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The Dark Side of Day Trading Nobody Talks About · Earn Your Leisure

• 0:00
  Speaker 1: Let's go to the trading tip of the week.
• 0:03
  Speaker 2: Most traders will be better off trading off the one
• 0:05
  Speaker 2: hour or the two hour and having less trades per month,
• 0:09
  Speaker 2: but having entries at a better entry price to avoid
• 0:14
  Speaker 2: being stop on it. I know it's a lot more
• 0:16
  Speaker 2: fun to probably trade off of a two minute sixty
• 0:21
  Speaker 2: second chart. Some people are trading. I've even seen people
• 0:25
  Speaker 2: trade ten second charts. It's exciting and exhilarating, but.
• 0:32
  Speaker 3: Less is more.
• 0:33
  Speaker 2: And the reason why I bring this up, I've had
• 0:38
  Speaker 2: a conversation with somebody yesterday who was on the verge of.
• 0:42
  Speaker 3: Taking their life because of a loss.
• 0:45
  Speaker 2: And when you get to that point, that's not the
• 0:49
  Speaker 2: time for counseling for what went wrong and what could
• 0:52
  Speaker 2: have been done better, etc. But whenever I've had these conversations,
• 0:56
  Speaker 2: it was because the leverage was too big, and then
• 0:59
  Speaker 2: the time horizon and that you're trading off of it's
• 1:01
  Speaker 2: too small. Now when the market is closed, everyone says, well, yeah,
• 1:04
  Speaker 2: I'm gonna look at the week, the day, the hour,
• 1:06
  Speaker 2: then I'm gonna go to the ten second chart to
• 1:08
  Speaker 2: make my entry. If you've ever traded off of micro timeframes,
• 1:12
  Speaker 2: it's moving so fast. All you can do is put
• 1:14
  Speaker 2: your eye on the smaller time frame chart, so you'll
• 1:18
  Speaker 2: be much better trading off the one hour or the
• 1:20
  Speaker 2: two hour, or in your swings, trading off the eight
• 1:23
  Speaker 2: hour in the.
• 1:24
  Speaker 3: Twelve hour and have a bigger macro view.
• 1:27
  Speaker 2: A post is constantly trading on the smaller timeframe trying
• 1:30
  Speaker 2: to get a better entry, and you're not seeing the
• 1:32
  Speaker 2: big macro picture of what's going on in your trades.
• 1:36
  Speaker 3: That's ten seconds. I guess you gotta know what kind
• 1:39
  Speaker 3: of I mean.
• 1:41
  Speaker 2: Even with that, that's one of the biggest lives that
• 1:44
  Speaker 2: ever get told in investing in trade until you gotta
• 1:47
  Speaker 2: know your personality. Your personality does not give a damn
• 1:50
  Speaker 2: Like it doesn't matter when they get to sweep on liquidity. Yeah,
• 1:53
  Speaker 2: you gotta know the real bis. That sounds good. People
• 1:56
  Speaker 2: tell you that because they don't want to tell you
• 1:58
  Speaker 2: the answer of wading to buy. It's like when buff
• 2:00
  Speaker 2: It'll be like, yo, just just about the S and
• 2:02
  Speaker 2: P five hundred. I know that this shit, respectfully, but
• 2:05
  Speaker 2: tell me the real thing to buy that you're going
• 2:08
  Speaker 2: to put thirty five percent of your holdings into. The
• 2:11
  Speaker 2: personality does not matter on when the liquidities sweep and
• 2:14
  Speaker 2: stop onto.
• 2:15
  Speaker 3: That is true.
• 2:16
  Speaker 4: I'm just speaking from a just personal standpoint, like the
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  Speaker 4: idea of watching something on a ten second chart trying
• 2:21
  Speaker 4: to invest on the state, it's I mean you have
• 2:26
  Speaker 4: people who will scalp and and from that standpoint, like,
• 2:29
  Speaker 4: know what you want to do, not the type, but
• 2:31
  Speaker 4: just know what you want to do, right, because that
• 2:33
  Speaker 4: is extremely volatile.
• 2:36
  Speaker 3: It would cause me anxiety. Right if I'm at algos,
• 2:39
  Speaker 3: don't even do it like it's a.
• 2:41
  Speaker 4: Great And if you're traded ten seconds, right, think about
• 2:43
  Speaker 4: what the algorithmic traders are doing. Like they're doing less
• 2:46
  Speaker 4: than a second, they're doing a tenth of a fraction
• 2:49
  Speaker 4: of a second, So you're actually still behind by a
• 2:53
  Speaker 4: large gap in terms of time.
• 2:55
  Speaker 2: And even when the algos are trading those fraction of
• 2:58
  Speaker 2: a second trades, they're still looking at price disparities on
• 3:02
  Speaker 2: high time frames. Yeah, be careful, not saying that it
• 3:06
  Speaker 2: can't be done, but for ninety nine point eight percent
• 3:09
  Speaker 2: of people, it's not gonna happen.
• 3:13
  Speaker 4: My trading tip is this, And I mean Shorty had
• 3:15
  Speaker 4: this conversation earlier. You know, nobody spoke about this, but
• 3:20
  Speaker 4: quadruple witching actually happened last week right, And so that's
• 3:25
  Speaker 4: when option contracts expire, and the large amounts of it.
• 3:28
  Speaker 4: When the year starts, it's usually four dates that come out.
• 3:31
  Speaker 4: It's usually a January date, there's a March, there's a June, September,
• 3:34
  Speaker 4: and then usually towards the end they'll put out the
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  Speaker 4: December one, and so it goes in rotation, and that
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  Speaker 4: would be five.
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  Speaker 5: But like January, it kind of fluctuates. And so why
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  Speaker 5: is that important?
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  Speaker 4: Because the June options expired that June nineteenth date, obviously
• 3:47
  Speaker 4: the market was closed, but they expired on June eighteenth.
• 3:52
  Speaker 3: New contracts start to be created.
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  Speaker 4: And so when I'm talking about adding to the expiration date,
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  Speaker 4: now I'm looking at Okay, if June twenty six is
• 4:02
  Speaker 4: off the table, are we now going into jan one
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  Speaker 4: or January or whatever date twenty twenty nine.
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  Speaker 3: I'm looking two and a half years out.
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  Speaker 4: I'm looking for companies that have depreciated in value that
• 4:14
  Speaker 4: are going to be strong companies. I'll just use an
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  Speaker 4: example Microsoft right trading at below twenty to thirty percent.
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  Speaker 4: Strong company, has a strong balance sheet, has cash flow.
• 4:27
  Speaker 4: Can we look to contracts out there? So that would
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  Speaker 4: be my trading tip of the week. Once you start
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  Speaker 4: to see quadruple witching happening, which is a lot of
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  Speaker 4: sell off, new contracts are created.
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  Speaker 3: So let's start looking.
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  Speaker 4: Out to those dates. I'm sure and video will be
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  Speaker 4: out to January twenty nine. At some point in the
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  Speaker 4: next two weeks, Microsoft, Apple, all the mega megacap companies
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  Speaker 4: will start expanding out and then the ets will go
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  Speaker 4: out as far there as well.
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  Speaker 5: So if we want to buy time, this is the
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  Speaker 5: time to start looking at them early.
• 4:54
  Speaker 2: Yeah, switch a features contracts over too, Nope, yeah, do
• 4:58
  Speaker 2: you switch your contracts over jus.
• 5:02
  Speaker 1: For somebody said, what is triple witching?
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  Speaker 4: Quadruple witching, so that I'll give you the dates and
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  Speaker 4: then I'll give you the definition. So that's going to
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  Speaker 4: happen four times a year. It is the third week
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  Speaker 4: of the last in the last month of each quarter,
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  Speaker 4: so March, the third week of March, third week of June,
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  Speaker 4: third week of September, and third week of December. Where
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  Speaker 4: option contracts and futures contracts. I shouldn't just say options,
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  Speaker 4: derivative contracts originated and a large amount of them expire. So,
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  Speaker 4: for example, if you go out into twenty twenty eight,
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  Speaker 4: right now there might be just three months that are
• 5:38
  Speaker 4: out there. If you're looking to buy contracts, why are
• 5:40
  Speaker 4: we doing that? Because again, time is our most valuable asset,
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  Speaker 4: and so if you look in it says January twenty
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  Speaker 4: twenty eight, it might say June twenty twenty eight, and
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  Speaker 4: it might say December twenty twenty eight, and those are
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  Speaker 4: the only three expiration dates you can.
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  Speaker 3: Have in that year.
• 5:55
  Speaker 5: At time gets closer, you're going to start to see more.
• 5:57
  Speaker 4: You'll see March, you'll see September, you'll see where you
• 6:00
  Speaker 4: start to see August. Like if you did that in
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  Speaker 4: the year twenty twenty six, you look every month, is there.
• 6:05
  Speaker 5: So witching right? Large sell off, large origination.
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  Speaker 4: So that's why it's important to know those days because
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  Speaker 4: if we're looking out to buy time, but here comes
• 6:14
  Speaker 4: the time where new contracts are being originated, as a
• 6:16
  Speaker 4: lot of them are being sold off.
• 6:19
  Speaker 2: And if you guys look on Charles Schwab, if you're
• 6:21
  Speaker 2: trading in the futures, there's a vertical green line that
• 6:26
  Speaker 2: tells you the expiration and then on the red line
• 6:29
  Speaker 2: it tells you the date in which is switches. So
• 6:31
  Speaker 2: if you want to see when those expirations are or
• 6:34
  Speaker 2: those witching cycles are. You can do it on Thinker
• 6:36
  Speaker 2: Swim and they'll be right there in your chart for you.
• 6:40
  Speaker 6: Hit the like button, and shit, we will be going
• 6:42
  Speaker 6: over the AI blueprint. We're gonna be talking about some
• 6:47
  Speaker 6: very very very important topics shortly. So share, hit the
• 6:51
  Speaker 6: light button, tell a friend to tell a friend. Let's
• 6:55
  Speaker 6: talk about June. You talked before about stock market never
• 6:59
  Speaker 6: peaks in June, so explain that for people that might
• 7:03
  Speaker 6: not have fully understood what you meant by that.
• 7:06
  Speaker 2: Yeah, so maybe I'll caused some confusion. So I want
• 7:09
  Speaker 2: to take accountability and say, if you got confused on
• 7:12
  Speaker 2: the talking point order stat, I want to clear it
• 7:14
  Speaker 2: up for you to this. So when I said the
• 7:16
  Speaker 2: market never peaks in June, what it means the high
• 7:19
  Speaker 2: for the year is not made in June. The worst
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  Speaker 2: month for the market usually is September. July will present
• 7:27
  Speaker 2: it as a buying opportunity. August will probably present during
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  Speaker 2: the investmentst as a buying opportunity. But the highest for
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  Speaker 2: the year for the S and P and the Dial
• 7:37
  Speaker 2: and the Russell don't happen mid year. And in terms
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  Speaker 2: like on a stat basis, It's one that I like
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  Speaker 2: to lean on a lot. So if we have any
• 7:46
  Speaker 2: pullbacks in June or July, I'm usually very happy about them.
• 7:50
  Speaker 2: So some people thought I meant that the high happens
• 7:52
  Speaker 2: in June. That's not what I was inferring. But if
• 7:56
  Speaker 2: that's how it came across because of me, I apologize.
• 7:58
  Speaker 2: But the market never peaks in June. It's usually later
• 8:04
  Speaker 2: in the year, in November when the market does peak.
• 8:07
  Speaker 2: So if I cast some confusion, my apologies, even though
• 8:12
  Speaker 2: if you listen closely, it shouldn't have caused that, But
• 8:14
  Speaker 2: I apologize from my heart.
• 8:16
  Speaker 1: Appreciate it. Accountability is everything.
• 8:19
  Speaker 2: Kind of accountabilities can accountability corner for sure?
• 8:24
  Speaker 6: Yep, the Pitch competition finalists have been set. We will
• 8:29
  Speaker 6: will announce it later on not this show, but like
• 8:32
  Speaker 6: later on, like the coming weeks. But okay, Pitch competition
• 8:36
  Speaker 6: finalists have been They have been set, so those those
• 8:40
  Speaker 6: people are are locked in.
• 8:46
  Speaker 2: Before we go, Can I talk about the really quick
• 8:48
  Speaker 2: about the conversation I had with the gentlemen. Some telltale
• 8:52
  Speaker 2: signs and you're trading that it's about to go wrong.
• 8:57
  Speaker 3: Troy Rashard, you'll love this.
• 8:59
  Speaker 2: Uh, he was doing intra day options on a well,
• 9:07
  Speaker 2: I won't tell this time frame because I want his
• 9:08
  Speaker 2: business out there. And he was doing intra day futures
• 9:11
  Speaker 2: contracts at the same time, sixty contracts apiece on both sides.
• 9:19
  Speaker 2: So I said, okay, you have some skill because you
• 9:23
  Speaker 2: have capital to trade these things, but why are you
• 9:27
  Speaker 2: trading both intra day and I know a lot of
• 9:31
  Speaker 2: times the desire to make the money fast is there,
• 9:36
  Speaker 2: but at least if you're going to do two derivatives
• 9:39
  Speaker 2: options and futures. If you're going to do intra day futures,
• 9:44
  Speaker 2: do call options to give you two years or a
• 9:47
  Speaker 2: year and a half out. Or if you're going to
• 9:48
  Speaker 2: do interra day options, which I don't recommend, at least
• 9:51
  Speaker 2: swing trade the future so you have thirty days. Don't
• 9:55
  Speaker 2: entra day trade both. And he showed me his account.
• 9:59
  Speaker 2: He showed me his trade. Is a good trader, but
• 10:02
  Speaker 2: please remember this. Being a good trader, you can now
• 10:05
  Speaker 2: outwork bad numbers through technical analysis. My first question was
• 10:12
  Speaker 2: what's your risk of reward? I'm just trying to take
• 10:14
  Speaker 2: profit once it gets back to the midline after it
• 10:17
  Speaker 2: sweeps a low. That's not a mathematical formula shot even
• 10:21
  Speaker 2: build No Fucker Urt Museum off a non mathematical formula
• 10:24
  Speaker 2: like that. The thing that I love about, like any business,
• 10:29
  Speaker 2: once you get to the mathematical science of it, even
• 10:33
  Speaker 2: if you go on media watch time, the conversion. Everything
• 10:37
  Speaker 2: has a science around numbers. It can't be feel. There's
• 10:40
  Speaker 2: no feel in investing this all numbers. So know your
• 10:43
  Speaker 2: risk to reward. Know your contract sizing. Know if you're
• 10:48
  Speaker 2: risking one, if you're going to make five or eleven,
• 10:50
  Speaker 2: But if you're risking one to one or one to three,
• 10:54
  Speaker 2: you only need.
• 10:55
  Speaker 3: Three bad trades to blow up your account.
• 10:58
  Speaker 2: If it ever gets that bad where you are going
• 10:59
  Speaker 2: to take your life over a trade, call me first.
• 11:04
  Speaker 2: But if you are trading big contract sizes, it's really
• 11:10
  Speaker 2: important to let them contracts run and don't fake like
• 11:16
  Speaker 2: you're going through something just so I can help you out, please,
• 11:19
  Speaker 2: But I beg you guys, get you that.
• 11:27
  Speaker 3: Call your boy so.
• 11:29
  Speaker 2: But if you are trading size, you have to let
• 11:32
  Speaker 2: things be able to work out in your favor and
• 11:35
  Speaker 2: live to trade another day. Now, when he was hitting,
• 11:38
  Speaker 2: oh he was hidden, he was hitting. But to lose
• 11:41
  Speaker 2: four or five hundred thousand in the day and it's
• 11:44
  Speaker 2: a bad part of that. Now you lose the trade,
• 11:46
  Speaker 2: now you want to work to get it back. It's tough, bro,
• 11:51
  Speaker 2: And biggest violation all no stop loss on either m hmm.
• 11:56
  Speaker 2: I was in the airport.
• 11:57
  Speaker 3: I was talking to you. I said, Bro, look at this,
• 11:59
  Speaker 3: He said, why is he trading no stop? I said, damn,
• 12:02
  Speaker 3: I don't even know you knew how to trade. He said, Bro,
• 12:04
  Speaker 3: I know not that not had no stop? Are you crazy?
• 12:07
  Speaker 3: No stop loss on the options or the futures. So
• 12:11
  Speaker 3: that's my list, quick sidebar lesson if you guys want
• 12:14
  Speaker 3: to chime in,