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LESSON07/28/2026 - Danny - Managing Overtrading and Quality Floor in Slow Market
_Mentoring Sessions_ / Mentor Session Recordings · Jul 30, 2026 · 1h 2m 56s · 361 segments (nova-3) · 🎙 Danny Camozzo
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0:25Okay. Good morning. Sorry. I'm a minute behind. How is everybody?
0:49No trade day. Bored. Yeah. Me too. There's not much going on. Small caps have been
0:59pretty dead the last really, like, last week. Well, longer than that.
1:10We'll talk about that a little bit today. I am kind of watching LGHL.
1:21I think signs are really clear that it's a small size selectivity type of day.
1:48Let's see. What is what is the market doing? Spy. I haven't looked at Spy today.
2:06Is that 06:30? Yes. Okay. Best day of the month. Nice job. DFNS
2:16and INLF. Nice work. Those were definitely not easy. You can see my profit and everything up
2:26here, profit and loss. I'm at I'm at 1.4 r ish on the day, which is a small
2:36day, but good. Good to be green. I made a little bit on egg. I made a little bit on DFNS. I made a tiny bit on INLF.
2:46I have one small loss on SNDK. I was was mostly focused on SNDK this
2:55morning. Huge sell off on the third red day, So I was looking for a bounce and started
3:05averaging in around here, which was just too early. And so I'm small red on it, really manageable amount, half hour.
3:14So that's okay. Wish I had been a little more patient. Just let it let it show clearer signs that
3:24the selling was slowing down or just let it extend more. Would have been nice to have had a lower average, not
3:34have to sweat so much, but such a big move just from the open down 10% to the bottom just from the
3:44open, not even in including yesterday. So that was just kind of an outlier, big red day on it.
3:57So losing half of an r on that is no problem. That's okay. I was managing size and positioning pretty well on it.
4:09DFNS, I took one trade. I saw it halt up here. Saw this resumption.
4:19I bought small size right here, twenty two eighty, basically. And I sold pretty much right at 24, which obviously
4:28looking back, I did not capitalize very well on it, but I was not expecting it to go to 30, 35,
4:3737. So I sold the top of the area that it was giving me, and I took my profit.
4:48You know, not not much wrong with taking profit. You can always swing for home runs, but, you know, what kind of market are we in
4:57right now? It's probably not a home run type market. Probably a take your profit when we have it type of market. So that's what I did. So small green there.
5:08Egg. Let's see. I got in really small here, just under 4 right before it halted up
5:18at $4.10. I sold I guess I sold that kind of at the bottom there
5:28on resumption, but I bought back in here at, 04:40. And I scaled out to, like, $5.40, $5.50, and then I sold the last piece at
5:37seven up here when it resumed. So that was decent. But, really, the last week has just been kind of one off moves that are
5:47going kinda straight up. And they've been really difficult. ZYBT,
5:57CPHI, OMH, all of these all of them basically have been ticker China
6:07tickers that they don't really give much opportunity for a quality entry.
6:17So, yesterday, I was red. Today, I'm green. About half of what I was red yesterday, which is fine. Yesterday was a manageable read day. Obviously, would
6:27have liked to have started the week better, but we're just not getting very much to work with. So when we're in times like
6:36this, just have to manage expectations, manage positions, basically just manage how you come into the market and your approach each day.
6:53We are, like, really truly in the dead of summer trading, it seems. This is pretty classic summer
7:02trading, just really slow. We are at the end of July, obviously, at least. So
7:12sometimes we do see things pick back up a little bit in August into September,
7:22but it's it's more often not not until about October that things start to pick up in a more meaningful way.
7:32So I'm just trying to keep that in mind and be careful.
7:50And I'm just trying to keep an eye on keep an eye on things in the meantime. Try not to fall asleep. There's not much not much going
8:00on. So happy to hang out with you guys. Always nice to see all the good questions come in.
8:10Seeing if, well, d n f DFNS just rejected pretty strong right there.
8:33Saw some pretty big losses from some other people today on, SNDK chasing for the bounce and,
8:43really the the best thing you can do when something is just dying hard, especially a large cap or a company that has actual
8:52value, just don't fight the trend. You never wanna be fighting the trend on something like that.
9:17Yeah. Large caps can be very bouncy. Well, I mean, on SNDK, so
9:30as far as finding the trend. So there's two good questions here. You can't always find the trend. And then
9:39what do you mean has actual value? So these small cap companies that we trade each day, there's a reason that they're $2, $5, whatever. They have a 5 or
9:49a $10,000,000 market cap. Right? They're not worth anything. They basically exist to pump up
9:59and then dilute and then pump up with some garbage PR and then dilute. They are 100% in survival mode just trying
10:09to raise money and stay alive as a company. They have no real value as a company, for for the most part. Like,
10:1890% of them, I would say, have no real value as a company. Every now and then, you'll see NVIDIA takes a stake in whatever
10:28or something like that that gives them some legitimacy. And every now and then, you'll see one of them evolve into a
10:38more legitimate established company with actual backing and inherent value with what they're doing.
10:48For the most part, again, 90% of these small cap companies, like, I can pull down
10:59right here and just kinda show these are the tickers that we had to work with today. China. China. China.
11:08China. China. Most of them, you'll see, like, even these US stocks that present
11:18that they're a US stock, their ownership is China or some other country or, like, the Cayman Islands. And it's literally because they're worthless, and
11:28they have all of these different dilution vehicles that they use. They have some random nonsense PR that looks good. And then the entire point of
11:38that is so that they can sell and keep themselves afloat. So, like, for example, here, they have
11:48three months of runway of cash as a company. Can you imagine? Three months of cash on hand.
11:57DFNS, five months of cash on hand. The reason that they're going up is so that they can sell. That being said, that doesn't mean that they can't go up further than you
12:07would expect, but really frequently, that whole move comes back down. So, that's what I mean. The company has no actual
12:16value. They're trying to, but a lot of them, the business model itself is
12:27nonsense PR, use dilution, and it just keeps them afloat. So then
12:36as far as finding the trend, so we're looking at SNDK right here. The five minute chart or even the fifteen
12:48is the way better way to play a large cap. The short time frames on a large cap, like one minute,
12:58they're way too fast and way too noisy to actually identify the clean trend. So, like, if we look at the five minute, what you would wanna be looking at
13:08on a large cap SNDK, NVIDIA, Tesla, whatever, is probably the five minute chart at the lowest time frame. And you can
13:18see so and and aside from that, we use the same technical indicators. We've got this teal line here is the the nine EMA. So this is the five minute
13:28nine EMA. We've got the purple line, which is VWAP. We've got the green line, which is the twenty minute twenty EMA, five minute twenty
13:37EMA. And so this is the trend. When we are below the technical indicators, the trend is down just like small caps,
13:47same same idea, until we finally extend with volume into kind of a volume bottom and you and then you get a bounce,
13:57right into the technical indicator. So we're still below. We're still weak. Kinda floats around. This is the area of indecision, basically. And then it
14:07comes back down. It bounces off the double bottom. And then we've got the 50 EMA here. So it's the same as far as identifying a
14:16trend, it's the same way that we identify a trend on a small cap, just different time frames. So you would zoom out a little bit towards five minutes, maybe fifteen.
14:27And you can see we're very clearly trending under the EMA's, which means that we're weak, we're selling, and there's no reason to be
14:37long really until there's some major extension. Like, this is really clear. We had a really big volume spike in a bottoming tail. That's a reversal
14:46indicator. And we do bounce in reverse a little bit. So the bottom there was, like, twelve thirty, bounced to
14:561,300. So
14:59that's a really solid bounce if you're paying attention. But if you look at the one minute so I'm giving this example here on on
15:09yesterday's bottom there, which was that was Friday. So come in here to
15:18yesterday. So if you're looking at it on the one minute, you see the nine EMA right here the whole way down and it's not quite as clear how weak it is. And
15:28then finally, we bottom out here, but again, it's still not quite that clear. There there's definitely increased volume in this area, but it
15:37doesn't it doesn't point it out quite so obviously as this bottoming tail here with the volume spike on this candle.
15:47So that whole area that we were just looking at is this one candle here. So look at that and then look
15:57at this. So this whole area is that one candle with the bottoming tail and the increased
16:06volume. So when you're trying to trade large caps, you just need to zoom out five minute, fifteen minute. They're gonna make
16:16the trend much more obvious. All of this said, it's not necessarily
16:26worth focusing on large caps when small caps are slow. The only reason that I was focused on SNDK today is
16:35because it's had three red days in a row now. The recent high around here where it started selling is 1,600. So
16:45it is down, today about 33% from the recent highs of where it
16:55started selling off. That's really, really extended downside for a large cap. So I was just looking for so when you see
17:04an extension like that on a large cap that has good value, like recent all time highs, 23, 2,400, we're down
17:14over a thousand, almost 50% from all time highs. Yeah. 55%. It makes sense to
17:24start looking for a balance. And that could even be in a longer term portfolio with really small
17:34size because the same same things that we're looking at here, we have a major technical indicator. This is the daily 200 EMA. We look at that
17:43on small caps as well. Usually, the 200 EMA is that point far off in the distance above price action on small caps.
17:54On large caps, it's frequently a major area of support that we're coming into. So, we basically have room
18:04down to about $9.95 on SNDK. But other than that so that
18:14considered, you know, we have another $100 downside before I see any any significant form of support. And
18:24this has already moved a $100 today, a $130 down. So just to point out, when you're trying to trade a large cap, especially
18:33one at this price range, you really have to assume that in a single candle, might see a
18:42$20 move. This is a $30 candle. And then from the highs here, $11.85, before it saw a green candle was
18:52$60 to the downside. So, again, all of that just to say mind your share size, mind your positioning if you do look to trade large caps.
19:02And, again, large caps are not worth trading every day. Some days when small caps are slow, it's just worth not trading anything. Some days
19:11when small caps are slow, it's because big moves are happening in the market overall, and that's where the other big money is focusing on.
19:22So every now and then on a day like this, it might make sense to look at large caps, but not every day. So that's my recap on my own
19:32action today so far. Right before we hopped on the session, you can see I took some trades on LGHL. I lost
19:42I lost, like, $70 total. So point zero nine r, basically basically flat on that.
19:52And then, other than that, there's nothing. I see wilds coming back up a little bit,
20:02but, like, the volume is so light. We're we're at less than 4,000,000 shares traded so far today. I have no trades on it. We're at
20:124,000,000 shares volume traded, $15,000,000 volume. I know that I do best on tickers that are trading about
20:21200,000 shares per minute on average, which we're not even close to on WLDS. So I could do two things. I could size way
20:31down, or I could just not trade it. And if I'm gonna size way down, it's because I don't trust it or feel like it's not enough quality, high enough
20:41quality. And so I I think that Ross is the same thinking as I am on this. If I'm gonna size down
20:51because there's a lack of volume or lack of quality, I probably just shouldn't trade it at all. So I haven't taken any trades on this.
21:00Probably won't unless volume can pick up quite a bit, then it can hold up. But, yeah, there's not
21:10much not much going on at all.
21:26So I am just sitting here listening to reggae trying to take it easy and not be overactive considering
21:36the the moves and the opportunity that we had today. You know, I'm green, so can't
21:46complain too much. Would I like to be more green? Obviously. But the market doesn't care about what I want.
21:57How do you control overtrading? That's a really good question and a really good question specifically on a day like today or market that we've been having recently. So
22:08everybody has their own issues. Right? For me, it's always been overtrading. I was never really majorly
22:18struggling with, like, averaging down bag holding for days. Like, all I've been in this position for a week. I sure hope it bounces. That was never really my issue.
22:28Overtrading has always been an issue for me. I think it's probably because I started with TD Ameritrade and and, obviously, zero
22:37commission. There was really no punishment for trading more and trading more. It's just zero commissions. So it helps develop
22:47that bad habit of, you know, there you can just get into a position that doesn't cost anything except for if you lose.
22:58It I think it's my opinion that whatever your bad habit is, you're gonna keep doing it until it hurts too much to keep doing it. So you
23:08can be aware of the habit, and there's a lot of steps to it. So, like, that end point, it hurts too much to keep doing it. That's kind of
23:18the end point. How do you get there is you know that's your biggest issue. The practice that
23:28we do to improve that is, like, with the FOMO Friday, Ted and Diane. I work with Ted each week. The first step
23:38that you can do towards improving it is the awareness that it's happening. How do you feel when you're overtrading? What are you thinking? You
23:47know, I see this little area right here on WLDS that surely could break and go to 60 or so,
23:57but I'm just looking at the overall quality of it and deciding not to not to try it. I think if I took this right here hoping that it goes
24:07higher, I would call that overtrading because, like, what are we looking at here? What's the opportunity? We pop to we pop from $4.40 to $4.50?
24:1710¢? What's the downside? Is halt down probably. So the quality on this is just below what I would take.
24:27So I know looking at this that if I take a position on something like this, it would probably count as overtrading in my book.
24:37I also know that if I take this position knowing that it's lower quality and it ends up being a loss, whether, you know, small cut or not,
24:47any amount of loss that I take on this is gonna upset me because I already know it's a low quality type of setup and and position that I would be taking. So
24:57I'd be like, man, you idiot. You knew it was bad, and you took it anyways, and you lost. And that is the way that
25:07you start the cycle towards immediately looking for relief, which is, you know, ugh, I just took a loss on this. Let me go to INLF. Let's see what
25:16that's doing. I think maybe we can pop to VWAP. Oh, well, okay. Yeah. I guess it makes sense that it just halted down because all it's doing is going lower. Okay. So I took a loss
25:26there too. I man, now I'm really upset. Now I now I have to make it back. Let's see what DFNS is doing. You know, you you see where I'm going?
25:37So the very best thing that you can do is have the awareness ahead of time. And, again, it just kinda comes back to, I've
25:47done this so many times. I know where it leads. I know how much it hurts, and I'm just not gonna do it. And
25:57I don't successfully do that every day. Yesterday, I wish that I had traded less, but the goal is
26:07just becoming a little bit better with it day by day over time. So, you know, there's gonna be good days and bad days. On good days, it's no problem at all. I
26:17just take trades and they generally make money. On the bad days, those are the opportunities for me to step back a little bit and really consider if it's worth
26:27taking a trade. Yeah. And MC right there nailed it. I almost always wish I traded less. Me too. I
26:36I think it would be, really easy for me to say that I would make more money if I traded less.
26:48Because even looking at today, today is not bad at all. Today is not a good good example because I I did well managing
26:58my trading today. I have this one loss for you know, I have two losses here for, like, $60.70 bucks each, which point zero nine r. That's
27:08point 09% of my account. That is that is literally nothing. So I did really well managing my trading on these two
27:17that didn't work, and I did pretty well managing my trading on SNDK that also didn't work. So that's okay. It's the
27:27days when you've got, like, 12 tickers traded and eight of them are solid losses and two of them are worth next to nothing wins, and
27:37then one or two of them are worth something winners. Those are the days that really, really take it out of you.
27:47So, like, almost almost without exception, I could say that I would
27:57do better if I traded less. And I I almost guarantee it's the same for all of you here too. I think just generally, it
28:07it would be pretty accurate to say that there are fewer setups that are worth your effort and time each
28:17day than than we take. So kinda long winded
28:27there on overtrading, but this is something that is basically my biggest issue as well.
28:37So I've I've had a lot of experience with that and working on it. And, one thing too is if your broker
28:46does have risk management rules like a max loss lockout, use it. I always used to be able to
28:56get away with not having one because the market was strong enough that if I started off solid red on the day, almost
29:06always, was able to get back to flatter green. We have not been in a strong enough market for that to be true in the
29:15last two years or so, I would say two to three years. So if you start
29:24going red, like if I go red on the day here, what do I have to work with to make it back? WLDS that we were just looking at
29:35breaks $4.40, goes 10¢, then halts down? I'm glad we were looking at this five minutes ago
29:45because, like, this is the best of what we have to work with today. This is literally the best thing that has moved recently. It's, you know, you you get in.
29:55So here's the break, 04:40 ish. You hit the buy button. You get 3¢ of slippage. You're long at, like, four forty four.
30:11$4.52. So great. Best case scenario here, if you're in at the trigger and out when you should be, you get 8 to 10¢ of profit.
30:21And then it goes from $4.60 to 4. And so if you don't do this perfectly, your upside is
30:3010¢, your downside is 60. So again, just I know that I know that not everybody
30:40is seeing the potential that this has to pop and drop like this because I I've been around long enough that I know that
30:49with such low volume and low quality in a day like this and how the market is that this is the potential much more than, you know, we break four fifty, we break
30:59four sixty five, we're going to highs. So I know that probably not everybody looking at that sees that this is really likely what could
31:09happen next, but just develop the awareness of what kind of market we're in, what kind of volume a ticker needs in order to hold up and
31:19be strong and continue going after it breaks. These are things that I look at.
31:40Yeah. Absolutely, Ken, Kenco. Do you always go into a trade with the possibility that can fail? For sure. Mark Douglas kinda
31:50talks about this where in his trading in the zone where, you know, I have a thesis. This is the breakout spot. If we break
32:00it, then, you know, we've got this pivot here, and then this is the next area. So if we break this four fifteen, the next logical area would be four thirty five or
32:09so, which that's what happened there, actually. But once I get into this position, the only thing that I can do at this point is manage my position, manage my
32:19stop, manage my profit target. My stop would have been probably around the nine EMA here because that's where it has
32:29showed that it was holding in this area. So before I get into a trade, I'm trying to size based on that. If I have to take a loss
32:40and I have to sell around here or so, or if it knifes down harder and faster and I have to sell and I get some slippage, I need to be taking
32:50size, first of all, that would make this not a huge loss. And then aside from that, it's just managing the position as I should be.
33:00But, yeah, I I you know, there's certain setups and patterns and stuff that I have more conviction on thinking that they're gonna work.
33:12But still going into any trade, you kinda have to you have to accept that it can fail. I don't use hard stops.
33:21I don't find hard stops reliable enough. Alright. So I know that I skipped over some of these questions as we were
33:31kinda rambling through there. So let me get to them. You guys being patient up here. You 've been playing with the idea of bigger share size to reduce
33:41your risk. With small share size, you find yourself taking chances on less than stellar setups. With larger share size, you find you're more selective. Is this a good strategy?
33:55I have really mixed feelings about that. I think probably more than anything with what you're saying here,
34:09you should you should try being more selective with your current size first. Because if you start taking trades
34:19with bigger size, even if you think that it's a better setup, then you just have more potential to take bigger losses, or manage the position
34:29wrong just because you're seeing bigger p and l than you're used to, either green or red. So, you know, you're in a bigger position than you're used to, and it starts
34:39moving and you sell immediately instead of letting the position work as it should just because you're up, you know, what you're used to being up, not
34:49because that's where you should be taking profit out. So I would definitely say work on being more selective with your current
34:59size first.
35:10Nick, this is your last week at Warrior. Sorry to see that. I know you're in all my classes.
35:21You're interested in my program. So yeah. You know, I I built my program and everything in here. This is I don't use Trader View anymore, anything like that. I
35:31this is my personal project that I'm working on. I won't spend warrior time talking about it. I I'll always share
35:41my stats and transparency and all of that, and this is how I do that now. But for anything on that, follow along on my my own social media. It's
35:51it's just my own project. Nothing to do with warrior, anything like that. So just follow along with me personally. I am still working
36:01on it, trying to figure out kinda what direction to take it. Oh, man. You've been here since
36:112020? Yeah. I feel like I remember you, being around. Any of us on
36:20socials, you can find, man, warrior trading social media. They have
36:30a page they have a page for social media handles.
36:51Maybe ask in the support room. They prefer us to share their actual website page with all of our official social
37:01media rather than just sending it. But, generally, Instagram. I post my p and l and everything
37:11every day on Instagram. I do some q and a's every now and then. How to better
37:21manage entries that don't work the instant that you're in? You feel like you've taken large losses related to indecision in those areas. Some seems like some trades
37:30work, some don't. So it's confusing. Awareness for sure. So there was one trade on DFNS yesterday
37:40that I was in that I was like, I know that this is about to go poorly for me, so I need to get out.
37:52Might have been in here. I think I was long. Yeah. I think I was long in here in this area looking for the break
38:01over this area here. So I was long in here, and I started seeing lower
38:10highs selling, being walked down, lower highs. And I was like, I talk about this frequently. I think probably every class I talk about noticing
38:20curls to the upside as well as the downside. You've gotta be really aware when something looks like it's curling to the downside, which means
38:30all of these topping tails, you can literally see the the EMA's here curling to the downside. When you see something like
38:40that, that's a good time to not be in. Because frequently, what will happen is they'll break this area of support, which was 12, the whole
38:49dollar, and they'll go a lot lower. So I cut this at $11.90, which was great because then it went a dollar lower.
39:00Yeah. That was where it was. So I cut it for a 50¢ loss rather than a dollar 50 loss. And it was because it wasn't going, and I saw it
39:10curling to the downside. So how to better manage entries that don't work the instant you're in. You should be taking share size that
39:21is manageable and reasonable for you so that if it doesn't start going in the next five seconds, you don't have to panic. I think it's
39:31really reasonable that you would be in a position for at least thirty to sixty seconds before, like, knowing for sure if it's not gonna work.
39:44So I would say, like, fifteen to thirty seconds at least is the good time frame to get an idea of is it going or am I maybe
39:54in the wrong spot? And then aside from that is taking share size that allows you to be comfortable cutting the loss when
40:03you need to rather than, you know, oh, god. I'm in with way too much size up here, and I I just
40:13can't I can't take the loss. So I'm gonna keep holding and hope that it pops back up. And then all of a sudden, you're down three times as much as you could have been if you'd just gotten out when you should
40:23have. So I think it's a matter of share size and and and then just managing the trade based on what it's showing you.
40:34In the small caps world, what do I think the percent breakdown is between profitable, breakeven, and losing traders? A guesstimate, but just wanna get a feel for it. Pro
40:44versus casual participant. Yeah. Profitable traders. And so there's
40:54there's some really distinct categories too because, like, the warrior community or other communities of trading education
41:04probably have a higher profitable rate than the small caps retail traders group as a whole. Probably a decent amount more profitable.
41:15I don't really know that I'd be able to give a percentage breakdown at all. But yeah. I mean, I would assume that
41:25the percentage of profitable traders is higher in warrior versus the, just overall retail small caps traders.
41:36This isn't something that that we track, Warrior tracks. It's not something really that can be tracked. We would have to send a,
41:46like, a query to literally every single member, and every single member would have to answer and and be truthful and accurate. So there's really no way to even get a
41:56measurement. And then as far as pro versus casual participant, that's a a whole another ballgame.
42:06If you mean casual in terms of, like, replacing income, meaning, like, I don't know, I would I would call that, like, 60 to
42:15$150,000 a year, which is, like, 300 to $700 a day on average,
42:26that's probably a pretty reasonable portion of these profitable traders are in that bucket. And then
42:37what I would say as a pro trader is, like, anything anything $2.50 a year, 200 a plus, and maybe even
42:47a 150. Anything anything more than you would reasonably expect a full time job to bring in, I would call that
42:56pro. So I guess it depends on where you live and all that, but I would probably call that, like, over a 150. That is a a
43:06smaller bucket for sure. And within that bucket, there are many other buckets. So you've got the bucket of traders that are doing, like, a 150 to 300 or, like,
43:15200 to 500, And then there's a level, like, 500 to 1,000,000 a year. And then there's, like, 1 to 2.5 a year.
43:25And there then there's traders making 8 figures a year, more than 10,000,000 a year. They are out there. There's big individual retail traders that do
43:35that. So and and there's no way to know. A lot of those big traders, you'll never hear of them. You'll never see them. A lot
43:45of them, most of them keep to themselves for good reason. So those estimates are are really hard.
43:58No, Scott. I keep r as 1% of my account value every day, but I do adjust it based on conditions by withdrawing from
44:08my account. So if I've had a good stretch and I noticed that the market is slowing down a bit, I'll withdraw from my account, which decreases the value
44:18of r, which lowers my max loss limit, makes it tighter, and
44:28just keeps me safer. So I have more money in my own personal accounts. You know, this money is not at risk of the market anymore because I withdrew it, and my max loss is
44:37tighter. So, from from May April, May towards the end of June,
44:48I grew my account from, like, fifth forty, fifty up to about a 160,000. And then I withdrew
44:5840 or 50
45:09all of that is in my own personal accounts now, which is not exposed to small cap trading, which is good. And my value of 1 r now
45:19is smaller. So that also protects me because my max loss is smaller. And I did that because I had had a run and and wanted to take
45:29profit out, but also because I noticed that the market was shifting a bit less opportunity, less volume coming into summer trading, all of that. So
45:46no. I don't set my r every day. It's very easy. If you are in if you trade with DOS, I think DOS is the only
45:56platform that allows you to do it. We will doesn't. Schwab doesn't. Most of them don't. But you can set it up. You go
46:05literally set up and then trading settings. And then about halfway down the page, PL display risk scale.
46:16This is the one I use, n percent of initial equity, not this one. If I used this one, it would just be a hard dollar amount. Like,
46:26$500 is one r. I wanna set percent of equity to one. So every day, I I never have to change this or touch it or think about it. One r
46:35equals one percent of my account every day. So it it adjusts automatically for me.
46:46Yeah. This bottom middle chart is on five seconds. It's usually on 15, and I don't
46:55pay that much attention to it. But when we're in a in a wedge on something or, like, SNDK, for example,
47:06sometimes it will be, like, here on the fifteen second chart. This volume top spike right here is really
47:15obvious. We have double the volume in here versus any other candle, any other recent candle along with the topping tail. And that was right in here. It's obvious
47:25on the one minute too, but sometimes it gives a good signal like that that we're coming up to a reversal. My main chart always
47:35is this one. Obviously, my biggest one front and center. But this one down here as well as the five minute are basically my confirmation.
47:52Oh, man. Ross and Jess got got on INLF. Where
48:02did this go here? Okay. Any connection between slow premarket regular trading hours versus large larger moves after hours seems less
48:12crowded somehow. I have noticed some connection between slow premarket and larger moves after hours. It
48:22seems less crowded. That is for one. That is one thing that I think is true. Obviously, there's also no halts. So I think sometimes short sellers are more
48:31eager to get out when they can rather than, like, a few weeks ago on Friday or something. JLHL went from $12 to $20 a share
48:41in about one minute. So I think sometimes in after hours, if things have been slow and something starts popping up or if a stock
48:51has been choppy all day but hovering in a range and starts to show some some signs of going higher, I think that short sellers are more eager to get
49:01out when they can on those, and it's thinner. There's less volume. So when they are getting out, sometimes we see those bigger moves happen, and there's no
49:11halts. So those bigger moves are allowed to happen. So, yeah, sometimes after hours can be really, really nice. After hours this
49:21year actually has been, pretty good for me. So, you know, by weekday, let's look at this year.
49:32Market open this year has been absolute dog water. Let's see.
49:44Should update for the year in a moment. There we go. So, yeah, market open this
49:54year. Yeah. It's it's like, I just should never trade before 10AM, at least this year. But, yeah,
50:04this is so you can see this makes a lot of sense. I make the most of my money for the fur first, like, two hours from from that 10AM period up until about
50:1312PM. Then we have lunch. It's a little bit slower, but I'm still profitable. Slows down into the end of the day. And then all of a sudden, there's this whole period right here again where
50:23I have nice profit. And so this is this year. It's just from
50:34it's just from those after hours moves. JLHL right at the top of that bucket, like I was talking about a second ago.
50:44I don't even remember most of those, but yeah. So,
50:54yeah, sometimes after hours, there can be nice moves. On large caps, am I also looking for 200,000 volume on the
51:04one minute or some other level? No. I'm not. I definitely am looking for, like, volume to pick up into a reversal
51:13area. But, I guess SNDK like, SNDK is an $1,100 stock. If it was doing
51:23200,000 shares per minute, the dollar volume traded on it would just be silly. It's already at $15,400,000,000 volume traded
51:32today, and it's averaging probably, like, probably, like, 75,000 shares a minute so far today.
51:43So I'm not necessarily looking at volume per minute 200,000 on large caps like I am with small caps. That's about the floor that I
51:53need on small caps. But, large caps, I'm more so just looking at relative volume. Like, this is a spike. This is a spike. This is a spike.
52:11And then I'll get through SG's question here, and that'll be probably the last one I'll be able to get to.
52:23Alright. So, a mirror, it happens to you a lot where, for example, you're up ten or twenty cents profit. You don't close the trade, and it turns into a loss. Sometimes the price hesitates
52:33for the break, and then you're red for a second. You close the trade, and then it immediately starts going up. Yeah. It would so why are
52:43why are you not taking 10 or 20¢ profit? That's my first question. Because on a lot of these small cap moves, that's all we're getting lately.
52:53And then on the sometimes that that it's hesitating to break and you go red for a second, you close the trade, then it immediately
53:03starts going up. That sounds maybe like a sizing problem to me. Like, you have too much size and you kinda panic as soon as it goes red on you.
53:13And and I would say that because that has that happens to me too when I'm taking too much size. So I think,
53:25first of all, is looking at why you're not taking that profit. Like, especially on WLDS is a really good example of expectations. Like, if
53:35I'm in here getting in for the break at 04:40, I would only be expecting tenor to, like, best absolute best case scenario
53:4520¢ out of this because the topping tails and high volume rejection are right here. So this is where it makes sense to take profit, especially on a slow
53:54day, slow market. It makes way more sense to think that this is where I can maybe get profit out rather than keep holding and thinking that it might go
54:04more. You can sell 75% and hold 25% for hoping that it goes more and then stop out the rest break even or
54:14hopefully for profit still. But a lot of these moves, and I think John talks about this too, is take your
54:24profit when you have it. You can always hold, like, 25% to think that it might keep going. Hold 25% and,
54:34and then set your mental stop to 5¢ profit, 10¢ profit, or breakeven.
54:44Yeah. Maybe hoping for a home run. Yeah. I mean, I think it comes down to realistic expectations.
54:55And just like I said, you can hold 25% and and hope for the squeeze with that. But
55:05just with more and more years and experience in the market, by far, the more I realized that the base hits are what actually
55:15moves your profit p and l needle. There are so few days and moves that are
55:25home run worthy. So, like, this is my year so far. This is the cumulative. This is the daily. I've had one day, one outlier day this year.
55:37This is a really good example of there's been one day this year that has been worth going for home runs. Other than
55:46that, it's just base hits. Just base hits and trying to keep run days manageable.
55:57And I think that that maybe comes with experience or just realization that that is where the money is made. If you're hoping for home runs and home run
56:06trades, that's just not how traders are profitable, I would say. It's not realistic. You know, think about how many six figure
56:16days Ross has had this year. I don't know if he's had any this year, but he's had a whole ton of ten, twenty, 30 thousand days.
56:27I think he's up over 1,000,000 at least this year. So, you know, making over $1,000,000, and none of them are outlier green
56:37days. The money is made in the base hits. I know we like to hope for more
56:47in every single trade I'm in. Literally, every single trade I'm in. I'm like, squeeze them, get them, go. And obviously,
56:5690% of them don't do that.
57:09So I don't know. Maybe if some of it is just maturity with the career and that understanding. But I think two
57:19huge, huge helpful takeaways is trade less, take the basics. Thanks, Scott.
57:30Nice. And then we got our last ones down here. When I'm scaling out, do I take profit at a specific resistance level or just at some random
57:39price after a after a spike? So, again, using the wilds example, if I was scaling out, I would be scaling out
57:49as we so we had topping tails here, which I would imagine we would have seen volume slowing down on the tape. We would have seen a lot of green
57:59starting to move towards some red or at least white. So we would be seeing the buying slowing down or stopping in this area, especially with the topping
58:08tail in here. That's my signal to take profit. So that's generally what I'm looking for. So I have before I get into the
58:18trade, this is the breakout. This I already know this is the area that probably I should be taking profit, at least some. So before I get into the trade, I
58:28already know where I wanna be taking some off if the buying slows down. If the buying had just continued strong here, I would've I would if I was in this trade, I would
58:38keep holding until it slows down. If it had break broken this level here, it probably would have halted up, and I would have
58:48tried to hold as much as I could. But I'm generally scaling my profit out into levels like this that make sense to
58:58to take profit or in combination of seeing a level like this and seeing the slowdown. That's usually what I'm
59:08looking for. Nice. Nice. You guys are sleuths. You did find it.
59:20Yeah, Matt. So we were just talking about the after hours trading, and that'll be the last question I have time for since we're past time. But I appreciate all you guys sticking around
59:30as always. Everyone it's such a good audience. Good questions. Good participation. It's great. But, yeah, we were just talking about that,
59:40looking at my reporting for the year, days, times. So this is this year. We we see this clear, like, second
59:50wind worth of profit right at the market close right here at 4PM. Just from, and your question was, would
1:00:00it have to be a super hot day or hot market in general? No. Sometimes the day has been
1:00:10slow, but something has been consolidating and and holding. Sometimes we see a stock just got patent news or FDA approval
1:00:19or just some short was oversized and needed to stop out, we see a squeeze. And, generally, they're not gonna wanna hold overnight if they're
1:00:29in a bad position, and it's and it continues putting pressure on them because, you know, we think about some of these moves, like, went from, what was it, like, or
1:00:38$10 to a $100 a share in some premarket squeeze. Like, that's how you get blown up and knocked out of this as a career
1:00:49if you're a short trader. So, it doesn't necessarily have to be a hot day or anything like that. Sometimes we just start to see things
1:00:59moving after hours, whether sometimes it's 10 sometimes it's right at the close, sometimes it's thirty minutes after, an hour after. We've had
1:01:09a bunch this year that started way later, kinda randomly, like, two, 3PM my time, 5PM market time. But,
1:01:19no. It doesn't always have to have been on a hot day. And then also, if you look in here, this is my expected value per trade. So this is trade distribution on
1:01:29the left. This is profit on the right, and then this is profit per trade. So, like, the these after hour
1:01:39areas here are literally where I make the most money per trade. Because we've had some big after hours squeezes this year. 111
1:01:49per trade, $68.56 compared to after the market opens, 23, $19.05. So, again, kind of coming
1:01:59back to I should just be trading less. There's no reason for me to be trading this much around this time because they're generally not
1:02:09worth that much. Each each of these trades is not worth that much. The this hour in here, this year is worth five times more
1:02:18per trade. So always something to think about. But I'll I'll leave you guys with that thought. Trade less. Be specific. Be careful.
1:02:28Be selective. Just like that example on WLDS, really think about, you know, is the quality on this idea
1:02:38there, or am I overtrading? If I take this trade and take a loss, what's gonna happen after that? You have to think about that. So I'll leave you
1:02:48guys there. I appreciate everybody joining, and I'll see you all the rest of the week.