Trading Recap

[00:00:06.22] - Speaker 1
See.

[00:00:07.18] - Speaker 2
Hi everyone.

[00:00:11.18] - Speaker 1
Welcome team.

[00:00:17.13] - Speaker 2
How you guys doing?

[00:00:27.14] - Speaker 1
How's it going?

[00:00:28.29] - Speaker 2
Yeah, send us, send us a comment as always, if you can hear us, if you can see us. Yeah, just paste in the comment and then we can start. As always, before we start, just disclaimer for a few seconds. All right. Hi rj, thank you for joining. I'm glad everything's good. Let us know guys, how your week has been. Obviously yesterday we had a big, big day for the market. Big momentum following the, the elections. Yeah, just let us know how the week has been and if obviously the sessions were helpful and any question you might have this today we're gonna go through some trade recap. So I think Patrick, what we'll, we'll go through is looking at the trade that you did, especially on the live session, but maybe we also look at the, the overall trading that you did maybe. And then, yeah, then we'd answer any question you might have, guys. And then obviously we have one more session later on at 1:45 for the FOMC meeting. We'll cover that and we'll go trading again at that time. But yeah, let me know Patrick, if that sounds good.

[00:02:10.19] - Speaker 1
Yes, if you have the screenshots, that would be really cool. I'm not prepared.

[00:02:18.05] - Speaker 2
Yeah, let me just give me one moment, one second.

[00:02:30.14] - Speaker 1
Hello, Michelle. Hello ajs. Welcome. I'm a little bit sick. I was all week sick. But today it's, it's much harder than yesterday. So be sorry with me today.

[00:02:44.15] - Speaker 2
No worries. All right, so let me share my screen.

[00:02:56.24] - Speaker 1
Hello, Sherry.

[00:03:01.21] - Speaker 2
All right.

[00:03:04.03] - Speaker 1
All right. This was the morning session yesterday. All right. Yes. Okay, quick recap. So to understand my training philosophy behind this. So as he was yesterday seeing. Yeah, so I'm a trader who's really quick in and click out for me one of my major goal is having the losses very small and not be aggressive. This is, this was yesterday one of the major, major point I can give you today. An example. Today I was aggressive in the market. I was aggressive shorting, I was aggressive buying. And then you have to handle with different losses. So today I was down 140k. I'm back in profit. I was back in profit. Now I'm. Let me double check. I'm in a losing side with 27, 27000 US dollar on the losing side. So what is this meaning? So I was all on myself to going very big and having very big losses also. So I have to recover. I can't do this. But the safer is much more safer for you is always let Yourself taking small losses. And, and I won't give you that. I was giving you the example yesterday when I was trading live in front of you.

[00:04:33.25] - Speaker 1
Having small losses and then having big wins. Think about what the institution is doing. So having small losses, they're having really tiny win rate. It's. It's really interesting. I was looking in many stuff from this. They have really a tiny win rate but they're having really good profit rate. So what is this meaning they're cutting the losses very quick. Boom boom, boom. And say getting in the big moves. And this was one of the major yesterday and I hope this was helpful for you guys and gentlemen, ladies as a good example. Also be aware of the. Of the level so when you. When you should be go big. So we were speaking about a second confirmation having also in second chart on your side. So if you're trading for example the NASDAQ have always des on your side. Look what the ES is doing and then look into what what the NASDAQ is doing. Do you see the same moves on the NASDAQ on the es? If yes. Boom. The take it. This is really really important. And maybe you can share the other screen from the morning session or the midnight session where we have the lecture.

[00:05:49.21] - Speaker 2
Yeah, one second. Yeah, one second. Let me just pull it.

[00:06:14.16] - Speaker 1
Yeah, here we go. This is also a really good example from what I was telling you. Having small losses. I was taking many times to break out. As you can see. I was taking the breakout. I was playing even get myself get the breakout. Get the breakout. But then I was not getting the breakout. We're getting the fleshed out move. And I was ready. So. And. And this is the same theory. Small losses. And when. When a big move is happened. Take it. And this was the 4700 profit move where I was taking five contracts. So this was at the end saving my ass. So most of the time retail trader failing only of one reason. They're taking only small profits. But then they're having big losses. What wipes out everything. And. And if I can give you only one single good nugget for this live training sessions or for this week is having small losses. Looking into your stats how big are your losses and your profits and make sure. So I have. I have a friend. He is. He's amazing. I'm. I love him. I'm training with him two, two years sometimes every week, sometimes each month depend on.

[00:07:28.07] - Speaker 1
On the time what we have together. And then you can look into your. In his states. So he's sometimes really good. He making profits like 600, 600, 600. He make this for and losses 200. Everything is fine. He make this for two weeks and then the third week he haven't lost from US$5,000. Boom. He cut out everything what he was doing before and then the next day is coming, he get frustrated, he get range trade, he will become back and then boom, he take the next big loss and then he's break even and most of the time he will lose again and this will be repeat every single time. And if you have something in your trading journal where your, where your losses at the end of the day is bigger than 1 of your profit, you have to take a look into this and have to think about this. If you want to be successful in trading, your wins must be always bigger than your losses. And I think that that's one of the gold nugget what I can give you here for the recap. But we have also I think some, we get some emails from you because of accountability and I would say let's, let's go into this.

[00:08:48.05] - Speaker 1
You can read this.

[00:08:49.11] - Speaker 2
Yeah, this one is from Michelle. Thank you Michelle for sending this. So the goal is obviously for Michelle for this week and thank you for the email guys. So is to consolidate the learning that you have gained through the academy and the product sessions by trading live and experiencing firsthand how to use the levels in a volatile market. Right. Then your goal was to understand how to find better entries with improved stop loss and target location. I think Michelle, we try to answer those questions during the sessions and obviously to learn as much as you can from myself and Patrick and the community and to consistently meet the winning days requirement for if you're training for a prop firm and and obviously try to exceed your target for 2024, then we have to be invited up to a live account in a prop firm within next six to 12 months. Great, great goal. We really want to help you with that. Then to learn and scale up slowly and aim obviously towards the millions without blowing accounts starting today and never looking back. And then obviously to learn the additional features that Mentor Q can offer especially for ETFs and share.

[00:10:08.06] - Speaker 2
So I think, yeah, thank you so much Michelle. Really great goals for 2024 and 2025. I don't know Patrick, if you want to comment on that.

[00:10:19.10] - Speaker 1
Yeah, let me look into this. So if you be a prop trader, Michelle as Michelle. Yeah, all right. If you be a prop trader, you must always, always look into this. Okay, what are the five friends from the prop firm? And then look really look really into this so that you meet their risk management and then think about how you can replicate this risk management system based on your pet personality how you can become every day a better trader And I think I I was learning something about journal Let me. I. I was making some notes for you guys. Let me read this because you want accountability Here we go. Give me one second. So and I and I hope everyone can make some notes now but we. But we have this on the records also I think if you want be accountability the best accountability partner is always yourself so ask you daily the question how did I perform today? Slowly as it relates to my process goal. So what is the process goal? The process goal is your payouts or is to become a funded trader and then how were my hypers today now with the benefit of the hindsight third review each trades what the risk entry, stop exit and all this stuff and thought where the valid trades that you did not take.

[00:12:07.23] - Speaker 1
It's also really important question and then five and key errors you was making sixth level what did you do well today Find something even if a poor session 7 review inter interesting observations from the sessions perhaps to comment a used market replay and the last summary and process goal for the next day I think that that's a really good questions if you want to be really become accountability go through the questions and ask us every day and then have also a weekly accountability not only a daily so for the weekly let me take into this take a look at outcomes and review your body of the work. So look into the P L look in the overall process of the goals what does this day say? What's working, what's not working what were the overall condition based on your trading and key things I can do next week to become a better trader. I think that's a really good questions where you should question any time and it's really important when we come to your goals Michel that's exactly the questions where you have to ask yourself to become a better trader. And I hope this was was helpful to you Michelle.

[00:13:35.05] - Speaker 1
I practiced more losses on a test account today shocked how many times I automatically move the stop future away keep going until my stop doing it. Yeah. So I can tell you something. For me it's always for me it's sometimes really hard to take losses because I know exactly I I have to bring this back but what is the upper side so if we have. If our losses are too big then we have to work the next day for the losses without to make any money and what is the goal? Why we are here in the trading business. We won't make money. That's it. And we should be taking out everything what stopped out us to, to not make money. And, and for me, as you were seeing in the, in the trading session when I was speaking about, I have only the laptop and a big, big screen why I have this? So people asking why you have not five of or six monitors. The answer is really simple. I want this make us as simple as possible. I want only on my flat, on my screen, on my desk, things. What, what making me money.

[00:14:54.00] - Speaker 1
I don't want to have one shot there, news there, YouTube there, something like this there. No, I want only focus. If I be in the market, I want only focus and I want only focus on things that make me money. And this is one of the best thing what I was learning focus to make money and building the momentum and take out everything what would take the focus away because everything what, what would take your focus stopped you to making money. And as I was saying, I was down today 120k. It's not a big one for me, but, but I have to bring this back. So I was working I think 1 1/2 hour today to bring the shitty 120k back. And this is the, this is not useful at the end. Maybe I close my day with 50k or 20k or 5k profit, but I was working the full day for small profits compared to my trading account. This means if you be in a proper account and you was, was on a losing side with, I don't know, thousand US dollars, he was bringing back the thousand S dollars and at the end you're making only five US dollars profit.

[00:16:09.25] - Speaker 1
That's. And, and I think you, you should, you should focus on this. Fabio, they want us on the screen. Maybe Fabi, you can say something about this. Maybe you can give us much more insights because you was working on Bloomberg with the big guys.

[00:16:39.06] - Speaker 2
Yeah.

[00:16:39.20] - Speaker 1
What is their mindset? What, what makes themselves successful? Maybe I love your stories. Maybe you can share something about us.

[00:16:48.21] - Speaker 2
Yeah. So I think there's a big. We need to go back to what our finance is shifting and the skills that are now required to work in finance. Right. So I think Sherry was mentioning the other day that obviously you've been trading for a long time and at the beginning you were using fundamental strategies and then obviously you evolve with that. So I think finance is also evolving. Right. Because if you look at the successful companies, the citadel of the world, the quant funds of the world, those are more and more embracing. Data driven strategies into their, into their workflow and they're also using data driven risk management. So it's also managed by the machines. It's going to start being managed by the machines. So the skills that you need now to be in finance is no longer the ability to read balance sheets, but now is really the ability of coding strategy into Python or being able to use big data and so databases and stuff like that. So there's a lot of things that are changing and as retailers we also need to change with that. So that's why basically it's important that you guys not only obviously use the, the data that we provide, but that you are flexible to understand.

[00:18:11.15] - Speaker 2
Our market is shifting because over the next few years we're going to see this trend continuing because of AI, because of everything that's coming out. More data is going to come out, more tools, more platforms. So I think it's important for a retail trade to understand also the bigger trends and then obviously to learn how to potentially always add something on top of your strategy that can make you better. So in your case, Michelle, like the last point, learn how to use the mentor, QTF and shares. Yes. Because even if you're trading futures, maybe additional data points could help you better tailor your execution because maybe you'll get better data and better ideas coming from the overall market. So I think always be available to learn more new things and always be ready to use different approach and be flexible. In that case, Thank you. On mute.

[00:19:16.23] - Speaker 1
Patrick, Chevy asks Patrick, do you have that list what he was reading? I have this on my smartphone. I will write this down and send this to Fabio and Fabio can make maybe a PDF and we'll upload this in Academy and then you can download this.

[00:19:34.11] - Speaker 2
Yeah.

[00:19:38.11] - Speaker 1
Give us one day and then it will be there.

[00:19:42.06] - Speaker 2
Yeah. And I think this is also follow up from Michelle. So obviously the goals on the previous slide. Accountability. Exactly. So the first point is very important. Right. So obviously you don't need to change your trading style because obviously you have been successful. But I think you need to always be open to be able to incorporate new things and new skills that could help you become always better and better. And if we go back, for example, Patrick, to the hedge fund case, how do these hedge funds build strategy that is working? Right. They are always scouting for new data sets that can give them an additional advantage. This additional advantage is called alpha. So alpha on a trading strategy is really something that will help you outperform your benchmark. So if you are for example, tracking the s and P 500 and the S and P performs 15% a year and your strategy is performing 20%. Your alpha is 5%. That means that you're outperforming your benchmark by 5% if you are then using an additional data set. Let's imagine that you now are incorporating the mentor queue option data and your alpha next year is 21%, 22%.

[00:21:00.05] - Speaker 2
That means that you have generated an additional alpha of 2% on top of your strategy. So think about from an H1 standpoint, what if they now get access to 20 data sets that can help them get an extra 1% or 0.5% on top of what they're doing? That becomes a very, very successful strategy that is very hard to be replicated because you are using multiple factors, multiple data sets. So you're trying to extract this alpha from the data that you get. So as a retail, obviously you cannot use the same approach because you would need a lot of information and a lot of access and. But that's why we are trying to build that for you guys.

[00:21:42.01] - Speaker 1
Yeah, that's a really good point. And I think always I was learning from your, from you also really good stuff, especially every time when you speak about the hedge funds because then my. I will listen very careful to this because I like what the hedge funds are doing and I know it's really hard for us to copy what they're doing, but we can do something and we can, we can find out as individual trader what will be fit our trading style, what hedge funds are doing. So for me, what hedge funds are doing is having all the data and then looking only for this what they can really use use to. And I'm trying to do this the same way. So I can give you an example. I'm a really big Twitter stalker. What is this meaning? I'm looking in really many, many influencer on Twitter, but I have a different account for this. I'm not using my personal account for this, but I follow every influencer will have a really big impact on the stock market, on the futures and all the stuff. And then I'm looking into how they speak about the market.

[00:22:55.17] - Speaker 1
They are more positive, they are more bearish, what is their outcome, what they thinking. Or also when we have live trading sessions for from the other guys, maybe they're trading mutual capital, but there are also someone outside. We're trading real money. And then look when they execute their trades and then look into the data so they executed based on this stuff. Okay, how I can against them, how I can short them, I Know they were going in with, I don't know, 20 contracts. Okay. If I'm going in with 60 contacts short, how I can take the 20 contacts out from them and all this stuff. So this is also something, what I'm doing to build a really big source around me that I getting all this information. But how you as, as an individual, where you now listen to this, what you can do based on your trading style to become a better trader? Ask this, ask the questions every single day. What do you need to make the next step? Ask this really, what do you need for the next step? What do you missing? I ask this every time that I'm going into the bed.

[00:24:13.10] - Speaker 1
What I'm missing, what I was missing today. But is there something what I was not looking into it. And then figure out what you miss and become the better trader. Yeah, I think that's, that's one of the key. What I was learning also from you, Fabio, when we're speaking about the hedge funds.

[00:24:33.00] - Speaker 2
Yeah. And I think what I was learning from you, Patrick, I think which is very important, is to simplify things as much as you can. It was basically like one of the biggest mistake that retail trader makes that they want to have too many things and they want to look at too many things. And those too many things can be indicators, can be data sets that maybe you don't fully understand. And then you are basically making decision based on a lot of factors that you don't fully understand that you don't really know how they work. And maybe they're giving you force signals or like divergent signals that you then use to, to trade. But like when I, when I saw how you trade is actually pretty simple how you basically simplify things and you just obviously use a few data sets and you're purely looking at price action.

[00:25:24.20] - Speaker 1
Yes, yes. But, but excuse me, but I must say I was really happy because I get some people who hold me all over the years. Since I've been trading since 20 years, I have always. People around me were holding me accountability. And this was really one of the key. And I can remember myself, Fabio, I was in an investor meeting and the investor was really hard selling me. They were saying why you idiot was was not taking the profits. And, and I was saying, hey man, I'm the trader. So. And then I have another one. He came from Switzerland. Hey you. He was never taking any losses. I will not trust you before you're taking any losses. I will see how you manage your drawdown. I said, what the idiot is this? And truth to Accountability. I was getting pissed off because I was saying he there investors cannot tell me how I should trade. And in the moment where I was pissed off, something has happened in me. Then I review this. Okay, what they were saying, maybe they are right, maybe they are wrong. But let, let's give them a try. And I, I think one of the key things is every time when I be pissed off, I.

[00:26:46.21] - Speaker 1
I'm learning something. And maybe you. You need someone was really harsh to you and make you really pissed off. Then you can grow as a trader 100%. Maybe you have a husband or you have a wife and speak with them what you was doing today. And then maybe they have no idea about trading. But, but, but speak with them and say, hey, I was making today this. Can you look into this? And maybe, maybe your husband or your wife gives give you the stupid answer what you really don't like because you know they have no idea about trading. But, but she will request you and say, hey, why I was getting in this trade? It was really simple to see that this was not a valid trade for long. This was a short. And then you get pissed off because they say what? Why is it. Why she say this? Now the move has done. It's easy to say I was in the market, but that's the truth. So you need someone who makes you really pissed off. All right?

[00:27:49.01] - Speaker 2
And I think another thing Patrick that I think is important is whenever you are obviously looking for other strategy or whatever you're trying to follow, people always try to not really think about how much money you can make by following someone. But what can you learn from following someone? So even like the goal of this week trading sessions was not really to make you copy what Patrick was doing, but really to show you the approach that Patrick was taking. Because it's more important that you learn the principle than you actually maybe follow somebody for a month and make money, but then this person then disappears and then you're stuck and then you'll end up losing money in the long term. So the goal is really to build a skill that you can then reuse for the long term, like you're doing in your case, to build wealth for your family and obviously teach your son how to trade. That's actually is 100.

[00:28:47.17] - Speaker 1
Yeah. He was asking, where are the people today I want my friend? They came from, from a middle school where we are making holidays. And they say, hey, where are the people I want live trade with them.

[00:29:02.25] - Speaker 2
Wow, we are creating a monster.

[00:29:05.13] - Speaker 1
He's really crazy. And, and maybe someone was yesterday Comment I want, I want also learn what what my son is learning and I teach, I teach him only one one stuff. And. And this is for me the most important stuff. There's only one single stuff. And I teach my son don't look to the P L. Money is not necessary. I want from you that you're taking only one good trade. And before he goes in the trade he must tell me what he's seeing. And then he have to execute based on his idea. He said to me oh I like the green candles. There are many green candles. There are less red candles. I. I will follow the green candles. Sometimes he's stupid but then he followed the green candles and this is his trading idea. And then I speak to him. Okay, when you want to go out if you see the first red candle or the second red candle. Oh and I see the second. Okay. But he followed this and for me the key is to teach my 5 year son only he should trade one good trade what is based on his idea.

[00:30:20.06] - Speaker 1
So his idea is follow basically the green candles. Follow the follow truth. And if you see two red candles in a row, he get out. So and this is something what I want also for myself having a trading idea. Follow the trade idea and if your idea is not working, get out only one good trade no matter if we taking the losses. So you was someone was Michelle. I think you was writing for me. It was hard so taking the losses, you was moving the losses. But this is hard because you're looking to your P L. You get influence from the P L. If you get influenced from taking only one good trade then this is really important then. Then you will follow this. So if. If this is a one good trade that that your stop loss. What? What kicking you out because you following your rules then you can be proud of you don't look to the P L, everything is fine. But if you move the stop loss and and. And after this it against you with a bigger loss then this was a stupid trade. Think about the risk manager is knocking on your shoulder and will speak with you and ask you why you was doing this.

[00:31:35.24] - Speaker 1
So you have a trade idea and you was not following your trade idea. In the business you were doing this two or three times but then you get out then you get fired. And this is so important. Follow only the idea that you're doing one good trade and then again one good trade. No matter if you're losing or if you win, don't look to the P L But I will promise you you will make automatically money you Will become consistently. Maybe you fail one time, two times, truth your challenge or you don't get a payout. But. But in one year or two years, that's the trading journey. It's not a marathon. It's a marathon, not an fast run. Then you become much, much more payouts. And. And this is only one thing. What I can give you one good trade.

[00:32:20.27] - Speaker 2
One good trade and a question. This is what Sherry sent us. So. Thank you, Sherry. So I think, Sherry, you've been with us very, very few, just a few days, I think maybe a week or so. Were we able to teach you how to use the data and were we able to teach you new things that helped you learn during this session? Would be great if you could comment on that.

[00:33:05.21] - Speaker 1
Great.

[00:33:06.20] - Speaker 2
Yeah. Let us know if you want to send us a comment of the things that you learned this week.

[00:33:15.29] - Speaker 1
I think we have to talk about this. Yeah, we have to talk about be profitable, but that is secondary. I want to learn. I like this, but I know we have, we both together, we have the discussion about losses and lessons. Correct. Was you this Chevy, I think you was this. Yeah. When we were speaking about losses and lessons and you were saying to me, I like to. Better to take it as lessons. Yeah. Expenses. All right. Yeah, yeah, yeah. Correct. All right, I remember. So. And I think be profitable, but this is secondary. Maybe redefine. What. What is profitable for you? Is this profitable for you when you make money? Yes. But you say, okay, this is secondary. I want to learn. If you, if you was taking maybe a losing day or break even day, was you at the end also profitable? I will say yes, because you was now profitable on, on your journey as a trader. Not with money, but maybe on your experience he was learning something. And then you'll be profitable by a sing. The one thing is every trader have to be profitable every single day. Maybe not with money, but with experience and the flow.

[00:34:45.04] - Speaker 1
And this is, this is something what we must bring in our main. We have to be profitable without giving us any pressure to say, okay, profitable means also if I was able to take the losses and I was feeling good because I was doing one good trade perfect. If I was profitable, because I was learning something nice. If I was profitable, make money in. That's perfect. Yeah. I think this should be on our mind. Okay, Fabi, go ahead.

[00:35:16.25] - Speaker 2
That's great. I think, I think, Sherry, you're referring to the string model that you use at the beginning of the week, which is great. And tomorrow we're gonna have actually another session with some really Exciting results. We did some more backtesting so we share that. We're gonna go live again tomorrow is going to be in YouTube and, and Twitter is not up yet, but it will be at the end of the day. So stay tuned. We're gonna get some really interesting results tomorrow, I think.

[00:35:47.19] - Speaker 1
But Fabio, now we are here only with Gallim and I can sing sometimes when we out, when we live, we don't speak so much about some stuff because it's only for interesting. And maybe you can now tell us, we're all here, some insights where you was looking for what was the stock picking and maybe give us more insights about what you're doing with the backtest and how the people can maybe also making some back test like this or trading the trade ideas what you was back testing, give us more insights.

[00:36:30.07] - Speaker 2
Yeah. So the goal, again, the goal behind the string model is if we go back to the, to the funds, right? How can we use the data that we have, in this case option data and pricing data to create a factor which is really imagine like an ingredient that you put in your trading strategy that can then help you make better decision. So the goal really is to simplify all the complex data that we have out there, starting from the option data and give you really a simple data set or a simple visualization that can help you understand. Okay, maybe like if I'm thinking of shorting this stock, I shouldn't because this model that is highly accurate is telling me the opposite. So I think the goal is really to simplify this and simplified for also for traders that are not maybe active in the market every day. So they're not day trading, but they still want to get an idea of where their stocks can go. So if you are for example, a Tesla investor, you know, you're obviously worried about the elections, right? So what is the market telling me? What is the model telling me?

[00:37:45.15] - Speaker 2
Should I hedge my position, Should I keep it? Should I sell it? What should I do with it? So the backtest is going to show you out of all the companies that we cover, so we have about 900 companies, almost 900 companies. If we were to apply a strategy like a hedge fund. So if we are looking at the data and we're just buying and selling based on the data, what would be the outcome? And that is going to be very interesting because if you take 900 companies, then the model, if the, if the success rate is high, is unbiased because you're trading different sectors, you're trading big cup, small cap. So really is is a diversified way of looking at the data. So it's not just focusing on one stock because one stock could be lucky, could be a news out outcome. But if you look at 800 stocks and the model is correct, then obviously you are basically giving you this additional alpha that potentially you can apply into your strategy. Let me see me Sherry, let's see your question. Okay, yes, so that's the other point, Sharira. So it's not only helping you define which stock to take so which stock to buy or sell, but also if you are, if you are having position and something is happening, then maybe it's time to get out.

[00:39:14.11] - Speaker 2
And that's really again as you said, more alpha or limiting your risk. So less bad trades. Let's see, let's put it that way, that overall will help you give a better performance over time. Let me know if that makes sense, Patrick.

[00:39:36.29] - Speaker 1
Yeah, makes sense but I'm not a swing trader, my friends.

[00:39:41.13] - Speaker 2
Yeah, yeah, of course.

[00:39:44.07] - Speaker 1
The only swing trading what I was doing, man this was highly successful. I was shorting the German decks. So when it was on a high and everything was messed up in Germany, I was shorting the market. If I get news like some economy is really weak and we are on all time highs and everything like this, I will short it. So but then if I be in a good profits I will hold this no matter what. This is the only, only way how I'm swing trading. Maybe now this is sometimes happened or when, when we get any crisis. So Middle east conflict. Yeah. So you were seeing that the Euro was bouncing back I think from 65 or 60, 66 to I don't know, 74, 75 or something like this. This was perfect. It was on a low. Middle east conflict was again starting. Boom. Everything was nice, perfect setup. Then I'm holding my position of course for three, four days, but otherwise no, I'm not a sweet it.

[00:40:50.08] - Speaker 2
Yeah. And also like the other thing is that you cannot predict an event like you know, like the election or like conflict or like what the Fed is going to do today. Like that's impossible. But what you can do is you can use data to be more prepared and be more aware of your potential risk. So that's the other part of alpha generation which is really okay. So you can't predict the future but you can basically put together a series of actions that can help you maybe protect yourself if something was to happen or maybe like be aware of it and be ready if that happens.

[00:41:32.29] - Speaker 1
Yeah. Formio, I will add something to this. You cannot Prepare the future. Of course. But I I would also thinking about an A B test. Okay. If something has happened like we see a rate cut from I don't know, X epsilon or they will be doing nothing or I don't know, they were going completely crazy. I ask myself always what is already priced in so that I know exactly. Okay. If we're getting really good news so they cutting something or the economy is going very bad, but the market goes much, much higher. They they're giving a slap to the economic data what they was doing in the past. Very often I asked myself always is the news what is now coming in is is this already priced in? Because many times people wondering why why the market is moving and making new highs when the economic data is so bad. Because maybe think about it was not pressed in already. Yeah, something like this I asked myself always is the move priced in already? And this is something what was helping me so to understand and not not get shocked if the market goes in the other way then I think okay, was not priced in.

[00:42:56.05] - Speaker 1
Okay, let's see how big we can go. Yeah.

[00:42:59.18] - Speaker 2
And it's the same principle if you look at earnings of companies, right. Sometimes you see companies releasing good earnings but the price actually goes in the opposite direction because the market already knew or was pricing these results but they weren't ex. They were expecting much more. So as a result, you know, even though the, the earnings reports are good for the market, they are under the their assumption. So and then the price moves in the opposite direction. So it's. Yeah, absolutely. That's a very good question.

[00:43:30.29] - Speaker 1
Yes. And I think Tesla is one of the best example. I'm not this, not this time. I think it was the time before or, or before before. So when, when Elon Musk was getting and saying he want more shares from Tesla. If not then he will give up or something like this. I think some, some news like this was, was coming out and the market was going short. Boom. They were shorting Tesla. Then we're getting also the, the car selling it was not so good. Boom, short. And then we get the earnings and then when the earnings was not so bad, we don't get so much short as it was getting shorts. But we was already short I think for 40 or 50 points. And this is something where I was saying okay, it's already priced in. Let's wait for a little tiny pullback and buy the stock. Because the short is from already priced in. The bad data is already priced in. Elon Musk was doing something that, that the Share is already going down. So this is something what we have always to think about is the move already priced in. And he was giving us the example from the earnings here.

[00:44:47.19] - Speaker 1
It's the same look back to the news. What was happened before same when we have today fomc what major event was before fomc and then ask yourself was there already the move priced in? The major move was.

[00:45:05.26] - Speaker 2
To go back on Tesla. I mean also you know you can predict the outcome of the election but take a look at this. This is the data from last week. We have a massive core resistance level at 300. Right. And where are we today? We are basically at 298 so we're basically approaching that level. So again the option market in this case can kind of give you an idea of what the market is expecting. And obviously going back to the hedge fund example we cannot know what everybody's doing. We don't have access to the trading accounts of the of everybody but we can see where they are placing bets. And the bet was that the price of Tesla could actually get to 300 which is happening today was pushed by the election results. But at the same time you know this is what the market was expecting the price to get to.

[00:46:00.24] - Speaker 1
Yes 100% and I think for the S P the major goal is the new, the new all time high and the big round number. So everyone will see this and yeah so this was one of my learnings. So think about is the move already priced in or did we have more room to run. And I think personally when we're speaking about the market I see no reason that the move is stopping. There must be something really big happened that, that the market was stopped. Yeah so everyone is now the election is done. We we having now the big moves again. We own 21000 we're reaching now 21200 on the NASDAQ and QZ we we back, we came back to new all time highs. So I think we will, we will target targeting new all time highs before we see the next correction. But this is only my point of view. But I'm not, I'm not a swing trader, I'm a day trader. I'm taking the moves like how it is no matter if short or long. I give a about this but this is something what I think so is the move already priced in?

[00:47:23.00] - Speaker 1
Yes, they want taking new highs and the S and P is already looking to this and yeah maybe this will be some of the points.

[00:47:49.04] - Speaker 2
Yeah absolutely.

[00:47:52.10] - Speaker 1
Scott, what was your learning for the week? What what big Learnings you was taking taking all today or. And let us know if you have any other questions. There's something unclear.

[00:48:26.24] - Speaker 2
Yeah.

[00:48:42.29] - Speaker 1
I think we can speak about the one day max from the NQZ today. I think we already beating the one day max. Yeah.

[00:48:51.07] - Speaker 2
Yeah, I think so.

[00:49:05.09] - Speaker 1
Yeah, We take it out and also.

[00:49:17.29] - Speaker 2
Big core resistance level right there.

[00:49:26.18] - Speaker 1
Yeah, we take it out and, and maybe some people writing or in our community that there are no more levels. I see this very often, hey, there are no more levels on the NASDAQ and all this. I cannot read this anymore. But maybe Fabio, before we close the session, what can we do now when we have no levels? So we have the blind spot, we have the swing model and we have the net check. So maybe give them a handout what they can do.

[00:50:02.20] - Speaker 2
Yeah, absolutely. So always use. So the data that you see on, on the chart is actually coming from kind of like this chart right here. So the NET gamma exposure chart. So obviously here we broke the core resistance level 21,000. But you see that we do have kind of like other levels at know 21175 right here, for example that you can then apply in case and 21 300, we have a big level right there as well. So this one here, this, this part right here. So obviously if you don't see levels, you know, just look at the net jack chart and then maybe like add the levels directly into your chart. Just very, very simple. Like this. Yeah. All right. So Scott, thread small and just take it one trade at a time. Tape bombs are what I was trying to avoid. Okay. Yeah, makes sense. And then. Yes, Scott, absolutely. And again, going back to the hedge fund example, when I was at Bloomberg In 2016, 2017, one of the data sets that was mostly purchased by big funds was the Twitter feed. Right. So they wanted to access real time Twitter information to just basically build a strategy monitoring the tweets.

[00:51:45.05] - Speaker 2
Again, very successful strategy at the time. Or when Elon Musk was tweeting a few years ago, that also was moving markets. So always think how the institution will play out. So when, when the tweet comes out, there's going to be a big movement because big hedge funds are going to scrape that data and they're going to build strategies based on that. Have something from this. Thank you, viz. I'm not able to stick to my rules. How can I improve? Have you come across, Patrick, this phase in your trading career? Thank you, Romeo.

[00:52:32.07] - Speaker 1
Yeah, I need. I have this anytime. I have every day. The that that sometimes I'm not accept my own self. So I give you the example I was and today I was in profit. I don't know, 20k, 25k. And then I was starting accuracy and find myself in the drawdown from 120k. Now I have only a losing from 15k. That's just fine. I can bring this back. So. But I was also not, not good enough. So I was taking big risks. So there was no reason to take a big risk. But I was doing this and something what I was learning is if you want learn to stick more to your rules, you cannot learn this in the training business. You have to do this outside. You have to do this on your private journey. So and every time when I'm doing something really I give some penalty to myself. Maybe I take a cold shower. I hate cold showers. So to remind myself, hey, I have to be more patience the next time. But you can only learn to stick to your roots outside from the trading world. On the trading world. You should not think about this because then it doesn't work.

[00:53:56.29] - Speaker 1
But stick to your rules on your private journey. Maybe start to, I don't know, take a run for 5km and do this every single day. And then stick to your rules, have goals on your private journey, on your private life maybe, I don't know, whatever. Whatever could be a goal for you. Maybe the goal is taking for the next four weeks every morning a cold shower. And then stick to the world do this every single morning. This is something where you can practice. And if you can practice this, you will become automatically more patience in the market. It become more the rules. You can only learn this. This is something what I. What I ex. This is my experience. You can learn this only outside of the market, not in the market. Yeah.

[00:54:49.26] - Speaker 2
Yeah. All right. Amazing. Thanks, Max. Yes, we are there. Nobody believed it at the beginning of the year, but we made it 6,000.

[00:55:08.02] - Speaker 1
But the big question is, Max, what will happen when we reach the 6000? Will the people buying or will the people selling?

[00:55:42.02] - Speaker 2
Let us know guys, if you have more feedback, more question. I think Patrick, we're going to be live again in 45 minutes. So.

[00:55:53.27] - Speaker 1
Yeah, that's maybe with maybe write something. Write something what you completely hate. Give me three points. What you completely hate in your life. What is something what you don't want to do. Maybe, I don't know, watching talk shows or whatever. There must be something what you don't like, what you really don't like. And then we head speakers. Yeah. Oh yeah. Fat speakers. Whitestone Fist. What you really not like or give you a little bit penalty. I can tell you, for example, what I really not like. I really not like to watch press conference from politicans when there are press conferences, because it's speaking always the same. Okay, waking up early. Okay, so then let us make a deal. So for now, you will wake up 30 minutes earlier. 30 minutes earlier. And this is how you can make stick to your rules. And then let's see if you can stick to your rule. Wake up 30 minutes earlier every single day without any excuses. And if you can do this for one month, then you will be become also more patience and you can more stick to your roots on your. On your trading side.

[00:57:37.16] - Speaker 1
But for me, one of the biggest penalty for me is cold showers. Yes, I hate this. But also if I say to myself, okay, I will watch now, every single press conference for the political Germany, every single conference. And I watched this, and I hate this. But I'm doing this because only to. To stick to my words. I was saying, okay, I will. I will watch now every month, every single press conference from the. From the political. And I will see this. Yeah, something like this. And this will help you.

[00:58:17.20] - Speaker 2
Yeah.

[00:58:19.15] - Speaker 1
Yeah.

[00:58:19.26] - Speaker 2
That's a good advice, Patrick. Thank you.

[00:58:22.26] - Speaker 1
But if Fabio were telling me, patrick, don't drink so much coffee, don't drink so much cola, don't drink so much energy drinks. I will never do this.

[00:58:36.09] - Speaker 2
That's just a piece of advice. All right? Yeah. Right, guys, I think we're gonna be back in 45 minutes, so if you have other questions, we'll have a lot of time later to answer those. I think. Patrick, we're gonna get ready. You need to set up your workstation, and then we'll be back live here.

[00:59:03.06] - Speaker 1
Yeah.

[00:59:03.21] - Speaker 2
All right, sounds good. Thank you, guys. And see you in a bit. Thank you, guys. Have a good one.

[00:59:08.13] - Speaker 1
Have a good one. Bye.