Understanding Shorting Stocks

Shorting stocks leads to exciting wins and devastating losses. Not really a good formula for a marathoner day trader. What is shorting a stock? The definition of shorting a stock, according to Investopedia.com is: “The sale of a security that is not owned by the seller, or that the seller has borrowed. Short selling is motivated by the belief that a security’s price will decline, enabling it to be bought back at a lower price to make a profit.” Day Traders have many different strategies. The most dangerous is called "shorting" when you bet for the stock to go lower not higher. Why is so dangerous? Because unlike a long position that goes against you the max you can lose with a short is UN

CALLS & PUTS | MOJO EXPLAINS THE LONG

Traders always ask me what's the difference between a call and a put is? The they ask what's the difference between an in the money option and out of the money option? In options trading, the difference between "in the money" and "out of the money" is a matter of the option strike price relative to the market value of the underlying stock. An in the money option is one with a strike price that has already been surpassed by the current stock price. The premium is the most expensive here and has the most risk of being called away. Look at the following chart in relation to covered call writing. An out of the money option is one that has a strike price that the underlying security has yet to re

The CANSLIM System?

What is the CANSLIM system ... it does provide? Many of the Biggest winners of all time and more recently in the last 5 years stocks like AAPL,AMZN,LNKD,PCLN,GOOG and in the past 10 years ago CSCO, ORCL, INTC, AMAT, LRCX, IDTI ... all of these have been CANSLIM stocks that have built wealth for people by holding then through years of consecutive quarterly earnings increases and subsequent stock splits. WHAT IS C-A-N-S-L-I-M ? The investing mechanism and process C-A-N-S-L-I-M is a growth stock investment strategy formulated from the study of the 500 best performing stock market winners dating back to 1953 in the book How to Make Money in Stocks: A Winning System In Good Times or Bad, 3rd Edit

Explaining MOJO Wave Theory

By ProTrader Mike When Do You Walk Away - Take The Money and Run? Last weekend I was in the mood to play some cards, so I went to my local casino to play some poker. I decided to join a $2.00/$5.00 No Limit Texas Hold Em game and bought in for $300.00 On the drive there, I decided that my goal for the night was to double my buy in, so I wanted to make a profit of $300 or 100% ROI. As soon as I hit my goal, I decided I would cash out and head home to watch some TV and go to bed. The first hour of the game was pretty boring for me, I didn’t get many playable hands, so I waited patiently for opportunities that displayed positive expectancy (pocket Aces, pocket Kings, Queens, Jacks, AK etc...

Understanding Covered Calls

In the video below Understand Covered Call Writing and what I call my Triple Threat Strategy. Learn more in the next class of MOJO University Live .... See more info here Having options explained to you doesn't have to be difficult or confusing. First, some put and call option basics explained: What is a 'Covered Call' A covered call is an options strategy whereby an investor holds a long position in an asset and writes (sells) call options on that same asset in an attempt to generate increased income from the asset. This is often employed when an investor has a short-term neutral view on the asset and for this reason hold the asset long and simultaneously have a short position via the opti

IS IT IMPORTANT TO 📘 JOURNAL YOUR TRADES?

📘 “JOURNAL IT...Write everything down, it will only make you better.” – ProTrader Mike As a new student in MOJO University you will see how vitally important it is to journal and record keep all your trades. 90% of Students in class are new to trading and have not developed winning habits. All my students tell me for a fact that this advice has a lot of meaning, both in everyday and trading. All new students promise to take diligent notes on their trading, writing down when they bought a stock, what entry points, what profit targets and exit points, everything. Anything to do with the trade, traders must write that down. You supposed to record every trade both winners and losers and you sh

The ProTrader Play Book

Once a trader gets through Levels 1 to 7 as an analogy they go from a yellow belt to a brown belt and now ready for the BLACK BELT!! They are given the MOJO Trade Play Book which has detailed information on all the Trade Plays. You get the formula of how they work, how to buy them, sell them etc... t's really priceless. Check out this anonymous poll I did for MOJO University class where I asked them plain out if they thought the classes and the materials where worth it. Check it out ... Did you know there are over 100 ProTraders in the MOJO Day Trade Chat Room on a daily basis that MAKE A LIVING DAY TRADING! Becoming a member is easy here is an offer to try the Day Trading One Month with a V

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