– Focusing on those plays repeatedly, and just eliminating the noise. (explosive percussion music) – I was, 98% a short-seller for six, seven years – Yeah, wow, I forgot
about those days (laughs) – Yeah, yeah! Long time ago, ya know, We’re old, but. (laughs). But, you know, how do you recommend someone else? Because, you know, everything
is always changing. You know, sometimes it’s high price. Sometimes it’s low price, you know. I think about, you know, it’s funny. Back to, back in the olden days, I mean, today, every single day, we talk about the float. I remember, six, seven years ago, lots of times we didn’t even look at the float, you know. It wasn’t so, you know, so pertinent in your data points. I guess you’d say. So, why do you recommend to that trader that maybe he’s been doing something for six months, or a year and it just isn’t working, you know. How do you, kind of, evolve and change your style, I guess? – Right, I mean, I think you just have to really go through
some basic checklists. – Yup. – And, you know, goes down to, back to what Tim’s, Tim’s Sykes, you know, fundamental teachings, and of course, I preach it, and you preach it, is really, you know, the volume’s gotta be there. – Yup. – The catalyst, ideally something that’s, you know, hopefully, super fluffy and, well, I say,
effectively fluffy (laughs) – Right! (laughs) I like that! I might
start using that! (laughs) – You know, and plays that are likely to have that continuation. So, a lot of traders are just focusing on plays that are not meeting all those criteria.
– Yep. – And so, I think, if you just have that checklist in front of you, volume, chart and catalyst, ‘course there’s a little
a little bit more to – Sure. – to that, but, I think making sure that we, you know, even look at the float.
– Yep. – The float is important. And knowing what the supply and demand is, and if you have a huge volume surge on a stock that’s only five to 10, you know, let’s say $5 million float, and you got $10 million already traded in the first hour. – Well, that’s gotta be
on, you know, top watch. And, certainly, focusing
on those plays repeatedly, and just eliminating the
noise, too much noise. – Yep.
– Right. – Gotta get rid of the– – Yeah, I think, and actually, were it the trader, the investor. Somebody, walking up the stairs, I was just talking to a young girl. She’s very enthusiastic, but, I mean, she was just all over
the place with stuff, and I’m like “The number
one thing you gotta do “is, you know, start focusing, “you winnow it down “and look at fewer things.” And I think, and I think that’s a common mistake. I mean, I remember back in the day, I had all kinds of indicators. Now, I use VWAP. You know, I use one indicator. You know, it’s just, that is the biggest thing. But, that checklist is what I love. Like, I mean, that was I remember. How long ago did you do
pre-flight checklists? – Yeah! That was like, I believe three years ago. – Yep, yep. So, that was actually, I remember that webinar, and I actually stole quite a bit from it. And I’ve got my, you know, I’d always kind of had a mental checklist. But, after I watched that, I actually made physical checklists. I actually made notebooks out of ’em. And I think that’s something I talk with new traders a lot, is your criteria can be wrong, but have some criteria, you know. (laughs) – Right. – And start, and that checklist will probably change, over time. But, start out with some sort of criteria. And, if you can’t check, you know, seven out of 10 boxes, or eight out of 10 boxes, you shouldn’t be making that trade. So. – Yeah, I made this analogy the other day with another student, that, you know, if you’re a business owner
– Yep. – and you’re looking to hire somebody, you’re getting all these resumes across your desk, you know, you should be able to quickly filter out the ones that are not, just not up to par, up to speed, with what you’re looking for. And it’s no different to these stocks, that create a lot of noise sometimes, because we see this big 3% gainer showing up on SCAN. But, you start to do a
little bit of legwork, and this is just not the play that meets the criteria WE needs. – Thanks for watching our video. Be sure to comment below with any trading-related question. We love answering your questions. Also, like and share with your friends, and be sure to subscribe. You’ll be notified as soon as our next video hits. And if you’re looking to expand your trading knowledge, don’t forget to check out all of our other videos, and be sure to click the trial below. Check out StocksToTrade. I think it is one of the best, most rapidly advancing
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