DAY TRADING Explained in 11 Minutes

I have 12 minutes to explain day trading. So naturally, I'm going to put $60,000 of my own money on the line. What could possibly go wrong? (nervous laugh). Oh god.

Day trading is basically a game of patient people taking money from impatient people. But it's also a game of chance. To understand this game of chance, I'm personally putting $60,000 of my own money on one single trade. Using this exact

strategy I'm about to share with you. Will my own strategy actually succeed? Or will I lose $60,000 in the matter of seconds? Either way, I guess it's content.

It's now Wednesday. I woke up at 7:30 am today. I'm in Texas (TEXAS). So market opens in 1 hour. I make sure I'm zooted on caffeine and I then proceed to spend the entire morning scrolling through my trading scanner.

Until I find the one I set up all of my strategy parameters. Tactics. Tactics. Tactics. I precisely set my buy order.

Then I do the most important step. And that is to wait patiently until price hits my order.

Holy fk, it just hit my order. GO GO GO GO. ENTER ENTER ENTER!!!!! I am now entered into this $60,000 trade. But how did I get here? You see, day trading isn't easy money. I'm sure the only reason you're even watching this

video right now is because you saw some rich TikToker talking from a helicopter about his Lamborghini. That he got by trading stocks. You see, it's just not that easy. In fact, most day traders actually lose money. It's a known statistic that only 3% of

day traders make a profit. And only 1% actually do it consistently. So in order to make money, you have to become part of the 1% of traders.

And how do you become part of the 1% of traders, you may ask? Doing exactly the opposite of what the 99% are doing. You see, it's pretty simple actually. If 99% of traders are not profitable, that means if you do the exact opposite of what

they are doing, you'll make money. It sounds stupid but it's true. In order to do this, we are going to use one of the core concepts in our strategy and that is liquidity. In order to understand liquidity, we first

have to understand how the big billion-dollar institutions trade or in other words, the 1%. Now, unlike you and me, where we can simply just buy wherever we want, big

institutions can't really do that. They are dealing with so much money while trading that there are simply not enough sellers at the price where they want

to buy at. So what do they do? They create the sellers themselves. But how do they do that?

Have you ever seen this happen? Price is coming down to a recent low. A key support area. Now what's happening at this low is very simple.

Normal retail traders are seeing this as a key support and enter right here, thinking the price will bounce up from this support. So where better to place

their stop loss than the most recent low? As you would assume, if price crossed this low,

it would be considered a downtrend, lose all of its momentum, and keep crashing downwards.

Now the institution owns this stock already, but they want to buy more of it. But since

they are trading with hundreds of millions of dollars, there are simply not enough sellers

at this price for them to buy from. So they need to create the sellers.

So what they will do is start selling their own shares to artificially drive the price down.

They will make it seem like the stock is losing, crashing downwards, when in reality it's not.

Which other retail traders will see this and start selling as well,

which drives the price down even more. It will do this to the extent of passing this

recent low, which will trigger all of those stop losses that we were talking about before. So now,

there are tons of people selling, trying to get rid of what they are holding, which means

the institution can now enter at the price they want since there are so many sellers.

Price hits these stop losses, institutions buy a fk load of shares, and price starts

heading in the original direction, making institutions billions of dollars.

This is liquidity. [Live trade update] Now the trade we just took broke the all-time highs, then reversed back downwards.

So instead of sell-side liquidity, like the last example, this time we got buy-side liquidity. So

this is why we are looking to short. If you don't know, instead of making

money while the price is going up, shorting is when you make money as the price goes down.

Price breaking this all-time high is our liquidity and actually all-time highs are usually the most

aggressive types of liquidity. And this is part of the puzzle of how we become part of the 1%.

But just because we find liquidity, that doesn't necessarily mean we found a good trade.

Now the 1% not only know how to find liquidity and even target liquidity, but they also know how to

find perfect spots to enter their trades. In order to know where they enter, we have

to understand one key thing. Retail traders don't move the price, the institutions do.

Sure, me and your pennies could possibly move the stock price a smidge in the grand scheme

of things. But the majority of price movement comes from hedge funds, banks, and institutions.

That's where price really moves from. We can find where they are entering by

finding key levels of supply and demand. To do this, go to the four-hour time frame.

Find the start of a strong move. Mark the low to the high of the candle that

started this move. This is your area of demand. You can do the same thing with areas of supply.

Find a strong move downwards. Find the first candle that started that

move. Mark the low and the high of that candle. This is your area of supply.

The reason we are doing this is because we want to be entering

where the big institutions are entering. And if price spiked up strong from this price,

that means the institutions are probably entering here. So we would wait for price to come back down

to this zone. Enter here, where price is likely to spike up again and we make all of the profits.

So if we go back to our trade, we already grabbed the liquidity at the all-time highs. Next,

we need to mark our area of supply. We mark the first candle that started the downwards move.

This is our area of supply and we must wait for price to enter in this zone again before

we enter our short trade. Once it does, we enter.

Now just because we have liquidity and supply,

that doesn't necessarily mean price will follow exactly what we think it will do.

You need another layer of confirmation and that is a narrative. Narratives come in all shapes and sizes. It could be a sector that has lots of potential