Here you know we can we talk about this in almost every video but 90% of traders fail why is that I really think that most traders in that 90 percent do not have a methodology they do not have a process and they simply try and chase picks or maybe by the top percent gainer of the.
Day because they just want quick profits they think that that's the way to be successful and it really isn't might make a couple of hundred bucks today but you'll lose a couple of hundredbucks tomorrow you'll do this over and over again and then you'll be one of those people that says trading stocks doesn't work trading stocks does work I've done it for over ten years Tim Sykes has done it for over twenty years Tim Brittani is one of the most successful penny stock traders ever he's.
Or seven years it can be done if you have a process and you repeat that process over and over again in stocks to trade Pro we talk about this everyday stocks to trade pro is a mentorship program where I guide you through becoming a consistently profitable trader and refining these skills so I call it building the case and/or I often refer to it as having the components of the recipe if you're buying any one stock for one reason your odds are very very low you need to.
Reasons that make this a stock you really want to trade many of you are new many of you are part-time traders you can't simply be jumping into any random stock if you're new to trading you may be under the pattern day trader rule that means you only get three day trades week three trades out of a five-day rolling period you need to maximize those opportunities because if you make a trade Monday Tuesday Wednesday you might not be able to trade for a few days because of this.
A rule so what I want to talk about is my process my methodology that has allowed me to book consistent gains through bull markets through bear markets through all types of environments over the last 10years so what are we going to look for we're gonna look for what we call it as clean charts if you're in stocks to trade Pro webinar you'll see me do this thing I like to count on my fingers it's if you saw into my trading room you probably I probably look like a madman as I counted off these criteria too.
Worked for me so we're looking for clean charts which means these are charts that are breaking out to new highs breaking52-week areas breaking all-time highs these are all areas the traders are looking for second thing stock needs news sure you can date trade and swing trade stocks without some sort of catalyst but your odds of success are much lower look for stocks that have a reason to be up you know hot sector contract winds you know all these things that that press releases new products.
That can move stock and if you've got three-day trades a week you can't be trading random stocks with no news next look for volume avoid it illiquid stocks when I talk about volume and ill liquid if the stock isn't trading a million shares a day you need to avoid entries and exits will be difficult you'll be burned by what's called slippage you know you can Google slippage or check out the other videos we talked about little liquid stocks you'll try and get out you can't get out you end up trading.
There's slippage involved your profits are erased when you try and exit the next target low or I'm sorry low float stocks that have less than 10 million freely tradable shares that mean there's a limited supply of shares what's that mean the markets a market limited supply means more buyers come in means the price Rockets up next is you know looking for stocks that have run in the past use you're charting one of the great things about stocks to trade we've got.
There you can quickly if you're looking to make this decision with one click you can see has this stock plan in the past we call them in day trading world we call them former runners we love former runners these of stocks that have spiked in the past and they tend to spike in the future think about building that case refine the criteria I've given you four or five criteria that I like yours might be different but the biggest takeaway from this video has a process have.
Criteria modify and build upon them and if you get a chance comment below what something you like to look for are you looking at 52-week guys 52-week lows are you using technical indicators I'd like to hear what your catalysts are what when you're building that case what do you look for so thanks a lot and we'll see you next time 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.