018-ict-tw-spaces-20230318-When-Being-Right-Is-No-Longer-Enough...
Last modified by Drunk Monkey on 2023-03-23 04:43
Outline
00:39 - When is being right no longer enough? -.
03:23 - Being wrong is not necessarily bad -.
10:51 - What separates the trader that thinks like that from someone that is consistently profitable.
16:58 - Desensitizing yourself to the outcome -.
23:38 - The pursuit of being right is a derivative of doing the right things.
29:33 - What do I do when I feel like I’m wrong?
35:05 - Take half of the position off.
40:48 - Holding on to a losing trade that you will not identify as.
44:29 - You have to accept whatever the results are because you have done enough research -.
49:58 - When you feel it, replace it with a positive habit.
56:11 - If you can listen to me, even if you don’t like me, I’m a therapy.
01:03:05 - Don’t take part in trading animal patterns.
01:08:13 - When you start feeling like you’re listening to the wrong voice in your conscience.
01:14:22 - When being right isn’t enough -.
01:19:42 - Your job as a trader is not to predict price, it’s to react to price.
01:26:02 - Your job is not to predict the price, but to react to price.
01:28:35 - You have to know when your conscious is talking to you and if you feel unsettled.
01:33:55 - Tingling down your arm, numbness in your mouth.
01:40:30 - Don’t invite the negative stuff.
01:46:03 - You have to know what you’re doing -.
01:51:52 - What makes you see a trade or a trade isn’t good for you? What are you looking for?
01:57:47 - There is a fair value gap that is always there -.
02:03:25 - You don’t need to build a pyramid.
Transcript
| 1 | 00:00:39,720 --> 00:00:55,830 | ICT: Good evening, folks. Happy St. Patrick's Day. Hopefully you've remained sober today. You suck in trouble yet. I've never been a drinker. I've never |
| 2 | 00:00:55,830 --> 00:01:07,890 | drank alcohol. But locally here, everybody's going nuts with it. They're dressed in green. And just like leprechauns, and wearing kilts and such, it's madness. |
| 3 | 00:01:07,890 --> 00:01:16,140 | But I hope you're all doing well. I'm doing well today. The topic of this one here tonight, |
| 4 | 00:01:18,240 --> 00:01:19,050 | when being right, |
| 5 | 00:01:20,580 --> 00:01:32,190 | is no longer enough? Where are we going on this one? Where is this ride taken us? Well, one of the things that I receive a lot from students all around the |
| 6 | 00:01:32,190 --> 00:01:52,110 | world and comes up quite frequently is how to know when to take that leap of faith to start trading with live funds or a funded account. And while I don't |
| 7 | 00:01:52,110 --> 00:02:07,530 | have a definitive, this is how you know. It's more closely to the title of this torch space. When when you're able to read price action, and you can see it and |
| 8 | 00:02:07,920 --> 00:02:20,130 | anticipate it and know what's likely to occur next. And it happens most times, and you're doing it consistently. You're not impulsively going into the charts |
| 9 | 00:02:20,130 --> 00:02:42,180 | and trying to pick the next fluctuation just because you're bored. It's when you're no longer influenced about pursuing being right. But that line that |
| 10 | 00:02:42,180 --> 00:02:56,430 | divides that where you no longer are satisfied with being right. So when you're no longer chasing that, I need to be right, I need to be right, it's just |
| 11 | 00:02:56,430 --> 00:03:12,360 | happening by default. That is my opinion, the clearest indication that you're probably prepared, at least the earliest stages of it. As soon as you start |
| 12 | 00:03:12,360 --> 00:03:22,290 | trading with funds, or even a funded account, I'm sure you're gonna have that magical experience where suddenly it really matters now. It matters if you're |
| 13 | 00:03:22,320 --> 00:03:36,930 | right. And then you start the whole process all over again. desensitizing yourself to the pursuit of being right now, right is alright, I guess, wrong is |
| 14 | 00:03:36,930 --> 00:03:52,860 | not necessarily bad. Meaning that you can get into a trade you can get into an investment idea set up everything look like it's lining up for you. As soon as |
| 15 | 00:03:52,860 --> 00:04:06,660 | you enter the trade, something just doesn't feel right. You get a lot of time. And then finally, you see enough to know that what you're looking at is not a |
| 16 | 00:04:06,660 --> 00:04:16,950 | viable setup anymore. And you do what is appropriate. You abort the trade. You turn it off, close it, it's done. Whatever loss whatever result, you accept |
| 17 | 00:04:16,950 --> 00:04:32,280 | that. That's being wrong. But that's not being wrong. In a bad way. It's being right about being wrong. And many of you like me and everyone else has come up |
| 18 | 00:04:32,280 --> 00:04:41,550 | in this industry. In the beginning, when you're trying to do your analysis, you want your analysis to be right. Because you think that right is always |
| 19 | 00:04:41,550 --> 00:04:53,340 | profitable. Now. Think about how many times you were right about the direction but got shaken out. Stopped out. Write about the trade idea but didn't push the |
| 20 | 00:04:53,340 --> 00:05:07,440 | button so you can be right and be wrong So it's a matter of perspective, it's not a pursuit for you or me or anyone else that's in this industry trying to |
| 21 | 00:05:08,310 --> 00:05:23,640 | tell the future with these candlesticks. It's not our endeavor to be right, our endeavor is to be consistent, doing the same things that's been measured, |
| 22 | 00:05:24,840 --> 00:05:37,350 | studied. And as shown to provide a probability that usually ends up in what the past has shown. But that's not indicative of the future. That's the, that's that |
| 23 | 00:05:37,350 --> 00:05:51,060 | gray area. And you have to embrace. Not being right all the time, and being right enough. But there's a time when you get consistent with your outlook on |
| 24 | 00:05:51,060 --> 00:06:08,370 | the marketplace, your timing, your selection, bias, all those things that come into alignment. And when you no longer have any real concern, not that you are |
| 25 | 00:06:08,370 --> 00:06:21,270 | numb to it, because that's a totally different thing. But you're indifferent to it. Obviously, everyone wants to see the outcome, be favorable for them. But |
| 26 | 00:06:21,390 --> 00:06:31,080 | there's this state of mind that you're going to reach, and you really won't know what this feels like until you finally get there. And I'll talk about how you |
| 27 | 00:06:31,080 --> 00:06:43,260 | get there a few minutes. But for now, the way I identify it, is when you have a trade idea that you've engaged, you're in, you're in a trade now, the markets |
| 28 | 00:06:43,260 --> 00:06:58,800 | moving around, and you are absolutely disconnected in terms of emotion, or needing it to be right. And equally, so you're not worried. You're not |
| 29 | 00:06:58,800 --> 00:07:09,720 | concerned, if you get stopped out. The second one I want to talk about first. The reason why you wouldn't be concerned about being stalked out is because you |
| 30 | 00:07:09,720 --> 00:07:20,550 | know, if you've been doing the back testing, studying, watching Real Time, price action with me, you can see these things are predictable. They're based on time |
| 31 | 00:07:20,550 --> 00:07:32,730 | delivery. And these structures that come into the marketplace that present our opportunities. And it may not be an opportunity that you have identified yet you |
| 32 | 00:07:32,730 --> 00:07:43,350 | haven't found your model, but it's okay, you'll find it, it'll come to you. But you don't worry about that outcome, being unfavorable, because you know, that |
| 33 | 00:07:43,350 --> 00:07:53,430 | one transaction, that one idea that you're placing a laboratory experiment around, which is a speculation that you're looking for a displacement in price |
| 34 | 00:07:53,430 --> 00:08:04,500 | from where it is right now, and where you believe it's going to go. And limiting how far it can move against you. So that stockpile, if it happens, you're not |
| 35 | 00:08:04,500 --> 00:08:18,450 | worrying about it. In fact, you're completely indifferent to it. Meaning, if it does stop out, no big deal. If it runs to your target, no big deal. It's just |
| 36 | 00:08:18,450 --> 00:08:33,510 | one transaction. It's one thing that you're doing right now, that absolutely has no power over removing you from your entire career. Let's flip the script now. |
| 37 | 00:08:36,720 --> 00:08:55,500 | As much as we are not concerned about losing, having a bad result being stopped out. We're not worrying about being right. We're not worrying about going to our |
| 38 | 00:08:55,500 --> 00:09:05,280 | profit target. We're not worrying about doing a full pole, full pause. Whatever size position, you build up. You take all of it off at your target and that's |
| 39 | 00:09:05,280 --> 00:09:15,030 | it. It's all or nothing. And while you're learning, it's important not to have that mindset, no matter who tells you otherwise. It's important for you to |
| 40 | 00:09:15,030 --> 00:09:25,230 | reward yourself incrementally over time, you'll know when the trades are really in your favor to do full polls where you don't take any partials you just manage |
| 41 | 00:09:25,320 --> 00:09:38,940 | the trade with a stop loss. But that takes time. It also takes time getting past the point of needing to be right. Because right doesn't equate to being |
| 42 | 00:09:38,940 --> 00:09:49,920 | profitable. It sounds like it's an it's an impossibility because you know if you buy and it goes up you should have made money right? But you know, that doesn't |
| 43 | 00:09:49,920 --> 00:10:02,850 | always work like that. You get shaken out of it scared or stop loss hit. But you're right. Remember, it went where you thought it was gonna go? And when |
| 44 | 00:10:02,850 --> 00:10:10,860 | you're no longer looking at those moves where you were correct in where you thought the market was gonna go, you had to draw on liquidity correct and bias |
| 45 | 00:10:10,860 --> 00:10:22,920 | was correct. You knew where I was going to react to. But something didn't line up perfectly, whether you were just a little late, getting in or a little too |
| 46 | 00:10:22,920 --> 00:10:35,400 | early and getting stopped out, and then too afraid to get back in. Whatever the factors are, when you are no longer worried about or concerned about being right |
| 47 | 00:10:35,610 --> 00:10:52,470 | about that trade. You have now the mindset that's it's needed, really to do live trading with live funds, whether it be funded or your real money. But no one's |
| 48 | 00:10:52,470 --> 00:11:05,790 | going to be able to and I can't do this for you. The no one is going to be able to tell you the proper timing for you to take that risk on. And it is risk. But |
| 49 | 00:11:05,790 --> 00:11:16,530 | you need to have that desensitized state of mind where you're not holding yourself to a scorecard of how many times I can make right? How many times can I |
| 50 | 00:11:16,530 --> 00:11:22,290 | avoid being wrong. And many of you, and I went through this too. |
| 51 | 00:11:24,120 --> 00:11:39,420 | You're keeping score on your emotional commitment to a trade? I think about that you're measuring your emotional commitment to every trade you're putting on |
| 52 | 00:11:39,420 --> 00:11:50,580 | right now when you're new. What separates the trader that thinks like that from someone that's consistently profitable. They're not holding their entire career |
| 53 | 00:11:51,180 --> 00:12:02,640 | up by the results of that one transaction. They're not leveraging so much, that even if it doesn't pan out, it is insignificant in the grand scheme of things. |
| 54 | 00:12:03,480 --> 00:12:19,470 | That one thing that one transaction, that one idea that one decision didn't materialize in a manner that was favorable for you. But you're not worried about |
| 55 | 00:12:19,470 --> 00:12:38,010 | being right. That state of mind is what I'm getting at with this particular podcast or Twitter space. When being right is no longer enough. See right now in |
| 56 | 00:12:38,010 --> 00:12:47,370 | the beginning. Everybody wants to be right. That's your scorecard. How many times can you be writing public? How many times can you be writing your private |
| 57 | 00:12:48,660 --> 00:13:02,880 | demonstrating? Or tape reading. And you're building this idea if you're doing it like this, you're building this idea of reporting to yourself as a scorecard or |
| 58 | 00:13:02,880 --> 00:13:15,000 | a report card, on the basis of how many times you're right. When you make decisions and the average everyday life, the things that you want to see happen |
| 59 | 00:13:15,000 --> 00:13:27,450 | for you. Sometimes doesn't pan out like that. Something happens traffic keeps you from getting done into work on time, it wasn't your fault. You made a |
| 60 | 00:13:27,450 --> 00:13:39,330 | decision though, to leave when you did. But you didn't know that traffic jam was gonna tie you up. And they may have some kind of repercussion, that work. You |
| 61 | 00:13:39,330 --> 00:13:49,920 | are heading to work, you had good intentions, you were right about doing that. But you didn't get there on time. So you missed the mark. That's no different |
| 62 | 00:13:49,950 --> 00:13:59,370 | trading. You're going to get up you're going to start your day, open up charts up, you're gonna have a game plan, you're gonna wait for the market to do |
| 63 | 00:13:59,370 --> 00:14:13,470 | specific things, the lineup a setup for you. And you're gonna push a button. And once that button is pushed, and you're in there, all control has been removed |
| 64 | 00:14:13,470 --> 00:14:28,140 | from you. The only thing you can control is the risk and how much time you stay in that trade. Everything else is out of your control. And it's interesting as a |
| 65 | 00:14:28,140 --> 00:14:41,220 | psychological experiment, that all of you have the opportunity to measure yourself and when you learn how to do what I'm teaching it at some point becomes |
| 66 | 00:14:41,250 --> 00:14:42,480 | easy to do it in demo. |
| 67 | 00:14:47,640 --> 00:15:02,730 | You get confident that you can do it consistently. Some time in the future for you. You'll decide when being right is no longer enough. You'll want to trade, |
| 68 | 00:15:03,900 --> 00:15:18,090 | you'll want to do a funded account, or you'll want to speculate with your own life funds. And when you push the button, then you don't have that blank, void |
| 69 | 00:15:18,120 --> 00:15:33,210 | of, if I'm wrong, I don't lose anything. Now you have, I gotta be right. Because if I'm not right, I lose money. And now where's your mind focusing, you're |
| 70 | 00:15:33,210 --> 00:15:46,650 | worrying about the risk too much. There's a great deal of acceptance that's required for us to do this with real money. And that risk is, unfortunately, |
| 71 | 00:15:47,340 --> 00:15:59,250 | something you need to embrace. You can't shy away from it. Because if you are shy to risk, you can't do this in my funds. And a lot of people discover that |
| 72 | 00:15:59,250 --> 00:16:13,500 | they can't do it. Without going through some kind of growing pains. And some of that is very long, and arduous. It's just daunting to get through for some of |
| 73 | 00:16:13,500 --> 00:16:27,390 | you. But you have to be prepared for that being the case for you. Because you're wrestling with wanting to be right, again, and not have that feeling of if I'm |
| 74 | 00:16:27,390 --> 00:16:43,530 | wrong, it doesn't hurt. That's the reason why we teach to be completely bored. You shouldn't be excited about it. If it goes to your target, okay. I mean, are |
| 75 | 00:16:43,530 --> 00:16:55,470 | you going to work every day? They can man, look at this. I got here again on time, and I get to spend all these hours again, for the man. I hope he |
| 76 | 00:16:55,470 --> 00:17:08,700 | appreciates me. No, of course not. It's just something that you do. It's a routine. But you need to make your trading just like that. And the only way you |
| 77 | 00:17:08,700 --> 00:17:20,250 | can get it like that is by completely desensitizing yourself to the outcome. Making it all about am I following the rule? Am I following the protocol? Am I |
| 78 | 00:17:20,310 --> 00:17:36,840 | managing risk, impeccably? Are you doing everything to preserve capital? First and foremost, is if you're doing that, and your model was rooted in sound logic |
| 79 | 00:17:36,840 --> 00:17:50,400 | and things that I've been teaching and proving that they exist in price action live, you have the best opportunity for you to submit to that process. And over |
| 80 | 00:17:50,400 --> 00:17:59,040 | time, this is why it's important if you ever make the step or leap of faith in the trading with the fund that account or life funds in your |
| 81 | 00:18:00,780 --> 00:18:01,500 | brokerage account. |
| 82 | 00:18:03,810 --> 00:18:16,920 | You start with a very, very insignificant amount of money. And you go through that whole process again, of desensitizing yourself. Don't make it about I gotta |
| 83 | 00:18:16,920 --> 00:18:29,550 | make a five figure withdrawal. I gotta make $1,000 withdrawal. If you start putting time limits on your goals. In something like this industry, it makes you |
| 84 | 00:18:29,550 --> 00:18:46,470 | impulsive. It ushers in fear of missing out. And plain old fashioned fear. You foster performance anxiety, and you don't realize it's going on. But you're |
| 85 | 00:18:46,470 --> 00:19:01,350 | doing it to yourself. So the reason why I teach the way I do is it gives you the best probability of finding yourself in that sweet spot mentally where you don't |
| 86 | 00:19:01,350 --> 00:19:11,970 | care what the outcome is going to be. You know, what you're doing is rule based, this is what time the market should be doing this. This is where the market |
| 87 | 00:19:11,970 --> 00:19:18,720 | should be gravitating towards in this is the drawn liquidity. I'm submitting to that idea when I'm looking at the charts. And I'm waiting for something to be a |
| 88 | 00:19:18,720 --> 00:19:27,510 | catalyst that I've been studying for months and did back testing on. I see it makes perfect sense to me and I know where to place my stop. I know when I would |
| 89 | 00:19:27,510 --> 00:19:39,000 | move my stop. I know when I'm going to take my first and second third if it's possible partial. I'm also looking for the things that would negate the idea |
| 90 | 00:19:39,900 --> 00:19:53,190 | what kills the trade idea. These are all things that you have to have understood just because just because you have been consistent here and there with demo. |
| 91 | 00:19:55,230 --> 00:20:04,830 | Don't think that you're prepared to trade with a funded account or lie funds. You're not You have to be completely bored of the outcome. It's the same thing, |
| 92 | 00:20:05,070 --> 00:20:14,760 | you're doing the same thing over and over again, there's going to be a state of impatience, because you'll get to this consistency stage where you can do demos. |
| 93 | 00:20:15,510 --> 00:20:23,880 | And you're able to find it, and do well with it. Very little drawdown, it goes to your targets, and you're done. And you start forming these disciplined ideas |
| 94 | 00:20:23,880 --> 00:20:30,600 | about how many times you're gonna trade per day or session, and then you're gonna stop, no matter how good you feel like you're on the side of the |
| 95 | 00:20:30,600 --> 00:20:43,950 | marketplace. No matter how dialed in, you feel it's time to close. And get up from the table, take your chips cash in, and come back tomorrow. But that's very |
| 96 | 00:20:43,950 --> 00:21:02,970 | hard. Because being right is addictive. Being right, is what everybody wants to experience all the time. And they want to feel that consistently, too soon. It's |
| 97 | 00:21:04,110 --> 00:21:19,020 | something you can't obtain, quickly, you have to go through a process of submitting to back testing, studying old moves, tape reading, then demo trading. |
| 98 | 00:21:23,490 --> 00:21:35,640 | And all of that requires a great deal of patience that most of you don't have. I got patients ICT. I was reading some of the comments before I started this |
| 99 | 00:21:36,270 --> 00:21:48,150 | Twitter space. And, Tom, were saying, I just started trading, using what I learned from your 2020 mentorship, just finished the last videos. And I'm going |
| 100 | 00:21:48,150 --> 00:22:03,390 | from I found that account next week. You're not ready. I don't want to take away your passion or your drive. But I do want to be a voice of reason. You are not |
| 101 | 00:22:03,720 --> 00:22:18,540 | ready. You're not. So when I talk to you, and I tried to give you these discussions, it's meant for you to take them under advisement. So that way, he |
| 102 | 00:22:18,540 --> 00:22:27,180 | gives you the proper mindset. Because without the proper mindset, it doesn't matter what my tools are suggesting in the charts, you'll do something |
| 103 | 00:22:27,600 --> 00:22:42,150 | incorrectly with it. And you may not have the discipline or the maturity to identify as your personal weakness and not that these concepts are failing in |
| 104 | 00:22:42,150 --> 00:22:52,380 | the beginning. It's going to be easy for you when you don't do something right. Oh, it's this happened to me. It's that that happened to me. It's because he |
| 105 | 00:22:52,380 --> 00:23:04,080 | didn't give me a clear idea how to use this. Well, if that's true, he should not have been taking any trades with it. You have to be completely 100% responsible. |
| 106 | 00:23:05,100 --> 00:23:15,750 | That's what a trader that's consistently profitable is they own everything they do, the bad and the good. And they're not influenced by anything outside of |
| 107 | 00:23:15,750 --> 00:23:33,450 | them. But to be an influencer online, another trader, somebody out there that seems to be doing better than you. And you'll develop these little mental |
| 108 | 00:23:33,450 --> 00:23:44,910 | challenges that you can be right more than someone else. And in your trading becomes a pursuit of again, what being right. When being right is not what we're |
| 109 | 00:23:44,910 --> 00:23:58,260 | trying to do. It's a derivative of doing the right things. But our reasoning are the are, are the catalyst for us getting in the trade is not on the basis of |
| 110 | 00:23:58,260 --> 00:24:07,410 | being able to say I'm right. I'm gonna say that against that way you understand what I'm referring to because it's easy to hear it and go in one ear out the |
| 111 | 00:24:07,410 --> 00:24:25,800 | other when we start trading, even antennae more so when you're trading with iPhones, you are pursuing the pleasure the stimuli that comes with being right. |
| 112 | 00:24:27,660 --> 00:24:40,470 | That feel good hormone that gets released. It reminds you that if this was real, he made that much money. And you don't want to go into your development with |
| 113 | 00:24:40,470 --> 00:24:54,210 | that mindset. Because you're pursuing the end result being on the basis of you being right. If your focus is always about being right and not the process. What |
| 114 | 00:24:54,210 --> 00:25:07,830 | are you really doing? You're teaching yourself to adhere to some Jumping on the basis of win or fail. And now you've elevated the outcome to a level of |
| 115 | 00:25:07,950 --> 00:25:21,720 | critical, it's critical for you to be right. Because you won't be prepared mentally, to accept the fact that that one didn't work. And every single time I |
| 116 | 00:25:21,720 --> 00:25:33,990 | blew an account, it started right then right at that moment, where I had a trade idea of a trade on, it looked good, and then ultimately ran against all my |
| 117 | 00:25:33,990 --> 00:25:47,910 | stuff. Okay, when I first was learning, it felt like the weight of the world was coming down on me. It felt like, I am afraid to take the next trade, because |
| 118 | 00:25:47,910 --> 00:25:59,940 | that one didn't work out for me. And the number one reason why you're fearing to take the next trade after losing trade is because you're wrestling with the |
| 119 | 00:25:59,940 --> 00:26:11,130 | impulsiveness to want to trade with a larger size, and your conscious is telling you don't do it. And you need to listen to it don't. In fact, it's better for |
| 120 | 00:26:11,130 --> 00:26:23,550 | you, if you're new, to just completely stop for the day. Give yourself time to process, that incorrect trade result. So that way, you can desensitize yourself, |
| 121 | 00:26:23,640 --> 00:26:38,100 | desensitize yourself from the pursuit of being right. Because if you're trying to do your trades, with the goal in mind that I'm going to be right, it's going |
| 122 | 00:26:38,100 --> 00:26:51,510 | to go to my target, it's going to go where I said it was gonna go. Versus I'm trading this model. I'm trading with this approach. And I'm submitting myself to |
| 123 | 00:26:51,510 --> 00:27:05,130 | this very thing here. Nothing else, I'm not bringing anything else into it. I'm not laying in was in influence my following of this logic? Come hell or high |
| 124 | 00:27:05,130 --> 00:27:12,540 | water, whatever the results are, I'm going to log it. And then I'm going to follow that model. Again, when set up forms, again, whether it be later today or |
| 125 | 00:27:12,540 --> 00:27:27,330 | another day. And you will find that you will get to this point where no longer are you pursuing being right? Because it's no longer enough. It's not going to |
| 126 | 00:27:27,330 --> 00:27:42,270 | be satisfying for you to just be right, you're going to be looking to do what be more precise. More accurate. Less drawdown, less heat on your trades, when you |
| 127 | 00:27:42,270 --> 00:27:50,070 | put on more confident to hold for not your first normal first scale out profit. |
| 128 | 00:27:51,810 --> 00:28:02,250 | Your first profit now would be your typical second partial. That's how you graduate into that point of holding for a full pool is can't quit cold turkey |
| 129 | 00:28:02,250 --> 00:28:10,110 | and say, Okay, I'm not going to do any partial anymore. I'm just going to go straight in and get all my targets. And then what happens is invariably, you're |
| 130 | 00:28:10,110 --> 00:28:25,380 | going to have trades where you This is for you. Pat, I said watch your streams, and I hear how you wrestle with you and you want to put a runner on. And you're |
| 131 | 00:28:25,380 --> 00:28:37,470 | met with this. And the way you overcome and get over, get over it and power through it is you don't worry about the result. Okay, when when you're live |
| 132 | 00:28:37,470 --> 00:28:50,640 | streaming, you're, you're talking about what you endured. And you're amplifying that. And it may be entertaining, it may be for you to discharge it, vent, and |
| 133 | 00:28:50,640 --> 00:28:59,280 | you think they're releasing it, but your subconscious is holding on to it. And once that happens and is anchored to your subconscious it'll have an impact on |
| 134 | 00:28:59,280 --> 00:29:11,550 | your next trade. You'll see the trade, you think, Okay, I'm gonna hold for that 20 handle run. But what happens is when you get to that first five or 10 that |
| 135 | 00:29:11,550 --> 00:29:22,560 | little voice inside you says, Remember when we held for this last time? Do you remember what it felt like when it didn't? Let us get our full target but we had |
| 136 | 00:29:23,220 --> 00:29:38,310 | 19 handles we didn't get the 20 right now you have 10 And you're going to be thinking like a deer in headlights. What do I do? What do I do? Because if I'm |
| 137 | 00:29:38,370 --> 00:29:55,560 | wrong by not getting out right now. I'm gonna regret that it's going to be more remorse. But if I hold and it moves my profit objective then I'm I'm right. I'm |
| 138 | 00:29:55,560 --> 00:30:06,210 | right. Damn and I'm right. I did what I was supposed to do. It went to my target. I'm done. I did it, I slayed it. But even if it gets to that target, |
| 139 | 00:30:08,040 --> 00:30:19,590 | you're going to be remembering how painful it was to hold on to that. Because back at the first stage of you feeling that internal voice that conscience |
| 140 | 00:30:19,590 --> 00:30:28,950 | talking to you saying, I'm little Condor, now, I'm afraid to internally, you know, the easiest solution is right there is the easiest thing in the world, but |
| 141 | 00:30:28,950 --> 00:30:37,710 | you're not going to want to do it's gonna feel like the most asinine thing to be doing at that moment. Because everybody out there that's not profitable, that |
| 142 | 00:30:37,710 --> 00:30:50,550 | doesn't show themselves executing trades, what they want to give people advice. Can you call anything live, but they only give you advice. They'll say, you have |
| 143 | 00:30:51,030 --> 00:31:05,790 | to push edge, you have to stick to conditions that your target or nothing. What I'm saying is, when you get that point, in a trade where you're feeling the |
| 144 | 00:31:05,790 --> 00:31:21,630 | weight of it to a hold, what do I do? What should I move my stop loss when you start worrying? If you start feeling uncomfortable, and you start, it feels like |
| 145 | 00:31:21,660 --> 00:31:33,780 | you're juggling? Do I close it to a hole? Or do I move my stop? Do I move my stop back that I move it too soon? As soon as your mind enters that, at that |
| 146 | 00:31:33,780 --> 00:31:59,730 | very moment? You have lost the plot? You must you must take half the trade off. But Michael, what if but what if your self doubt isn't a bad thing. It's just |
| 147 | 00:31:59,730 --> 00:32:08,610 | the fact that you had grown in your understanding and your experience. And you've been here before. And the trader in you is trying to listen to the |
| 148 | 00:32:08,610 --> 00:32:18,960 | analysts that's warning you. Hey, we're in troubled waters right now. Yeah, it could go to our target. It could do that. But protocol says this, this is what |
| 149 | 00:32:18,960 --> 00:32:34,320 | we do standard operating procedure. SOPs, okay. Standard Operating Procedure says, when this shit starts to get deep, take something off. How much ICT, hey, |
| 150 | 00:32:34,320 --> 00:32:46,020 | if you're divorcing the trade, but you're getting something out of it. A runner still there, but you're getting half off. Now you've banked here, if it comes |
| 151 | 00:32:46,020 --> 00:32:57,270 | back against you and stopped you out at your trail stop loss. Or if you were fickle about doing anything, just keeping your stop at original. It won't take |
| 152 | 00:32:57,270 --> 00:33:10,110 | you to a loss. You're not worrying about it. But if you wrestle with that, and you're in that, that troubled water area where you're thinking about being |
| 153 | 00:33:10,230 --> 00:33:20,730 | right, you have lost the plot about the trade, you don't know how to you won't be able to realign yourself. And anybody who says well, you can just take a step |
| 154 | 00:33:20,760 --> 00:33:31,200 | out, get a cigarette break, go get a shot of liquid courage. Go to the gym and hit submit to it. See whatever happens. What's going to happen is you're going |
| 155 | 00:33:31,200 --> 00:33:45,330 | to stress in that stressful endeavor that you're placing yourself through, you're teaching yourself to be fearful. And it's unnecessary. You don't need to |
| 156 | 00:33:45,330 --> 00:34:05,250 | do that. The way you master yourself, the way you conquer yourself and wrangle in these concerns about being right. You remove risk, because that's the |
| 157 | 00:34:05,250 --> 00:34:17,460 | underlying thing. See, it's not a matter of can I get to my target? Of course it could. It could go way beyond what you're targeting. And it could come back on |
| 158 | 00:34:17,460 --> 00:34:31,200 | your stop. And it could just consolidate where it's at. All those things are possible. But when the mind starts getting bogged down with the concerns of |
| 159 | 00:34:32,940 --> 00:34:44,370 | needing to be right, because you will punish yourself mentally. If you do anything that leads to either stop that or not getting to talk because at that |
| 160 | 00:34:44,370 --> 00:34:51,450 | moment, here's what you don't realize, and this is what you need to be writing down your journal. As soon as you get to that point where you're in troubled |
| 161 | 00:34:51,450 --> 00:35:06,180 | waters. And you're now taking more attention to what do I do? What do I do if you're out asking yourself, what do I do and it's becoming physical. Like your |
| 162 | 00:35:06,210 --> 00:35:20,610 | your breathing increases the rate of your inhalations. Maybe you're getting heart palpitations, feeling dizzy, feeling anxious, feeling nervous? The answer |
| 163 | 00:35:20,610 --> 00:35:30,960 | to that is take half off. And what that does, it allows your mind to reset, you've paid yourself, who cares if it comes back and stops you out? Who cares, |
| 164 | 00:35:30,960 --> 00:35:40,740 | you that fails to get to your target, you paid yourself. The analyst is inside of you may be picking up on things that you've learned, but you're not |
| 165 | 00:35:40,860 --> 00:35:52,920 | registering that. Because you're not able to see growth like that initially, until you go through these experiments of putting the task, submitting to the |
| 166 | 00:35:52,920 --> 00:36:02,130 | process, and then getting out there and seeing how you deal with it. And an analyst inside of you that's seen these things before, is trying to tell you, |
| 167 | 00:36:02,130 --> 00:36:14,940 | Hey, you're not ready for this. It might go there. Yes, it might go to your full target. Absolutely. But right now, here's the standard operating procedure. As |
| 168 | 00:36:14,940 --> 00:36:28,980 | soon as we start getting nervous, and we lose sight of the plot. The way we really gain that clarity, take half of the position off. Okay, Mike? Well, what |
| 169 | 00:36:28,980 --> 00:36:41,910 | happens if I am only holding one contract? And there's no way for me to take the partial off? You close the trade? That's it. But what if, but what if it turns |
| 170 | 00:36:41,910 --> 00:36:49,470 | against you? How are you going to deal with that? You're gonna beat yourself up, you know, you will, in this sit here and lie and say the wouldn't, you're |
| 171 | 00:36:49,500 --> 00:37:06,150 | fooling no one. First and foremost, you're not fooling yourself. You have to guard your mind. You have to preserve that clarity. Once you gain it, and you |
| 172 | 00:37:06,150 --> 00:37:19,920 | desensitize yourself to the outcome. You're not pursuing right? You're pursuing following your model. Those roles, those roles, if they're sound in their logic, |
| 173 | 00:37:20,430 --> 00:37:35,340 | they will preserve you if you're able to listen to the analyst in you. But Alice is trying to warn you, Listen, buddy, you got out of the chair. And the gambler |
| 174 | 00:37:35,340 --> 00:37:44,700 | has slipped seated with you. You think you're driving but you're not. You're riding shotgun with retail, Rick. And he's had a little too much to drink on St. |
| 175 | 00:37:44,700 --> 00:37:50,940 | Patty's Day. And it looks like he's aiming for the next fucking tree. So what are you going to do? |
| 176 | 00:37:53,310 --> 00:38:05,670 | As for the keys? You got it, you got to take that, that wheel back? How does that happen? Take half the trade off. And if you can't take a half, then you |
| 177 | 00:38:05,670 --> 00:38:20,400 | close the trade. And then you congratulate yourself. You give yourself positive self talk that you identified that you were in troubled waters, you lost sight |
| 178 | 00:38:20,400 --> 00:38:32,310 | of what you were doing. And now it became an emotional roller coaster. Which turned into a psychological armwrestling match with you being in pursuing. |
| 179 | 00:38:32,790 --> 00:38:44,310 | Right? I was right. And what will happen is when you close the trade or take half off, one of the things are gonna happen. It's gonna stop you out. And |
| 180 | 00:38:44,310 --> 00:38:52,800 | you'll feel what? Good, you'll feel good that you did that. But some of you won't feel good about that. Because you'll be thinking, I should have took |
| 181 | 00:38:52,800 --> 00:39:03,600 | everything off and I would have had a bigger profits. What are you doing? They're pursuing being right. Instead of saying, I took eff off, it came back |
| 182 | 00:39:03,600 --> 00:39:13,710 | and stopped me out on the remaining portion. Whether it was at breakeven or in profit matters not. You're gonna go to the calculator and say, This is what I |
| 183 | 00:39:13,710 --> 00:39:27,570 | had on a trade when I felt like that I should have did this. That's not how you grow. That's how you poison your perspective. You create and foster anxiety, |
| 184 | 00:39:28,650 --> 00:39:40,410 | performance anxiety, specifically, because you're measuring every decision and placing so much emphasis on the outcome and it needing to be right. You don't |
| 185 | 00:39:40,410 --> 00:39:51,900 | realize you're putting yourself in this mental prison. You can't. You can't work efficiently in these markets where you're constantly placing so many limitations |
| 186 | 00:39:51,900 --> 00:40:05,250 | on you. Placing all this unnecessary weight on your shoulders, that you have to be right all the time. You don't have be right, you don't have to be right. You |
| 187 | 00:40:05,250 --> 00:40:20,970 | have to follow a sound model, and stick to that. And as a derivative a default, as a consequence to doing that, you will see results. And those results need to |
| 188 | 00:40:20,970 --> 00:40:32,460 | be completely detached from emotion, or psychological need, and necessity to be right. And it sounds hard, it sounds almost impossible right now, especially if |
| 189 | 00:40:32,460 --> 00:40:41,220 | you're new. But those of you that have gone through these experiences, because you've traded with real money or fund that account, and you got out there and |
| 190 | 00:40:41,220 --> 00:40:53,280 | you realize he knew, you knew exactly what you were feeling. It was a reminder that you did this too soon. But hey, we're here. Now. We are here, we showed up. |
| 191 | 00:40:54,300 --> 00:41:07,440 | Now we're gonna show out. And unfortunately, you end up losing your funded account, or you blow your account, because you'll let that one losing trade, do |
| 192 | 00:41:07,440 --> 00:41:21,090 | what take you completely out of the game. Now you have to do something bigger, much more monumental, because you have to get a feel good moment. And you'll |
| 193 | 00:41:21,090 --> 00:41:32,970 | over leverage on the next trade. Or you won't have a stoploss on because you want to be right, and you lose all clarity. And you think that what you're doing |
| 194 | 00:41:32,970 --> 00:41:44,040 | that next trade is going to pan out, you just have to submit to more drawdown, more time holding on to it. And what is happening is this, you are now holding |
| 195 | 00:41:44,070 --> 00:41:56,880 | on to a losing trade that you will not identify as. But you're going to be using the logic of your model, which is hold on to your runner. But because you took |
| 196 | 00:41:56,880 --> 00:42:06,540 | your eye off of the process of following that model, you're now applying part of the logic that you're using in trading, but you're holding on to the losing |
| 197 | 00:42:06,540 --> 00:42:18,210 | trade. you're submitting yourself to that trade. Even though it's warning you and telling you the analyst is talking to you. This is wrong, you know it's |
| 198 | 00:42:18,210 --> 00:42:27,510 | wrong, but you won't close it. Because you're not trading for profit. Now, you're trading for being right, you are armwrestling the marketplace, that's |
| 199 | 00:42:27,510 --> 00:42:42,450 | what you're doing. You want to be smart in the eyes of someone else that you're going to share this with. And you're absolutely undermining yourself. And when |
| 200 | 00:42:42,450 --> 00:42:53,640 | you do more damage or blow the account, blow the fund that account your next last day or whatever it is that takes you out of that you will be miserable. You |
| 201 | 00:42:53,640 --> 00:43:04,110 | will punish yourself. You'll relive those moments over and over again. And I can relive them all when I was 20. Just like it happened yesterday. No one's going |
| 202 | 00:43:04,110 --> 00:43:11,250 | to be as hard as you are on yourself. You just aren't making it public knowledge. And most of everyone that would be paying attention to now some of |
| 203 | 00:43:11,250 --> 00:43:20,550 | you make that mistake. And you go on social media. Oh, it's it's hard. I'm always scrolling up. You're inviting more people to confirm what you're feeling, |
| 204 | 00:43:20,880 --> 00:43:33,600 | which is going to do what anchor more weight to that negative result, which is going to do what create fear, anxiety, depression. And that's not how you grow. |
| 205 | 00:43:36,240 --> 00:43:48,330 | You have to know that what you're doing is not a pursuit of being right. In the moment, the very moment that you now have these impulses inside of you, that you |
| 206 | 00:43:48,330 --> 00:44:01,140 | have to prove something to yourself, or worst case, prove something to other people. You're not trading your model. You're not even trading soundly. You're |
| 207 | 00:44:01,140 --> 00:44:06,510 | gambling on the chance of you being right. |
| 208 | 00:44:13,110 --> 00:44:24,630 | You have to release all that. Get to stop doing that what you're trading, got to stop doing it with your studies. You have to submit to whatever happens as long |
| 209 | 00:44:24,630 --> 00:44:35,460 | as you're using the processes and protocols that you've adopted as your model. You're going to accept whatever the results are. Because you have done enough |
| 210 | 00:44:35,460 --> 00:44:49,980 | research to know that things that you're trying to pursue repeat not just once in a blue moon, but they repeat almost daily if not every day. Every day, the |
| 211 | 00:44:49,980 --> 00:45:04,620 | markets gonna run for some hourly, old high or an old low. This is the part where you start right now. Every day, there's an intraday range that has an old |
| 212 | 00:45:04,620 --> 00:45:20,700 | 60 minute high or old 60 minute low. In between where the market is at market price, whenever you're sitting them in looking at charts you want to identify |
| 213 | 00:45:20,700 --> 00:45:32,190 | them. Because there's liquidity there. This is the surest way for you to know that you can go on there every single day, every single day, this is forming, |
| 214 | 00:45:32,820 --> 00:45:38,790 | there is not a day that this does not form. Okay, this is an everyday bread and butter logic. |
| 215 | 00:45:44,130 --> 00:45:59,940 | You mark out your 60 Minute highs and lows. You wait for some shift in market structure that will be gravitating towards that old higher old low. Once you |
| 216 | 00:45:59,940 --> 00:46:14,790 | have a shift in market structure, using just what I taught in the 2020 model, you wait for Vega. Since it trades into it, you engage half of the range from |
| 217 | 00:46:14,790 --> 00:46:25,470 | wherever you're getting in to that old, higher old low, whether you're aiming for a bull move or Behrman matters not. As soon as it moves half of that range, |
| 218 | 00:46:26,610 --> 00:46:42,030 | half your trade comes off, stop the breakeven and you submit to whatever happens, then that's it. That's all you have to do. That is a complete model |
| 219 | 00:46:42,120 --> 00:46:43,230 | Don't risk more than 1%. |
| 220 | 00:46:48,360 --> 00:46:58,770 | It might be five handles, it might be 20 handles, it might be 30. Handles. How are you going to know the range between where you're trying to buy and where |
| 221 | 00:46:58,770 --> 00:47:00,270 | that old, higher old low is. |
| 222 | 00:47:05,760 --> 00:47:21,000 | That fair, a gap exists every day. Liquidity above old highs and lows, below lows rather. That's there every day. And you're complicating things, you're |
| 223 | 00:47:21,000 --> 00:47:33,210 | trying to bring all these things that are taught, hoping that they're all going to do what allow you to accept no losing trades, and be right all the time. And |
| 224 | 00:47:33,210 --> 00:47:49,560 | being right is a poison to a new developing student. Your goal is consistence you want to be doing the same things over and over again. Using a model that |
| 225 | 00:47:49,560 --> 00:48:05,670 | delivers consistently doesn't mean it's 100%. It just means over a large sample size. What's that mean? 2020 trades 20 trades, you're about 70% On side. That's |
| 226 | 00:48:05,670 --> 00:48:19,800 | a good measuring stick. But what happens if I'm not 70? You keep working until you are. And then once you get to that point, and your 7% strike rate. How can |
| 227 | 00:48:19,800 --> 00:48:30,510 | that possibly be Michael Come on? That's too high is unrealistic. All the books say I'm telling you don't read into those books. Those books are written by |
| 228 | 00:48:30,510 --> 00:48:41,640 | authors that have sold a book. That's what they're doing. They're selling you a narrative a plot. They probably don't even trade with what they're writing |
| 229 | 00:48:41,640 --> 00:48:55,050 | about. I walk into these live markets, whether I'm sitting on Twitter tweeting out the very candles that we looking for in the draw on liquidity, bending time |
| 230 | 00:48:55,050 --> 00:49:05,460 | and space to precision. And you see your chart protonate later on. That's not hindsight. When I'm on the live sessions, I'm calling the minute candles |
| 231 | 00:49:05,460 --> 00:49:17,460 | explaining what's going to happen and giving you the narrative. This is what you're supposed to be doing for yourself. You create these little laboratory |
| 232 | 00:49:17,460 --> 00:49:31,080 | experiments. And you go in every day, anytime you get a chance to study that's you do. And every time you record what you're feeling, how you felt. And the |
| 233 | 00:49:31,080 --> 00:49:46,020 | goal is for you to have indifference. You can't simply just write the word in your journal. I was indifferent to the outcome. You can't fake that part. You |
| 234 | 00:49:46,020 --> 00:49:55,440 | need to be observing where you're feeling these anxious moments where you feel like you're in troubled waters. They will materialize in the same places all the |
| 235 | 00:49:55,440 --> 00:50:08,010 | time until you cope with that. You replace it with a positive habit. What does that when you feel it, you kill half the trade. If you can't cut it in half, you |
| 236 | 00:50:08,010 --> 00:50:20,910 | get it all off, done. And what that allows you to do is you reset mentally and emotionally that now okay, I've paid myself, I removed a great deal the risk, |
| 237 | 00:50:21,030 --> 00:50:33,270 | I've profited from it. And now I have a free look, I got a free bus ride, to get to my target if it wants to go there. But you don't you don't know. And you're |
| 238 | 00:50:33,270 --> 00:50:44,910 | not going to know. Because you're now recuperating from what you just put yourself there, which was stress. If your trades are stressful, you're trading |
| 239 | 00:50:44,910 --> 00:51:01,620 | too big, your risk is too much. The easiest solution to that drop down and your leverage. I can get out there. And I can find these five handles you swiping on |
| 240 | 00:51:01,620 --> 00:51:15,870 | runs 20 handle runs 50 handle runs 30 handle runs. And I'm holding on to five contracts 10 contracts because tops that says I can do 15. So I'm trying to push |
| 241 | 00:51:15,870 --> 00:51:28,650 | the envelope, I got things to do ICT but it's hard for you to hold a trade. So I get out too early. What am I doing wrong? You're ever leveraging a chain too |
| 242 | 00:51:28,650 --> 00:51:43,260 | big. You haven't given yourself time to grow up into five contracts 10 contracts, let alone 15. With guarantees, you're gonna blow your account. That's |
| 243 | 00:51:43,260 --> 00:51:55,560 | what they want. I want you to trade with one contract. The Karate with TD Ameritrade account. Last year, a double D account trading one contract with lots |
| 244 | 00:51:55,560 --> 00:52:03,630 | of losing trades. This showcased my students, a mocked up drawdown put myself in situations they asked me to do this is what I do. And this is where I fall |
| 245 | 00:52:03,630 --> 00:52:20,670 | victim to how would I do that I went in there and actually did it with real money took 25,000 to over 50,005 and a half weeks, one contract. Now 25,000 |
| 246 | 00:52:20,670 --> 00:52:33,090 | hours a month. That's probably good. For most of you, even if you aren't doing well. And if you if you can get just one quarter of that consistently, that can |
| 247 | 00:52:33,090 --> 00:52:50,160 | change your entire life. Imagine if your mortgage is paid. Half your mortgage is paid if your mortgage and a car note and insurance. That's a blessing. But much |
| 248 | 00:52:50,160 --> 00:53:02,820 | like trying to make those ends meet some of you want to just be able to quit your job right now and get away from Carl and Bruce. And you're rushing it. And |
| 249 | 00:53:02,820 --> 00:53:18,690 | you're thinking that as long as I'm right. As long as I'm right. I'll get there quicker and quicker is not the right thing. You got to be on time. It's the |
| 250 | 00:53:18,690 --> 00:53:32,940 | single you have when you go to work. You want to arrive on time in one piece for prayer to do your job. You can't rush success. You can't it doesn't work that |
| 251 | 00:53:32,940 --> 00:53:46,290 | way. And placing so much emphasis on arriving sooner than what's realistic. Think about it. When I used to have to go to work in the morning time. I had |
| 252 | 00:53:46,290 --> 00:53:57,390 | pretty much a straight shot because I'd get really really early. Drive a 45 minute drive 40 minute drive in 20 minutes speeding, admittedly, but I hate |
| 253 | 00:53:57,390 --> 00:54:07,080 | going home. Because I would be in rush hour traffic. Think about what you do to yourself sitting in traffic. You know, damn well, there's 150 friggin cars in |
| 254 | 00:54:07,080 --> 00:54:16,710 | front of the one in front of you. You know that? But your limited myopic perspective is this assholes holding you up. So what are you doing? You're |
| 255 | 00:54:16,710 --> 00:54:26,790 | riding on his bumper, or her bumper, looking in the rearview mirror, get Look at me, bitch. Look at me. So I can tell you you're so and so. What did you do? You |
| 256 | 00:54:26,790 --> 00:54:38,280 | lost the plot. You got emotional. You're demanding something. You can't move that wall of cars and being angry about it doesn't move them faster for you. But |
| 257 | 00:54:38,280 --> 00:54:48,450 | yet here you are in your car. Pissed off, cussing at everybody ready to get out swinging a tire iron and break somebody's windshield because it's holding you |
| 258 | 00:54:48,480 --> 00:54:55,830 | up. You're trying to get somewhere and these people are doing this intentionally. They're holding you up and they're thinking about the same thing |
| 259 | 00:54:55,830 --> 00:55:08,040 | to the person in front of them. And that's what traders are doing when they get in the marketplace. They want to get somewhere too quick. In impossible |
| 260 | 00:55:08,040 --> 00:55:17,130 | conditions, you lose sight of what you're doing. You get out there trying to prove to the world that you're better than somebody else and you wreck your ass. |
| 261 | 00:55:18,450 --> 00:55:26,790 | Turn your life dreams off before the really end and go into a losing trade. You know, it's, you know, it's all about a new score. They all have these problems. |
| 262 | 00:55:27,240 --> 00:55:43,770 | They're wrestling with it, you're wrestling with it. Because you're trying to do more than what's required. Fall, follow the model. Follow the rules. Listen to |
| 263 | 00:55:43,770 --> 00:55:53,430 | the analyst in you. When it tells you you're in troubled waters, you do not flake out, like you're in rush hour traffic, thinking that you're going to be |
| 264 | 00:55:53,430 --> 00:55:56,130 | able to bully everyone out of your way. |
| 265 | 00:56:01,650 --> 00:56:15,090 | What do you do? I got all these good advice, ICT. What do I do when I'm stressed out in the car? Listen to ICT. How about that? How about that? Because if you |
| 266 | 00:56:15,090 --> 00:56:25,980 | can listen to me, even if you don't like me, complain about me. A bit your demo baller, we don't see you trading a Live account in live. Go ahead, put your |
| 267 | 00:56:25,980 --> 00:56:36,300 | attention there. I'm a therapy. Okay, because if you're doing that you won't get yourself in some kind of road rage event. And you'll probably get home safely. |
| 268 | 00:56:36,930 --> 00:56:46,140 | And you won't be worrying about the traffic you'll be distracted. And that's what the process does. For those individuals that when they get in troubled |
| 269 | 00:56:46,140 --> 00:56:57,030 | waters, and they're in the market, in their trade, is causing them anxiety. As soon as you take half off or close if you can't do any partial half. What you |
| 270 | 00:56:57,030 --> 00:57:12,090 | have done is you've distracted yourself. You've removed that need to be right. I could be making less money because my target. Yeah, |
| 271 | 00:57:12,840 --> 00:57:13,380 | you could |
| 272 | 00:57:16,200 --> 00:57:36,360 | What are you gaining peace of mind you're engaging with a now resumed approach to holding No. Hard line A has to be my way. When you first put the trade on, |
| 273 | 00:57:36,360 --> 00:57:46,470 | you may have had a clear vision about what it is you're expecting to see in the chart, how you're going to write it to that profit objective. But something |
| 274 | 00:57:46,470 --> 00:57:57,840 | changed. And you have to be sensitive to that. Allowing the analysts to speak to you through your conscience say, okay, you know, this is probably not going to |
| 275 | 00:57:57,840 --> 00:58:08,970 | pan out right now. So what we should do is, take half of this all rolled a stop to break even if it's not already there. Or if you have it in a trail position, |
| 276 | 00:58:09,000 --> 00:58:18,810 | don't squeeze it anymore, just leave it there. It turns on the and stopped you there, who cares? I show you that happens with me. I'm doing that to teach you. |
| 277 | 00:58:19,200 --> 00:58:30,600 | I'm showing you that I can get in the trades and the foot poles and then just that's all I'm gonna do. But I'm a practical teacher, I'm telling you how to |
| 278 | 00:58:30,600 --> 00:58:41,310 | grow into that stage, you just can't do it right out of the box. You can't. Your mind won't let you and the people that are highly opinionated about how this |
| 279 | 00:58:41,310 --> 00:58:50,070 | stuff doesn't work. I can't do it, you won't be able to do it, you're gonna fail. They're not providing anything as an alternative with consistency. So why |
| 280 | 00:58:50,070 --> 00:59:04,980 | the fuck are you listening? You already have enough on your plate, you know what you're wrestling with. So turn off all of that static white noise. And listen to |
| 281 | 00:59:04,980 --> 00:59:11,310 | your conscience, your conscious is going to talk to you if you've been doing everything I'm telling you to do. It will guide you because of the experience |
| 282 | 00:59:11,310 --> 00:59:20,970 | you've placed in its hands. That analyst is going to guide you when it's troubled waters. But you have to let the analysts communicate to the trader in |
| 283 | 00:59:20,970 --> 00:59:30,450 | you, the one that's going to make the sound executions on the sound logic that comes from the analyst, the person that you're training with the back testing |
| 284 | 00:59:32,340 --> 00:59:45,090 | the person you're training to observe the opportunities in reading old data and watching Real Time price action and tape reading and in the walk forwards and |
| 285 | 00:59:45,090 --> 00:59:58,200 | then finally doing a demo demo. That's when the trader arrives. He or she has no function in any of this until you get to demo. So the trader in you should not |
| 286 | 00:59:58,200 --> 01:00:09,630 | be talking about I want to buy I hear I want to sell here I would do, cuz that's not the traitor talking. That's retail Rick, that's the gambler in you. So |
| 287 | 01:00:09,630 --> 01:00:21,990 | you've got three people inside of you right now, that's going to be wrestling to be in the driver's seat. The analyst needs to be shotgun all the time. The |
| 288 | 01:00:21,990 --> 01:00:33,330 | analyst is right next to you all the time. And you're wanting to hear the logic that that part of you, when it's time for your conscious to say, Okay, you're in |
| 289 | 01:00:33,330 --> 01:00:45,420 | a position, that's probably not as good as we thought it was. Do not listen to jokers and clowns out there looking for clout that tell you just gotta have |
| 290 | 01:00:45,420 --> 01:00:57,180 | conviction for your trade. If you know that you're absolutely 100% uncomfortable. And you are not able to focus on the trade, you are absolutely |
| 291 | 01:00:57,180 --> 01:01:06,720 | doing things backwards. And these same people, you never see them execute anything not even recorded. They don't prove anything. They prove they have an |
| 292 | 01:01:06,720 --> 01:01:19,470 | opinion that nobody should listen to. There's this cloud police force that's forming. And they're out there trying to keep your attention from learning how |
| 293 | 01:01:19,470 --> 01:01:28,140 | to do this. And you're seeing people now bring in real receipts with real money. And now they're uncomfortable, because they don't have that. They don't have |
| 294 | 01:01:28,140 --> 01:01:37,980 | anybody proving that what they're doing, or what they've done, is making them any money. See, we're getting into the thick of things here. Now. The rubber |
| 295 | 01:01:38,040 --> 01:01:48,840 | meets the road. For now that the brass tacks and those they're submitting themselves properly, are getting results. And all the old things that these a B |
| 296 | 01:01:48,840 --> 01:02:04,020 | or C about what we do here. They're finding that it's being met with a bulletproof vest, and it's wrecking ball proof. Atomic bomb proof. You can't |
| 297 | 01:02:04,020 --> 01:02:14,760 | beat proof with real money with real receipts, with real interviews from companies that pay these individuals. I don't own any funded account, so I'm not |
| 298 | 01:02:14,760 --> 01:02:29,490 | scripting anything. So they're doing something right. That's the filing of the process and the model. And you hear it in their own testimonies that they |
| 299 | 01:02:29,820 --> 01:02:41,250 | struggled just like you're struggling to, but they kept pressing forward. I'm sure they saw all the things in here all the things that all of you here. You're |
| 300 | 01:02:41,250 --> 01:02:52,440 | never going to get it is becoming retail. This is never going to be retail. Look how many people talk about about that right? There's a testimony. As long as we |
| 301 | 01:02:52,440 --> 01:03:01,140 | got all these people hating on idea, it ain't never gonna be getting on and be retail. They want you to think that because they're insecure, they want you to |
| 302 | 01:03:01,140 --> 01:03:09,870 | feel like this is the worst thing for you to be doing. You should be following their garbage. Listen to their bullshit. Don't take partials trade animal |
| 303 | 01:03:09,870 --> 01:03:10,410 | patterns |
| 304 | 01:03:18,780 --> 01:03:33,330 | kind of wet my whistle here. You're probably wondering why I'm so low key tonight. US I go off the rails a little bit faster. I'm actually under some |
| 305 | 01:03:33,420 --> 01:03:43,470 | Benadryl and to take Benadryl had a little bit of a reaction. My wife made some some kind of chicken shit she was mixing kinds of stuff. At fucking tick tock, |
| 306 | 01:03:43,470 --> 01:03:53,580 | I'm telling you. I've wasted so much money at the grocery store. Because a tick tock this woman wants his tick tock in every recipe that comes out. My house has |
| 307 | 01:03:53,580 --> 01:04:01,170 | got to make it and she's got to ask me all the time taste this taste this because you put something in there and tonight it calls me almost not be able to |
| 308 | 01:04:01,170 --> 01:04:11,820 | do this. Kept coughing and coughing calm. So I take Benadryl and I'm a little relaxed, almost to the point where I want to take a nap again. But I really took |
| 309 | 01:04:11,820 --> 01:04:30,210 | my two naps today. So that's our rabbit trail for this one. But you don't want to go into your trading. constantly pursuing right. And you know already most of |
| 310 | 01:04:30,210 --> 01:04:40,140 | you doing that isn't getting you where you want to be. But you're wrestling arm wrestling with the results of you trying to do that you think well if I just do |
| 311 | 01:04:40,140 --> 01:04:52,980 | a little bit harder, I'll get through that. Because this is how trading is no. That's how gambling is. Look at the people. If you had the opportunity to go go |
| 312 | 01:04:52,980 --> 01:05:08,220 | to a casino when I had my first year anniversary we went to it Atlantic City and we stayed at the Taj Mahal. And I only literally only took $100 down to the |
| 313 | 01:05:08,220 --> 01:05:20,700 | casino. That's it. Because, number one, it was my first time at the casino. I've never never gambled like that. I said, in any event that I will take more money |
| 314 | 01:05:21,480 --> 01:05:29,880 | than I should. And if I win, I'm afraid that I'm going to get compulsive about that. And say, I'm going to try to do it again, and do it with more and more and |
| 315 | 01:05:29,880 --> 01:05:40,650 | more. So I purposely left all credit card all debit card, I don't even use a debit card, but I'm just telling you, there was no means for me to take any |
| 316 | 01:05:40,650 --> 01:05:56,430 | money out of my bank accounts. It's just, this is what I brought in other cash was for eating and whenever I sat at that one Armed Bandit slot machine. And |
| 317 | 01:05:56,430 --> 01:06:04,560 | everytime I would get down to the last $10, I just want to lose it. Because I don't want to have to do this anymore. And I didn't want to do what, get up and |
| 318 | 01:06:04,560 --> 01:06:14,640 | walk away. The analyst in me saying, this is a waste of time, you're not gonna make any money. And you're already just wanting to leave, but you're not wanting |
| 319 | 01:06:14,640 --> 01:06:23,100 | to get up because retail Rick is pulling the slot machine. But what happens if I get a jackpot? What happens if I went $2,000, the maximum thing I could have won |
| 320 | 01:06:23,100 --> 01:06:40,560 | on this was $2,000. And I would make it a little bit up to 7565, just under 80 bucks, getting back to own the $100 that I put in the machine. And then all of a |
| 321 | 01:06:40,560 --> 01:06:50,280 | sudden, it would be spent spent spent spent down to the last 10 $12. And I'm like, okay, it won't be much longer now, then I won't have to worry about doing |
| 322 | 01:06:50,280 --> 01:07:00,570 | this. I can go go watch the shows with my wife or whatever. And I'd win a little bit more, but it would be like to be 50 bucks, or 40 bucks. And then the gambler |
| 323 | 01:07:00,570 --> 01:07:10,740 | me said oh, I'm probably real close to them on those big wins. I mean, just keep playing. And I sat down there for almost seven fucking hours with the same 100 |
| 324 | 01:07:10,740 --> 01:07:24,240 | bucks couldn't make it go away. And I couldn't frickin make any money above 100 bucks. I never got it over 100 hours. Something myself, this is stupid, like the |
| 325 | 01:07:24,240 --> 01:07:35,700 | hell am I doing? So finally, I just did the maximum that they would allow me to do. And then it's gone. And I was relieved that that 100 hours are spent like |
| 326 | 01:07:35,700 --> 01:07:44,280 | that. Because it's like, okay, now I don't have it. I won't be enticed to do what? Do another run of that and get caught up in their whole pursuit of being. |
| 327 | 01:07:44,700 --> 01:08:02,220 | Right. That's how I learned this. The whole discussion tonight was that moment. In 2022. I'm sorry. 2002 2002 is when we went to Atlanta said the the, we got |
| 328 | 01:08:02,220 --> 01:08:12,180 | married Valentine's Day of 2001. And then a year later, we were in Atlantic City, celebrating it there. Which is weird because I've never been to casino and |
| 329 | 01:08:12,240 --> 01:08:27,690 | that's what she said to him to go. So whatever. But this whole idea of removing myself from that I applied that experience to the trading. When I start feeling |
| 330 | 01:08:27,690 --> 01:08:43,470 | like I'm listening to the wrong voice in my conscience that's telling me to be acting on impulsiveness. What if see, the analyst isn't going to do. Okay. What |
| 331 | 01:08:43,470 --> 01:08:55,710 | if you make more money than we thought? Or what if this is a trade that we hold on for a longer time? The analyst never, there's never done that analysis is |
| 332 | 01:08:55,710 --> 01:09:04,110 | going to speak through your conscience to you and say, This is the rules, Bob, this is what you're supposed to be doing. This is all you're supposed to be |
| 333 | 01:09:04,110 --> 01:09:13,050 | doing. And when you step out of line, I'm gonna remind you because it's going to feel like uncomfortableness and it's not just fear of making money or losing |
| 334 | 01:09:13,050 --> 01:09:22,950 | money. That sometimes is the analyst that's been increasing and it's understanding about what is it you're doing in the marketplace. Don't cancel |
| 335 | 01:09:22,950 --> 01:09:33,090 | that out. Don't arm wrestle that because it's sometimes the experienced analyst that you trained up to this point in your development. And it's going to be |
| 336 | 01:09:33,090 --> 01:09:42,210 | communicating to you through your conscience by saying, This is not what we should be doing. We should be doing this. And then what you're doing sometimes |
| 337 | 01:09:42,210 --> 01:09:51,120 | is you're allowing retail Rick, the gambler in you and the trader to argue with one another, ignoring the analysts, which is the sound advice that you should be |
| 338 | 01:09:51,120 --> 01:10:05,970 | following. So how do you deal with that? Your plan needs to be written out when I Take a trade, I have a notepad next to me. I'm literally writing down a |
| 339 | 01:10:07,200 --> 01:10:22,800 | target, partial partial stock won't move until it gets this price. That's it. So if I see something, some little flurry of price action comes in. If it doesn't |
| 340 | 01:10:22,800 --> 01:10:35,160 | break the rules I have written down for my idea. I'm not moving my stop. I'm not panicking. But it might cause a concern for me to feel like the analyst is |
| 341 | 01:10:35,160 --> 01:10:45,930 | saying, Okay, we now are in troubled waters, what's the process half off, don't move the stock anymore. Or if it's not moved to better the breakeven, move, the |
| 342 | 01:10:45,930 --> 01:10:57,180 | better to breakeven, and then let it go. Submit to whatever happens. And that's how you condition yourself to not just run like a, you know, cat with its tail |
| 343 | 01:10:57,180 --> 01:11:05,760 | between his legs, fearful because that's what would be the outcome. You don't want to just run away from any trade. At some point, you have to press into it. |
| 344 | 01:11:06,420 --> 01:11:16,920 | But it's easier to press into that trade. It's uncertain now. When you've taken half off, you've made money. You had a part time job in that trade, and you made |
| 345 | 01:11:16,920 --> 01:11:27,300 | money. There's nothing wrong with that. There's nothing wrong with that, in any fucker tells you there is they're not showing you anything, but they're telling |
| 346 | 01:11:27,300 --> 01:11:36,900 | you this is the advice that you should follow their shit. And they don't do anything to garner your respect or belief that what they're saying is sound |
| 347 | 01:11:36,900 --> 01:11:44,880 | logic. You don't see them signing into an account going through day by day. This is what I made disagree. I lost you don't see that. But they're highly |
| 348 | 01:11:44,880 --> 01:11:57,630 | opinionated. Who are you listening to? I listen to somebody that's going out there live on Twitter or in live streams and calling every fucking candle |
| 349 | 01:11:57,630 --> 01:12:11,310 | movement before it happens. Or are you listening somebody that brings nothing but more confusion. If you're doing that, that's the same thing that you're |
| 350 | 01:12:11,310 --> 01:12:24,870 | going to experience in your trades. You're going to wrestle internally it's going to be a chaff. You won't be able to focus you'll feel like you have |
| 351 | 01:12:24,870 --> 01:12:35,310 | attention deficit disorder when you really don't you just placing too much stress because you're over leveraging you're demanding being right |
| 352 | 01:12:40,770 --> 01:12:52,590 | easiest solutions cut half the trade off. You'll fix the over leveraging right there. You funded yourself you paid for that time and the trade your stops |
| 353 | 01:12:52,590 --> 01:13:06,540 | better than even and now you can submit to the outcome. I'm gonna trade ICT I got this shit figured out. I mean, here I got five contracts. I'm long s&p |
| 354 | 01:13:07,230 --> 01:13:17,640 | looking for 20 handle run around 12 handles in who? What are we doing here? Anybody got any ideas? What do you think you think is gonna go up? Let's do a |
| 355 | 01:13:17,640 --> 01:13:32,100 | poll. As soon as you feel that, hey, have off by five contracts, take three off, one or two. Take three off, shut the fuck up. Take three off, you've banked |
| 356 | 01:13:32,400 --> 01:13:51,990 | three. Let the to run. If it goes to stop, it's okay. To go to Target Great. Next trade. You got to wrestle yourself into submission to the model. Otherwise, |
| 357 | 01:13:52,140 --> 01:14:08,130 | the market and your weaknesses will rescue wrestle you into submission to failure. You won't see it coming. You'll never nobody ever sees it coming. until |
| 358 | 01:14:08,130 --> 01:14:20,370 | it's done. And you're like I knew at that moment, right? You'll know exactly what it was. And you'll know and you'll admit to yourself that was the moment I |
| 359 | 01:14:20,370 --> 01:14:30,660 | should have did this or that. Dammit Why did I do that? Now I gotta do a funded account reset. Now I gotta go put more money in the account |
| 360 | 01:14:36,180 --> 01:14:52,740 | and it will repeat all the time. And to you do the things I'm telling you to do here you're trying to graduate to a state of mind that when you go into the |
| 361 | 01:14:52,740 --> 01:15:10,230 | marketplace you are at the state of mind that is when being right is no longer enough. You now are detail oriented, your principle oriented, you're following |
| 362 | 01:15:10,230 --> 01:15:25,320 | logic you want precision, right is not enough. Your pursuit now is you want to control risk, so impeccably, that your winners are going to so far outpace your |
| 363 | 01:15:25,320 --> 01:15:34,860 | losing trades, it won't matter. It won't matter the next trade that you lose on, it won't even have any impact at all on you. None zero. |
| 364 | 01:15:40,560 --> 01:15:52,680 | People won't talk about it in passing Oh, yeah, you're gonna let your profits run, trade your plan, plan your trade? It's all sounds great. But how do they |
| 365 | 01:15:52,800 --> 01:16:05,730 | engage? The trade recklessly? Are you trading recklessly? Are you throwing everything out the window, because now you have a funded account, or a Live |
| 366 | 01:16:05,730 --> 01:16:16,020 | account, the things that you were doing your demo that were consistent. The only thing that's changing when you go into live funds, because it's still live data |
| 367 | 01:16:16,020 --> 01:16:31,860 | you're trading off of the only thing that's changed is now you have potential reward, and potential loss. And you have to grow into accepting that. In this |
| 368 | 01:16:31,860 --> 01:16:42,840 | now not easy for someone who is going to be next to impossible, but you have to graduate into it slowly. Whatever the least amount of money, you can put in on a |
| 369 | 01:16:42,840 --> 01:16:53,130 | trade that lot size, that's what you trade, until you're absolutely bored. And then you got one more contract, trade like that until you're absolutely bored. |
| 370 | 01:16:54,480 --> 01:17:06,900 | And you do it again, and keep doing it again and again. Until you can get to the point where Oh, wow, you know, I can be in five mini contracts, making 250 bucks |
| 371 | 01:17:07,080 --> 01:17:19,470 | per handle. All I gotta do is get four handles, and it's $1,000. And you'll see that making $1,000 a day doing that is easy. But you know, it's hard for you |
| 372 | 01:17:19,470 --> 01:17:28,770 | right now, because you're gonna feel what? As soon as you put a trade on with five contracts, you're thinking, shit, my assets puking. What is going on? I |
| 373 | 01:17:28,770 --> 01:17:38,520 | don't know if I'm supposed to hold this or get out. It's moved two ticks? should move to tick, what am I gonna do? Two ticks? Am I long? or short? What the hell |
| 374 | 01:17:38,520 --> 01:17:47,910 | am I doing here? That I put the stop on right? You're gonna be thinking about all kinds of shit. You're going to feel completely, completely like a noob. |
| 375 | 01:17:49,830 --> 01:18:10,170 | Which changed. potential reward and potential profit is the greed, potential loss, potential debit to your account at your potential wreckage. Now, instead |
| 376 | 01:18:10,170 --> 01:18:21,390 | of saying, okay, is price confirming that it's continuously moving in my favor? Is order flow still on my favor? In my Am I on one side. That's where your |
| 377 | 01:18:21,390 --> 01:18:31,800 | attention is. You're not looking at the profit and loss little button, when you screen, how much money went up and down, up and down? You do that you're done. I |
| 378 | 01:18:31,800 --> 01:18:43,560 | just do that. To show you. I can be to hold your attention in the early stages. You don't need to see that once you understand what you're doing. Because you |
| 379 | 01:18:43,560 --> 01:18:51,480 | can clearly see okay, it's moved in your favor. Do the math how many contracts? Could you have been there? And there it is, in the beginning, new traders, new |
| 380 | 01:18:51,480 --> 01:19:03,570 | students, they need to be entertained. There's got to be a hook in their mouth that draw them this direction. And I'm a master at that. Good songs, not every |
| 381 | 01:19:03,570 --> 01:19:10,500 | song. Because I'm sure some of you have heard songs that I put in my videos were like, What the hell was he thinking about this? And they're, it's not it's not |
| 382 | 01:19:10,500 --> 01:19:22,440 | for you. It's for me. But I know how to draw a crowd. And once that crowds there, I know how to teach you. But I also am aware that some of you are not |
| 383 | 01:19:22,440 --> 01:19:37,350 | teachable. And you'll walk away before you should. And some of you I'm glad you did or do because you're not prepared and you're just going to be toxic but |
| 384 | 01:19:37,350 --> 01:19:55,950 | knowing what to do, when to react to it. When we react. Okay, I saw this came over the guy's name is a YouTuber. He tweeted. Your job as a trader is not to |
| 385 | 01:19:55,950 --> 01:20:09,630 | predict the future. It's to read Back to price. What the fuck kind of logic is that? Like that literally encapsulates retail trading right there. That's it. |
| 386 | 01:20:09,990 --> 01:20:24,660 | That's it. That is retail trading in a sentence. What you're saying, by saying something like that, or if your thoughts are in alignment with that, what you're |
| 387 | 01:20:24,660 --> 01:20:38,940 | essentially saying is there's no way to know where price is likely to go. So fuck it, let's gamble. That's exactly what you're saying. Your job is not to try |
| 388 | 01:20:38,940 --> 01:20:52,500 | to predict price. Your job as a trader is to react to price. Get the fuck out of here. Listen, if you don't know, where the draw liquidity is where the markets |
| 389 | 01:20:52,530 --> 01:21:04,710 | likely to be going up or down to you're clueless. You have no business, zero business pushing a button in that, in that regard, you don't have any business |
| 390 | 01:21:04,710 --> 01:21:18,660 | doing any kind of trading, because you're literally putting a blindfold on being spun around 50 times in a dark, stopped. Okay, take this tack, walk forward, and |
| 391 | 01:21:18,690 --> 01:21:28,830 | pin the donkey in the tail on the donkey again, but you're you're doing this oriented. And you're reacting, we're gonna react to when your hand hits the |
| 392 | 01:21:28,830 --> 01:21:42,840 | wall, okay? Push the thumbtack and let's see what happens. Bullshit is what happens. These individuals that hold that logic, that's the reason why they |
| 393 | 01:21:42,840 --> 01:21:54,000 | struggle, and they have hit and miss results once in a while. And what keeps them in the game. Risk management, they suck at trading. The trades are just |
| 394 | 01:21:54,000 --> 01:22:08,340 | terrible. The logic to get into the trade is lacking. But what keeps them in the game on the management. But I'm a professional trader make money from trading. |
| 395 | 01:22:08,940 --> 01:22:20,940 | Okay. Imagine if you learned how to determine where price is going. And you kept everything else the way it is. How much better would you be? I'm interested in |
| 396 | 01:22:20,940 --> 01:22:34,380 | seeing that. But you have to know what we're doing is predicting price. We're predicting it. We're time fucking traveling. Okay, we're literally moonwalking |
| 397 | 01:22:34,380 --> 01:22:42,240 | into the future, gaining insight and coming right back to where we are writing in and seeing it from the charts. What does that mean? That's impossible. Now |
| 398 | 01:22:42,240 --> 01:22:50,280 | you talk out of your ass. Okay, well, listen, when you're looking at the charts. And you're looking at the charts, you need to be able to see in your mind's eye, |
| 399 | 01:22:50,760 --> 01:23:01,800 | can you physically see the price running up to that relative equal high? If you can see it. That's the first step, you have to be able to see that that |
| 400 | 01:23:01,830 --> 01:23:12,510 | potentially is in the chart, it could manifest itself. Now how it finally gravitates to there is going one straight shot or is there two price legs into |
| 401 | 01:23:12,540 --> 01:23:22,500 | maybe three price legs before it gets there, that's not important. you're submitting to the idea that you are seeing this present price action, it's |
| 402 | 01:23:22,500 --> 01:23:30,600 | likely to go up to those relatively equal highs where there's my side liquidity. So you're submitting yourself to what I'm going to buy program, I'm going to be |
| 403 | 01:23:30,600 --> 01:23:46,140 | buying discount arrays, I'm going to be observing price and looking to see if down close candle support price and repel it higher. To the left of all that, if |
| 404 | 01:23:46,140 --> 01:23:59,040 | there is a range in price action, I want to see up close candles being traded through that's institutional order flow, being bullish, you don't need a depth |
| 405 | 01:23:59,040 --> 01:24:13,680 | of market. You don't need moving averages. You don't need that shit. The chart will tell you everything you need to know. But you're not. You're not reacting |
| 406 | 01:24:13,680 --> 01:24:21,840 | to any fucking thing. Except for that internal voice that tells you you're in troubled waters. That's the only time you're getting permission from ICT to |
| 407 | 01:24:21,840 --> 01:24:34,380 | react to any fucking thing. You're reacting to your conscience, your conscience is talking to you saying hey, this is probably not a good idea now. Because |
| 408 | 01:24:34,380 --> 01:24:46,080 | you're not listening to me. And you and the gambler are arguing with one another. And I'm trying to guide us through this trade and you are causing a |
| 409 | 01:24:46,080 --> 01:24:58,020 | decoupling and now it's going to be physically felt with fear of missing out and move. Fear of being stopped out disorientation. There's going to be a day. I |
| 410 | 01:24:58,020 --> 01:25:06,870 | promise you this. Whether you've ever had anxiety attack or not, this is going to happen to you, there's gonna be a time when you have a funded account, or you |
| 411 | 01:25:06,870 --> 01:25:22,290 | have real money at risk, and you're in a trade out of nowhere your heart's gonna start beating a little bit too fast. You're gonna start hyperventilating, you |
| 412 | 01:25:22,290 --> 01:25:32,790 | won't really notice it until it starts. But then you're going to feel anxious, you may feel like you want to throw up, you feel like you need to go to the |
| 413 | 01:25:32,790 --> 01:25:37,650 | bathroom, you're gonna lose control of yourself, or pass out. |
| 414 | 01:25:40,560 --> 01:25:49,710 | Feel like you can't breathe feels like you're not getting air, but you're hyperventilating and breathing too much. Start seeing stars feel like you're |
| 415 | 01:25:49,710 --> 01:26:06,480 | gonna faint. Feels like the whole world is now laying on your back in your in a trade, while all that's going on. That's an anxiety attack. That's usually when |
| 416 | 01:26:06,480 --> 01:26:18,630 | the analyst is saying, Listen, it's it. Like we're doing everything now to get your attention. So what should you be doing reacting? You need to react to that. |
| 417 | 01:26:20,520 --> 01:26:31,950 | But you need to be predicting the future in price. That's what we do as traders. Anybody and I've seen this multiple times with other educators and such. Any, |
| 418 | 01:26:31,980 --> 01:26:43,140 | anytime someone tells you, your job as a trader is not to predict the price. Get the fuck away from that person. That person doesn't know shit. They know |
| 419 | 01:26:43,140 --> 01:26:52,110 | nothing. They absolutely know nothing. They're leading you down the primrose lane. They're full of shit. They can't do it. And they're just trying to justify |
| 420 | 01:26:52,110 --> 01:27:02,850 | their own ignorance, period. That's the way it is. Someone in this industry tells you, your job is not to try to predict the price. What the fuck are you |
| 421 | 01:27:02,850 --> 01:27:10,860 | doing? If you're not doing that? How are you not trying to predict the future? If you're bullish? What does that mean? That means you're a buyer. So you're |
| 422 | 01:27:10,860 --> 01:27:24,180 | what you're predicting that price is going to go fucking up? What kind of shit is that? Your job is not to try to predict the future. But to react to price. |
| 423 | 01:27:24,930 --> 01:27:34,320 | No, no, no, no, we are predicting where price is going to go. We are anticipating that prices are going to go to a discount. When we're bullish. |
| 424 | 01:27:34,440 --> 01:27:41,220 | We're going exactly where the fuck we're trying to buy. We know exactly where our fucking stop loss is going to be. We know exactly why the fuck we're |
| 425 | 01:27:41,220 --> 01:27:53,010 | expecting them to go up. We are not reacting to shit. Period. That's just the fucking way it is. That's the reality. That's trading that's the real shit |
| 426 | 01:27:53,010 --> 01:28:01,380 | that's in the trenches real fucking trading. Any fucking body that tells you anything apart from that you unfollow you fucking tell him to go fuck |
| 427 | 01:28:01,380 --> 01:28:05,880 | themselves. And stop spreading misinformation. That's how you handle that shit. |
| 428 | 01:28:06,540 --> 01:28:07,260 | Period. |
| 429 | 01:28:10,680 --> 01:28:20,760 | It really fucking gets under my fucking skin. Like, I don't like that. Because that's ignorance. That's fucking Class A fucking ignorance masquerading as |
| 430 | 01:28:20,760 --> 01:28:25,230 | fucking wisdom. The fuck out of here, man. It's fucking Sesame Street fucking wisdom. |
| 431 | 01:28:30,720 --> 01:28:49,140 | React to price. And you're probably listening to this. So do fucking better. But you have to know, you have to know when that conscious is talking to you. And if |
| 432 | 01:28:49,140 --> 01:29:02,610 | you feel unsettled, you feel uncomfortable. While you're in that trade. That's the surest time signal to you that you need to react to that as I need to bail |
| 433 | 01:29:02,610 --> 01:29:13,050 | on half the trade and just kill it. If you can't take the whole trade off, I promise you in the first few times that you do it. It'll feel like especially if |
| 434 | 01:29:13,050 --> 01:29:21,930 | it runs further. It'll feel like that's the worst advice you ever received. But I promise you it will serve you better than anything else. Because it takes so |
| 435 | 01:29:21,930 --> 01:29:30,750 | much more for the human mind to go through that stressful endeavor of holding through that shit. When you're new. You don't have any you don't have any |
| 436 | 01:29:30,750 --> 01:29:41,460 | experience. You have none. You're going through it. So yes, at some point you will have to submit to it. But initially when you're developing and when you |
| 437 | 01:29:41,460 --> 01:29:57,540 | first get that first experience, you do not dig your heels in and say I'm holding on for dear life. You master yourself. you reward yourself. You've taken |
| 438 | 01:29:57,540 --> 01:30:07,890 | the risk of that moment. You've submitted to the trade idea up to that moment, but something is occurring. And you don't know, I don't know, if it's your |
| 439 | 01:30:07,890 --> 01:30:15,390 | experience that you've now gained, that's trying to come meet, communicate to you through your content saying, Okay, this is no longer a viable setup. You |
| 440 | 01:30:15,390 --> 01:30:27,840 | don't know that yet. So the first instances of this occurring in your development, and you're in a live trade, where you have real money at risk, you |
| 441 | 01:30:27,840 --> 01:30:36,330 | take half the trade off, I promise you, that's the best advice that you're gonna get regarding that moment. That that instance of where you're in there, and you |
| 442 | 01:30:36,330 --> 01:30:46,410 | feel like you're completely out of control. You can't focus, you can't come to the decision of get in. You know, I'm not getting in, but stay in a trade or get |
| 443 | 01:30:46,410 --> 01:30:55,410 | out. If you're in that, that armwrestling match ever, and it's a live account trade, when there's real money. And you are wrestling with should I get in |
| 444 | 01:30:56,040 --> 01:31:04,290 | there, I'm sorry, check out the trade show hold on to it. If you are completely wrestling with that, and you can't even focus on what price is doing right now. |
| 445 | 01:31:05,880 --> 01:31:12,240 | You're being distracted by that. So you won't be able to watch order flow, you won't be able to receive the information, that price is going to tell you |
| 446 | 01:31:12,240 --> 01:31:25,530 | because you're watching the likelihood of you being right, slip out from your hands in that pursuit of being right overtakes the logic that puts you into the |
| 447 | 01:31:25,530 --> 01:31:27,030 | trade or would keep you in the trade. |
| 448 | 01:31:32,700 --> 01:31:42,660 | It doesn't feel clear. At the time you feel like you're losing your mind. If you're in a panic attack, or anxiety attack, while it's going on, it makes it |
| 449 | 01:31:42,660 --> 01:31:56,430 | worse. But I promise you 10 minutes after you close the trade or take half off, it goes away. You'll see things a little bit clearer. If you're in panic, if |
| 450 | 01:31:56,430 --> 01:32:07,140 | you're disoriented in a trade, and you start worrying about whether you should stay in or get out, half the tray comes off, walk away, minimum 10 minutes, |
| 451 | 01:32:07,740 --> 01:32:13,620 | whatever is going to happen is going to happen that comes back and hit your stop. Who cares, you're comfortable with that, that goes to target, who cares? |
| 452 | 01:32:13,650 --> 01:32:25,380 | You were expecting that anyway. But 10 minutes, because what happens is, if you remove yourself from the stimulation that causes the anxious moment, would have |
| 453 | 01:32:25,380 --> 01:32:37,170 | thinking you've now immediately reacted to the emergency that your mind saying that you're in when there really isn't, there is no emergency. But you don't |
| 454 | 01:32:37,170 --> 01:32:44,610 | realize that at the time. So the master yourself and your emotions in the psychological warfare that you're putting yourself through, is you take half a |
| 455 | 01:32:44,610 --> 01:32:53,700 | trade off, make sure to stop that better than breakeven. And you submit to the rest of the move, whatever happens happens. But you must walk away, leave the |
| 456 | 01:32:53,700 --> 01:33:03,450 | room where your charts are. Minimum 10 minutes, it's going to feel like you want to rush back in here and just peek and see what's going on. Don't do something |
| 457 | 01:33:03,450 --> 01:33:18,270 | else, take a walk, go grab something to drink, stretch out. Let 10 minutes pass all of the adrenaline, the cortisol, all those hormones is your body's |
| 458 | 01:33:18,270 --> 01:33:27,510 | releasing. They'll burn off in 10 minutes if you do something other than what you were doing, which is standing still like a Ferrari in park. But with the |
| 459 | 01:33:27,510 --> 01:33:39,630 | acceleration pedal down the floor. You're gonna You're tearing the engine up. It's not meant to do that. And the only thing you could do is keep that panic |
| 460 | 01:33:39,630 --> 01:33:49,800 | attack going until you're probably gonna get sick, pass out or feel like you're dying and call an ambulance for nothing. And between the time you call the |
| 461 | 01:33:49,800 --> 01:33:58,500 | ambulance because you feel like you're dying, you having chest palpitations, tightness in your chest. Tingling down your arm. I would always get this |
| 462 | 01:33:58,500 --> 01:34:07,290 | tingling in a corner my left like the corner man, less than my mouth. It was start tingling, and it would be like this numbness tingling feeling that goes |
| 463 | 01:34:07,290 --> 01:34:18,000 | right up like a gear drawing a smiley face, on the right side of my mouth from the corner up to my left eye corner. It will be like a pathway of numbness right |
| 464 | 01:34:18,000 --> 01:34:27,720 | there. And all that was was adrenaline. Because I'm not doing anything. I'm sitting there looking at my charts. What if this and what if that? What if this? |
| 465 | 01:34:27,750 --> 01:34:37,920 | What if that? And I'm basically scaring myself. And I'm releasing adrenaline, but sitting still doing nothing to burn it off. Your brain says there's |
| 466 | 01:34:37,920 --> 01:34:50,760 | emergency fight or flight. Fight or flight. Let's get it on or let's get the hell out of here. And what am I doing? sitting still looking at something that |
| 467 | 01:34:50,760 --> 01:34:58,710 | I'm constantly telling myself there's an emergency. I need to make a reaction and decision. What are we doing? And I'm doing nothing. And what if thinking |
| 468 | 01:34:58,710 --> 01:35:08,190 | what if thinking and what if thinking And then finally, cortisol, that hormone is released in my bloodstream. And now I start feeling physical symptoms. chest |
| 469 | 01:35:08,190 --> 01:35:18,780 | tightness, I'm breathing faster because my brain has been told there's an emergency right now. And I've released adrenaline. Now my heart rates faster in |
| 470 | 01:35:18,780 --> 01:35:33,600 | cortisol is a stress hormone that once it hits your body you're completely in a different state of mind. You will start feeling physical symptoms, palms will be |
| 471 | 01:35:33,600 --> 01:35:45,180 | sweaty, you'll start maybe trembling. Dizziness because you've blew off all your co2, but it feels like you're not getting oxygen, but you're just too low on |
| 472 | 01:35:45,180 --> 01:35:55,800 | co2, you blew it off the exhaling too much. Here, see the people breathe into a paper bag. What that does helps regulate your blood, blood oxygen level with the |
| 473 | 01:35:55,800 --> 01:36:07,920 | co2 so it's balanced. Get to slow your breathing down. Take your attention on something else. And I mentioned over the summer last year, I said the way you |
| 474 | 01:36:07,920 --> 01:36:18,120 | beat a panic attack is have a sweep second hand on your watch. And you feel your pulse. And you want to sleep secondhand, and you count. And what you do is |
| 475 | 01:36:18,120 --> 01:36:27,810 | you're taking your attention away from the things that you're scaring yourself with. And that's how you do it. You take the trade off halfway, or close it. And |
| 476 | 01:36:27,810 --> 01:36:37,020 | you remove your attention from the charts, physically leave the room for 10 minutes. And in 10 minutes, you'll feel silly. And you'll start you'll probably |
| 477 | 01:36:37,020 --> 01:36:48,060 | start laughing like what the hell that I just scare myself with. There's no emergency. There is no emergency. But you can trick yourself into thinking there |
| 478 | 01:36:48,060 --> 01:37:04,950 | is in if your mind's racing like that? Can you really follow your model? No. No one can. It's impossible. Zero possibility. And so many times traders fall into |
| 479 | 01:37:04,950 --> 01:37:15,960 | this condition multiple times in your career. But the first time it happens is scary as shit. Like, you're afraid you're gonna pass out what happens then most |
| 480 | 01:37:15,960 --> 01:37:25,560 | of the trade this keeps going back. And instead of losing you stopped out but the fucking worried about like I used to have panic attacks and think to myself, |
| 481 | 01:37:25,860 --> 01:37:35,070 | Wow, if I'm in a restaurant and I start choking, and then I get the food caught my throat and then finally, I end up vomiting in front of me. How embarrassing |
| 482 | 01:37:35,070 --> 01:37:45,960 | would that be? Well, how about you? What if it doesn't happen? I enjoy my meal. What the fuck it that's it. That's what the human mind does, though. It reaches |
| 483 | 01:37:45,960 --> 01:37:55,290 | for the negative all the time. And people that are toxic, they live their lives themselves, outwardly like that constant looking for something dramatize, it's |
| 484 | 01:37:55,290 --> 01:38:06,600 | constantly looking for something to criticize their miserable people. And the folks that don't do that outwardly, tend to do it in really, and then they |
| 485 | 01:38:06,630 --> 01:38:22,440 | punish themselves with anxious feelings of emotion that are unbridled. And you'll lose thought, control mastery of yourself. And now, you're not watching |
| 486 | 01:38:22,440 --> 01:38:31,710 | the market. You're not even worried about being stopped out. You're not worried about making the money. You're wondering now, am I dying? Am I having a heart |
| 487 | 01:38:31,710 --> 01:38:42,870 | attack? Am I having a stroke, because you've lost all focus. That's how all these things happen. That's the that's the road and pathway that leads right to |
| 488 | 01:38:42,870 --> 01:38:57,210 | that. Some of you may never have that experience. It'll be far and few between. But most of you will have this. If you trade with real money, it will happen. |
| 489 | 01:38:57,750 --> 01:39:08,430 | You will have an anxiety attack, you will feel like you're literally having a heart attack or stroke. And you're doing it to yourself. You're scaring |
| 490 | 01:39:08,430 --> 01:39:19,560 | yourself. cut half the trade off, stop better than break even. And let it happen. Whatever is going to happen is happening. But walk away from the charts. |
| 491 | 01:39:20,010 --> 01:39:29,520 | The stops are there to do its job that limit order will be there to get you out. Stop looking at it and give 10 minutes for your body to regulate all the |
| 492 | 01:39:29,520 --> 01:39:30,060 | hormones. |
| 493 | 01:39:35,700 --> 01:39:47,850 | For some of you young guys, or gals that never had that experience yet, you'll have you'll have a panic attack. It's a high level of stress. You may not ever |
| 494 | 01:39:47,850 --> 01:39:59,970 | want to submit to it and call it a panic attack. This is an anxious moment. But if you have racing thoughts and physical symptoms of wanting to pass out or |
| 495 | 01:40:00,000 --> 01:40:10,950 | stroke or tingling is up and down your arm or whatever, that stone. And you're sitting still, the easiest thing to do is just take a quick walk, burn it off, |
| 496 | 01:40:11,550 --> 01:40:23,310 | exercise, do some kind of physical exertion to burn that stuff off. And constantly tell yourself, there is no emergency and everything's fine. And you |
| 497 | 01:40:23,310 --> 01:40:33,570 | self talk yourself down from that, which is the reason why I teach you to self talk in your journal. Don't invite that negative stuff. Because if you bring the |
| 498 | 01:40:33,570 --> 01:40:46,890 | negative stuff in here, what you're doing is you're saying I'm pursuing right? And right, is not the goal here. consistently profitable. And if you're only |
| 499 | 01:40:46,890 --> 01:40:59,490 | framing that in the context of right only, you're going to take trades that are going to be outside the parameters that your model is, because you're thinking, |
| 500 | 01:41:00,480 --> 01:41:08,820 | this is one of those times where it's going to move and it's outside the kill zone, and is, I got time, I think it's gonna go up there, and may just get an |
| 501 | 01:41:08,820 --> 01:41:16,380 | end and push the button. And you know, damn well doing it, you're doing everything wrong. So you're not going to be in low stress, you're going to have |
| 502 | 01:41:16,380 --> 01:41:23,730 | a panic attack, worrying about it, and you're not going to treat it right, you're going to MIT to the first 20 seconds of it, and you're gonna be counting |
| 503 | 01:41:23,730 --> 01:41:32,250 | every minor fluctuation that goes against you, thinking that it's going to be the next tick before it runs 20 handles against you in one shot, one straight |
| 504 | 01:41:32,250 --> 01:41:45,120 | shot, boom, you're stopped out, not just a little bit stopped out your way, stop it. That's what your mind does the tricks you. And if you trade like that, it's |
| 505 | 01:41:45,120 --> 01:41:54,300 | because you're over leveraging too much risk. Or you're trading outside your model. And you know it in subconsciously, your analyst in you is saying you're |
| 506 | 01:41:54,300 --> 01:42:05,400 | doing things wrong. And retail Rick's driving, you've put the analyst in the backseat or left on the home, and you're shot down with retail wreck and he's |
| 507 | 01:42:05,400 --> 01:42:17,880 | had too much to drink. It's not going to be a good outcome. So your conscious will talk to you. And as you get more experience, as you get better at this and |
| 508 | 01:42:17,880 --> 01:42:29,880 | you have more wisdom, because you've been doing it longer. That voice will be a lot more comforting. And it'll guide you. And that's the thing that when you're |
| 509 | 01:42:29,880 --> 01:42:40,020 | asking me as students, how do you trust? And how do you know that the market is going to reverse like that? How do you know like that it's not going to go past |
| 510 | 01:42:40,020 --> 01:42:51,780 | that low. It's experience. The analyst is in me saying these are those instances where it does this. You've seen this before. So here's what we do. This is what |
| 511 | 01:42:51,780 --> 01:43:08,790 | we don't do. This is what we expect to see. That is what predicting. It's not reacting. It's predicting. The trader anticipates the analyst predicts the |
| 512 | 01:43:08,790 --> 01:43:19,020 | gambler, sits in the backseat and shuts the fuck up. We don't want to listen to the gambler. We're not giving the wheel to the gambler. But they're always going |
| 513 | 01:43:19,020 --> 01:43:32,070 | to be chatting. Yeah, but we could have bought more. You should hold longer. This one did better than that one. You bought the wrong pair? Shut the fuck up. |
| 514 | 01:43:32,370 --> 01:43:45,570 | Rick, it's hard to filter that out. That part of you that is always going to look for what you didn't do, right? Because retail Rick is constantly looking |
| 515 | 01:43:45,810 --> 01:43:59,550 | through the lens of right. You should not have that in your trading at all. But you're going to have it as an internal wrestling match always. Because you're |
| 516 | 01:43:59,550 --> 01:44:11,490 | going to criticize yourself and there's never going to be a bigger, critical person on this planet than you are. Nobody control ICT harder than I told myself |
| 517 | 01:44:11,490 --> 01:44:25,740 | when I don't do what I'm supposed to do. I live that shit for years. Maybe it's not that way for you. But it's human nature. For us to be judgmental with |
| 518 | 01:44:25,740 --> 01:44:40,350 | ourselves and sometimes with mental illnesses. It can manifest itself in very toxic ways, either inwardly or outwardly. So it's important that you constantly |
| 519 | 01:44:40,350 --> 01:44:58,470 | be reminded that we're not pursuing being right okay. It really is impactful when you go into your trading day. giving yourself permission to not be perfect |
| 520 | 01:45:00,750 --> 01:45:15,330 | If you're wrong, it doesn't mean that says failure. It just means you're wrong. And you can be wrong and make money. That's what a sound model does. How can you |
| 521 | 01:45:15,330 --> 01:45:26,730 | be wrong? How can you get me wrong and make money, partials, they work every fucking time. There has never been a partial, that was taken in a trade that did |
| 522 | 01:45:26,730 --> 01:45:43,410 | not yield a gain or profit. It cannot happen. A partial profit is profitable. And you take that when it offers it to you, then, if the trade doesn't go to |
| 523 | 01:45:43,410 --> 01:45:57,360 | your targets, or target final terminus, and stops you out on the balance, guess what that means? You were wrong. But you made money. books don't teach that |
| 524 | 01:45:57,360 --> 01:46:10,410 | mindset. Educators don't teach that mindset. They've been doing it since I've been talking about it. But I don't mind being a trailblazer. That's why I'm here |
| 525 | 01:46:10,410 --> 01:46:25,650 | after all. blazing trails for you all to ramble on behind me, and then find your own trailblazing. But you have to know what you're doing. You got to know how to |
| 526 | 01:46:25,650 --> 01:46:39,660 | predict price. You have to know how to predict the future. I've said it many times, folks, it's in the name of what we're doing. We're trading futures. We're |
| 527 | 01:46:39,660 --> 01:46:45,750 | dealing with the future. Everything about what we're doing is predicting the future. |
| 528 | 01:46:53,040 --> 01:46:53,760 | But when you don't |
| 529 | 01:46:53,760 --> 01:47:02,790 | understand how to predict with a great deal of consistency, what the future is likely to do, then I guess it makes sense for someone to have the mindset that |
| 530 | 01:47:03,390 --> 01:47:12,630 | your job is not to predict the future because we don't know how to do that. So therefore, let us relinquish the pursuit of anything like that and just adopt |
| 531 | 01:47:14,220 --> 01:47:26,400 | the alternative, which is, let's just react. Let's react to it. Like a knee jerk response, when your doctor takes that little rubber triangle hammer and tap on |
| 532 | 01:47:26,400 --> 01:47:33,750 | your kneecap and your leg involuntarily this kicks up. Every time I wouldn't get a physical, I used to always try to force myself, I'm not going to move, I'm not |
| 533 | 01:47:33,750 --> 01:47:46,890 | going to like to jump, I'd be mad. I don't want to react to certain things. And unfortunately, because I'm bipolar, many times I'll react to shit that I don't |
| 534 | 01:47:46,890 --> 01:47:56,700 | realize and reacting to until I'm already revved up. And nobody can talk me out of it, they can't talk me down, that's just got to do its thing. But in trading, |
| 535 | 01:47:58,170 --> 01:48:15,750 | it's the only thing in my life. That has been a means of talking, engaging, and being able to be the closest thing to normal that I can imagine, as someone who |
| 536 | 01:48:15,750 --> 01:48:27,780 | has a bipolar person, it's very difficult for me to stay balanced for a long period of time. If I'm watching price action, all of my focus all my attention |
| 537 | 01:48:28,140 --> 01:48:37,110 | is on these fluctuations inside these candlesticks. And if I'm talking in providing a narrative, in my mind, when I'm doing a live stream, like the live |
| 538 | 01:48:37,110 --> 01:48:45,780 | sessions, I'm talking to you about it. I'm literally talking out loud. The things that I'm thinking like, that's what that's exactly what it's like in my |
| 539 | 01:48:45,780 --> 01:48:56,520 | head. Look at the Twitter spaces. I don't shut the fuck up, except for catching my breath once in a while. That's what it's like in my head, nonstop, every |
| 540 | 01:48:56,550 --> 01:49:08,730 | waking conscious moment. My mind is constantly constantly going. There's never a period of quietness unless I'm meditating. And I'm only able to wrestle with |
| 541 | 01:49:08,730 --> 01:49:22,200 | three or four things, then not 500 of them all at one time. So price allows me that beautiful distraction. And my attention is there. And I'm literally talking |
| 542 | 01:49:22,200 --> 01:49:32,940 | to myself internally. The very way you hear me talking over the charts when I'm doing the live streams. I'm just saying it vocally audibly making it come out of |
| 543 | 01:49:32,940 --> 01:49:41,220 | my mouth. Whereas it's just in my head. I'm saying everything just like that nonstop. I'm looking for this to do this. I want this price to be here. I don't |
| 544 | 01:49:41,220 --> 01:49:49,530 | want it to be past this candle here. It can touch that. That is reading the tape. That's why I call it that. You don't need a depth of market that's not |
| 545 | 01:49:49,530 --> 01:50:02,130 | reading tape. That's looking a gimmick. I'm looking at price. I'm reading price. I'm reading the minds of everybody out there looking at that same In short, like |
| 546 | 01:50:02,910 --> 01:50:12,600 | Dr. Xavier, he goes in there, what's he going after in everybody's head? That's what I can teach them. He's watching his mommy candles, I'm in all your heads. |
| 547 | 01:50:13,560 --> 01:50:23,040 | I'm the ghost in the machine. I'm in there hijacking shit. I'm in there overriding retail logic. And being on the other side of what they're trying to |
| 548 | 01:50:23,040 --> 01:50:31,470 | do. I know what they're thinking when they're thinking, I know where they're placing their stops, I know why they're gonna move their stops, when they're |
| 549 | 01:50:31,470 --> 01:50:37,860 | going to move their stops, what they're hoping to see in terms of where price is going to go as much as they they don't want to say they're trying to predict |
| 550 | 01:50:37,860 --> 01:50:47,550 | price. They may not say it in the circles they hang around in, but they're trying to predict price. And I know what they want to see in price. And when I |
| 551 | 01:50:47,550 --> 01:50:55,620 | see what I know is likely to happen. And it's wrestling with that logic that they're holding on to hoping with gimmicks and bullshit. I have a high |
| 552 | 01:50:55,620 --> 01:51:09,060 | probability trade. That's the ones I tweet. That's why they work. The things I tweet, those instances are exactly the very moment when retail logic is |
| 553 | 01:51:09,060 --> 01:51:22,770 | armwrestling what I teach you, and it's losing, my shit works. That's why the things I tweet, pan out, I don't just go out and tweet, whatever comes to mind. |
| 554 | 01:51:23,130 --> 01:51:36,150 | I'm waiting for that moment where I have most of the things I like to see in my favor. And then it goes the script. Before I started this Twitter space, I sent |
| 555 | 01:51:36,150 --> 01:51:47,910 | a link out I said, go watch the Wednesday live stream, go to the three hour five minute and 32nd Mark. And you'll hear me outline where I was saying, you know, |
| 556 | 01:51:47,910 --> 01:51:58,470 | people ask, why don't you explain to us? What makes you see a trade or when a trade isn't good for you? What like how do you differentiate something that's in |
| 557 | 01:51:58,470 --> 01:52:06,840 | the charts? Like how do you know when a trade is really there? What are you looking for? Well, again, it gets back to experience. You can't? Well think |
| 558 | 01:52:06,840 --> 01:52:16,140 | about what you know. Now. Do that for a second, think about what you understand about fair value gaps and 2022 model, how price goes to old lows for liquidity |
| 559 | 01:52:16,140 --> 01:52:25,620 | above old highs for liquidity. And time of day when certain things form. You didn't know that shit months ago. Look how much more you understand now. Now try |
| 560 | 01:52:25,620 --> 01:52:39,000 | to think about how you that didn't know what you know right now. How could you understand yourself explaining your present understanding to how you didn't |
| 561 | 01:52:39,000 --> 01:52:50,310 | understand it, then that's the predicament I'm in as a mentor. You need to experience it, you need to see it. And knowing yourself because you're the same |
| 562 | 01:52:50,310 --> 01:53:01,320 | person back then. And here. Right now what you have more understanding, you know that no amount of talking, no amount of jawboning about what it is and what it |
| 563 | 01:53:01,320 --> 01:53:12,360 | isn't. Your ignorant self, before you've learned how to do what you've know now would never appreciate anything. Even if you yourself went back from the fucking |
| 564 | 01:53:12,360 --> 01:53:22,050 | future. You'd be like, What the hell you talking about? Because you weren't there, day after day, week after week for now, a couple months now, seeing it |
| 565 | 01:53:22,800 --> 01:53:33,150 | explained before it happens. You can't take that experience and articulate it. Words aren't going to reach far enough. It's because you have experience. So |
| 566 | 01:53:33,150 --> 01:53:43,260 | that's what I mean, when I say when certain questions are asked, how do you how do you this? And how do you do that? Experience 30 years. And you're getting |
| 567 | 01:53:43,260 --> 01:53:51,180 | that experience every time that we spend time together. When you're looking at your own chart study, you're getting that experience. You don't realize it. It |
| 568 | 01:53:51,180 --> 01:54:03,990 | feels so infinite, not infinite, but it feels so insignificant right now because it's early in your development. Every time a baby tries to start to stand up, it |
| 569 | 01:54:03,990 --> 01:54:14,250 | hasn't been able to even stand on its own yet. But it tries to stand up and it falls over. Every little time it does that. It's incremental experience. And |
| 570 | 01:54:14,250 --> 01:54:21,870 | finally one day you come home from work and you kid go walk around. It just happens like that. But it didn't just get up out of the womb and start running |
| 571 | 01:54:21,870 --> 01:54:40,500 | around. It's incremental. But you have to have patience. But you're not going to learn it fast. It doesn't doesn't happen that way. But the best way of doing is |
| 572 | 01:54:40,500 --> 01:54:53,730 | seeing me explain it real time. And there is no gaming of trading view when you're calling it real time. Every minute. Sorry. When you record your trades, |
| 573 | 01:54:53,820 --> 01:55:04,680 | entry, placement management, there is no gaming that it's what it is. For the last few days, even though I wasn't with you all, early morning before the |
| 574 | 01:55:04,680 --> 01:55:12,960 | morning session, because I was running around in the banks and such, I spent time with my older students, and I was calling the market with them. And they |
| 575 | 01:55:12,960 --> 01:55:20,940 | watched in the markets paying out to scrip there too. I mean, they've they're used to it. I mean, when I used to teach every single day for them, they would |
| 576 | 01:55:20,940 --> 01:55:29,430 | see those types of things on a daily chart, hourly chart, and 15 minute chart and five minute chart. You all have been conditioned to expect that now from |
| 577 | 01:55:29,430 --> 01:55:41,280 | these concepts, because I've been doing it with you all, since last year. In November, all that stuff stops in, you'll have to depend on your own time and |
| 578 | 01:55:41,280 --> 01:55:50,610 | energy put into this. But by then you'll know what you're supposed to be doing. You'll know what to go in and practice your drills with. And I practice still, I |
| 579 | 01:55:50,610 --> 01:55:59,820 | know how to do this, but I still practice. I take myself into events like non farm payrolls, and I study where do I think that the liquidity is for this? On |
| 580 | 01:55:59,820 --> 01:56:10,950 | the CPI number, I told you the the boundaries of how far that we're going to reach for for liquidity for CPI, and it dropped like immediate right down to the |
| 581 | 01:56:10,950 --> 01:56:21,600 | sell side went one tick into the level beyond it lower. And then right on up. Pretty neat. That's the game I like to play with price action. And when I know I |
| 582 | 01:56:21,600 --> 01:56:26,460 | don't want to trade it, I want to see how will my algorithm reach for price action? |
| 583 | 01:56:27,479 --> 01:56:35,699 | Where is it going to reach for where's the liquidity? And when you see it like that, it's just it's just fingerprint. That's all it's all I'm showing you is |
| 584 | 01:56:36,089 --> 01:56:49,919 | that these things repeat because it's coded. It's written this way. And you see enough of it now to know that it's beyond coincidence. And it's something that |
| 585 | 01:56:49,919 --> 01:57:01,799 | you can do yourself. You can wait for these instances to see price do certain things to tip its hand to you. Can you wait, just like Smart Money does. It |
| 586 | 01:57:01,799 --> 01:57:12,839 | waits for the market to tip its hand. It's not waiting for patterns, the form. It's not waiting for app indicators and averages, the crossover, all that stuff |
| 587 | 01:57:12,869 --> 01:57:26,339 | is the opposite of what you're supposed to be looking at. You're waiting for a certain time of day, day of week, economic calendar, operating Times, New York |
| 588 | 01:57:26,339 --> 01:57:36,479 | session morning, New York session, afternoon, London session in your waiting for the market to tip its hands on where it wants to go. That's to draw on |
| 589 | 01:57:36,479 --> 01:57:48,659 | liquidity. But every single day, folks listen every single day. The market gravitates to buy side liquidity or sell side liquidity. And before it gets |
| 590 | 01:57:48,659 --> 01:58:00,389 | there, there is a fair value gap. That's always there. It's always there, folks. It's never going to be hidden from you. They're never going to fucking change |
| 591 | 01:58:00,389 --> 01:58:08,849 | the algorithm and remove that. It's not going to happen. That's not going to happen. There's always going to be people out there placing stop loss orders to |
| 592 | 01:58:08,849 --> 01:58:20,399 | get in or to get out of a trade. That's that's liquidity that's necessary. That's fundamental to how markets are booked. You need another Counterparty. And |
| 593 | 01:58:20,429 --> 01:58:32,249 | thankfully, this like PT Barnum said, and there's a sucker born every two seconds, so it may not in two seconds. But the point is, there's suckers born |
| 594 | 01:58:32,249 --> 01:58:41,009 | all the time that want to come in here with their retail bullshit harmonic patterns. Elliott Wave horseshit, Yin and Yang is on their chart. All that stuff |
| 595 | 01:58:41,519 --> 01:58:53,579 | is a reason for them to do what? Push a button. That's it, that's the instigation the, the the cause for them to do it. And the effect of that, that |
| 596 | 01:58:53,579 --> 01:59:06,809 | result sometimes is lacking. You have been conditioned to anticipate precision. That's where your pursuit is you're not trying to be someone that pursues being |
| 597 | 01:59:06,809 --> 01:59:20,159 | right. Because at some point, being right is going to no longer be enough. So what do you do to satisfy when you're right more times and you're not? How do |
| 598 | 01:59:20,159 --> 01:59:41,429 | you say status satisfied? You pursue excellence. Excellence in execution, excellence in precision. Excellence in managing risk. You refine your craft to |
| 599 | 01:59:41,429 --> 01:59:48,359 | be razor sharp, always at the ready. dialed in |
| 600 | 01:59:55,140 --> 01:59:58,140 | that is the pursuit that is not |
| 601 | 01:59:59,370 --> 01:59:59,970 | going to be right |
| 602 | 02:00:02,220 --> 02:00:18,690 | I gotta be right. When you do everything correctly through your model, the output that you get from that will be easily referred to in hindsight as you did |
| 603 | 02:00:18,690 --> 02:00:31,920 | that, right? There's a difference there. You're pursuing something else as the goal. But by doing that, you get what it is that you're trying to do initially |
| 604 | 02:00:31,920 --> 02:00:43,500 | as a new trader, given to you, you get it as the result. But your pursuit is not to be right. Your pursuit is the follow the model, the logic, the plan, price |
| 605 | 02:00:43,500 --> 02:00:56,190 | action, studying what it is you're doing, and waiting for any kind of input through your watching of price, or the experience factor that the analyst is |
| 606 | 02:00:56,190 --> 02:01:04,350 | going to come welling up inside of you speaking to you through your content, saying, Okay, we're in troubled waters. Okay, I'm feeling a little disoriented |
| 607 | 02:01:04,350 --> 02:01:12,930 | right now, I feel that this trade is questionable now. So I'm not going to sit here and waste any time develop a panic attack, I'm not going to waste mental |
| 608 | 02:01:12,930 --> 02:01:24,270 | capital. Because there might be another opportunity. And if you're bogged down with this, you won't be able to see it. So how do you do it? Half the trade off? |
| 609 | 02:01:24,480 --> 02:01:34,800 | If I can't do half, kill it done? Spend 10 minutes doing something else? How hard is that? It's gonna feel impossible when you're in it. But you got to |
| 610 | 02:01:34,800 --> 02:01:44,310 | remember this lecture. Now. This is it. This is the standard operating procedure. This is your SOP, when the shit hits the fan, and you are now in |
| 611 | 02:01:44,310 --> 02:01:52,050 | troubled waters, and you have lost the plot about the trade, you don't even know what you're supposed to be doing. Stop Loss is a problem that targets a problem |
| 612 | 02:01:52,050 --> 02:02:05,340 | holding is it's hard. It's a problem, you don't want to get out, you don't know what to do. You're like a sailboat out in the ocean with no rudder wherever the |
| 613 | 02:02:05,340 --> 02:02:15,420 | wind takes you, and that can be scary. And it's justified for you. If you lose sight of what it is you're doing, you're disoriented for you to feel that way. |
| 614 | 02:02:15,720 --> 02:02:31,860 | So the way you gain control, remove risk, have the position taken off and leave the charts, minimum 10 minutes. And I promise you, you will walk back with a |
| 615 | 02:02:31,860 --> 02:02:41,760 | fresh perspective and you're not not going to be disoriented. And you might see something insurance says you know what, everything's okay. If you get another |
| 616 | 02:02:41,760 --> 02:02:49,920 | fair value gap, or something else that gets you into at another partial, you can put back on the part that you just took off. Let's see what this walked you |
| 617 | 02:02:49,920 --> 02:02:57,210 | through. I walked you through how to manage yourself psychologically and emotionally. In the time when you will experience this with real learning, I |
| 618 | 02:02:57,210 --> 02:03:08,370 | promise you, you trade long enough, you're going to have this occur in your trades. The problem is, if you have it frequently occurring or manifesting, you |
| 619 | 02:03:08,370 --> 02:03:19,050 | are over leveraging. That's the clearest indication that you're using too much sighs it's hard for you to hold a trade and you're questioning whether you |
| 620 | 02:03:19,050 --> 02:03:31,590 | should get out. That is always a factor with over leveraging. So dial it back, go down one size less. And if you still feel that way, go down one size less, |
| 621 | 02:03:31,800 --> 02:03:42,720 | until you find that sweet spot. In that sweet spot where you put a trade on, you don't care, it might be two contracts for ES it might be just one. And you can |
| 622 | 02:03:42,720 --> 02:03:55,080 | build a career on just that. You don't need to build it bigger than that. But once you understand what a pyramid, you can start with one contract. And every |
| 623 | 02:03:55,080 --> 02:04:06,900 | time it gives you a opportunity to enter but not so close to your original entry. That it's makes difficult. You can like for instance, say you want to |
| 624 | 02:04:07,260 --> 02:04:22,290 | sell short the Yes. You sell short, that 4000 Hypothetically, and it drops down and pulls back into a fair value gap that's still bearish at 3996. Okay, you can |
| 625 | 02:04:22,290 --> 02:04:33,330 | sell short one more there. They breaks down goes into 87 comes back up to 90 into a fair value gap or bearish breaker. You can add one more there, you're |
| 626 | 02:04:33,330 --> 02:04:45,570 | still trading one contract. But every one of these new pyramid entries is a trade in and of itself. And you gradually build up that way. But you're still |
| 627 | 02:04:45,570 --> 02:04:59,010 | one contract trader. You're just adding more incrementally one contract at a time. That's called pillorying. We just adding one to the original position one |
| 628 | 02:04:59,280 --> 02:05:09,960 | whereas a pyramid It is, you put your biggest position on first reduce it, your next entry would be on that. And then reduce that size and then take the next |
| 629 | 02:05:09,960 --> 02:05:20,340 | trade. That's a pyramid. That's how I, you see me do six contracts, three contracts, one, and I'm at 10. Lot. That's my, that's like my bread and butter |
| 630 | 02:05:20,340 --> 02:05:29,670 | go to, that's the thing I'm reaching for. And it's why 99% of the trade execution, do you see me doing that? Is it advantageous to do it any other way, |
| 631 | 02:05:29,790 --> 02:05:42,960 | it's just something that's my, that's just me, I can do less I can do more. This is that's I like to have 500 hours per point. And 10 contracts on many will get |
| 632 | 02:05:42,960 --> 02:05:55,500 | you there. But you can go in scaling in with six, three, and then one. And every time I'm adding, I'm adding less, while there's profit behind that one. So even |
| 633 | 02:05:55,500 --> 02:06:05,670 | if it moves against me, it's not a huge compounded loss. And to understand, what I'm saying is, if you just go look at my examples I have on Twitter, in the few |
| 634 | 02:06:05,670 --> 02:06:18,900 | I have on my YouTube channel, when I'm showing you pyramid position building. That is based on I already have equity in trade. And I'm not going to risk that |
| 635 | 02:06:18,900 --> 02:06:29,280 | equity to a point where it's going to make me a larger loss, if it goes against me, once I have my full position on. But you'll learn all that stuff. Well, |
| 636 | 02:06:29,310 --> 02:06:39,480 | we'll be doing all that stuff in the summertime teach you how to build pyramid things and scaling and stuff like that. But I'm not sure where I got this idea |
| 637 | 02:06:39,480 --> 02:06:48,990 | kind of like it was on a whim tonight to talk about all this. And I hope it was helpful to you. Here maybe if not anything else maybe was a little bit |
| 638 | 02:06:48,990 --> 02:07:01,320 | entertaining. But the the things I mentioned in here are real world experiences, I went through it myself. And as a 20 year old. You tend to think that you knew |
| 639 | 02:07:01,320 --> 02:07:10,530 | everything, when you don't know shit. And I had that moment before, whereas I know a little bit more than the average bear now. But then I really believed I |
| 640 | 02:07:10,530 --> 02:07:24,750 | knew everything. I didn't knew anything. So when I got these points of panic, because I readily recognized that I was in over my head, I was doing trades that |
| 641 | 02:07:24,750 --> 02:07:34,920 | I shouldn't have been taking, taking and building up those because I was doing it. And I wrestled with the whole the whole time I was in a trade. And I |
| 642 | 02:07:34,920 --> 02:07:45,180 | couldn't tell you what the price was. Even though I was looking at the chart, that's how disoriented I was. And that can happen to you. If you're over |
| 643 | 02:07:45,180 --> 02:07:58,650 | leveraging, you lose completely. Every frame of focus, all sound logic, everything completely. It's like you're drunk. And I've never been drunk in my |
| 644 | 02:07:58,650 --> 02:08:08,490 | life. But that's what it felt like looking back and thinking about like, I was not in the right state of mind. I had no idea what I was doing. And if anybody |
| 645 | 02:08:08,490 --> 02:08:20,220 | was to sit down and grabbed me by my arm and say, Hey, Michael, listen, this is you need to get a treat, I wouldn't, I wouldn't take the advice. Like I was |
| 646 | 02:08:20,220 --> 02:08:33,600 | completely underwater, drowning. But foolishly keeping my head under the water myself. And that's what you do. When you blow your account. You do that? Or it's |
| 647 | 02:08:33,600 --> 02:08:42,060 | gamblers numbness or you just sit there and you press the button. Remember the analogy I use when I want to my first year wedding anniversary, and I was trying |
| 648 | 02:08:42,060 --> 02:08:50,370 | just to lose the 100 hours, I just wanted to lose it to be dominant. I could have just said you know what? Yeah, I lost 80 bucks, 90 bucks, I'll put the $10 |
| 649 | 02:08:50,400 --> 02:08:58,980 | in my pocket and grab an ice cream or something with my wife. And there it is. That would have been better decision. But it doesn't feel like a better decision |
| 650 | 02:08:58,980 --> 02:09:10,410 | when you're there. Because now you're pursuing something and you don't want your pursuit to be about being right. So hopefully you found something useful in this |
| 651 | 02:09:10,410 --> 02:09:20,640 | one tonight. Hopefully I've given you something to work with in terms of managing the psychological demands that we place on ourselves as as traders and |
| 652 | 02:09:20,640 --> 02:09:29,700 | when we end up in these deep waters. So I'll talk to you next time. I won't be doing a tour of space tomorrow. Obviously everyone here tonight. Want to enjoy |
| 653 | 02:09:29,700 --> 02:09:39,510 | my weekend with my kids and my wife and I we back out again next Monday, Lord willing and to talk to you then enjoy your weekend. Be safe |