How To Read Stock Charts

thank you so much you're very welcome boys right where it's like you just whoever see says it was just amazing oh my gosh she was talking to me she was talking about me and I was like oh that girl sales are made y'all so um Angela said I have 30 minutes in the presentation that I have usually I give it an hour so we are gonna go fast because of that I did I said I did something great for you guys and it is this so if you text invest 1 2 4 4 2 2 2 and I have my phone just cuz I'm about to do another activity in a second but if you and if you text invest 1 2 4 4 2 2 2 you will get this whole slide deck that will help you so that you're not like oh my god what did she say I can't remember oh my god so you will get the whole slide deck also I do longer webinars so you'll also get a link to an upcoming webinar that I do as well that way you can have it for later cuz I just talked to remind me I was saying it over and over and over again remind me your name one more time yes mr. George I just talked to mr. George and he was like Terry the last time you did a webinar I was trying to write so fast and I couldn't keep up and so I say you know what mr. George just for you I'm gonna give you guys the slides so you don't have to worry about that so if you have your phone you can text that now or later you can get access to all the slides good perfect alright next um yeah I like Prezi let me show you what it looked like all together like that cute yeah see I match my slide but the one other do now that I want us to do is I know that I'm going after lunch and I'm also going at about three o'clock when you about to go to sleep you know that I just kicked in but you couldn't really go to sleep so now you trying but you're gonna get your eyes kind of dropping like so can y'all stand up and we're gonna do a quick little do now I want y'all say hi to Instagram live real quick so just scream clap say hey and I'm gonna do a quick little walk okay I got ready alright one two three [Applause] perfect all right bye Instagram y'all didn't pay for a ticket so we gonna let y'all go one other thing that you have is on every um on every table I put at the end of the table my car so y'all can just pass that down so people were asking me for that earlier so now you have it all and we can talk about charts are y'all ready yes okay wonderful okay um also Thank You Angela for even having me you are amazing this is amazing and event so this is just wonderful so thank you so much Angela said quick introduction but I got to go fast so I'm just gonna say a couple things and then y'all can look me up I've been trading for nine years before that I had a ten year career in education I did go to undergrad at MIT and I went on this path of finance in business but then I thought I grew up in a situation where all of my family did service type of jobs so my mom worked for the housing authority I know I'm tired now I need to work out my grandmother and she retired from working on buses so I always thought the most most honorable jobs were working in things that were service based so I went into education because I thought well education and actually ministry - I'm an ordained minister how many people here from Dallas wonderful so I'm ordained at Concord Church tomorrow they mad at me because I won't be serving communion but I'll be here and that's even better but yes I went into education and ministry and I was called to teach young adults but the thing about it is when you're in those kind of fields you just don't get rich that way they don't pay a ton of money so I always had to have my main job and in my side hustle and for me my side hustles were real estate which I'm so excited they talked about it earlier and then also investing in the stock market but I got to a point where my job started being horrible and as I told you all earlier I needed an exit strategy so then my side hustle became my main hustle and I said I'm gonna use this stock trading thing because I've loved it y'all like I could talk about companies like me and talk about flag football and and what's that fantasy football and they know all the stats and they're trading people I could talk about companies like that oh my god did y'all see what happened with Apple the new phones coming out and now the stock is doing this he said this about the trade war and I just I could do it this like that's that's how excited I get when I talk about trading so I wanted it to be my main thing I was able to quit my job and start traveling around the world using trading and the way that I do it is I trade for income so we're not doing longer-term investments like Angela was saying I'm trading in and out of stocks on a regular basis so that I could make money to pay my bills and achieve goals and that's what I teach other people to do I will teach you how to afford to travel how to pay down debt how to replace your income using the stock market okay and the way that we do that is using charts so I'm gonna give you up front the big three keys that we're gonna learn and then I'll teach you those things so the first key let me get us away is charts help you time the market so one of the myths and how many people have heard this myth you can't you can't trade because you can't time the market you got to do buy and hold because the market is it'll go down today but tomorrow it'll come right back up you can't time the market well the truth is if you use charts you can time the market I can tell you when to buy when to sell looking at a chart so that's one of the reasons why charts are important the next thing is charts tell you where the banks are buying and where the banks are selling we want to follow the big money so I'm sure you guys as investors I've heard that phrase before but it is true you're going to be buying where the banks are buying and you're gonna sell where the banks are selling okay this is not a retail investor how I feel today oh I don't think this company is gonna last it doesn't even matter you're thinking about where the banks the big banks like Morgan Stanley investment banks where are they buying a million shares what stock price is that happening at well that's where I want to buy where are they selling three million shares if they're selling three million shares of Tesla at $320 I'm not buying it at that price I was selling it to like that's what that's what you find out with charts where our banks buying and selling last thing is that charts are the difference between a trend trader and a technical analysis trader okay and I'm gonna tell you what that means in a second that's again I told you guys I'm telling you the big points up front and then I'll explain it there also the difference between a novice investor and a professional if you go to somebody they're like all I've been trading a long time but they never talk about a chart then it's also no let me not even say that but charts are the difference between a novice investor and a professional all right and by the end of this presentation I want you all to be able to read this chart can you see I know I'm in the way for somebody all right I'm gonna be in the way for y'all so they can see in this presentation you should be able to read this chart okay that's what we're going that's what I'm going to teach you and someone saying he didn't the lights a little bit I like seeing your faces but if it's easier for you guys to see we can dim them a little bit all right so that was the introduction now we're going to go into the purpose of charts all right now in order to tell you about the purpose of charts we're going to talk about determining the right price of a trade and we're gonna talk about what I just mentioned with the trend trading versus technical okay and I'm gonna give you a story so with trend trading trend trading this is me and my grandmother I guess can y'all dim it just a little bit so they can see this can y'all see this at all okay I should have done a little Suman but what it is just for those who can't see this is my grandmother and then this is me when I was a baby I look like Leah in this picture and this is my granny feeding me a big drumstick which I won't think is really supposed to happen with a baby but I think that was her version of a pacifier be quiet eat this drumstick but when when I was in high school Google IPO and they were what IPO means is that they were going public they were allowing other people to buy their shares and so I heard about this and I told y'all earlier I did this program Junior you're going into senior year and they have shown me the Chicago Stock Exchange so I was super excited about the stock market but I still didn't really know what to do but I knew enough that Google is coming out I need to buy some Google shares but see here's the thing I went to my grandmother and I asked her if we could buy Google shares but neither one of us knew what to do like we didn't know how to open an account we didn't we just didn't know what to do so me deflated senior in high school I'm just like okay well they said no I guess is there's no I can't do it but as a trend trader a trend trader is you just find a company that you like and then you invest in some shares of it and your goal and whole agenda is just to kind of keep the head long-term so that's what I would have done had I known what to do that's what I would have done with Google my grandmother and I we would have just said you know what this is a good company we're gonna buy some and we're gonna invest in it forever but we never really would have thought about the stock price too much it was just the thought that this is a good company and we'll keep it does that make sense a lot of long-term retirement investors are like this they're trended traitors they followed the trend but when I decided that I wanted to quit my job and start traveling the world and I needed straight income I can't be a trend trader anymore I can't just invest at whatever price I need to be real particular about what I get in and what price I get out because I need to make money off of that exchange does that make sense so for example if I buy something at $100 sell it at 150 dollars I get to keep the difference so I get to keep $50 difference but if I get in too high if I get in at 150 and it falls to a hundred now all of a sudden I've lost fifty dollars so I need to know better when do I get in and when do I get out y'all following with me okay perfect another important thing that you need to know and I'm the type of teacher just to give you guys a heads up I am building you up to be able to read that chart okay so follow along with me I need to teach you some concepts and then I can teach you how to read those candles that make sense so just kind of follow along with me another concept I need to teach you about though is the fact that the stock market is a market just like any other market in the world so when I go to Africa I'm Nigerian but when I go to Nigeria and my dad and I go to the markets we want to go and buy a cloth do you all think that we ever pay full price for that cloth no it's a negotiation your your negotiating the key in the market is that I'm the buyer I want to buy a real look somebody is the seller they want to sell it real high no I don't know what they're talking about but so now we're gonna negotiate and this in and determine a price right that's what happens at any market you can go to the fish market in Australia you can go to the cloth market in Nigeria you can go to this market which was in Thailand for me like anytime you go into a market you have a buyer and a seller and you guys are negotiating on the price what happens in the stock market is exactly the same thing but many novices go into it thinking it's a grocery store and okay this is the price they say it for this Apple stock well I'm gonna just pay whatever price they said right that's a trend trader a technical trader says no this is a negotiation I want to get this this is actually Apple stock so y'all can see up here the symbol it's Apple at the time that I pulled this matrix the price was a hundred and seventy-six dollars I pulled this matrix a little while back so the prices are not exactly the same but for a professional trader I can see a matrix that looks like this this side where there's red these are all the sellers and these are the prices that they want to sell at so for example this person is willing to stare at that is wanting to sell a thousand shares at a hundred seventy six dollars and seventy one cents this person over here on this blue side can you hear me sorry on this blue side these are people that want to buy the stock and this is how many shares they want to buy at these prices so this person over here this person hey down here wants to buy 6807 shares at seventeen dollars and 46 cents so what's going to happen is just like in any market you're gonna have the buyers and sellers start negotiating and the price that you all see on the computer is the price where they'd agreed upon a price and they're gonna be selling at that price because the buyers and sellers agreed upon that price does that make sense so just like in any other market you are it's a negotiation between buyers and sellers and just like any other market if we're negotiating I want you guys to never pay full price so what you're gonna be looking for is when can I get it at a discount here in Dallas for all those in Dallas I absolutely love the Dillards clearance center has anybody else been there and Irving that is my store so I hope I will go into a regular Dillard's look around it all the excuse me all the stuff that I like and then I will wait for it to go on sale and go to the clearance center to buy anybody else wait for sales am I the only person that does that okay okay good so I'm not alone you don't you lucky any black okay that's too much but you come back come on like Labor Day Memorial Day any holiday and you get that on sale well that's the same thing that you're doing in stocks you just you you're waiting for it to go on sale so I see okay and this is in the way you do it is which hearts so that's why I'm explaining this to you so I'll be able to look at a chart and say you know what I really want to be in the stock right now I love the company but the price is too high I'm going to wait until it goes on sale and that's when I'm gonna buy it does that make sense are y'all with me I'm trying to like really give me the okay good good okay all right and then the question that you should ask yourself is okay I get it Terry and told me about 15 times in three different ways because you like repeating yourself which I do but I feel like that's a good learning thing but okay I get it that it's buyers and sellers ten minutes oh yeah I go real fast so so with buyers and sellers what if you knew the price that the buyers wanted to sell it and you knew the price wait you knew the price that the buyers wanted to buy and you knew the price that the sellers wanted to sell how would that impact your negotiation and so that's what we're doing with charts I'm gonna show you how to figure out where and the buyers and sellers for us are big banks I said that before but it's not retail we're not thinking about retail we're thinking about where's Morgan Stanley where's Wall Street goldman sachs where are the big hedge funds where they buying and selling if you know that then you can know how to trade all right let me move forward cuz she said I have ten minutes we already talked about this okay this is so this is something that I wanted to show you before I can I'm about to go into the candlesticks but I just want to show you this one other concept so in in investing one other concept that's put this on the mic one other concept that you need to know is well how do buyers impact the sheer price and how do sellers impact the share price so I want you to think about it in this way so think about an auction we're gonna think about buyers and how buyers will increase the price if you go to an auction and there's something really valuable and you have a whole bunch of people that want to buy it they will bid up the price okay so what will happen is something like this and I don't want y'all to get sick and dizzy but what will happen is this so say it you're in this auction and the bidding starts at $100 and the oxygen guys like okay and who wants a buddy $700 and then everybody raises their sing then the next person then he raises his price okay what about 105 what about 110 what about 115 what about 120 1 about 200 you know what he'll keep going up until they get on a price where everybody will only one person is is willing to pay that much and that's where it'll stop but if you have a lot of buyers and the price is low they'll start bidding up the price so in a second when you see the green candles that's what's happening the reason why they're green is because you have a lot of buyers come in and those buyers are pushing up the stock price okay likewise let's think about the auction on the other side this guy is selling something and he's starting out really high but nobody wants to buy it because I don't know what this picture is but nobody wants to buy it so he has to start lowering his price so for example let's say that you know somebody's selling something and remember we're talking about stocks I'm just using other examples but let's say for example somebody is selling a stock a share of Roku Roku right now is really high and expensive so Roku right now is at like 94 dollars and the prices starting to go down what happened is the same thing as this so the auctioneer he starts at $300 nobody buys it so then he's like okay well what about 295 what about 290 what about 285 so he has to keep lowering his price until he gets to somebody that will buy that asset does that make sense so when you have something that's really high and a lot of sellers but very few buyers the price starts going down so this is what's happening when you see those red candles and the price is starting to go down you know there's a lot of sellers right there and they're selling selling the stock which is making it go down but they haven't reached any buyers yet so the price keeps falling okay so that's what's happening like that's the mechanics behind these candles and what will happen is when when the buyers and sellers agree upon a price this is when you're gonna see a real small candle because now they've kind of agreed that this this price is actually about right I want to sell it for 200 you want to buy it for 200 let's make a deal and that's when you're gonna see those days where the stock price doesn't move very much but that's because the buyers and sellers are in agreement okay now remember I told you we want to find where the banks buying and where the banks selling right all right now let's look at it so putting all the pieces together and the timer lady hadn't throw me off yet so that's good so once again if you see a candle like this the concept that I just shot you says that how am i doing good okay I can do this in five I could do it all right so what this is saying this green candle anytime you have a candle the two lines one on top and one on the bottom are either where the stock opened in price and where it's not closed up in price but if it's green you know that it opened down here and then they've bit it bid it up and it sold up here okay if it's red let me not fall off this stage I know somebody was worried about that so you were praying all day lord please don't let her fall of the stage but okay so if the remember these lines tell you where it where price opened and closed but if it's red what's happening is that means that price opened up here and then the sellers took it down and it closed down here okay so this red candle is telling us that some sellers came in this green candle told us that some buyers came in these excuse me these that didn't move very much told us that at this price the buyers and sellers were about even okay we still know that on this one price opened up high and closed low on this one price opened lower and closed higher just cuz the color but that's kind of we need to know where the buyers and sellers are alright so now that I've told you what those candles mean let's put it all together and we're gonna tell you the story of the candles while we look at a couple shares and stocks alright so where are the bank's buying and where the bank's selling you ready all right so here's a stock and this one I believe is still Apple yep this is still Apple so I just showed you a matrix of Apple but this actually is I took that picture of a matrix about I want to say like six months ago now price is return this is why you should never feel like you're too far behind to get started because the stock prices will go up and down and the prices will return so you're okay but let's do this so let's actually start right here in the middle so in September of 2018 we saw this big green candle so what does this tell us what uh what is happening are we do we have buyers here or sellers here great oh yeah they're a great class so here we had some buyers they came in strong too they all see they started at the price started at about $200 and they bid it all the way up to about 230 so this is a ton of buyers that came into the market and this is a monthly chart FYI so this is over a month's time these candles have a month's worth of data in them so over a month's time these buyers came in strong wanting to buy Apple stock at this price but then all of a sudden it stopped going up and we got here to this little bitty candle what is this little bitty candle say it says that the buyers and sellers are about to agree right they've kind of agreed upon a price so at about two hundred and thirty dollars they thought okay this is about what the stock should be worth right now okay but it didn't stay there I thought I think I'm in church he got up and didn't stay right there but the stock is right here and they didn't stay there because the sellers came in and what what do all these red candles tell us there was a lot of what by the sellers sellers so right around this area at two hundred and thirty dollars the bank started selling the stock and they sold all the way until about here in this area though price came down it stopped going down right around here right about a hundred and fifty dollars and now all of a sudden you see these green candles come in so the buyer started coming in so looking at this chart what we can say is we know that banks because banks are the only ones that can move candles like this we know that banks are starting to sell up here at about two hundred and thirty dollars and we know that banks are starting to buy down here around one hundred and fifty dollars and there's all kind of different like there's more to this that I can share in my class like more than thirty minutes and I know she about to tell me I'm at the one-minute mark but this is the basics of reading a chart you want to know where our banks buying and where our banks selling and then you can follow them so now that we know that banks are selling at about two hundred and thirty dollars the next time it gets up here which you can kind of see the next time it got in this range what should somebody have done sold because this is where the banks are selling and right around this area look at all these start sell sell sellers came in so if somebody was here a trend trader would have said I want to get into Apple oh my god I got FOMO gotcha oh my god I got so mo i'ma get into Apple they up here at 220 when the banks are about to start coming in here and sell no don't do it wait wait until price gets back down here around 160 150 this is where the banks are buying we just identified that so the next time that Apple comes back down and actually it is coming down around this area 150 160 this is where I'd be a buyer okay so this is how you read a chart this as a professional trader is how I make $1000 a day I can tell where the banks are buying and where the banks are selling and I can just follow the bank's follow the big money and when you do that you can start making some consistent money yeah all right I know miss Cassandra's gonna come up here but again you guys have if you texted that number it asks for your email address it'll email you all these slides so you'll have it this was just a quick check for understanding to make sure you guys got it but I think you did and then this is my website Instagram and Facebook but you guys have my card now too so you have all that all right well thank you guys so much for having me I appreciate it sure anyone have a question okay I saw like for all the same time what do I do okay I saw one back there that was fast well I saw one in pink that was fast and I saw Oh these charts were you going to find his choice great question so for free you can access them at vesting comm also there's another app that I really love called the CNBC app and I actually build out a watchlist on there so you can put companies that you like on there and then it will tell you not only their charts but it'll give you like news about them it'll tell you when their earnings are coming out so I highly suggest do a watchlist and CNBC and then you can look at the charts there uh-huh CNBC it's the finance network of the NBC channel just make sure that when you do get those charts you change it to candlesticks then the default is this like squiggly line yeah but change it to candlesticks so you can really start seeing what I showed you yeah yes ma'am all right I don't know where the mic is but yes ma'am hi I just wanted to know about how long do you analyze a chart before you decide to invest in a company I know the one that we looked at was over a one-month period do you usually look at something over a one-month period a six-month period or great question so oh I usually do a daily timeframe so I've switched the charts to daily instead of monthly and then for my students we look at 30 days worth of data in the beginning and then once they're good I just tell them that they can look at the whole chart they just need to find those patterns and then they can kind of see where the banks are two questions right here that you missed that point where you need to sell all you need to accumulate I may obtain do you hold on to the next day what's your exit strategy in the event that you missed that day exit perfect question so I actually have like a whole little thing on exit strategies because there's different ways that you can get out but one I'd it's just hold on while the stock is going down I'd rather you get out of it let it go down and come back up to where you want it to be before you before like you get back into it does that make sense I just don't want you to write it down so many times like even now I'm sure there's some people that are like oh my god I just bought this stock last week and it's going down what do I do they start panicking and they do nothing they just hold on to it while it's cratering but then your account is going down and your emotions are saying like you know like like you're crying so I'd rather you get out of it instead of just riding it lower and then get back in when it turns around does that make sense yes my own great question my online course is always open once a quarter though I do live classes as well so you can always go in start the online course start reading I mean listening because it's videos watching the curriculum and then when I start laughs coaching you can join those calls to open up which is when George was saying like our own money notes every supporter I open up and invite Terry to have a class for our tribe so you'll also get to experience her more there too yeah all right okay and yeah it's up to you okay she's a little bit quick one second then mike is coming so everyone can hear you this particular trading style is different than stock trading so is this like an option set high-low was the Apple stock okay so I had a different price though right okay so what it is is it stocks but I'm waiting until the price comes to me so it's the same way as when I went into the Dillard store and I saw it at this price and I was like now I'm gonna wait for the sale that's what I'm doing with this stock it's still this the regular stock but I'm just waiting till the stock price comes to where I want to enter it and then when I'm in it I'm gonna wait until the stock price gets to where I want to sell it yeah but it's at the full stock price at the full stock price yes ma'am all right one teeny [Laughter] there's two that's something that you created or is that something that you've accessed perfect so that actually depends on your broker so a lot of people might use fidelity Merrill Lynch or that Merrill edge it goes with Bank of America they don't have that kind of technology you need a more sophisticated broker so the broker I use is TradeStation and TradeStation that's part of what you can see like you can pull up a matrix [Music] wait can I make one point on this if anybody is interested in my course I'd say don't get into tradestation until you join the course because TradeStation is actually a partner of my course and they're reimbursing a hundred percent of my class mm-hmm so join the class and then open the tradestation counter yeah and you you do this daily so you watch that daily and then buy and sell daily based on that I do but it takes some time to get to the levels so I'll draw the zones but then I'm just kind of watching to see has price hit it so I don't have to be staring at it all day I'll just have some alerts but I at least check it every day but that doesn't mean I'm trading every day great and sorry it's gonna be tomorrow she'll be at our reception this evening so you can pull her aside then it should also be at our lunch with the experts so you can also stay at her table then as well so thank you so much Terry that was that was great [Applause]

Channel: Trade And Travel

Views: 246,282

Keywords: milliondollarsaday, #generationalwealth, #million, #pandemicproof, #1000inadayclub, #option, #stocks, #mindset, #invest, #tradeandtravel, #wealth, #womensupportingwomen, #investing, #sidehustle, #parttime, #financialliteracymatters, #teriijeoma, investwithteri, retirement, stockmarket, karenhunter, thehubchallenge, resilant mission, shorting, skillset, #earnyourleaisure, #trading, challenge, 401k, extramoney, education, mindset, 1000inaday, daytrading, activeinvesting, stock_event, thehubnews, robinhood

Id: IwjfV2EN8ws

Length: 34min 55sec (2095 seconds)

Published: Tue Aug 13 2019