a little wild.

So this is the micro pullback as it's happening right now right underneath 750, it needs to break 750. I probably have an early entry and 750 would be the safer place to buy. So let's see what it does. at 7 745, 750 lots of green.

There we go. there's 748. let's see if it breaks over the heft and it looks like I took some profit out. Oh I guess that was probably because I was in 715 I wanted to take some profit and then let's see it squeeze up and look for that.

move up through 773 which is nice. So now I'm starting to think this has the potential to go higher and you can see I switch back and forth between a couple different stocks. Seven thirteen, Seven Twenty. This is going back a little bit, so let me let me jump back over to the YouTube comments.

So I can just see what you guys are if you guys are asking questions and then maybe we'll look at an example from from this week. So generally speaking, the setup. Um, one of the entries that I like a lot is buying pull backs, buying buying dips. So in order to feel comfortable buying a dip first, I need to see a stock show a ton of strength? It has to be moving up really, really quickly.

Then I let it pull back a little bit and on that first pullback I buy him Sebastian says why was it halted? So an interesting thing about the market is that we have what are called circuit breaker halts. and if a stock moves up more than either 10 percent or 20 percent, that's when you can get a halt. And so when you get a halt in the market, what typically happens when stocks halt going up, they open higher. When they halt going down, they open lower.

So we often like to be holding stocks. going into halts. it's it's a pretty. It's a strategy that I like to trade a lot to jump in something as it's squeezing up, holding in to a halt, and then riding that momentum up.

Sometimes two, three, four halts in a row going up. Let's see, let me jump back out of this so you can see that chart there when I trade the third or fourth pullback. Yes, generally there's a lot of different brokers that you can use. The broker that I use well, I have two brokers that I use.

one is Cmeg and the other is Lightspeed. So I'll give you the link to Cmeg. There you go. Cmeg is the broker that I use to trade with 500 bucks in January and someone asked about the Gap and Go strategy.

The Gap would go strategy I Mean you could say that there's some degree of luck involved I guess. but you know my accuracy is 71% so you know with 71% accuracy, It to me is more than just it's more than luck. I have a system of how I find stocks that I think have the potential to move up out of every single gap. er, if you just randomly choose one, then yeah, that's luck.

That's just guessing right. But if you're very specific about which ones you're willing to trade and you have a criteria for which ones are worth trading, then that's not really luck. it's there's really a strategy around it. So how do I differentiate differentiate a pullback from a from a reversal? So that's that's a great question.

So let me show you and let me pull up my chart here for one second. So let's let's find one from this week. maybe a I ki. Well, this one's kind of tricky I Guess we there's a couple spots as I can show you.

so this is so. we'll talk about entries on this stock and this might be a little easier to follow. Perhaps the live trading example I Was the live trading example helpful for you guys? or was that overwhelming? I'm not sure if that was really, if that was helpful or if that was too much. Okay, so it probably would have been more helpful just to watch watch the thing the whole way through.

But in any case, let's talk about let's talk about this stock for a second here. So this was AI ki and I did trade this one on this was Monday I think it was no, this was Tuesday and I did trade it on Tuesday So this is a stock pre market that was very strong right? So this where it's gray. this is the pre market session so it starts well. It can start very early in the morning for in the morning, but this really started trading it around I Guess it was 9:00 a.m.

pre market. Alright, so it squeezes up to a dollar 50, it pulls back, it pops up, and you can actually see here that it had a couple of pull backs. pre-market one, two, three, a fourth one. Kind of right right here.

a fourth little pullback there, a fifth one right here, and this one led into the open. So how do you know Someone Tell me someone type in the comments, how do you know that this right here is a place to buy? Let's say with an entry at 2:16 and that it's not just gonna continue to fade I Want to see no test you guys a little bit and see what you guys think is the right answer. so bad says support James says it makes a new high Those are two answers. let's see we've got 935 people streaming.

I'm looking for more than two answers, but you guys are doing good bid stacking? Sure, Yeah, that's that's that's one the lower low at the volume. Yep, looking at the volume. the red to green move. So okay, so these are so you guys are putting some some good answers in.

So this is this is what I look at. There's a couple things. Number one: if we look just at the volume and not the candlesticks, what you see is that this stock has increasing volume. A I'll pull back increasing volume.

A small pullback, little increase in volume. Another small pullback, another increase in volume. Another pullback, but on higher volume, it's a little bit of a red flag. and then the volume increases here and then pulls back.

Now even without looking at the candle, without looking at the chart. I Know that this stock. There's no possible way that through all of this, it just traded at the same price. This is a volume profile, so this profile is associated very closely with stocks that are moving up quickly.

So now let's look at where these line up right: High volume on the move up Light Volume pullback. High volume On the move up a lighter volume, pull back. A little bit of a breakout doesn't really sustain high read volume, which is a little strange, but then it pulls back and then it starts ramping back up and another light volume pull back. So right before the bell we have a light volume pull back which is good.

That's what we like to see. Now the first candle to make a new high is the entry that I like to take. So I like to buy the first. Whether it's a one-minute candle or a 5-minute candle, it doesn't really make a difference.

This happens to be a 1-minute chart as you can see right here and I'll put up my drawing tool here. so this right here is where I'm looking to go long. Alright, so the bell rings and this is a place where I would be long at 216 with a stop at the low of the previous candle of 203. Now sometimes people get confused when I say I'm buying a pullback.

They think that I'm buying during this candle right here. that's red and I'm not usually doing that. This candles red. It's not giving me any indicator to buy I wait for the first candle to make a new high.

All right. So that was right here. So that was my entry at 216 with a stop at 203. So I'm risking about 13 cents.

The high is 227 so that would be my natural target. It ends up halting going up and then squeezing up to a high 2:44 Come on in girl! So this ended up giving a really nice opportunity on that whole back. So now let's watch it up here. it hits a high of 260.

OOP The new high here is actually 274. It pulls back. it actually halted going down. It's coming down a little bit more.

It's coming down a little bit more. So now let's clear these lines out. Girls want to say hi? Hi Girl: was there something going on upstairs? Girl: Yeah. All right.

so we're gonna clear these out for one second. June's gonna say hi girl Go you crazy Okay, all right, so at this point the first candle to make a new hi this is gonna be a little riskier. It's riskier because of this big red volume bar right here. In fact, the first Caleb will make a new high does work again here.

But I think there was enough risk with this big red candle and how much it dropped to not feel comfortable taking that trade. So I Like to see stocks that are moving up I Like to see a volume profile of big green volume bars smaller red volume bars generally. and I'm willing to take the risk of buying the first candle to make a new high. Let's see.

damn that was the volume at the Open right there. So the way I know that the halt is coming is based on this right here. So we'll go back into this live trading example where we had the the halt here at 8:04 So the halt level is 804 and it says L u LD So that's the price where if the stock stays above that level, it will get halted. It'll get halted for a period of five minutes so you can see how the price is pinned here.

but then it dips down. just a false halt. So it needed to stay above that level in order to halt so we can go back to the earlier halt which was where was this. So let's watch this halt here.

So the halt level is 640 - Six dollars and forty two cents is that red bar. So the software that I use shows me where the halt levels are, which is helpful. I mean I can now see exactly what's going on. The stock is about to get halted.

at 642, it's now halted. So that's a circuit breaker halt. It's a volatility halt. It'll last for five minutes again.

Typically, when stocks halt going up, they open higher. I don't use stop losses I don't like to use them I've been trading for long enough that I don't feel that I really need them. It doesn't mean that I don't sometimes have losses that are bigger than I might like. but I'm really pretty comfortable with managing my risk and I don't keep a lot of money in my trading account.

I Would say generally thirty to forty thousand dollar account is more than adequate for a U.s. broker. Uh, if you have a broker brokerage account at Cmeg anywhere from 2,000 to 3,000 or even 4,000 Again, it's more than adequate. You can trade with the account as small as five hundred bucks.

You don't need to have five hundred thousand dollars in an account to day trade. It doesn't make sense to do it, at least for this strategy. So I take that excess profit. You know I've had over a million dollars of profit just in the last couple years I take that money out and I reinvest it into the market I pay taxes and everything else.

but I don't have that in this account. so I it just prevents me from, you know, having a mistake or anything like that. So to give you guys kind of just like a high-level especially for those who are just getting logged in. My approach each day is to find one or two stocks that have the potential to make a big move.

The potential to squeeze up twenty to thirty percent. That's what I'm looking for. So each morning when I sit down right around 9:00 A.m. I scan the market I scan the entire market of over 7,000 or however many stocks it is and I'm looking for the needle in the haystack.

Initially, that's a really hard thing to do, but once you have a system of how you look for stocks and what your criteria are, it becomes pretty easy. And so each morning I Usually am able to narrow down a watch list to two or three or four stocks I don't usually have a watch list of more than four I usually have two to four and those you guys who are subscribed to the channel you'll see me each morning as I live stream and do my watch list when the bell rings I am looking at these stocks and I'm looking to apply one of the strategies that I've been trading now for many years to try to capitalize on what I expect will be a move to the upside if the stock does not move up I don't buy it. It doesn't trigger an entry point. if it starts squeezing up, it pulls back.

That's where I take my entry and I like to. you know I like to sell into that breakout. So Bobby says how do you get over the fact that temp old temp, only 10% of the people in the market are making money? This is the reality of the market. If it were easy, everyone would do it and everyone would be making money.

It's not easy, in fact. one of the biggest obstacles. There's two big obstacles to becoming successful. One is that most people getting started don't have a strategy.

So how many of you guys have taken trades where you've just thrown money at the wall? You just heard about a stock and thought I'll buy this Let's see what happens I bet there's a good number of you who have done that and I know that I did that when I was getting started and generally speaking, that is a recipe for for failure. I Mean it's just that's not. that's not. You don't make money consistently doing that.

That's just guessing. So the first reason most people lose money is because they don't have a strategy. They don't have any set of rules, they don't understand risk management. They don't know how to pick entries, they don't know how to find strong stocks they are coming in.

So just with with no experience whatsoever, and it's no surprise that they lose money. That's the first reason and that that's probably what knocks the majority of people out of the market is not taking the time to actually learn a strategy. Now the second reason for failure and this is one that is a little bit tougher is the emotion. So it's sometimes feel like human instinct is completely wrong when it comes to the market.

The instinct to sell winter-like as soon as it's up means you have really small winners. The instinct to hold on to a loser and hope it goes back up means you're gonna have big losses. big losers. If you have small winners and big losers, you won't be profitable.

and so that's a mind game. You have to really get into this headspace. this mental game of I'm in a winning trade. but I'm gonna hold it for a little longer than maybe a beginner trader to really let it work.

Now you're only really able to do that when you have confidence and conviction in your strategy and in your entry point. So that emotional side way. if you come in as a total beginner with no strategy and you're just throwing stuff at the wall, then it's natural that as soon as you have a profit, you're gonna take it because you're like wow, that was lucky I don't know, that was crazy And then on the other hand, when you're in a loser often deer-in-the-headlights you panic or you freeze and you just hold it and hope it comes back up. And so those are the two reasons: I Would say that most beginner traders fail.

I Would like to think that my students have a higher likelihood of success and one of the things that's really important to me is that I equip my students with the strategy that I've proven is profitable and you know you guys obviously who are watching this on. YouTube Many of you guys have probably jumped over to my website at at one point or another, so let's see: I'll just jump in here. I'll just go actually to the home page. So if I go down here and you can see my 2020 broker statements, you can see total gains as of March 31st 1.2 million dollars.

You can go to student success stories up here at the top. Just close this You can see my verified day trading earnings. You can see this is the independent examination report of turning $583 into a million bucks. So this is a strategy.

A proven strategy. So those you guys who come in, you're learning the strategy. You're in a much better position than someone who's coming in off the street with zero experience. No strategy at all and you know, obviously just basically working off of hope because that just doesn't work.

So let's see. let me put my youtube comments again. so let's see. Um yeah, you know I appreciate you saying that.

Dylan on the transparency I mean I show my winners and my losers I've had some big losses in my career, but even in just in the last year, whatever. And I do a recap every single day. I've been doing a recap every single day I trade since January 1st 2017. It was a commitment that I made that time when I started my small account challenge with $583 that I would really try to show the journey as much as possible and some people will say well, Ross you know you were already a profitable trader before you started that journey in 2016.

I made a quarter million dollars trading so you know you didn't Really, you didn't really have any pressure and I would counter that by saying that I did have a lot of pressure. I was doing a challenge in front of hundreds of thousands of people. We've now got five hundred thousand subscribers on YouTube and at that time we had several hundred thousand. So doing that type of challenge in a very public way I knew that failure was a possibility and that if I did lose money, I would be transparent about it and I would say you know this is part of the real experience I'm gonna have to add more money.

the account. you know it sucks, but this is the way it sometimes goes and fortunately that didn't happen. but I had a lot of pressure there to succeed and it was maybe more social pressure than actual. you know, like if I didn't make that money I wasn't gonna be able to pay my bills.

but the end of the day pressure is pressure. So yeah, that was something that I definitely dealt with at the beginning of that challenge as I was getting started and really pretty much all the way through it because after I turned it into a hundred grand I said I was gonna turn it into a million dollars but I was only 10 percent of the way to a million so I still needed to make another 900,000 which I believe generally was just it would happen. It was just a matter of time, but it was the thing that was over my head for like two and a half years until I finally crossed that level and and now my accounts at you know, one point two, seven million or whatever. So this month, well up.

add an extra forty thousand to that. so I'll be up closer to one point 1.3 million. which is pretty cool. but I don't have any serious expectation or any challenge that I'm working on now.

and in fact, pretty much every day that I'm trading and most of you guys are probably aware of this just about every day that I'm trading. I actually am trading pretty much the same as someone would trade who has a smaller account and the reason is because I really don't like taking a lot of risk, which is kind of a funny thing for someone who's a day trader. but I honestly feel that there's less risk day trading than holding things overnight and trying to swing tray and stuff like that. So I just come in, i take my profit I get out, and I pretty much trade every single day like I still have a relatively small account, so daily goals still one thousand two thousand dollars.

If I happen to have a couple of great back-to-back days, then you know that puts me in good shape. So alright, so we held. We just hosted this mini little lesson on entry points and I've gone on a couple little tangents. Let me answer a couple questions that you guys have.

Again, those of you who are watching this live or watching on the replay for that matter, there's a link in the description to download. my beginners get it's getting Started guide which I encourage you guys to download cuz it'll teach you a little bit about sort of a couple of the core fundamental things that you need to know as you're getting started. A question about our trading simulator. Our trading simulator that we offer our students is real-time So if I came over here, back to the dashboard, let's see.

this is our simulator right here it is. It's software that you install on your machine. so it's desktop software and it's real-time market data. So you can jump in there and start trading side by side with me if you'd like, then see, test your skills and see if you have what it takes to go live.

And why don't you guys do me a favor while we do some QA and type in the room how much your daily goal is, how much money you would like to make each day in order to feel like you're doing pretty darn well. And while you guys are typing that is in Commission and Cmeg high in my opinion, not really. It's not really that much different from Lightspeed. It's obviously higher than free brokers like TD Ameritrade or Etrade, but I would argue that you get better execution, better, better fills and so the better fills I Think make up for I Think when you have a free commission broker, you get what you pay for, which is that you don't get really really good quality.

It's free, so what do you expect? So IT says 500 A thousand fifty 250, 500, 250, 250, 500, 500 500 Okay, so you guys are throwing out some pretty good numbers and out of curiosity how many of you guys are freelancers, are self-employed or are in the IT space I Asked this because I found that often folks that either are sort of freelancers, small business owners, entrepreneurs have the kind of mindset of like I'm gonna learn, had a trade this is A this is like a new business, a new business I'm gonna take on and you're independent, looks just like me and you want to make this happen. And the IT folks of course you're an automatic advantage because you're really good with the computer and you're probably a fast So all right. So we've got that's some self-employed folks here which is good telework IT IT So you know all you guys have to do is take the leap. You're watching this class right now.

You're you're on your way. The journey has already begun, All right. So a question there of how long does it take realistically to start being profitable? So it's a great question and there's no hard set answer. I Mean it's different for for probably everyone.

Some people are really, really quick to pick it up, and we've certainly had students who hit the ground running and some of the students who pick it up the quickest. Our students who may have had some trading experience in the past, so they already know a little bit about the market. Maybe they know quite a bit about computers, so they're pretty quick to install the software and to set up the hotkeys and to understand how that works. So there's a couple of things that I think make you predisposed to being more likely to be successful really, really quickly.

Yeah, and then there are other people who, for instance, come into this after a career like you know I mean doing something totally unrelated. They've never really worked a full day on a computer before, and so there's a initial process of getting comfortable with the technology and they're gonna end up needing to spend quite a bit more time trading in the simulator before they're ready to go live. So within that spectrum I would say for some people, they may start to find themselves trading well in a simulator on day one and feeling ready to jump in with real money within the first couple weeks or months and with others, it's gonna be longer. Any of you who are current students who want to comment on what your learning curve has been, you're welcome to type in the in the chat feed.

So yeah, so anyways that's that's a great. It's a great question because a lot of people who get into the market they want to start making money like yesterday, right? And one of the things that I would tell you is that you're learning a skill that you will have for the rest of your life and the market will be here. So be patient, go through the process all right. So let's see another question.

Our taxes hard to file as a day trader I've never found them to be hard to file I've always used a CPA even if you just go to like H&R Block or what are one of the others I Can't think of the others, but you know day trading has been around for a really long time. This isn't like a brand new thing, so almost any broker knows or any accountant knows how to handle taxes. How do we scale trading? Small caps of more than 10,000 shares is not that great. Any advice: So I've personally struggled a little bit with scaling my strategy to bigger and bigger share size.

It's just like the reality that the more share size you take, the more the higher the emotions get. You can email I only do emails for more your pro students. so if you're a pro student then you're welcome to email questions. but sorry I just you typed it a couple times so I skipped over the I didn't finish answering the previous question and then I lost my train of thought Oh scaling.

So yeah, you have to be comfortable taking more risk ultimately, and you do have to adapt the strategy a little bit because trading with 20,000 30,000 shares is simply not the same. You can't be as nimble. you can't move as quickly, so you've got to be really confident in your in your setup and hold for a bigger move. All right advice that I wish I knew in the past the biggest piece of advice.

there's two that I wish I had known and wish I could have done and that would have helped me a lot. Number one: I wish that I could have found a mentor really early on that knew what they were doing. They could teach me all the little things that I was trying to figure out on my own. watching a bunch of videos and whether it's on YouTube or whatever else and you know going through Twitter and stuff like that It just if that wasn't enough, I needed more.

So number one I wish I'd been able to find a mentor and number two I really wish I traded it in a simulator before I start trading real money to prove that I could be profitable. The take a little off philosophy is how I deal with the fact that often I have the urge and instinct to take profit and sell too soon and so I combat that by selling half, taking a little off the table and then holding the rest for a bigger move. and sometimes I take 3/4 off or whatever it is. but I try to, you know, take a little off the table and hold the rest for a bigger move.

So with a thousand dollar account, you know hunter. To be honest, the way I was trading it is I was putting pretty much the whole account into one trade. but I wasn't risking the full thousand dollars because the risk was the difference between my entry and where I'd bail out where I would sell. So I would be risking maybe a hundred dollars which is still 10% of the account, but I was risking less so many times you're green on a breakout, but you can't sell fast enough I use hotkeys and they're limit orders and I often hit the bid.

but I can also sell on the ask. I would be curious about what platform you're using because some platforms are better than others and sometimes the platform can literally make the difference between success and failure. The strategies that I teach can be applied to swing trading. From a technical perspective, the one thing you have to be careful with swing trading is that fundamentals can kick in in the sense that a company can do a secondary offering because they need to raise money and then all of a sudden the stock drops 40% overnight.

and that happens a lot with small caps. It doesn't happen as much with large caps. so be careful using a swing trading strategy for small caps because you've got to start doing fundamental analysis. There's a day trader we really don't need to do a whole lot of all right, you guys.

So I just want to come on here, host a quick class. The topic today was finding good entry points I did a little Q&A and it looks like we're about one hour in here so I'm gonna shut down the feed I'll be back tomorrow, we'll do another class on Sunday and those of you guys in the meantime, check out some of the links in the description start. you know, diving in, going through the PDFs that I have going through the pages I have put together in other videos and everything else and I'll see you guys back here tomorrow. All right, take it easy everyone, see you in the morning.