04 Real Life Trading The Beginners Class 4 How to Create a Trading Plan
Live, from, Atlanta Georgia, this, is your, motivational. Sensational. Inspirations. Occasionally in the awaited, highly, anticipated. Edition of how to create a trading, plan in, real. Life ladies, and gentlemen how are you congratulations, for. Those who made it all the way here to class for if, you're here live in computer, land thanks so much for being here you guys absolutely rock-type. In a1 if, you can hear me okay just want to make sure there, are things coming along peter says hello getting someone's s fantastic news, if, you're watching this in a recording, thank you so much for watching this in the recorded, version I really appreciate, that you guys totally Rock, so. Tonight's class is gonna be a very interesting format, I don't have any PowerPoint for tonight's class because it's gonna be me and you, okay. So for those who are here live feel, free to give me as much feedback as you wants me questions, as you have tonight's, gonna be about 40 minutes max I feel like and of. Course if you have any additional questions from here please, email me Jeremy, at reelect recom, what, I am most excited about is this class is an amazing. Amazing segue, into, the intermediate. Series, so, I highly, suggest once, you take this class let, it sink in and then hop over to the intermediate training because it's absolutely phenomenal it's mind blowing you're gonna absolutely love it and there's. A lot of really really good details information in that class so. Without. Further ado ladies and gentlemen let's, get started, Dina says how are you today Dean I'm doing fantastic thanks, much for asking David, Koh, how's it going Jeff white what's up Steve Robertson. Hope, doing fantastic, Steve thanks for being here. What. We're gonna do today here's what the format's, going to look like it's, actually pretty fun pretty interesting, I'm going to. Pull. This up and then I'm gonna pull this up here's, what we got. It's. Gonna be called. Trading. Plan. It's. Gonna sound pretty simple but I'm going to teach you all exactly. How, you can create a very simple, very. Easy trading. Plan I want to show you what it looks like I want to show you how to create it how to construct, it what it what. Kind of rules are usually included, in a training plan and from. Here, once, you created. The, hardest, part is doing what. The. Hardest part ladies and gentlemen is following. It yeah so. The creation. The. Creation is actually really really. Little, simple, the. Tough part is going to be following, alright. So here's what we're gonna do the very very first thing of a trading plan normally you, want to create some type of rules. Something, that makes you feel good, some. Success, rules usually, so. Type in success, the, very very top and create. Yourself a success rule, what, this means is just something that you can reflect on look. At and feel, good about every, time you read your plan and it's something that you want to be successful, so. I'm gonna write an I am.
Insanely. Successful. Anytime. I recognize. An. Opportunity. Here's. The scary. Part about this ladies and gentlemen you want to make this something easily, obtainable, I know that sounds weird but psychologically. It's a good thing you, can make this something, really easy retain able sometimes people say success. I'm, only successful, when I have 45, million dollars, I have nine houses seventeen. Boats and I. Have traded, properly for 20 years okay, that's, cool at all but, it's really really difficult, to achieve and if you're not there you won't feel successful. So, how easy is it to recognize, an opportunity I have been saying they have to do anything with the opportunity, I jet the recognizer right. So success I'm insanely, successful any time to recognize opportunity, it's great to have a success, rule and there's something easily achievable, something. Like I am insanely, successful anytime, I'm awake or asleep right. I know that sounds kind of like simple was like wow that, sounds really easy yeah. Really easy right. So I'm successful, anytime a recognized opportunity, that's my success, rule. Here's. Then I would. Say. Failure. Have. One in here failure, and so, this make this something very very, difficult, to, achieve, right. Make something almost impossible. Right something like not only do. I not believe in failure. But. There is. Never, a chance, that. I could even, imagine. That I could achieve. Something. I could, let's, see I could. There's. Never a chance that I could have Matt that I could even imagine. This. Applies, to me, something like that right something that makes it very difficult to be even closely considered. A failure, now. Here's, the third rule that I always want to suggest having, losing. Type. In a 1 if you fully agree, that losing, and failure, two totally different things right. You will lose things in life it will happen you will lose games you, will lose on trades you might lose a hand the poker you're. Gonna lose your keys. Okay. Losing, is okay you will lose things it. Will happen it's. Like if you lose the Super, Bowl are you just never going to play football again right. It's we're gonna see the Atlanta Falcons playing. Again, next, year. So. Losing. Losing. Is not the same as failing. Not. Even. Close, in fact, and this is important, in fact. I. Embrace. The. Fact that. I will. Certainly. Lose. On, trays. Often. Mathematically. As, long. As I make more money than. I, lose I, will be profitable, now. These rules that you're creating you have to believe them so.
I Read, my rules very, very often there's something that you want to have almost, memorized in fact you should memorize these, things and, really. Really embrace it because just, like Dina said losing is temporary, so when, you are taking, in a trade you've got to be comfortable that you're going to lose when, you get into the trade in fact you should almost be certain that it might loot that you might lose a. Lot. Of people are afraid of losing, money and a, lot of people are afraid of being wrong on a trade so. For people who are like that right in it is. 100%. Guaranteed. That. I will, lose. Lose, money on some. Trades and I. Will be wrong in, my, analysis, and I, will have no, idea of. What's, going, on. Right that in my friends it's a fact it's a guarantee. It will happen you will lose money on some traits of just accept. It, once you accept it man kind, of just you know loses, it stigma. There's no reason, to be afraid of something against if it's a guaranteed. Fact. Dina, what did I tell you yesterday I said, there was gonna be a guarantee fact that the Sun was gonna rise tomorrow, tomorrow. Being today is the Sun here yeah. Suns here we're still here the planets, here, okay. Everything. Is golden, so. It's a hundred percent guarantee. That we're gonna lose on some trades in fact I lost on one today I lost. On a trade today and I won, on a trade, today. So. What do you guys think if I did everything correct. Did. I make. Money or did I lose money today. Well. I made money I didn't, make a lot so you guys, have been kind of keeping with me so I think class - I think I did 1.6 are. Yesterday. I did three and a half are and then, I think is 1.8 actually one point eight three point five and then today point. Four. Okay. Point for our net, gain nothing. Amazing. Nothing, phenomenal, just, normal, I lost, on one trade I made, money, on one trade and I lost, less. Money, than. I made so mathematically. I can be profitable, you guys get the point important. To have that in your plan okay. So. From, here now we're, going to come up with strategy. What. I want you to do is I want you to type in whatever your strategy, is now I agree. That there aren't thousands. Of strategy strategies, are very often the least important. Aspect, of your trading ladies and gentlemen strategies. Are easy I have. Hundreds. Of hours of content. On YouTube. About, just. Strategies. If you. Are interested. You kind of like the way the real-life training approaches. Some, of this information. Education, center, right here I'll just go over to YouTube really quick and give you some of the videos that I would suggest you, watch anytime, you're feeling down or anytime. You're excited or anytime you're gonna learn anything new, the. Theory, of. Strategy. Cycles. It's. A term you'll never hear because I create it but, the theory of strategy, cycles, I think is a legit, thing so, feel, free to at, any point time type that into YouTube and pull that up and watch that video it's, a very very good video it's very quick it's about 20 minutes long I think and that's a really really good one another. One is moving average. Strategy. You can type that in if you want moving. Average strategy, I'm, like the number fifth video on YouTube, for moving average strategy, you can watch this one's an insanely, simple, moving average strategies very very easy I, talked, about it a lot in the intermediate, section okay. But so far for beginners, you're gonna be one of two people maybe, for one of three but let's do one of two there's, be two types of traders here. First. Type of trader is gonna be someone goes you know what I'm cool with the beginning information, Jeremy you taught me all I need to know I'm, gonna say that, ostentatiously. Than these four classes you really do need you've learned all you, need to know about how, to trade a profitable, trade sounds.
Crazy I know what you've learned risk and you learned where to buy once. You learn those two things you buy a low sell high and you lose less money than you make, okay. So. If your strategy is. Bye. Lo, bye, lo. Sell. High. Buy. Low off of support, sell, high at resistance. Fantastic. Okay, if that's your strategy, wonderful. I like, it a lot I'm a big fan. By low off, support. Sell high resistance, if that's your strategy wonderful. If you want to improve. It by saying buy low off of support, after. A. Confirmation. Of, a. Candle. Stick, pattern which you would have to learn that at that point, candlestick. Pattern so, high resistance, that's also fine right so if you want to use a one white soldier, or, some other candlestick, patterns I will teach you in later classes, then, you, can always include that in your strategy your, strategy, can be again a moving average strategy, your strategy, can be anything. But so, far in these. Four, classes I'm going to show you just how to create a trading plan with the strategies, that you've learned in the beginning classes, okay so, again you can always tweak this a little bit but. At some point here's. The difficult thing ladies and doing at some point you're gonna have to just pick one of these guys, just. Kind of the ticket and go you know what I'm gonna stick with this and the, reason I'm saying that is let's, say that you want to. Travel. Somewhere mister Terry where do you live in the. World just give me the city or the state either one is fine so. You use, use an example. Dallas. Alright so mr. Terry lives in Dallas. So. Let's say Terry, once again from Dallas, to, New York City. Are there. Are multiple. Ways Terry could get there yes or no. Yeah. Sure, right there's a lot of different strategies there's, a lot of different approaches. Of how he could get there he could walk. Walking. Might take a while but he theoretically, could he could run you could ride a bike he could ride, a donkey he could you know ride a motorcycle a, unicycle, he, could take a boat somehow you. Know go from Galveston. Around. Florida, up the coast and go to New York City he could take a train he. Could hitchhike he could take a flight you gotta get the point I mean, there are literally. Hundreds. Of ways that. He could go from Dallas to New York City. So. At some point he if he knows the direction that's the important, part the important part is knowing the direction. Right. Knowing, what you want to do. Okay. What. Kind of direction what, do you want to do so you have your strategy, your strategy is your direction and is what you want to, do.
So. Once you have your direction then just pick the strategy, and you're gonna have to give us some time just like a relationship. At some. Level, you've got to give it some time. A week. A date two. Weeks a month a, year at some, level you gotta go you know what this is what I'm gonna do, let's just try it so. Try, this strategy, the. Buy a little office support with, sell. High resistance, just. Give out give that a try okay, now, here's, gonna be some rules. So. This is again very simple the rules are you. Create some some, good pumpup, verbiage, up here create, your strategy, and you create some rules rule. Number one I, must. Write. Down how. Long I plan, to, be. In every, trade before, I. Places. Okay. I am. Us write down how, long I plan to be in every trade before I place it. Let's. Do an example really, quickly let's. Hop over here too I. Don't, know you guys pick a stock for me whoever. Wants to pick one first, one the chat pane gets it. What. Do we got silver. Alright SLV. Oh look it's silver. So. Silver, I'm gonna pull up the daily chart now, I already have some lines on silver I believe. So. Let me unhide those lines and. This. Is a really good example. Honestly, Gina you couldn't give me a better one but. What, I'm gonna do first of all is I'm just gonna zoom out a little bit so you guys can see my lines because I don't want you to think that I teach, you something that I don't use myself, okay, so, here's silver how. Many lines do I have on my screen I technically have three I have it I have a purple line which is a like a trend line type. Of thing and I have these support/resistance, okay, so I have two lines on my screen. Alright, so, on silver, we can see this, line I haven't changed it forever we, can see how many times we've bounced, off of this 1484. Price before in the past ok. So, let's say that the stock comes down to here and this is our plan, we plan to buy silver at this support, does, it look hard as it looks scary. No. Will. It go down there that. Part we don't know alright, we're not sure but if you're someone who has a family and, again, kid you know families, and work and you're traveling you have a life and you're like I can't look at the stock market all the time that's totally fine that's cool right, maybe you're only somewhat interested in the market you want to you, love, your job your passion about it all you want to do is just kind of hop in hop out every. Few months and make some money so. You could say ok if silver, comes down to 1484.
Then I'll buy it. I'll. Place my stop let's. Say you place your stop down here 14:07. Right so you just give it some wiggle room stock. Coming down to that support this is where you buy. Ok. This is how you exit, the trade so. Go, ahead I want every person here, to, just simply write in how long do, you think it would take from, silver to go from the green, line, that I have this limit by 1484. To 18 bucks. How. Long you think it would take. So. This is the part that I will be very, frankly, honest with each and every one of you here don't overcomplicate it, just look at the past data. I'm. Really talking to you guys here on the recording, as well if you're watching this in the future just, look. At the previous data I'm just kind of give an idea of about how long it's going to take so. Most. Of you that consensus, is. Four. To six months. Four. To six months is how long it would take silver. To go from. From here to here the Purple Line four. To six months I think that's correct how. Do I know that well, it took about three. Months for this little bounce to happen it took about three months for this little bounce to happen it, took about, four. Months for that to happen took, about three and a half months for this move to happen so yeah I started taking about you know four to six months something like that. So. What that does is it gives you an expectation, it. Gives you a potential. Of what's going on so if you go to a trade and, you're all right well, it's. Going to take you know four to six months all right fantastic. So. That's rule number one I must, write down how long I plan to be in every trade before I place it so that when you're in the trade and it's only been a week you're. Like shoot silver, is not doing anything what, could you do you go back oh yeah I'm supposed to be in this for months, all. Right you guys get the idea any questions, on that I'll pause there for a second because this is a big rule this is a powerful, rule, it's.
A Very very strong. Rule. Because. Rule number two is going to be a fun. All, right. Rule. Number two. I must. Have, a, date. By. Which I, can. Alter. Or. Look. At the, trade I'll. Give an example what this means hint. It. Should, be. About, 1/4, the, amount of. Time. In, rule. Number, 1. What. In the world is this me dear me. What. Have you gotten us into now I must, have a date by which I can alter, or look at the trade. Okay, so here's an example let's. Go do us, Oh Adam. Typed in you sou let's go look at us oh so we'll do the exact same example on us oh very. Very easy so again I got two lines here on us so let's draw one more and actually this is working out right now so this might be really good timing, okay. So we're going to draw this support/resistance, right. Here. Okay. And I'm basing, that off of. These. Guys, right there that's support, that support, right you guys see where I'm drawing that line off of, let's. Make that line blue there's no reason for it to be red. Okay. Here we go and, again same. Thing, as before same. Almost exact same thing on silver, let's. Look at buying it at ten and then. We're gonna have our stop down here at nine how, long do you guys think it could take for, it to bounce up, to twelve forty four any, guesses. Any, guesses how, long could it take to bounce up twelve forty four, six. Months again, geez. Why is he so long Jeremy. I know man I, know. Trust me investing. Takes time well that whole patience, thing so. Let's say it's six months, so. You're right in when, you're placing this trait on us oh I. Plan. To. Be. In this, trade, six months, all right so that's rule number one. So. Again like I mentioned two. Weeks go by and you're like shoot this trades not doing anything. Yeah. It probably shouldn't you said this is gonna take six months I mean you wrote it down, okay. When. In doubt just. Pick a random number if, you want okay, when in doubt just pick a number three, months two, months two weeks a year just, just pick up just. Pick a number. Give. Yourself give, yourself the power to be your own wizard, of time okay. So if you're looking at a trader like I have no idea how long it's gonna take just pick, something twelve. Months five, months a week, all right whatever just pick some kind of timeframe that makes sense okay. So usually for most swing trades we're talking, three. To six months, is, a good amount of time for my beginners, for, my set it and forget it right, the intermediate. Program I'm talking about again guys that's totally, free I'm not setting up for a sales pitch though even though I know how I want. Everyone to know I could literally go all right if you want more here you go I could do that it's really easy but. I don't want to I mean a lot of money day trading, this. One's on the house okay so. All I'm getting at is if you want more active, if you want more aggressive, just keep going through your life trading I'm gonna give you more and more and more and more and more advanced advanced quicker quicker quicker time trading this, is more from I I love, my work or, I'm, busy at work or I'm busy with life I got I got things to do okay. This is what the beginner classes for let's get in let's get out longer-term. Stuff, okay. Fred, says it helps you trade the chart not the heart, ooh. Where. Do I get that tattooed. Right. About there maybe. Yeah. I may get that tattooed, somewhere, trade. The chart not the heart that's good, all. Right so I, plan. To be in this trade at six months what. What does this mean by rule. Number two I must have a date by which I can alter or look at the trade so that could be something like I won't. Even, look. At, us, Oh for, one. Month meaning. Just set it and forget it don't even pull it up on your charts, just, leave, it alone for a month right, so that's about one, six it's close to one-quarter, meaning. A month, goes by I'm, talking all of 30, days don't, even look at it don't even let it come into your mind.
Okay. I thinkin you can create that but as rule number two it needs, to be about a quarter, of your time because again the, more you look at the trades the more you're gonna mess it up like I promised. Okay just trust me on that the more you're like oh I'm, sure I could do something mentally, that's gonna change this it's. Probably not gonna be hard right dienes it'll be hard to ignore it though oh yes. It will yes, it. Will what's, that D word that we were talking about earlier Deena. Rhymes. With Miss Oakland. Right. It is hard but that's the point it's like you give yourself that rule so you give yourself that rule of. What is it you want to do so again come. Up with a time frame I want you to look the trade for a month let, it do its thing so now you're gonna have two rules almost. Write down I have a day by which look at the trade, number. Two I can, only be, in X, amount, of trades. At. Any one, given, time. Now. Again this number kind, of up to you I'll. Give you a hint though make it less than five when, you're first starting out again. This class is called for beginners, I don't, want you be in fifteen trades at once so. I can only be in three. Three. Trades at any one given time, that's. A max amount because what would happen if you lost all of those trades at once how much would you lose. Theoretically. You should only lose about three are right if you lose every single one of those trades at once you lost three are. So. That's. How many trades you be in at any one given time just, come up with a number but again make it a small number if you want to be one awesome. If you want to be two three, four five, okay. Right. But this is the exact, same guy this is the exact same blueprint, by the way for all of my. Trading plans I have a trading plan for day trading swing, trading credit. Spreads long term it's all the exact same I come. Up with these some cool things for me to say the strategy, and some rules for the strategy. Okay. Number. Four, so. We've already got the strategy bi-lo off support sell, at resistance, so some of you might be saying when, do I sell, at. Resistance. Okay, some, of you might be wondering when can I move my stop, I. Cannot. Even alter, or look at the trade by a certain, date okay. So, if you write that certain date down it's a month then, you can't move your stop for a month. Let. The trade do its thing, forgive. And forget just, forget that it's human there and you, probably will do very very well so. I can only be in three trading at one given time. Number. Four as far as the rule goes. So. Steve asking a question goes trailing stops it's entirely up to you Steve depends, on how experienced. You are at trading the. Reason I suggest, not using trailing, stops usually is, because some brokerage you can either do them as a percentage, or a certain. Amount of points and, I've. Seen people you. Know mess up trailing stops pretty badly and it. Just gets it off the trade way way way too quick usually. I mean let's say you did this trade. Steve. This exact, trade, on USO, like. On. A last, month. No. No let's, say you did this exact, exact, setup here. Okay. You, bought here after a month goes by the, stock is up here right. So at that point you would just take in the stop and you would have moved that stop up below. Those candlestick, patterns or something like that you probably put your stop right there, manually, and you're. Just gotten trailed out right about there or the, exact same thing right the exact same thing stock bounces off here give it a month boom-boom-boom-boom, and you'd have trailed out right here at the red line so, now again I mean look at this guy's now that I put the candlestick, chart on check out that candle right there look, how beautiful, it bounced right off at in in that cool ah. Thanks, Ron appreciate, being here min Peter. Says you forget the trade during next time but you set your stop loss prior absolutely. Yes of course before you get into the trade you, need to have your stop-loss so let's make that rule number four. My. R equals. Okay, my article, so what does your are right your are down there, okay. So. Whatever your are is write. That down my. Are equal, so yes you need to have your stop we. Can put that in a rule number five you want make sure your. Stop is in, place. Before. You. Forget. The. Trade is even. There, okay. I'm gonna put this. Number. Six, will. Apostrophes. Make. Sure to learn. Something. Called. Osio, orders.
That. Way you, can literally. Have. The, whole, thing. Automated. Now. Oshio. Orders are very easy alright, we're talking about this one yesterday almost, every. Broker. Has. An automated, order, for you for. Oshio if you're trading stock, so. What an OSU order stands for is order. Cancels. Other. So. What it looks like is you can set up a trade. And. I, mean. Seriously guys and the vast majority of, brokers, you can set this trade up where, with. Stocks okay, with stocks the, stock. Comes down here it triggers, the trade, and, once it triggers the trade then it will trigger your stop and your target for you. It'll. Trigger stop your target so I mean meaning you'll, get triggered into the trade without. You even being by the computer, and then. Automatically. You'll have a stop and a target, placed for you how cool is that so. You can literally set this trade up like I don't know a month ago now you're, triggered into the trade, right. And now. The, OP the broker will automatically, trail. Your. Create. A stop for you and create a target for you so again let's say you're in barbados and, you're having a good time and uso, does this then, you get out your target and lock in money you make money while you sleep that's how you become wealthy or if, the stock does this and start, tanking, you, you get you out automatically. John. Paget's is what does the trailing stop that we're broke removes it for you yes the, broker can automatically, move the stop for you / candles, or. Percentage. Again if you want to learn how to do that it still he finds a little bit more of an advanced move that's. All, and. So it was an O CO order it's a little bit of an advanced by promis guys this takes ten minutes to learn it's like remember. Remember how you learned your 1, through 10 in Spanish. Second. One if you guys remember that everyone here knows. The. 1 through 10 right here I'm gonna dos tres cuatro Cinco I am this big Spanish I know 1 through 10 so I was like just practice, that like seven minutes and you'll learn how to do it Oh Co order okay guys just just give us a practice almost every single, broker will have this trade if. It, doesn't, it, is okay, because, you can wait for the trade to get confirmed, you triggered. In and then, you can go place your stop your stop is always always important, all. Right, now. I know. This sounds crazy but, that's about, it. That's. About all the rules you have your strategy so your strategy your, strategy, should tell, you when to enter the trade right. Your strategy, should already in the strategy you should know when to enter if you want more of a. Specific, rule. That's fine right you can have more of a specific, rule if, you want to. So. Here's an example. Example. Of when, to. Enter. I. Want. To, buy off, of support. When. I see, a hammer, and, I. Enter. With, a move, higher. The, next day that's. Just an example if you're like what's the heck what the heck is a hammer well, again it's at that point if you're getting more specific you've got to learn your candlestick patterns but a hammer would, look a lot like this right here this is a hammer. Hemet. I'll so. You would, have gotten triggered in above the high she got triggered in there and again your stop totally up to you where you want to place it you know. The. Next one we can put down here the tighter the. Stop. The, law, the. Shorter. Amount. Of time. You. Plan, on being, in the trade tighter. Or, I'll put in parentheses closer. To. Injury. Okay, I think you guys are getting the hang of this. So. All we're doing right now is just creating, some rules and there's only seven or I think it's only seven or eight some of these honest. They're just examples because, again I can't create everyone's, rule, plan. Exactly. Just you know at scale. So this, is literally why I do, coaching this is the number one reason why I do coaching I will have students say hey can you contact, me so we can build an exact, training, plan, that. Meets my personality. That meets my time schedule, that meets my account size that, meets my experience, level someone, so forth oh my gosh sure right, so that's that's, kind of the main thing because again have scale at some point you, you have to do this and. The. Scary, statistic, is I, have, taught. Tens. Of thousands, of people from all around the world hug trade stock market and probably. Only five to, ten percent actually. Have a, written, trading plan so. If you take time to do this you're already hugely. A step of the game but. This is what might this, little literally what my trading plan looks like you, know success. Rule failure rule and I got the strategies, and everything in bold, and. I got them all stays on my external hard drive just gets my computer ever crashes and you try, to read this as off as you can memorize this, right. Memorize. It but this is about this is about it honestly.
This Is work work we're here so. There. Are some more rules that you could add, depending. On how, much. You break your rules. Okay. So. That's thing so. I have one trader saying I have to admit I don't have it written down that's why I'm here and hey that's totally fine I get it I get, it and I, appreciate. Being here appreciate you meeting in it so that that's the thing is it is important, it's just like anything else it's like you. Know if you had wedding vowels you probably wrote those down you know. Or. You, know if you have a kid you probably teach your kid you know if you have goals you probably should write your goals down you, know so the pin is mightier than the sword that type of thing you guys get the point write this down create, a plan and, again, it's, all about your experience, level so if you you. Want to get really really deep into the rabbit hole you can create a little bit bigger of a plan my plan is only one page that's like a page and a half it's, really not that long. Okay. The, biggest one I have is day trading the shortest one I have is long term trading long term trading is, like three rules and. That's pretty much it I mean it's like pretty. Simple right. So again your strategy, is important, figure that part out if. You, again, based on the beginners. Classes this, plan on building right now sinks, in with that flawlessly. Thompson's, you write down your rules guidelines on how you exit the trade I do but, again this one right here. Your. Exit sell, at resistance. That is that is your part. Of your strategy. So. If you want to create a specific rule. As. Far as when you exit you can do that so if you want to have. Something. Like this exit. If. I. Have. Not hit. To. Our. Before. Three. Months is over. Then. I, will. XxxxX. Whatever you want to do. So, if I have not hit three to, R before three months is over how do I pick two R again guys that's just double. Your risk just. Like we talked about in class two what, is three months again. Three months is probably. Part of this and a blend. Between number one and number two. So. If you can't even look at the trade by, rule number two that's. Probably like what one month right, so, if you look at the trade one month and it's like okay cool stew and whatever and then, rule number one is you know I'm gonna be in this trade six months then. Give. A time for, an exit, if you want an exact exit, to help you, from. What you can do then come up with a rule I usually, have how much money I have not made so. This is usually if I write an egg's our rule for people I say if I have not hit X, amount of are before X amount of time so, it can be 3. R 4 R, 5 r 1. R pick. A number how much money do you want to make and then pick a time this. Time should realistically, be longer, than number 2, it's. A very good question Thomas is doing have any questions about that so again, that's that it can be up to your strategy I have, that for my day training, plan Thomas because as you all know obviously, day trade is very very quick so, for me if the trade doesn't do what I want it to do in the first 30 minutes then, I'm.
Gonna Start moving my stop or exiting my trade people. Hear. Me talk about that all the time this can also be called a time exit, or a time, stop, and, also you can also call it that that's really what that is it was like you. Know if I plan to be in the trade six months but four, months into the trade it's literally doing nothing. Then. Exit, you know but make sure you have that written down, right. That make sense kind of so if you're gonna exit early make sure you have it written down to when you want to exit earlier so how about we do this how about call this the exit rule. Now. So I'm good so, if you're gonna exit early this. Is what you should and, it should be after, your. Look at a time and it's probably should be before your number one okay. Any. Questions on this so far you know we're almost done we have two only. Two other things to add unless there's anything else that people that. You're considering you want to add on this. Band. In downtown. Banner. On the downtown. All. Right here's, the best part of all this then. Pleasure. Pull. Some. Of, your, profits. Out and. Reward. Yourself, and. Others. Please. People. Don't do this all the time I don't care how much it is okay. If. You, follow, your. Plan for. X. Amount of, time. So. That can be anything right so let's say you have a you have a longer term focus, it, can be eight. Months or, it. Could be six months or gonna be three months -, three months every three months if I follow my plan for, three, months. Here's. The scary thing I know what some of your thing is your some of your thinking well Jeremy what if I don't have profits, here's, the scary, scary, part about that if you follow your plan you, should have, profit, there might be times where you don't depending. On your strategy but, you really, should if you aren't, falling if. You, if you were following your plan you should be making profits, I know, that sounds like way way way way too easy, and oversimplified, but it's kind of true I, go in losing streaks all the time about every two or three months.
Every. Two or three months I hate some kind of small losing streak and you. Know I lose mine for two or three weeks and then I, get. Out of it and just so wanted so forth so, pulled, out money if you're profitable, okay. 100. Bucks thousand, bucks something. Like that and pull some money reward, yourself, I can. Guarantee you even if it's $100. That $100, will feel like the best on your bucks in your life. Now. There are certain. Suggestions. With that like if you're trading in an IRA and. You don't want to pull out money because it will be taxed I get that so, instead of pulling money out of your IRA. Just. Reward yourself through your bank account okay. If you got some money in savings or, something pull your money out of the bank account so don't get taxed, on it. If it's an attack shelter, or something you guys obviously understand, that though but I figured I might as well say it so. If you're trading in a just a regular, account just a good old get. A good, old account, then. Yeah. Plus some money out so for, me if, you guys want to know what I do I travel. Anytime. I follow my plan I travel, and then I try to reward myself and others so. My. Reward, is traveling, and then on those travels, I try to meet people and you. Know change their life or impact your life and some kind of positive nature whoever, it might be so. That's kind of way that's kind of what it is for me now, that part's easy pleasure. If. You get to this part you don't know what to do contact, me okay, this. Is not the part that I'm worried about most. People don't, make so much money they don't know what to do with it okay if, you make a lot of money you know what to do with it I get it here's. The part that very. Very, few, people ever. Actually. Do. The. Pain part. Let's. Talk about this for a few minutes the pain. Type. It a3 if you're a parent, I'm, not personally a parent, I do have young, nephews, and. Nieces I have you, know raised, them a lot. Of my life but. If you're a parent okay so I get a lot of threes, all. Right parents so be honest with me did you ever discipline, your kid and. Sad. Deed the phrase out loud don't. Worry this hurts you more than it hurts me. Wait. This, hurts me. This. Hurts me. Worse, than it hurts you, right. You. You've probably have said that before but you've. All disciplined, your kid okay. If you, didn't your kids probably a Hellion, and sorry. If I'm the first person tell you but it's probably the fact people. Probably don't like your kid okay. You've got to discipline them in some way I mean something, somehow you. Just had yeah I was the worst child on planet, Earth okay. No. No kid can be worse than I was but. My mom and dad knew, the. Pain thing they, knew how to make that work okay. So they just beat me enough they figured that was finally start you know doing better, but, what. Actually enough happening is I was more attracted, to this than this they figured that out at, some point though I didn't respond to pain as well as I responded pleasure so. Anyway long story the, pain thing folks here's the deal if you break a rule, you. Have to initiate pain. What. Does that mean, what. Does initiate pay me it means you better do something that, you miserably. Terribly. And, horrifically. Dislike. Something. Seriously, bad I, can. Tell you what mine is. I just gotten worse and worse and worse and worse over time I, must. Eat a bowl, full. Of. Rock. And. Barely even write it Russell. Has problems, filling right. Russell. Sprouts. Beets. Covered. In mustard. For. Three, days straight, and. No. Alcohol. Meat. Or. Sports. Of any, kind for, three months. Sounds. Absolutely, horrific because, it is that's, very very bad first of all I hate Brussels sprouts I hate beets and I hate mustard put all three of those together I want, to salt my leg off then, I can't, drink beer, and eat steak, and watch football. Why. Am i living here. What. Why, am I on earth okay, you got to get this so this is the thing is I can't, literally, make you do this but, it's massively. Crucially, insanely, important. That you do it if, you break one of your rules you, would have to inflict pain.
As. Simple as that you, have to if you don't you will lose money. If, you break your rule in your mind you go and it's, not that big it's not that important, whatever. Meaning. If you're are is let's. Say 300, and. You. Lose $1500. On the one trade because you held the trade and never exited is that breaking your rule yes or no ladies and gentleman. Yeah. Let's break in your rule right, okay, so what if you say I write, down I'm gonna be in this trade for three, months, and I, can't look at this trade for. Two. Weeks and on. Day, two on. Day. Two the, trade runs and you exit, for a one-hour game you feel really good about yourself, is that breaking a rule even, though you made money is, that breaking a rule, yeah. It's breaking a rule here's, the thing is don't break your rules and you'll make money you. Can be profitable, in trading as long as you're disciplined, as long as you're patient that, is the key to life as the key to trading properly, that is the key to success, and as many. As many, of you who might not want to hear that there is no alternative I can. Assure. You, every. Trader who's ever come, to me who is losing money and they have a trading plan, you. Know what I say I go okay how many times have you broken your rules and go Oh hundreds, I go, what, have you done about it and they go. I mean. Haven't. Done anything about it. So. I go okay fine go be a vegetarian, for two months call me later. Okay. If. They're if they like me they don't want to be a vegetarian I've had to painful to them. Here's. The deal guys I won't break my plan ever I won't do it so, I will never do this so. For me as the you likely, are aware I make outrageous bets, all the time at real-life training because I'm never gonna break my plan so, I still do painful, stuff, like. I got my chest waxed a few months ago and, it's all on YouTube like, the whole thing if, you check it out it's pretty terrible but I waxed my entire chest, just. Because I lost a bet not. Even because I broke my trading plan just, because I lost a bet because again I will not break my plan I will not break my rules it just won't happen, I would, rather, seriously. I would rather lose ten thousand dollars then do this right here any day, of the week.
Okay, So that's the truth guys I would rather pay. $10,000, to do that. You, guys get the point, much. Much much rather pay $10,000, and do that do not break your trading plan that's the point just don't let it happen don't. Break the rules if you break the rules inflict. Pain and then make it worse the next time don't give me something pansy, don't, don't give me something weak and soft like, I'll. Go work out as a gym you should go work you. Should go work out the gym anyway you, know I'll, go I'll go walk a mile around my house you should probably get out your house and walk anyway, you, know I'm saying don't give me something weak give me something you really don't like like. Potentially, I will clean, I will, deep clean my entire house with a toothbrush. On Saturday. And Sunday every. Month for a year, how. Terrible, does that sound oh my, gosh that might be my new pain right typical, deep. Clean the whole house every, Saturday and Sunday with a toothbrush, oh my gosh. Seriously. Guys do something you do not want to break your plan build. Discipline. If you're disciplined, you become profitable, ladies, and gentlemen any questions, about that. I hope. This is semi revolutionary. Because no, line. If. There's, a actually I could think of two or three people top, of my head the discipline trader and a few others who actually talked about this level of trading psychology. I almost said no one but I didn't but. Truly there's not very many people who talk about this, psychology. Behind this it is a mental, thing. Right. You guys all agree on that it's. Very very mental, all of, trading, is in your brain right trade. The chart not your heart so you got to invoke this discipline, you've got to make this happen you've got to create a plan and if you break your rules you have to inflict, pain, not. Like some weird pseudo, like sadomasochism. A but just like literally. Make. It, deplorable. Miserable. If you break your plan so that you don't do it and if you don't break your plan you become more disciplined if you become more disciplined what happens, Patricia or Tom, or Frank, or Jerry, or Richard. Or Courtney, or Nicky or Adam. Or Blake, or Tim, or Sam what happens if you become more disciplined. You. Become profitable, so. If you're trading because you just want to lose money and just, throw it away then. Ah see I'll send. You my address and, just mail me a check. Okay. It's. Much easier just to be disciplined, and follow. A set of rules I mean. Seriously think, about this, have. Any of you ever robbed, a bank and gone to federal prison, for 30 years probably. Not because, the downside, of robbing, a bank is jail, right, that's discipline, right. Am I am I correct on this is discipline, if you rob a bank bad things happen that's why we don't rob banks here. So. Life. Is literally created. It's built into this premise, if you murder somebody bad, things happen, if you steal, from the store bad, things happen, if you, break your trading plan bad things happen that's the way it should be in your brain, okay, I know it sounds weird and, just, totally off and left feel just. Got trust me on this it's gonna work. Do. It and, tell. Me all about the, results ladies. And gents been incredible. For classes. I know. It went by quick and it, really is only about four hours of content. The. Last four hours I have taught you exactly. What I was going to teach you how to trade the stock market, how to read the charts how to mitigate risk how to create a trading plan you, have everything. You, need in, order, to attack this in a safe. Profitable. Positional. Type. Of way you. Have a focused. Approach you now know exactly what's coming you can email me with any questions Jeremy. Real life trained calm I appreciate. Each and every one of you here for those who are here live I know it's a Friday night I have no idea how in the world you guys are taking a stock market class on a Friday. Night but. Seriously you, guys absolutely Rock if you are watching this on internet land on a Friday, night seriously, give yourself some kudos you're, working hard the, quote, by Grant Cardone is. Grind. While, they party. So, that you can live like. They dream, so. Right now tonight is st., Patrick's st., Patrick's Day and literally. Almost every one of my buddies is out just getting smashed, right now and they're just partying, you. Know what I'm not I'm, here with you guys and I'm gonna continue to be with you guys when I answer emails I'm gonna help you guys so.
As A reiteration okay. Study. Work hard focus. Do, all of this while everybody, else is partying, and you'll be able to live like they're dreaming about or, better, yet, do. What. You. Don't. Think possible, today. So. That you can do tomorrow, what no one else thinks, is possible ladies. And gentlemen, for being here and watching this video truly means the world to me you absolutely, Rock I'll, see you in the intermediate, classes, and until then remember love, life live life and trade it I'll see you later.
2018-09-15 06:47
