Trade To Close

Trade Mechanically. Trade With The Best.

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A gap is the market showing you its energy

One of my traders asked me what a gap means. Great question, and most people miss it completely. They see a stock clear a level and go, cool, we're through, off to the races. Not so fast, my friend. How it got through that level is the whole story. So here is how I read it. A gap is energy. When a stock jumps over a level instead of grinding up through it, that jump is the market showing you it has fuel behind the move. That is the market talking to you. And I want you to learn how to listen. Stare at any long-term chart, up or down, and you will see it. The moves that last, the ones that go and keep going, they are built on gaps. Gaps are the technical gateway. No gap, no go. Let me make it plain. A stock can close a

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Most traders are obsessed with the wrong thing

Most traders are obsessed with the wrong thing. They are obsessed with making money. With the win. With watching the account tick up and going, woo, look at it grow. That, in my book, is weak. The traders who last are obsessed with something else entirely. It is not the money at all, and once it clicks, it changes everything. Let me show you what to be obsessed with instead, plus a few things I do to keep my own head straight. Here is the shift. You do not want to be obsessed with making money. You want to be obsessed with the process of making money. That sounds like a small change. It is not. When you fall in love with the process, you start treating trading like a business instead of a slot machine. You understand the mechanics, you trust them, and the money stops being the thing

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A gorgeous setup is not a reason to buy

The best-looking setup on my charts is not a buy. Everything is lined up. The market is coiling into a tight pennant, coming from strength, on volume that is finally rising instead of fading. It is locked and ready to rock and roll. And I am not touching it, my loves. Not yet. There is one thing missing that separates a setup that looks perfect from a move you can trust, and most people never wait for it. Let me show you what it is. First, let me show you what has me excited, because the picture is a good one. The market has been holding a pennant, which is when price coils into a tighter and tighter range. The wider the mouth at the base and the smaller it gets as it goes, here, here, here, the more likely it breaks out. This one is coming from strength. That

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