---
title: 'How To Day Trade For BEGINNERS In 2026 (Complete Guide)'
source: 'https://youtube.com/watch?v=uh5fCPGwByM'
video_id: 'uh5fCPGwByM'
date: 2026-07-06
duration_sec: 0
---

# How To Day Trade For BEGINNERS In 2026 (Complete Guide)

> Source: [How To Day Trade For BEGINNERS In 2026 (Complete Guide)](https://youtube.com/watch?v=uh5fCPGwByM)

## Summary

This video provides a comprehensive roadmap for becoming a profitable day trader by 2026, based on 9 years of experience. It covers the essential tools, mindset shifts, technical analysis concepts, and statistical methods needed to build a sustainable trading career.

### Key Points

- **Four Essential Tools for Trading** [01:20] — The four essential tools are: 1) Education hub (mind map), 2) Trade journal (Notion-based), 3) Charting platform (TradingView), and 4) Brokers/exchanges for capital access. These form the foundation for learning and executing trades.
- **Why Markets Move** [03:40] — Markets are a visual representation of mass human psychology. Price moves due to supply and demand imbalances, seeking equilibrium and liquidity. Aggressive buyers absorb offers, forcing price higher; aggressive sellers absorb bids, forcing price lower.
- **Three Pillars of Trading** [07:25] — Trading boils down to: 1) Identifying probable outcomes (where markets are likely to move), 2) Using probability and risk control to position in high-probability areas, and 3) Evaluating expectancy and statistics to refine the edge and execute profitably over time.
- **Understanding Risk-Reward (R)** [08:16] — Risk is measured in units of R. For example, risking $100 to make $300 is a 1:3 risk-reward. Uniform risk sizing allows traders to evaluate performance using winning percentage and average win/loss size, independent of dollar amounts.
- **Expectancy Calculation Example** [10:45] — With 10 trades: 7 losses (-1R each) and 3 wins (average 3.6R), total R = -7 + 10.8 = +3.8R. If R=$100, profit = $380. Even with 70% loss rate, positive expectancy yields profit.
- **Support, Resistance, and Market Structure** [13:17] — Trends are defined by higher highs/higher lows (uptrend) or lower highs/lower lows (downtrend). Ranges occur when price bounces between key levels. Trend lines and parallel channels help visualize supply/demand zones.
- **Break of Structure and Change of Character** [15:32] — A break of structure occurs when a candle closes above a previous high (uptrend confirmation) or below a previous low (downtrend). A change of character signals a potential trend reversal, identified by a failure to break a high/low and a close beyond a swing point.
- **Fair Value Gap (FVG)** [18:43] — A fair value gap is a sequence of three candles where the high wick of the first and low wick of the third do not overlap, leaving a gap. This indicates an imbalance where price is likely to return to fill the gap before continuing in the original direction.
- **Mindset: Bell Curve Distribution** [21:19] — Trading results follow a bell curve. The only number that matters is the center of the curve (expectancy). Traders should not judge a strategy based on a few trades; a large sample size is needed to determine true performance.
- **The Spiral: Beginner's Luck to Paralysis Analysis** [26:52] — Beginner's luck gives false confidence. After experiencing losses, traders often seek more information to avoid losses, leading to analysis paralysis. Simple strategies executed consistently are more effective than overcomplicating.
- **Glass Equity Ceiling** [29:18] — Traders often self-sabotage when approaching a profit target due to fear of losing. Journaling and analyzing behavioral changes at these levels helps break through the ceiling.
- **Trade Example: Futures and Crypto** [31:26] — Using a 1-minute chart, the trader identifies an uptrend, change of character, and fair value gap. Entry is placed with a stop loss below the candle, targeting the FVG midpoint. Risk is set at $100, yielding 3.85R profit.
- **How to Start: Journaling Theoretical Trades** [35:17] — Before trading live, journal 30-50 theoretical trades using TradingView's replay feature. Track wins and losses, calculate average R and expectancy. This validates the strategy before risking real capital.

### Conclusion

Becoming a profitable trader requires mastering technical analysis, risk management, and mindset. By focusing on expectancy, journaling trades, and scaling gradually, traders can achieve consistent profitability by 2026.

## Transcript

from zero or you're trading and you're trying to go full-time or improve, I'm going to take everything that I've learned over 9 years of day trading. So, me documenting growing trading accounts over the past 5 years on YouTube and
after years now being able to have days like these and all doing so focusing on risk management and consistency and show you my clear road map to become 2026. So, first I'm going to show you the very first steps that I would take
looking to just generally improve, making sure that you have this set up as show you how I retrained my mindset that in my opinion instantaneously puts you ahead of 90% of other traders just by knowing this one thing. How exactly I go
about reading charts on a daily basis. How I use this information with trading change the way you think about trading. Then I'm going to talk about the basics of my strategy and the potential it gives me each day when I use it in my
trading sessions. How I use all this to be able to journal and back test and but not least, how to get access to capital to be able to start with a small reach actual profit goals. If you're looking for an easy BS feelgood video,
this is the wrong place. What I'm going to give to you is a raw truth of exactly over again after 9 years of experience. So, if you're serious about trading in going to be worth it at the end. All right, so let's dive in. So, let's first
need. Okay, I've been doing this for a long time. I also surround myself around a ton of verified traders and I promise you all of them have started with this these and then you're able to follow along with the video and you'll also
into the future as you're practicing this and implementing this. So, the first thing is going to be this mind map of everything that I've put together framework to learn trading. So, the education hub is the first thing. The
second thing is going to be a trade journal. This is a notion trade journal, and we'll go over here in a second. But, this is going to allow us to journal our trades and be able to look at what we're actually doing in testing to be able to
see if our strategy is working and how to actually execute it. So, the third is where we're going to do all of our analysis, charting, and actually finding these opportunities. And then the fourth thing is going to be brokers, exchange
firms to get access to capital, which we're going to talk about at the end of should happen after all of the fundamentals are worked out. And once conversation, but that's one of the biggest things to note when you're
you want to be able to put money into the market and start executing on the wrong things. It's not what you should be focusing on right away. I the fundamentals, learning how trading works at its core, then getting into
that as the final step once you are ready is a much safer way to do it and So, take my word for it. We're going to get into that a little bit later. All description. Just follow me on Instagram, DM me the word tools, and I'm
going to send you an entire spreadsheet with all of this and way more so you can resources to be able to implement this. Okay, so as we're going into our chart, to be able to follow along, you're going to need to know a few things. You can go
over to products here and click on super charts and that's going to open up a chart here. You can set this to candles and trading view is going to give you a watch list of just the basic stocks and basic things to watch. If you want to
here and just search up, say you want Bitcoin or say you want the S&P 500 and look at and then be able to evaluate them. And over here is going to be our accumulate things that you like and use all the time, you can click on this
to give you this sort of floating toolbar where you can always source the basis. All right, so now that we have all the resources out of the way, the understand how and why the market actually moves. So I'm going to open up
going to explain the basics of why things move. So what we're seeing when we're looking at markets, it's a visual representation of mass human psychology. traders, institutions, we're watching
prices of different instruments, whether it's gold, silver, S&P 500, so the stock market or cryptocurrencies, any individual pair. In this instance, we're looking at gold futures. We're seeing free price discovery happen for a
multitude of reasons, okay? Because the market is effectively moving to seek efficiency in equilibrium, liquidity, and resistance, to fulfill supply and demand imbalances, and we're seeing it move because of human and algorithmic
behavior. So, in terms of supply and demand, aggressive buyers absorb all of the available offers to buy and sell in the market, forcing price to move higher or lower to find new sellers. Okay? In terms of supply and demand, aggressive
buyers are absorbing all of the available orders, forcing price to move higher to find new sellers. And then when supply is outweighing demand, there's aggressive sellers to absorb all of the bids, forcing price to move lower
have the price of gold moving up. That means that the demand is outweighing the current supply until we reach here in which case there is too much demand and continuing to move down to try to seek equilibrium. And once again, this is a
algorithmic efforts, trying to seek efficiency. And that's basically what at a chart. And in this process of seeking equilibrium, price is always going to be moving back and forth between areas of liquidity. So liquidity
is large concentrations of resting orders. So stop losses, limit orders, in the market where it can be seen on the chart is representing significant buying or selling interest. Okay, this is important because big players in the
market, places like institutions that are actually moving the market need liquidity in order to execute their buy and sell orders cleanly. And this is evaluate when we're looking at charts a little bit later. So we're constantly
seeing price move back and forth between liquidity pools trying to once again pull up my Trading View chart, there's unique ways that we can look at this data to be able to predict areas where supply might outweigh demand or demand
might outweigh supply or where price is going to want to move into certain areas to seek resting liquidity or sweep through liquidity to be able to reverse. eventually once we get good at evaluating this and we systematize it is
to be able to find areas in the market, be able to position ourselves into that can start making money. basically the fundamentals of how we make money as a represented, we can look at this data in all sorts of different ways. Right? So,
understand of when we're actually looking at a chart. I can switch this to a line graph where we're just seeing the price of, in this example, gold moving up and down as a line or we can click on something called candles here on trading
us a different way of interpreting this data, which is going to become more useful as we get into the video. The way we're reading this is effectively as candles, the bottom of this box is showing us the open price. The top of
the box is showing us the close price. And then we're seeing the highs and lows candle. So, if a candle's green, it means it had a net positive change over time with the highs and lows. And then, conversely, the red candles, it's still
showing us the open and the close. Now, being a down candle is showing us a net the high and low over that period. Once again, this is going to show us start day trading. All right. So, now that we understand why the market moves
next thing to understand is a very, very simple perspective of what we're trying patterns online or you start looking up other videos, it's really easy to get lost on what we're actually trying to achieve as traders. And boiling it down
you to build a healthy foundation. So, the definition of trading literally comes down to three things. The first thing is identifying probable outcomes. So where markets are likely to move up or down and why using probability and
risk control to be able to position ourselves in high probability areas and then using something called expectancy and statistics to be able to evaluate this process, fine-tune it to be able to get an edge and then execute that edge
to be able to make profit over time. I'm going to explain in full detail what all overwhelming, it is. But I'm telling you, if you want to get good at trading, easy thing because this is not an easy game. It's simple, but not easy. So bear
with me. Okay. So like I said, identify probable outcomes, use probability in risk, and then evaluate expectancy in stats. We're going to get into how to find high probability errors here in a second, but this is really important to
understand using controlled risk. So in trading, we're using something called trade, whether you realize it or not, say for example the market is moving here and we have reason to believe based
off of identifying probable outcomes that price is more likely to move here before coming down here we theoretically can position ourselves to risk negative -1 units of risk for the chance to have positive3 units of risk as the outcome.
So if we're risking $100 on the trade, this is our $100 in red for $300 of looking to evaluate with identifying probable outcomes is winning percentage. So the amount of time that this actually happens and the average size of our wins
exactly how we're going to calculate that. All right. So I'm going to dive looking at more onchart examples this is going to make more sense. But it's actually done and why it's important here as a foundation. Okay. I'm going to
to show you an easy way to do it on Trading View. Okay. So basically let's say for example here and I'll pull up my calculator. We want to buy something at 153.52. We want our one unit of risk. So we
believe that price is more likely to come here before coming here. And if it comes down to here, that is going to be our one unit of risk or our stop loss. I'm now going to take my entry price minus my stop-loss price, which is going
to give me three. And then say, for example, I want to risk $100 on that. I'm going to put $100 divided by 3, which is going to give me 33. And that's going to give me the exact amount I need to buy at this exact price with my stop
loss here in order to risk exactly $100. So I can show you again as an example want to position ourselves here where we're buying here our stop loss here, times what we're risking. If I go into this tool right here, say I'm in my long
position, meaning that I want the price to go up, and I double click into this metrics. Say we wanted to risk that $100. Click on dollars here. Hit okay. You can see it's giving me an exact amount of 1.5 contracts that I need to
buy at this point in order to risk exactly $100. So understanding the math do it on Trading View. The reason that uniform regardless of how you're trading is because of this exact reason, and
we're going to get more into this a little bit later as we get into our we're finding opportunities in the market and executing these trades, like consideration making sure our risk is uniform and then evaluating winning
percentage in our average win and loss size. Okay, so let's take this example. We take 10 total trades, seven total losses and three total wins. You can see each one of our losses is negative -1 units of risk. So we're not using money
risk factors. Then we can attach money to it later. It makes it a lot easier you're actually doing trading what the objective is. So we have a sum of -7. We have an average size loss of -1 with a losing percent of 70. 7 out of 10. 70%
losing rate. On our win side we have 1 2 3 total wins. 5.2 two R made on one win, 2.5 on one, and then 3.1 on the other, which is giving us a total R sum or positive risk factors of 10.8, average of 3.6. So the average across these, so
the total divided by 3 is going to give us 3.6. And basically what this is showing me is that even though we were wrong 70% of the time, so we lost 70% of the time, our total sum of risk factors was 10.8 minus the seven that we lost,
which is giving us a net positive R over 10 trades of 3.8. So now that we have that 3.8 value, if we go back to our one unit of risk being $100, we're multiplying that by our total R from our probable outcome process to be able to
yield $380 of profit. As we have our strategy more well defined and we understand access to capital, we can take this same process say with 500 as take this same process say with 500 as our R* 3.8 over say a few days, which
can lead into this over a few days. And that's how we work towards scaling to management, consistency, but now we're starting to scratch the surface of how the math. It's a game of data probabilities, something called the
probably overwhelming, but I'm going to get to it very incrementally as we go understand more and more as we go. And in order to be profitable, effectively, all we need is to know our average riskreward. Right? So, if we go back to
amount. And I'm going to show you how to do this with the trade journal so you our average R and we just need to get our average R and our average winning percentage across this line here into the green area. And that's effectively
all we're trying to do as traders is break onto this side which is going to get into the next stage of actually looking at our charts and being able to going to start off simple and then we're going to go more advanced. So we're
Then we're going to get into what's called smart money concepts where it how we're reading charts to find high probability outcomes and to be able to build a strategy to give ourselves a statistical edge over time. So we're
first going to get into support and resistance, market structure, trends and then something called multi-timeframe analysis and getting into chart thing that we want to understand is what trends and ranges are. So a trend is
basically when markets are generally moving in one direction. And this would be an uptrend. And a downtrend is when the market is generally moving in a identifiers for that. In order to have an uptrend, we need a higher high,
higher low, higher high, higher low, and then a break above this secondary higher confirmation of an uptrend. And the same is true for the downside. If you have a high, break underneath that level,
downtrend. But basically, it's just when the market is moving in either an up or a down direction. Okay? And in this process of the market moving to seek equilibrium, fulfill supply and demand imbalances, we can actually use
something called trend lines to visually look at supply and demand imbalances and potential areas where price could respond. Okay? And we can see this is something called a range where we have a high here, low here, high here, low
here, high here, low here. This is price ranging between areas. And what I can do is use a trend tool here to start drawing along these low points. Low here, low here to be able to see a visual of where price tends to be
bouncing off on a repeated basis. Where there's a surplus in supply, demand is supply. Supply outweighs demand for price to fall, contact again, and so on those key levels. And you can see has responses on the opposite side before
moving in the opposite direction. So we can start to actually look at visual if I use something called a parallel channel tool, right? I can click from the tops of these ranges to these lowest of these ranges, match it up to the low
of the range. Okay, you can see even if we just have one, two, three points of contact. I can draw with this tool from the highs and actually be able to predict with a pretty high degree of certainty where price is likely to have
where the demand is going to outweigh the supply and then have the price how support and resistance works. Now let's get into something called market structure is going to include two basic things which is going to be something
something called a break structure. Now let's say we have this as our uptrend that we're focusing on. So price is generally moving up in this area. In order for us to be able to identify this cleanly as an uptrend, we need our high,
higher low, higher high, higher low. And if we look closely, each time we have a high and then a low, what we're waiting for is for a candle to officially close over the high produced over here, which you can see happened right here, which
break of structure. When it's closing above that previous area, confirming we need two of these breakup structures to have a confirmed uptrend, which you produced our low candle closed above here. Second break of structure, uptrend
is confirmed. Okay. The next thing that we're focusing on is where trends are going to potentially end with something called a change of character. Now, a low here, a new high here. Okay. Now, we actually have a candle close below this
swing point and a failure to break a high. If price were to continue and break once again over this level and create a new break of structure, this the fact that we're having a failure here and then a candle close lower than
called a change of character, which we can use to basically signal when a trend could anticipate it flipping in the opposite direction. We also want to take and a range. Price that is moving back and forth in this sort of general area
is called a range. And then when we're actually evaluating whether it's moving evaluating that supply and demand imbalance, that's going to be our trend. character over here. New trend to the downside. This is the range inside of
to note because we have all these black candles are down candles and these white candles are up candles. We know price opened here, closed here, had a low and a high here. This is on a 5minut time frame. So it's representing 5 minutes
worth of price movement. So, just to show you how this works, if I put a box click down to a one minute time frame, you can see now we're looking at one minute of price data. You can see inside we're getting 1 2 3 4 five candles
inside of this square because we're looking at time frames. We can go all the way up to, for example, a 1 hour where each candle is showing us 1 hour again, I can draw an indicator over that. Go down to something like a 5m
minute time frame. And now you can see we have 5 10 15 20 25 30 35 40 4550 5560 fiveminute candles to give us the same amount of data but just from a different
to do something called multi-time frame analysis which will allow us to sort of happening. So if we take this trend example here, we can start looking at other important levels. Say something like this and like this where price once
again breaks down through it on a 1 hour has a response up here, which if we then drop down to a 5minut time frame, we can start looking for more accurate points to enter into the market to play into bigger changes in direction and find
trade opportunities that way. Basically, the roots of multi-time frame analysis. going to put at the end of this so you can learn a bit more about how I do my multi-time frame analysis. So now let's take it a step further and go into our
covered break of structure. One of the key things that I want to share with you is something called a fair value gap, which is going to help us evaluate areas of imbalance and where price is going to try to seek equilibrium and continue
moving away and give us reaction zone. So basically I can boil this down into with. Okay, so there's two kinds of fair value gaps. A bullish fair value gap and a bearish fair value gap. And basically what we're looking for is any period on
a chart where we have a sequence of 1 2 3 candles moving in a direction where the high wick of the first candle and the low wick of the third candle do not overlap and leave a space behind. Okay? Which you can see happen for example
green. This is a bullish fair value gap. Okay? And the same is true in the opposite direction. So if we have one two three candles moving in the down direction, we have our wick here and our third wick here. That's creating a
another one here. This isn't going to work every single time. What this is showing us is areas where there is likely an excess of orders where the market will want to push through, seek equilibrium by coming back into the
to move away from it. You can see in this first example, we came up into it, went in the bullish direction, price moved up through this, came back to retest the midpoint, and then continue to make its way up. Similarly, in this
can see we have another fair value gap where price came back, attempted to break through it, came and touched the midpoint of this area before then coming and moving up away from this after filling the inefficiency and continuing
to move higher. Okay, good example of this is if we go back over to our examples of this happening. We have these lows, these lows with price notice we also have this interior trend level. You can see after we got our
change of character level here, we had a pretty significant fair value gap that change in the trend level where price came up to test the midpoint of it before having a complete reversal to the downside. You can also see that there
was another one here. Price came back, tested it, continued moving down, tested Once breaking out of this other trend, came up, tested into that, rejected off of it, also rejected off of this one, came up, tested the underside of that
one, and then continued moving down. Okay. So, understanding market structure, trends, and fair value gaps is going to allow you to start reading smarter so we can start to understand where we might have high probability
interested in getting into more technical analysis, I'm also going to video where I go way deeper into these concepts, okay? So, make sure you stay to the end if you want to lock in more on that. Now, let's move into probably
the most important section, which is going to be trader mindset. Now, a lot of times this is overlooked and seems to be kind of like a BS thing to focus on. I promise you this is the make or break things that will keep you stuck or excel
the technicals, all of everything. Without this one key thing, you're going really important. So, I'm going to take you through an entire journey. This is going to put you in front of 90% of people in the way they think about
probabilities. So, it's extremely important to frame yourself around trading with this in mind. Okay. Most traders get trapped in the emotional cycle of judging their strategy based on a handful of examples, recent trades,
and are constantly switching and trying to find a holy grail system that always works, that is never wrong. I promise you that is not what you're looking for in the short term. Trading results are basically purely chance. The markets are
you can do is control your own behavior think of it in this way or even understand this. Okay? So you're going to have a even random distribution of outcomes. And if you're focusing any
effort at all or any mind to the individual outcome of any given trade, entirely wrong. And that probably means that you don't know you have a comes down to something called a bell curve distribution. Okay? Over time, you
performance result in a predictable shape. We're going to have our number of trades on the x-axis. On the y-axis, we have our profit and losses, all giving us somewhat random outcomes. And over a large sample, we're going to see where
your average ends up putting you. And the only number that is going to matter, your expectancy, is going to be where the exact center of your trading strategy ends up being over a large enough amount of trades. So, what I'm
will come in, trade five trades, maybe they're like, "Okay, that doesn't work anymore. Like, I'm starting to lose. I becoming profitable, I framed my trading around trying to focus on executing what
I know I need to do that have already run through testing and observed to have a positive expectancy, meaning I'm expected to make a profit whether I take get enough pieces of data of me taking these trades to see where my average
a positive or negative value because that basically is going to show us whether we're statistically profitable over time. I'm not trying to win every single trade. That's not the goal. The goal is trying to shift the center of my
bell curve average slightly into the positive. And that's literally your edge plays into something in statistics called the central limit theorem. Now, I'll spare you the details, but basically this is telling us that the
performance is only revealed with a large enough sample size to reach significance. Okay? And basically all this is saying is that we need to have executing this trade to be able to see an accurate representation of what
happens over time to be able to judge whether or not the strategy works or not. So if we have five trades where we're all over the place, this is random indication. I can find one trade example of something working really well that
barely happens or it's a one-time thing where I try to execute it and even actually profitable. Or I could take five losing trades in a row on a strategy that does work where we test it over say a 100 data points or 500 data
points which is then eventually going to start appearing on this bell curve distribution giving us our average data. So our average winning percentage and whether or not this strategy works. Okay. And with this trade journal that
follow me on Instagram DM me the word tools you can download this. These are filter and be able to see my exact percentage, the average size of my wins, average size of my losses, and that's
going to effectively allow us to calculate something called expectancy, which is basically the mathematical definition of your trading strategies edge. So whether people realize this or not, every time you execute a trade
within your rule set, even if you win or lose that individual trade, you have a mathematical probability of how much money you are to make every time you that means that your strategy works over
it loses over time. Okay? So we can calculate our expectancy based off of our winning percentage and average win size. So we can actually do this with our previous example. So our winning percentage was 30%, our average win size
percentage was 30%, our average win size was 3.8. 8 which gives us 1.14. We had a 70% loss rate * -1 which would give us 1.14 minus 1.7 and a positive expectancy of44. This is giving it to us in terms of r. So if we were risking $100 per
we execute a trade, whether it's a win or a loss with that much data behind it, or a loss with that much data behind it, we're expected to make $44 in profit. So that would mean theoretically in order to hit $1,000 in profit, we would have
to execute 23 trades. So then it becomes a matter of just following your strategy not your model works. Even if you get seven trades in a row that don't work, time and you've seen enough variables to still continue to execute that strategy
to allow your edge to play out over time based on your expectancy. Positive expectancy means your entire distribution is shifted in favor just by a little bit into the positive. And if you're in the negative, under zero,
right? Your strategy is going to lose your money over time. Okay? And this is ultimately the shift from an amateur mindset to a professional trading 90% of people just by understanding this. Okay? So, that was lesson number
one. Lesson number two on mindset is something that I like to call the spin thing that will hold beginner traders back. And it's something to be aware of you're going through the process or if you're struggling as a trader to be able
actually there. So, we all know about beginner's luck. Basically, the don't actually know any of the risk implications or psychological barriers that cause people to lose when they're
actually allow you to operate with lower inhibition or lower mental turmoil while you're doing things and give you an edge over time. However, as soon as you start to learn the downsides once you inevitably experience them, all of that
this is easy. I'm operating with no fear or risk goes away and you immediately thing can happen with trading. So often times people go through this process as here and we just tell ourselves we're just going to hold until this goes up.
starts going up and then starts going against us. And we're like, okay, well, just going to hold this until it continues moving in our direction and in our direction, then we're like, "Okay, cool. Close position $200. This
trade until it goes into profit and then again. Price starts moving in our direction. Things are good. And then like, "Okay." And then you think, "All right, well, all I have to do is
back and I don't ever have to lose." Price continues to move down and down further against you until you lose so much that you're forced to take the position off the table. And then the next logical solution for any person is
how can I prevent myself from ever taking a loss and how can I seek more information and learn more to never have this feeling happen again. And this is going to do is lead you into something called paralysis analysis. All right?
Where you're overanalyzing and you're trying to prevent yourself from ever experiencing a loss seeking more information when realistically you're Okay? At the beginning you were able to make profit because you weren't worried
execute trades, hold them, and make profit. Once you felt the fear of losing from ever happening by learning more information. Simple trading strategies are effective if they're executed in a
way that is considering expectancy, averages, winning percentage, following lesson. The third lesson is something called the glass equity ceiling. So if this. If you have been trading for a while, you'll understand this. Have you
trying to get a payout and once you start getting closer to the number you know you have to hit, it seems like you can never fully break through that this level other than the importance that you're putting on it, which is then
in effect changing your behavior and making you act differently than how you're behaving to approach that level. So trading up to your account balance about it. Once you get there, you start worrying about preserving the money or
not lose. then you end up self-sabotaging. Okay, what I do and what I do with the private students that I mentor is basically teach them how to journal their own information and then we can look at as we start to approach
those key areas statistically what changed in those areas so you can take which in effect is going to break you out of that glass ceiling and erase to continue. But in order to do that you have to be cognizant of that being a
thing and also be able to actually journal and see your information, see using a trade journal like Tradezella where I can actually get detailed days is actually going and I can start to see behaviorally what I'm doing
note of it that way. This gives you a little bit different of a view of how basically, you need to understand that losing is simply opportunity cost. You what you're doing to see if it works over time, to not care about the
individual outcome of each trade, which then subsequently allows you to not be emotional about your trading. These are truly the mindset pillars that are hyper trading. That's basically the entire framework of knowing the mindset and the
psychological traps to not fall into going through beginner's luck, analysis, that equity glass ceiling. Okay, so now let's get into the fun part of taking in an example and looking at how this ties into actually executing trades,
and then being able to look at actually deploying this with capital on going to show you how all of this can tie together in a few examples of how I how I journal the information so that you can kind of start to build your
can use this process to figure out what's right as far as access to capital to scale our trading further. Okay, so I'm going to do an example on futures first, then crypto. So this was a trade example that happened actually today. So
my team, I'm trading on a 1 minute time frame. All right, and you can see first off, we have our uptrend right here. What I'm waiting for is about 9:30 a.m. Eastern for the stock market to open. All right. So, we see our uptrend here.
area, but the market isn't open yet. Okay. And you'll also see we have a trend here. As I play this forward, this creates a change of character, and a observation rules that I could be looking for is trend break, change of
our team, we use a series of way more complicated things to get our statistical edge a little bit further. But as a simple metric, right, we have change of character here. We have our fair value gap. Okay. So theoretically,
say I notice that if I put my stop loss underneath the candle that gives me the what I'm risking, right? I can then go in, double click on my order, say I want to risk $100, that would give me 5.4 as my quantity. So if you want to practice
on this trading panel here and click on paper trading and say I want to target the exact middle of this fair value gap in futures. Since I have 5.4, we need to work in full contract sizes. So that's just going to be rounded down to five. I
can click on my limit order, submit that order. Then I can just hit shift and one to four achieved. Close out my position. And then basically I can go over into my journal, click on the date, type in MNQ1, click on the strategy that
you create, time frame, put in your profit, which was 385, which is also 3.85R. And now I have all of my data input on Additionally, the way that I built this out for you guys is basically before the
market opens, you can create a checklist for yourself. This is an example. So as can basically build this out and follow along. And then during each setup, following all of your rules by checking these off. And then when you click next
all of these, delete them, and start over. Okay? So, for example, this trade I used 5.4 regular contracts, which because I'm trading micro contracts, I can actually use 50 contracts, in which case here I'm only using 5.4. So,
theoretically, say I wanted to risk 250, that would require 13 contracts, in which case I have 50 to work with. If you're able to execute this and know time and we wanted to run this trade for example of 250 as our R, we could use
our 13 units, be able to take our 4R off the table and focusing on risk firms once you reach your profit target while following all of the rules. This allows you to basically prove your strategy, use the firm's capital, then
yourself. Or in this package, for example, with 500 as the R, I can input 27 units. Effectively, once getting to my profit target, this could be my potential on a 1 to4 trade setup like this. Or for example, when I'm trading
cryptocurrency, I can evaluate before 930 happens that we have an up or down again, I'm looking for trend break, change of character, fair value gap. Can double click into this. Say for example I want to risk 500. It'll give me my
I want to risk 500. It'll give me my exact amount of units 2632. and using these piece of analysis in this example would give me a 1 to6.33
cryptocurrency exchange where I can input my entry my quantity. This trade beautiful part about this I can increase the capability of my size. where say the
actual cost is 256 and have the cost to me only be 5,300 with the upside on any individual trade could be something like this or starting small to risk say $100. smaller and this sort of allows you to get access to capital to make these
trades count. And there's also prop firm solutions on the crypto side as well. where to start and where I sort of go about things is basically to journal out about 30 to 50 theoretical trades. Once again, you can just go over to Trading
View, click on this replay feature, and then click on here. You can either go to specific area, and then just like I did rules, say where you would have taken trades on and off, and you can just
input them into here and take down any extra data that you want by clicking add can add whatever. And basically, you're going to do a few things. You have your your losses. So, what I want to do is first off click on unchecked break even,
temporarily from the equation, which is going to give us only our wins and our losses. Okay. The next thing that I want to do is figure out of my winning trades either a how much money I was able to make over just the wins. And then B, if
average, I can figure out the average this is going to give me my average profit. And you're going to see here, this is going to give me my average risk factor. So, I can use this to calculate
my expectancy. So basically I know I have 2.73R on average. This smaller nonetheless 2.73. If I uncheck my winners, I have my winning and losing percentage. I can click on here, click on loss, check that one. I have my
basically plug it into this equation to see how much RM expected to make during each trade. Okay. And then decide if you're trying to use a crypto exchange, futures, and be able to practice and scale this process over time. Okay. We
have traders on our team using crypto futures across the board. You can see together, focusing on consistency and risk management. And I just find it global team of traders that is able to navigate through this and be able to
just like for Sharon, one of my main goals is to basically showcase this and be able to share the foundation for others. If you're interested in being details in the description. If you want access to the mind map, the trade
go in the description, follow me on Instagram, DM me the word tools, and I'll send it right over to you. Other resources in the description. If you subscribe, hit the like button. Also, let me know in the comments what you
can check out the other two videos that I promised here. Good luck in 2026.