Hey everyone. Welcome back to episode six of the Swing Trading course. As always be sure to head over to stockstotrade.com/freetraining or go to the link. Below.

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So today we're going to talk about the order, types to semi-automate, your trading and ultimately, the biggest point of this course. As you know, looking to make good size gains, you know good risk-reward without having to sit there at the computer 12 hours a day.. Now maybe you want to do that., I mean ultimately a lot of you. Just can't.

I mean you've got jobs. You've got things you need to do.. So what's great about these order types, it allows you to semi-automate your trading.. Now this isn't like a complete, automated system, which I don't believe in any way..

I think, listen, the stocks we trade are based on human emotions.. You need to read things as a human.. You need to make decisions.. I mean this.

Isn't I mean well, listen if you've got a billion dollar data center and you're front running everybody with some ALGO, that's different, but you need a billion dollar data center like Blackstone or Citadel, or somebody that's probably not accessible to you. So, but we can semi-automate things.. So when we're talking about entries, what I use and I'm going to give you my own little kind of jargon, but the order type is what's called a stop limit: order., Okay and I'm going to change that jargon, because I think that there's so many things in Trading that well in everything - I guess, but that are kind of misunderstood. And people - hear stop limit order and their first thought is: it's a stop loss order like a stop order.

And we're going to talk about stop orders after this one.. But a stop limit order is what we use to actually enter. Bear with me. But what I call it is a stop trigger order and it just makes so much more sense to me.

And let me explain why., So what are you stop limit order? Is you have a stop price and then a limit price okay., Hopefully you're familiar with limit orders market orders.? If you're not take advantage of the channel okay. On the StocksToTrade channel, we break down all the basic terms et cetera., But what a stop limit order does? Is it's got a component of a stop price which is actually the trigger that enters your limit, order. Okay., And we use this because a lot of these stocks that we talk about a lot of these entries. We look at we're looking for breaking through key levels, whether that be a 52-week high, a whole dollar, half dollar a red to green any of these levels that we look at.

We need to enter that order when we're away from the computer or we're doing other things or we're busy whatever.. So let's say we're looking to buy a stock that spiked big and then we're looking at the previous day's level, which is a great level. We look at., So it spiked from 5 to 10 yesterday pulled back today, maybe it's in the 7, the 8's. And then we're looking to buy at 10..

Well, if we use a limit order, you know that limit order's gon na fill us down in the 7 or 8's. We're not trying to play guessing games. We're not trying to dip buy.. We want to buy these stocks when they break through levels..

So if we have a stop at 10 that enters a limit order at say, 10.10 10.25 slightly above the trading price, that order doesn't get entered or executed until the level hits.. So let's say this stock that we're looking at it's our number. One idea goes through the day and just sideways never does anything. Stays in the 7's and 8's..

You don't want to trade that.. You don't want to enter that stock. Or let's say it fades and goes nowhere and actually goes lower. All day.

Again. You don't want to enter that. Stop limit. Aka stop trigger order, allows you to enter that stock when a key level is broke, our target area..

You know again, if you're on pre-market prep, you might hear me say that a lot. Pre-market, prep I'm live every day. 8:30 Eastern on the StocksToTrade channel., But you'll, hear me call out these levels because these are those key psychological levels: previous days red to greens, breakouts, whole dollar, half dollars that we look at and you'll constantly see the volume flow in.. We want to ride that volume.

Wave. And that's what the stop limit order, does. And ultimately you're, probably under the PDT., You probably have a small account.. It keeps you out of trades..

I know.. Nobody wants to hear that, but you got to conserve your day. Trades. You got to conserve your capital..

You got to conserve your buying power., So don't underestimate the value of staying out of a trade. So that stop limit order allows you to enter at your price when the key level is hit. Okay., Then the next order type we use is that stop order okay.. So back to our analogy our example we're buying that break of 10..

Our stop is say, 9, that's our area., And then our goal would be more like 13., We're always looking for that 3 to 1. Risk-Reward. Talked about that earlier, a lot., But if we're risking $ 1, we want the potential to make $ 3 or more to get our risk-reward in line.. So when we enter so after we enter the stock, stop limit order, executes.

We're in at 10.01 say.. You enter a stop order at 9, maybe 9.01.. I like to kind of stay away from whole dollar half dollars to get. You know to keep from getting my.

You know my order hunted., But what will happen if that stock fails, which nothing's guaranteed you got to have a stop, and it falls back down to 9 9.01 takes you out of the trade.. You can again in essence, maybe you're at work. You get a ding. You get a notification.

And you're like oh, I got stopped out., It's part of the trading.. You know, that's just part of what happens. Sometimes, when trades don't work., But what's great about what we do here, we focus on the best risk-reward so that when you do lose a dollar a share, you lose a dollar a share, lose a dollar a share. But then you have a couple of winning trades.

Now, you're up 6 bucks a share so you're up $ 3, a share overall.! That's how you grow your account.. That's how you get profitable over time. Stay away from anybody that talks about these 100 % win rates or even 90 % win rates.. I mean listen when you're swing trading.

If you're trading the right stocks, you can have a 50 % win rate and still grow your account and still make real money by using the right strategies.. Then last thing is notice. Both these order types, I'm defining my entry. I'm defining my exit okay.

Then on my goal: I'm using a limit order to sell okay.. So again, I'm in that stock at 10.. My goal is 13.. I use a limit sell to sell me at 13 when that stock hits my goal.

I'm not using market orders.. Please please, please don't use market orders okay. Your three order. Types for swing trading, stop limits; AKA, stop triggers for entries.

Stop orders for your stop, obviously, to take out your stop loss then we're using a limit sell to hit our goal. So., Hey everyone. Hopefully you enjoyed this course.. I think swinging trading is one of the best ways to grow your account and learn without taking crazy risks..

So listen I love day trading, but a lot of people rush in to trading those volatile stocks too soon too fast and they take big losses., So focus on swing. Trading. Head over to stockstotrade/freetraining. You'll get the watch list.

You'll get the guides. You'll get access to everything. And then the biggest thing is. If you enjoyed this course.

If you like my approach, if you like the way I teach, if you like the way, I kind of go into things check out the SteadyTrade team., It's a mentorship program where I do two webinars a day. Every single trading day. I'm live in chat all day. Long.

There's an archive of over 3000 webinars.. I've got a document of 3000 webinar notes in Evernote that you have access. To. We've got mini lessons.

We've got more worksheets, we've got scanners., It's a huge plethora of information. Check out the SteadyTrade team.. I would love to work with you., It's a very small group, but it's the best way to take it to the next level.