Session 8 4.18.22

Darren Warren

(he was looking at the market to see what it was doing)

expected for market to keep going down, when there are a lot of uncertainty. just before the weekend on Friday, people dont want to hold on to positions over the weekened if there is uncertainty. 

so there is a big drop on Friday when there is uncertainty. so I kind of expected this to happen.

FOREX: The pound has been dropping.

I use all of those for FOREX, chart patterns, 

NEWS:

I love trading that day, the day when the news come out.  

Get the app: investing.com

I'll show you what it is like, its a like little black picture. Just get it in the app store. 

and you can get the same watch list that I was doing there. 

Market is down nice today, almost 2%.

yesterday we looked at the cup and handle pattern. ITS ONE OF THE MOST RELIABLE PATTERN.

NOTES: WILLIAM O'NEAL 

80% of the BIGGEST price moves EVER do this pattern first 

-do we want to learn it then? (I trust his researhc, o'neal so i believe this statistic)

CUP AND HANDLE

-really good pattern, best in the world. and I want you to do research (his research working for free deal)

SP500, look over 30 years, look at the cup and handle patterns.

It took me about 2 week working 18 hours a day.

What I want you do, when you find cup and handle pattern, print it out.

all the ones where it worked really well, put in a path.

the ones that didnt work, put it in a path.

Go over the ones that didnt work, write down what didnt work

The ones that did work, write down what did work.

I DID IT, IT WAS A LOT OF WORK. But at the end, I knew cup and handle patterns better than anyone else.

It was funny teaching one of the worlds' top investors but I was teaching him on this specific topic.

If you want to do a really good cup and handle. if they are 6 to 7 weeks, even better. the bigger the move afterwards.

 

4) you want price and volume to 

I saw a chart 

i saw a  cup and handle, would i do the trade

**missed it, Alex was jumping around**

Tell Alaka to take down those drawings. They are not in the flip notes. 

Draws a cup and handle pattern with a fang link thing in the middle. he says that's not the best. 

(spike at the bottom)

ABOUT ONCE A MONTH

I look for cup and handle patterns on the forex (20 companies)

I look for  cup and handle patterns in the SP500

I look for  cup and handle patterns in the Forsy (top companies in the UK)

Every month look through 820 charts looking for cup and handle patterns

If you do this right now, how long would this take you to do?

I will tell you how long, it would take you 25 to 30 minutes to go through 820 companies 

I'm going to prove it to you. I am going to get you to do it. I know, what happens is, 

when you are focusing on just one thing you can get very quick at going through it. 

825 charts, you doing it, not me. This is exactly what I do once a month. 

I'm going to use the paid software you can use the free on, investing.com

this paid one is just quicker. 

I have each candle is a day. and the data set is about 12 months. I want something happening now, ready to trade. 

If its on cup and handle, fantastic, it goes on my watch list. There might be a really big cup and handle and I want to make sure I have it.

RULES: handles must be less than 50%

we want a nice shallow one, instead of big oscillating one

we don't want the spiky thing at the bottom

the others are in your course manual. 

-Reviewing going down the list, we are seeing all these charts one by one and we are looking for 

cup and handle pattern. 

Darren: we have been going through so far 90 charts and it took us 3 minutes. You see, if you focus on One thing, its quick to get through. It will take you about 30 minutes to do that, can you spare 30 minutes every month? YEAH.

Usually I find 4 or 5 really good ones. Once a month you get 4 to 5 good trades. 

BACK TO REVIEWING CHARTS.

we should have looked at cup and handle the other way around, since market is done.

that's the cup and handle strategy. That was an example. 

NEXT STRATEGY; SURPRISE DAY (look at power point for visual)

short term, day trading strategy.

gap down on the open

just jump down, its bad news for the company. one of the ways to make money on the way down is shorting, we borrow it from the stock broker, we sell it and hope to buy it back at a better price (like the car example from yesterday).

Once it goes back up, daytraders think they got it wrong and how do they get out of their trade?

they buy it. when lots of people starts buying, what happens? it makes the price going up. 

This pattern here you don't even need to look at volume, you just base it on price.

Q: what is the target?

you base the target using resistance and support as we have learned

Strategy 3: triple convergence

1 down, 2 up

using MACD indicator and RSI indicator

(look at visual in PowerPoint)

POWER STRATEGY 4

What's the range of a bar, distance between the lowest point and highest point of the bar

Darren used an option with this strategy to double his money in 7 minutes

I bought a short term call option with one month to expire. the share price went up 10 percent in 7 minutes. My option went up 120 percent. 

You don't have to do the options bit, you can do the share bit. 

(now going over the powerpoint)

the high of a bar means a mini resistance level, if it breaks above it, 

We buy 

HOW TO MOVE A STOP, check that you know where are moving it to

**NOW SEE THE FLIP CHART NOTES ON SESSION 8 HOW TO USE SELL STOPS

Let my profit run as high as they can. kept moving the sell stops once it breaks a new high.

the pattern he was 

I look at my trades 5 minutes every other day just to see if i need to move my stops. (reason was it was not possible for the share to go down lower than the stop he had set it at).

Takes 2 seconds to change your stop. 

POWER STRATEGY 5: A DOUBLE, DOUBLE

Power 6: (power point)

First of all, need to type into Google the following; FTSE 100 epic code list

The short code, print that out. Go to investing.com, and type in the first epic code on the list.

Type into investing.com and it will bring up the chart for you.

Have a look, where is the price now and where is the price 6 months ago 

You do that for each of the FTSE 100 companies. it should take you 1 hour.

You only have to do that once a year. 

What we are looking for is, 

(Reading the PowerPoint a to d)

don't do  anything else. averaged 30% a year since 1994.

You might make 40% returns. You might make -60% return (?)

minimum outlook for 10 years. 

I don't use that strategy myself. 1. I don't wait 10 years for my returns, other strategies I do I get better returns.

Any day, any market. 

WHAT SHOULD WE DO NOW? we finished everything that we were supposed to do today.

Let's do crypto currency, that will be fun.

CRYPTO

-bigger risk, do with small part of your porfolio

-good to trade because you can get big moves. 

-reversal patterns work really well with CRYPTO CURRENCY

-also news over reaction correction works really well on crypto currencies

- if crypto is going up or sideways, lets say this is bitcoin. news comes out, bad bit of news

-bitcoin would drop. each bar is 15 minutes and you look for a reversal pattern

then you buy, (look at Session 8 chart notes, right side)

-watch for the overreaction, and trade on the correction

tomororw, I will show you on shares how i do it.

woudl I hold crypto for long term?

no, because i dont know which ones will last which ones wont

but trading short term on the movement, yes

if i do day trade and it keeps going up i iwll keep moving my stop

THINGS NOT TO DO:

something called, its ICO, Initial Coin Offering.

ICO- way company tries to raise money for a coin

DO NOT DO ICO. 95% of ICO are total scams or complete rubbish what they are offering you.

If there is a new crypto currency that will come out, they nearly always don't work.

In investing, a lot of people to do it, like a game a gamble. For me I want a good reliable way to make income.

I know that I am going to make money. if there is a whole lot of risk I don't do it.

interest in that area. I was reading about DECENTRALAND. It's a virtual world where you can buy land. You use real money to buy crypto currency which is of use in that virtual world. then you can develop into that shop front. the point is, the world will be popular, and people can walk in (with their VR sets) go into the store and buy of it. 

People were making 500% return reselling land on the virtual land. Since then, the price of land dropped a little bit. Stuff like that will happen. 

STORY:  TESLA SHOW- Elon tweeted he was going to buy all the shares back and take his company public. and buy it at a higher price. the share price in Tesla went up, and people realized he wasn't serious. 

its against SEC law to do that, tweet type of that information. SEC said we will fine, take you to court. the stock price went racing down, overreacted again. reserve and i got that bit, as it was going back up.

A deal was done with the SEC, a good deal for Tesla. he got banned as chairman for 3 years (meant nothing to him, he was still CEO). share price went racing back up, then came down, it was just so much fun.

How do I do this strategy? News over reaction correction

How are you going to find really good news or really bad news about a company?

Can go to CNBC.com generally, they have the headlines in the first page. Read the headlines. See anything about a company, specifically.

**looks over CNBC.COM with class, trying to find a headline**

**bathroom break.  back***

They are looking at Huawei Toys A, big drop (due to news I'm guessing)

Go on your phone, investing. com or your Stock app. There are news headlines, scroll up and see what is going on. It happens too fast, to get in on dropping down. Too many people are doing that so it's a bit of a gamble to get in. best wait for the correction.

TODAY: Part II of the wealth psychology, Guy was up doing the 

Continuation patterns, consolidation patterns, we did 6 indicators. showed you video where we applied it all, we went through the strategies, we did crypto currencies, we looked at the charts.

Today is excellent, tomorrow will be even better. tomorrow is going to be all about the details stuff, all the questions. this used to be a 2 day trading course. i wrote down all the good questions that is day 3. you are getting all the answers that no one else go, which is fantastic.

Bonus session at the start of lunch. top mentors, Robert. Going to be a fantastic session. going to see you all tomorrow morning!! waves and leaves.

Darren real time: You can all go ahead to the next session, we are going straight into the Q & A session.

Q&A Session:

Explaining Crypto and NFT questions, dropped the gift #8 I emailed to 

Realistically its worth getting some good charting software, find things quickly and build your watch list. Beside of your own capital that you are using, there are not much overhead cost in investing. its worth spending $20 a month on some good charting software.

-FOREX, can risk $40 to make $800

-Keeps going over charts and showed us a move with 3 indicators that Darren covered yesterday

-Its just about being patient, putting what you are learning into practice.

You guys getting into this training course, you are getting a lot of info most people don't have.

-me personally i did the apprentice program with Darren, that helped a lot. Some people, understand but being with people who are doing this day in and day out is the best way to learn, continue that learning.

Sometimes when you are not comfortable with a subject, you have to spend a time getting good at it yourself. but with no feedback, you don't know what mistakes you are making. its not like you read a book and become a professor.

How much time? 3-4 months i got comfortable finding trades. trying to rush everything. trying to do too many strategies at once. i focused on swing trading. i was making a lot of mistakes in day trading. i was worried about losing money, not right mindset. have to have good balance or risk and reward. 

With me, didn't make money in the first 3 months, due to me was over complicating things. we associate spending more time with getting more money. here it doesn't apply. when you are not spending time and not trading what you are doing is you are not losing money. (JUST LIKE IAN SAYS)