What i want to talk about is that setup, we're looking for every single day for that momentum, runner - and you know i i say this a lot. Kscp is the example. I'm gon na go use from yesterday because it checked every box. If you were here, you can go back and watch pre-market.

Prep it'd be the pre-market prep from valentine's day. 214. 2022. So if you think i'm revising history, if i'm picking winners as they say, listen, it was broke down at 8 30..

I gave you the whole. How and the why now check out that video we can also link it below, but then i want to give you the tools to find the next one ultimately, and why was kscp so good and whether or not it you know whether or not the trade worked, Whether or not it hit the levels, whether or not it did exactly what we did, it's exactly what you want to look, for, i mean listen, you can't guarantee gains. You can put as many odds in your favor and that's how we do it with the process that we follow, but hey sometimes news comes out. Hey sometimes you know this was a chat pumped stock.

Sometimes the short sellers can drag these down and you your stop, gets hit, but remember a losing trade, isn't a bad trade. Okay. That is something that i think so many new traders struggle with and they they expect perfection and listen. I expect hard work.

I expect due diligence. I expect discipline. I expect you to grind grind, grind and grind, but you have to understand that at the end of the day, you can do all your due diligence. Do all your process.

News can still hit price action can still hit and you can get stopped and if that enrages you, if that you know, if you throw your hands up, smash your computer, because you lost on a trade man, you need to fix that. Like seriously, you need to understand that losing is part of this game. It's that this is that time when i always bring out that michael jordan quote, which i always butcher, but that's like i mean he took 20 000 shots missed thousands of shots like 20 times. He was trusted to win the game, missed the shot.

You know it's it again, i'm butchering the quote. You know you can google it okay, but the the fact is sports lot. Like trading, i mean you're going to miss baskets you're, going to strike out you're going to drop the football you're going. Things are going to happen, you can prepare and prepare and prepare nobody prepared more than michael jordan.

You know just the work ethic and the mentality. I mean talk about the mentality of that guy, but he still missed shots. Still lost games still lost championships. Now he bounced back every time.

It's not like he missed a shot hung. His head walked over to the bench, went back to the locker room and cried no comes back, takes the same shot again, probably makes it okay, that being said kscp. Why was this a box checker? Why was this textbook number one? Let's jump back to the recent chart history, a lot going on here: okay, get your notes out! Okay, i want you to keep track of this stuff, so right off the bat kscp is a recent ipo okay. I say that and i love that because hope springs eternal in the stock market.

Okay, this just started trading on january 27th, i'm recording on uh february 15th. You know basically two weeks in in trading time here. So it's new, it's interesting everybody's fired up. They make like these cool security robots, so it's interesting technology, you're, keeping notes right, okay, check these boxes, okay, so interesting technology, security, robots, that's a hot sector, then also had a huge move.

Okay, this thing started the ipo at 14, two days later, squeezed all the way to 28, so you've got that chart hit or that history of running. That is very important. Let me get you a longer term chart to show you in the intraday. So this was day, one right here runs all the way up to 28 on day, two basically breaks the ipo high and doubles pulled back, but then even day, three went from 18 to 27 again had another run on day four.

Since then, it was dead, but that shows us that this stock has potential. When you hear former runner, okay, we say former runner, because traders have good memories and they remember these stocks that made big moves in the past. History doesn't repeat, but it rhymes. You hear me say that so everyone and what's great about kscp being a recent issue.

It's one thing to talk about former runners from five years ago, 10 years ago, two years ago, listen! This is a former runner from a week ago, so everyone remembers kscp everyone. Maybe they did really well, maybe they got torched on the short side, but everyone remembers this. So that's another criteria, former runner, also low flow stock. 14 million shares in the float.

So we know that low float stocks because of supply and demand. They have a huge potential to run now. Those are all the things in the past. What what happened? Yesterday? Okay, we come in number one it's money monday, okay, monday morning, and i call it money.

A lot of people use that term. I didn't create it, but we call it money monday, because you know it's a long weekend. I mean i don't i don't know about you but, like i always i wish the stock market was open on saturdays too. I get sundays off day time with the family.

Time to you know, relax time to get some reading done, but i wish we could trade six days a week, but that being said, you got the whole weekend off everyone's chomping at the bit monday morning. They're all rested up ready to get after it make some money um and then, ultimately you know companies know this. The stock market knows this. So you will see a barrage of press releases on monday morning because they want to capitalize on the fomo okay.

So we love those money, monday press releases and that and kscp did it perfectly dropped it at 8 30 a.m. Again, i'm going back to a lot of stuff that i talked about on this on the stocks trade advisory and on pre-market, prep. You'll always hear me get excited when they time the pr right. We had a stock this morning they dropped the pr at like five in the morning.

Stock spikes goes nowhere. It's still doing nowhere right now, midday you got ta know how to play the game, so they know how to play the game they drop another pr monday morning. So that brings in the volume. Here we go.

Look at this big spike comes out. I mean this stock was dead until the pr hit look, zero volume pr hits proceeds to go from 650, all the way home almost to 850 in a matter of minutes because of the well-timed pr, they knew what they were doing so now we get ready, we're Prepared we now know the volumes there price action's there, the floats there, the former runner all these boxes check. Then we get a chat pump. Okay and a lot of you ask about how do you identify chat pumps? How do you recognize that breaking news? Okay, um i'll put another link below the breaking news, chat, uh.

I won't briefly go over it because the the video below goes over in detail, but in stocks to trade we have two analysts with 25 years of experience, each and they're watching every chat, room they're watching every twitter, pumper and they're feeding you that information, so that You don't have to be in 50, different chat rooms. Okay, i can't i rave and raven rave about the value of it. It's stupid, cheap for what you get anyway. We knew on pre market prep that it was a chat pump.

So what do we start? We get excited because we know that brings in a high likelihood of short sellers attacking short sellers love to short these um. These uh chat pumps in the morning. So now that tells us we're looking for confirmation of the price action and we got it. I mean i mean so so we checked all these boxes.

Now we get ready, we get ready to trade. This thing we look at levels. We were looking at. That 750 level, which was the high in pre-market, was twice, was the high-end pre-market.

Then we got that weak open that we look for and actually let me uh, let me drop on the whiteboard real quick just so so what i'm talking about is right here, so that is that huge pull i mean this thing pulled from 720. All the way down to almost 650 big pull big panic selling. That again, i tell a lot of dumb jokes i like to have fun while i'm teaching, but you know that's like that - attracts the flies. Okay, that stinky price action attracts the flies which are the short sellers.

Okay, so once that baits them, we know we're loaded, good volume. So now, if we break that 750 level, which is that whole dollar half dollar as well as resistance twice, we know we had a really good potential of spiking okay. So now let me get rid of some of this stuff now, once we break that level, post 945, which is our focus for chat, pumps and remember, nine out of ten chat pumps fail at the open, but the one that survives tends to really run. That's why we love that lone survivor, as i call it, the marcus latrell, okay, another bad analogy, but i like him, i like him.

I like my bad analogy. Okay, so once it breaks that 750 level, we talked about a risk down on seven, which would be that whole dollar half dollar area. And then you can see the thing pretty much ex immediately spiked to 8.75 higher highs. All the way i mean you wouldn't have been stopped out at any point, did have a decent little pull here but say you took that pole, you're still out for 50 plus cents.

A share if you were more bold and headed, held on had a high of the day of 9.36, so you've got perfect three to one risk to reward, which is what we look for: you're, risking off of key levels. You've got your entry on key levels, you're checking all the boxes, all the things we look over, former runner hot sector, well-timed, prs, low float, chat, pump, weak open. I mean this thing checked every single box and here's the thing and again i know i already said it. If this thing would have broke 750 and immediately slammed back and stopped you out, it still would have been a good setup, okay and if you can't take that shot on a a textbook textbook textbook box, checker like this trading's, probably not for you like like like.

If you can't take that shot - and you can't take that stop, if you can't take that stop, you know i hear underwater basket. Weaving is hot: okay, big growing sector there you know, maybe you could pursue that. I don't know, go back to college and get your you know underwater basket weaving degree, and i wish you luck but set up the odds in your favor calculate your risk risk to reward. Take your shots, don't be afraid to stop out, because when they work they go a buck 50 to the upside.

That's three to one risk to reward! That's trading! That's how you get consistently profitable over time. Speaking of consistently profitable check out the steady trade team, it is basically pre-market prep or the stocks of trade advisory on steroids, okay, pre-market, prep, 15 minutes, steady trade team 45 minutes hour, 15 webinars a week every single week, 15 webinars, okay. I got 3 000 in the archive. You really want to learn this stuff check out the steady trade team and i'll see you next time.