Latest / Earn Your Leisure / Cliff Notes: KEYS TO STOCK OPTIONS

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Cliff Notes: KEYS TO STOCK OPTIONS · Earn Your Leisure

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  Speaker 3: Yeah.
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  Speaker 4: Man, so obviously you know, like we said, do your
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  Speaker 4: own research. And so I was in the lab this
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  Speaker 4: morning and right before I actually called Ian and he
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  Speaker 4: ain't pick up. But I'm like, ooh, I'm looking at
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  Speaker 4: my charts, going over my calls because I'm reevaluating my
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  Speaker 4: portfolio and low and behold, I see January nineteenth, twenty
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  Speaker 4: twenty four. I was actually looking at SMH, looking at
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  Speaker 4: for the future of SMH, and so I'm like, oh,
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  Speaker 4: SMH is January twenty twenty four. Let me check the
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  Speaker 4: that's to my table. Oh ac'ts okay, January twenty twenty four.
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  Speaker 4: Oh wait wait, let me check Apple. And so long
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  Speaker 4: story short, option chains have extended to obviously January nineteen,
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  Speaker 4: twenty twenty four. And so right now, I was in
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  Speaker 4: the lab all day, redesigning the portfolio to say, all right,
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  Speaker 4: we can go with a longer term play here, we
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  Speaker 4: can go with a longer term situation here, and I
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  Speaker 4: put the back call out. I put it in the
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  Speaker 4: group chat. It was like the first person to respond
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  Speaker 4: Wall Street trapper. He said, yes, brother, But he also
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  Speaker 4: said that something very important, and we mentioned it at
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  Speaker 4: the beginning of September, that quadruple witching happens in September.
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  Speaker 4: And so for everybody that is interested in getting option
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  Speaker 4: calls at this point, I would definitely and this is
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  Speaker 4: just recommended.
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  Speaker 3: You don't have to do it, but I would wait
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  Speaker 3: after witching.
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  Speaker 5: Tell them about the chain. What is the option chain?
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  Speaker 5: Anybody that might be watching Monday that doesn't know about
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  Speaker 5: options too much, what is the option So.
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  Speaker 4: The option chain is really the expiration day, right, and
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  Speaker 4: so each each stock has an expiration date and like,
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  Speaker 4: so this week, what's what's Friday September. I think I
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  Speaker 4: have an option that's expiring September eighteenth, September seventeenth, seventeenth,
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  Speaker 4: there will be contracts and the option even in the
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  Speaker 4: futures market, that will be expiring. And so when you
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  Speaker 4: see contracts aspiring, usually that means obviously when some expired,
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  Speaker 4: there will be new ones created. And so usually around
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  Speaker 4: which and you'll see new ones created or options extended.
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  Speaker 4: And so when I say new ones created, I want
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  Speaker 4: to be very clear, twenty twenty four is an extension, right,
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  Speaker 4: that's a new year. When I say new ones created,
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  Speaker 4: I mean so like if we're in September twenty twenty one,
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  Speaker 4: you may see new ones created like February twenty two,
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  Speaker 4: or you might see March twenty two. So they've extended,
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  Speaker 4: but not a new year. And so this week and
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  Speaker 4: I think some of them, I believe September third, we
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  Speaker 4: started seeing some of them, some of them open today,
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  Speaker 4: and so that's good. And there's a few reasons why
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  Speaker 4: I think it's a good thing. It's because when the
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  Speaker 4: option call opens, you can see its initial price. You
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  Speaker 4: can see where it was valued at. Two things whyle
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  Speaker 4: that matters, right, two reasons. You can see if you're
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  Speaker 4: gonna buy it undervalue. Right, So if that option price
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  Speaker 4: opened at twenty five or two dollars and you buy
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  Speaker 4: it at seventy nine cents, you can see that there's
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  Speaker 4: been a drop in this option call.
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  Speaker 3: This might be a good place to get in, right.
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  Speaker 4: If you're looking at the asking a bid, or if
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  Speaker 4: you're getting it it opened at two dollars and now
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  Speaker 4: it's at five to seventy, Right, Obviously this has run
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  Speaker 4: up a little bit. This might not be the best
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  Speaker 4: place for you to get in. And so these are
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  Speaker 4: some of the things that I'm looking at when I'm
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  Speaker 4: looking at option calls. And then like in two days,
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  Speaker 4: I'm going to get a call from a shop bellow
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  Speaker 4: and he's gonna tell he go, say, what's the move?
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  Speaker 3: What we're doing?
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  Speaker 4: But yeah, so with the call is out, And so
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  Speaker 4: if you're interested, if you trade options, twenty twenty fours
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  Speaker 4: are out. What's quad So it's when contracts expire. And
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  Speaker 4: so like I said in a few.
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  Speaker 6: You're funny, that's fun.
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  Speaker 4: So the third the third month, and the third week
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  Speaker 4: of the third month of each quarter usually contracts expire,
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  Speaker 4: and so that's happening this week, Like I said, Seceember seventeenth,
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  Speaker 4: September eighteenth, seven seventeen, since the eighteenth is on a Saturday,
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  Speaker 4: those contracts will aspire and new ones will be created.
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  Speaker 3: And so that.
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  Speaker 4: Means that people are selling out of their positions, right,
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  Speaker 4: they're saying, Okay, either we're taking profit and we're moving on,
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  Speaker 4: or we're taking profit and we're extending into later positions.
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  Speaker 3: And so that's happening this week.
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  Speaker 4: And so when I text that travels like yo, we're
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  Speaker 4: gonna wait to after which and so that would be
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  Speaker 4: next week. And that strategy has worked for us in
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  Speaker 4: the past. I'm saying us because we have a similar
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  Speaker 4: trading portfolio.
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  Speaker 7: So for those of you who want to overtrade once again,
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  Speaker 7: I want to ask how many trades have you guys
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  Speaker 7: done this year?
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  Speaker 3: Right? Us us personally? Yep, not a lot. Yeah, this
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  Speaker 3: year has been.
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  Speaker 6: Less than ten Yeah, yeah, yeah, yeah I did.
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  Speaker 3: Yeah, we'll talk about that in investment in our group chat.
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  Speaker 3: But yeah, not many. Like I said, I probably did
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  Speaker 3: like six five, like five five, I'm probably like ten.
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  Speaker 7: Your money long term other ten percent of trading you
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  Speaker 7: guys should do less than ten trades a year.
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  Speaker 6: If you was that invest us, you know the formula.
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  Speaker 6: Don't come on here.
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  Speaker 7: In eight weeks, I lost eighty eight thousand dollars fourteen trades.
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  Speaker 6: I'm laugh.
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• 8:18
  Speaker 3: I know for sure.
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  Speaker 4: In Apple, I'll just put the ones that are in
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  Speaker 4: my portfolio that I'm looking at Apple, Square, Disney, XLK
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  Speaker 4: XL y SMH.
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  Speaker 3: I added.
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  Speaker 4: And then we were on the phone, I talked about this.
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  Speaker 4: I'm like, I'm like, look, I'm thinking z Scaler. I
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  Speaker 4: had a position there. I spoke about it last week
• 8:38
  Speaker 4: and CrowdStrike and we kind of had a little back
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  Speaker 4: and forth there about that, and so yeah, man, so
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  Speaker 4: that's where I'm at with it, And I just want
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  Speaker 4: to give everybody the heads up because I know sometimes
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  Speaker 4: it'll be like six weeks into according.
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  Speaker 3: You're like, wait the twenty twenty four calls. I'm like, nah, I.
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  Speaker 4: Told you today September thirteenth, when a lot of them
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  Speaker 4: opened and I saw the opening price, I got the
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  Speaker 4: sheet right there, had a hold new notepad.
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  Speaker 3: I actually took that strategy from Chap.
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  Speaker 4: Every time I see him walking and you talk to
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  Speaker 4: him about stocks, he's writing it down in a notebook.
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  Speaker 4: And so I started getting the notebook myself and writing
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  Speaker 4: it down. So I got my opening prices for somebody.
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  Speaker 4: So I know when I entered these positions where I'm
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  Speaker 4: entering the matt if I'm entering them at value. And
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  Speaker 4: so yeah, something that's a little tippit that maybe you
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  Speaker 4: can add to your arsenal as well.
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  Speaker 5: Yeah, there you have it all right, So yeah, Nat,
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  Speaker 5: you're back. Let's talk about these top three lessons learned
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  Speaker 5: from one of the Red PANDAM members that made forty
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  Speaker 5: two thousand dollars trading futures in the last thirty days.
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  Speaker 7: Man, I'll go back to what we were just talking about.
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  Speaker 7: It's a few trades. So today Nasak dropped really hard.
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  Speaker 7: Put us to my guy. I won't say your name
• 9:45
  Speaker 7: because I want blowing you up like that. But everyone
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  Speaker 7: thinks that the secret to making a lot of money
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  Speaker 7: and trading is to trade more. It's actually less. Like
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  Speaker 7: last month I took eighteen trades one or eighteen, and
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  Speaker 7: I could argue probably even last month I probably overtraded.
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  Speaker 7: So Number one, I'll say here, only take ten good
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  Speaker 7: trades on the year. Number two, have a really really
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  Speaker 7: big target. So if you are going to trade, capital
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  Speaker 7: size up after you practice your three hundred trades, and
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  Speaker 7: your trades should make you a sizeable amount of money.
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  Speaker 7: If your trades are not making you between let's say
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  Speaker 7: five to fifteen thousand dollars per trade, your risk reward
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  Speaker 7: ratio is off when your target is too short. And
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  Speaker 7: number three the part that me and you trapp shot
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  Speaker 7: a bam Mike MG. Everybody who being in chat, you
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  Speaker 7: have to put the time in. Please put this in chat.
• 10:33
  Speaker 7: If you want to get rich, you have to invest
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  Speaker 7: in your knowledge. I'm not selling you guys anything, but
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  Speaker 7: the number of people that I've met when I asked, hey,
• 10:42
  Speaker 7: have you read twenty five books this year, They're like no.
• 10:46
  Speaker 7: I'm like, if you knew how exhausted we were on
• 10:49
  Speaker 7: a day to day basis. You know, Rasha, I got
• 10:51
  Speaker 7: a migraine from being out in the sun. You probably
• 10:53
  Speaker 7: put up twenty eight thousand jumpers while giving out T shirts. Right,
• 10:57
  Speaker 7: I'm driving to drop Xander off when he's sick. Then
• 10:59
  Speaker 7: come back and do the like I'm telling you for
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  Speaker 7: the one of to you who are going to listen,
• 11:05
  Speaker 7: your ultimate edge is knowing that everyone you're competing against
• 11:08
  Speaker 7: it as lazy as hell. Please read fifty pages a
• 11:11
  Speaker 7: day complete turtle Traders, market wizards, unknown market Wizards, hedge
• 11:15
  Speaker 7: fund market wizards, and dive through those pages and then
• 11:19
  Speaker 7: everyone's going to have the same roller coaster. If you're
• 11:21
  Speaker 7: excited when you first start, then you lose and you're like,
• 11:25
  Speaker 7: I should quit?
• 11:26
  Speaker 6: What my god did?
• 11:27
  Speaker 7: He just kept pouring in and then you know he
• 11:30
  Speaker 7: was hitting me at two o'clock, three o'clock in the morning,
• 11:31
  Speaker 7: four o'clock in the morning with ideas, And that's when
• 11:33
  Speaker 7: I know he was getting into his own because the
• 11:36
  Speaker 7: knowledge is going to equip you to be able to
• 11:38
  Speaker 7: make the kind of capital that you want.
• 11:39
  Speaker 6: Because this really is a game of information. That's why
• 11:42
  Speaker 6: I put so.
• 11:43
  Speaker 7: Much time into reading and tell you guys to pour
• 11:46
  Speaker 7: in so much because all the secrets are hidden in
• 11:48
  Speaker 7: the book. But once you put them together like a
• 11:50
  Speaker 7: gumbo pot, that's what your edge is going to be.
• 11:52
  Speaker 7: So read more, you need your trades should produce five
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  Speaker 7: to fifteen thousand minimum per trade. No fot, you're not
• 12:00
  Speaker 7: going to hit five hundred dollars a day. You're not
• 12:02
  Speaker 7: going to do it. No business is that Like Apple
• 12:05
  Speaker 7: does not clear a certain amount of dollars per day
• 12:07
  Speaker 7: every day.
• 12:08
  Speaker 6: They have peaks and valleys, right.
• 12:12
  Speaker 7: And then also to the blast bonus tip I'll get
• 12:15
  Speaker 7: is like you need to say the affirmation of how
• 12:17
  Speaker 7: much money you want to make. Everything that we've all
• 12:19
  Speaker 7: done on the show, we set it out verbally either
• 12:22
  Speaker 7: to ourselves or each other out.
• 12:23
  Speaker 6: On the show, and then push to make it happen.
• 12:28
  Speaker 7: I see a lot of people talking about trading and
• 12:30
  Speaker 7: say they want to be free, and I'm like, what
• 12:32
  Speaker 7: kind of targets do you want to make it?
• 12:33
  Speaker 6: They're like, man if I get two hundred dollars a day,
• 12:34
  Speaker 6: I'll be cool. I'm like, no, you won't. No, you won't.
• 12:37
  Speaker 6: So set a big target.
• 12:38
  Speaker 7: Don't tell your family, don't tell your friends, keeping a
• 12:40
  Speaker 7: side of you and tell yourself that you're capable and
• 12:43
  Speaker 7: you're worthy of it, and you can make it happen.
• 12:45
  Speaker 6: So I hope to help you guys, but please read more.
• 12:49
  Speaker 6: I'm begging you.
• 12:52
  Speaker 5: My graduates from my school being forced back.
• 12:55
  Speaker 3: Drop drop, drop drop.
• 13:00
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• 13:16
  Speaker 8: How can you find amazing candidates fast?
• 13:19
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• 13:20
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  Speaker 8: seen on other job sites. With Indeed sponsored jobs, your
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• 13:29
  Speaker 8: relevant candidates, so you can reach the people you want faster.
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  Speaker 8: have forty five percent more applications than non sponsored jobs.
• 13:41
  Speaker 8: Don't wait any longer. Speed up your hiring right now
• 13:44
  Speaker 8: with Indeed, and listeners of this show will get a
• 13:47
  Speaker 8: seventy five dollars sponsored job credit to get your jobs
• 13:50
  Speaker 8: more visibility at indeed dot com slash pod Katz thirteen.
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  Speaker 8: Just go to Indeed dot com slash pod k at
• 14:00
  Speaker 8: z thirteen right now and support our show by saying
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  Speaker 8: you heard about Indeed on this podcast. Terms and conditions apply.
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  Speaker 8: Hiring Indeed is all you need