PROP TRADING PROGRAM

Advanced Scalping Techniques

ADVANCED SCALPING TECHNIQUES (AST)

SHAKEOUTS
SHAKEOUTS
Let’s review each advanced T3 Live Method Shakeout category

▪ One Bar Shakeouts Smaller timeframes will be

used for these strategic
▪ Multi Bar Shakeouts entries…

▪ Inverted Shakeouts

▪ Bake & Shakes

 The flash crash was NOT a one time event and continues to happen daily, maybe not the market
itself, but on individual stocks. Let's move forward and see how we can profit from our current
THE FLASH market conditions.

CRASH
SHAKEOUTS
Please choose the most relevant answer
▪ News?

▪ HFT’s (High Frequency Trading)?

▪ Dark Pools?

▪ Market Makers?

▪ Lack of liquidity?

▪ Fear/Greed?
SHAKEOUTS
T3 Live Shakeouts (T3SO)
1. A Strategic Entry into a stock that
has proven to have RS/RW to the
market but has given little or no
opportunity for entry.
2. Either a series of bars of the same
color, or a 1 bar acceleration, that
fall in the opposite direction of the
stock’s current trend to prior
Support.
3. T3SO’s are ALL accompanied by a
Surge In Volume.
4. Most often occur at or near HOD
(Consolidating prior to Fall/Rise is a
plus).
5. Unable to break the current trend of
the stock on the time frame from
which it was played but breaks the
trend line.
Note: T3 Live Shakeouts have a
very high reward to risk ratio and
can offer the T3 Live Trader
Enormous Profit Potential!
ADVANCED SCALPING TECHNIQUES (AST)

ONE-BAR
SHAKEOUTS
ONE BAR
SHAKEOUTS

Tip: The T3 Live Trained Trader waits for the bottoming tail to start to form before looking to
enter.
ONE BAR
SHAKEOUTS

Tip: The T3 Live Trader will look to take profits at mR once the stock retraces back to the base.
ONE BAR
SHAKEOUTS

Tip: The T3 Live Trained Trader will SOH and WAIT for an opportunity to buy this stock.
ONE BAR
SHAKEOUTS

Tip: The T3 Live Trained Trader will drill down to 1-min timeframe and will look to buy this stock
above prior bar’s high, with a protective stop UNDER the tail.
ONE BAR
SHAKEOUTS -
ENTRY
ONE BAR
SHAKEOUTS -
TARGETS

Tip: The T3 Live Trained Trader will drill down to 1-min timeframe and will look to buy this stock
above prior bar’s high, with a protective stop UNDER the tail.
ONE BAR
SHAKEOUTS –
MANAGEMENT

Name the Points of Interest in this Chart

ONE BAR
SHAKEOUTS –
MANAGEMENT
CALCULATING SHARE SIZE
Basic Share-Sizing

Example Using $100 Risk

ENTRY STOP STOP SIZE

20 cents ($44.18
$44.18 $43.98 - $43.98 = 20
cents)
$100 risk/20
cents = 500
shares
Or 500 shares x
20c = $100 risk
CALCULATING SHARE SIZE
Calculating Risk to Reward

Target Divided by Stop = Potential Reward x Risk Capital = Potential Profits

Reward

ENTRY STOP TARGET

$44.18 $43.98 $45.00

($45.00 - $44.18 = $.80 (rounded off); divided by 20 cents = 4)

If target is Reached: Reward = 4:1 or $400
ADVANCED SCALPING TECHNIQUES (AST)

MULTI-BAR
SHAKEOUTS
MULTI-BAR
SHAKEOUTS

Tip: The T3 Live Trained Trader buys above 1’ bar’s high or as 2’ bar is forming a bottoming tail.
MULTI-BAR
SHAKEOUTS
MULTI-BAR
SHAKEOUTS

Tip: The T3 Live Trained Trader looks to buy the second shake as long as the retest did not
violate/break prior pivot low
MULTI-BAR
SHAKEOUTS

Tip: The T3 Live Trained Trader plays this twice for Maximum Profits!
MULTI-BAR
SHAKEOUTS

Tip: The T3 Live Trained Trader will WAIT until a valid entry has triggered at an area of SUPPORT
MULTI-BAR
SHAKEOUTS -
ENTRY
MULTI-BAR
SHAKEOUTS

Tip: A high percentage of Breakouts fail, consider waiting for them to shakeout first.
MULTI-BAR
SHAKEOUTS -
TARGETS

Tip: Buy over the “Inside Bar”, Stop under the LOW of the Shake.
MULTI-BAR
SHAKEOUTS -
MANAGEMENT

Tip: The Topping Tails, Extension from the r20ma and the +WRB’s coming at the end of a multi
bar rally signaled that the move was over.
ADVANCED SCALPING TECHNIQUES (AST)

INVERTED
SHAKEOUTS
INVERTED
SHAKEOUTS

Tip: T3TT’s never play a bearish stock long unless a clear reversal pattern has formed.
INVERTED
SHAKEOUTS

Tip: The T3 Live Trader stalks a stock back to prior resistance BEFORE ACTING
INVERTED
SHAKEOUTS

Tip: The T3 Live Trader will take profits at target 1 and hold a position for target 2.
INVERTED
SHAKEOUTS

Tip: The T3 Live Trader is trained to ACT on opportunity!

INVERTED
SHAKEOUTS –
DAILY CHART

Tip: T3TT’s don’t play Bearish Stocks Long or Bullish Stock Short unless they go Climactic
INVERTED
SHAKEOUTS –
INTRADAY
CHART

Tip: The T3 Live Trader will SOH and wait for opportunity.
INVERTED
SHAKEOUT AT
5’ RESISTANCE

Tip: ALL Shorts get Shaken out as short covering propels prices higher
INVERTED
SHAKEOUT –
ENTRY

Tip: The Topping Tail into Resistance was the indicator that the Move Was Over
INVERTED
SHAKEOUT –
TARGETS &
MANAGEMENT

Tip: A strong rally like the one above most likely means that the bearish nature of the
stock has ended.
ADVANCED SCALPING TECHNIQUES (AST)

BAKE AND SHAKES

BAKE & SHAKES
T3 Live’s Bake & Shake (T3B&S)
1. A Strategic Entry into a stock that 4. T3B&S’s are ALL accompanied by a
has proven to have RS/RW to the Surge In Volume.
market.
5. Often occurs at or near HOD/LOD.
2. A one bar shakeout in the opposite
direction of the stock’s current 6. Bake and Shakes have a very high
trend. Shaking to an area of risk to reward ratio and can offer
Support/Resistance is a plus. the T3 Live Trader Enormous Profit
Potential!
3. The shakeout bar is immediately
negated by another bar, bringing the
stock back to the same price level
prior to the shake.
BAKE &
SHAKES

Tip: This stock remained weak all day because of the gap down in the morning, leaving
many traders trapped and forced to sell!
T3B&S
BASING AT
LOD

Tip: T3 Live Traders will stalk this stock and SOH until there is a clear opportunity to enter.
T3B&S
SHAKES
RIGHT TO
PREVIOUS
RESISTANCE

Tip: What Price was the Stock Basing at?

T3B&S
ENTRY

Tip: Whole numbers often act as areas of support/resistance

T3B&S ALT 1’
ENTRY

Tip: You can use the tight stop over the 1’ sell set up OR use the original stop just over the
whole number
T3B&S TARGET &
MANAGEMENT

Tip: Even though the $19 target was NOT hit to the penny, why did we cover our trade here?
T3B&S
BASING AT
LOD
T3B&S
BASING AT
LOD
A QUICK QUIZ
T3 Live Method Shakeouts
Please Name the 5 Points that Name the two main differences
Make up a Shakeout: between Shakeouts and Bake and
1. Shakes?
1.
2.
2.
3.

4.

5.
 CONTINUING FORWARD

WHAT TO EXPECT
FROM HERE
EXPECTATION VS. EXPERIENCE
Assumptions
Learning Curve To Consistent Profitability May Trader Will Not Depend On Trading Income For
Take 12-24 Months + Living Expenses During That Period

▪ DO NOT Underestimate The Time It “May” ▪ Don’t Try To Pay Your Electric Bill With
Take To Succeed Trading Money

▪ If You Do – Your Dream/Business Can ▪ This Only Increases Pressure; Which =

Quickly End In Failure Poor Trading!

▪ Expect To Have Losing Days & Greater Stress Should Be Anticipated As

Disappointments Trading Risk Increases
▪ If Done Properly, This Stress Should Be
Minimal
Consistent Trading Plan Will Be Followed So
That Performance Can Be Measured
CLOSING SUMMARY
The Key To Success
Most Traders Spend Very Little Time In There Are Many Things To Be
Follow Up Reviewed/Learned

▪ What’s My Score Card? ▪ Good Traders Use These To Improve

▪ Evaluate Yourself – Journal & ▪ Print Charts To Identify Mistakes

Tracking Spreadsheet
▪ What Is Working And What Isn’t
▪ The Best Written Plan Means Working
Nothing If You Don’t Follow It And
Evaluate Its Effectiveness
SOMETHING TO THINK ABOUT

“ If You Have Losses, They Can

Be Losses And Nothing More;
Or You Can Consider That
Money Spent On An Important
Lesson; But Only If You Find
What The Lesson Was.
CONTINUING FORWARD
Following Days
Log into your trading
account, loaded with
$50,000 in buying power
and test out the trading
platform, order entry, hot
keys, and place a round
trip test trade of 1 share.
Review the Advancement
table and Trader
Guidelines and write your
trading plan. Do not
worry about having a
perfect plan at this point,
but develop what you like
into a tradable structure.
Print your trades, follow
up, and keep making
improvements to your
plan.
Start your professional
proprietary trading career
by implementing your
plan! You have access to
the T3 Live Method Black
Trading Room and have
all the tools you need and
have been well prepared.
Get to it!
CONTINUING FORWARD
Your Future Will Depend on a Few Things
Most traders fail because Of those traders that Of those traders that
they fail to get an receive an education, develop a working trading
education. You just many fail because they plan, many fail because
passed that hurdle by never develop a working they do not have the
receiving one of the best trading plan. discipline to follow the
education on the planet. plan.

Make sure you succeed by doing what you should do, when you should do it,
whether you want to do it or not!
CONTINUING FORWARD
Your Future; Be Sure To
▪ Develop a written trading plan
that fits your personality
traits for trading.
▪ Print a chart of every trade
you do and follow up after
market close to make sure
you are following your plan
and that your plan still makes
sense.
▪ Attend every T3PTP course
that you can to ensure
repetition of the material.
▪ Take full advantage of the
trading room, but make sure
to spend some time away
from the room each week to
let your own style and skills
develop.
CONTINUING FORWARD
Your Future; Remember
The early levels are to Never let losses get you YOU and only YOU are
prove that you can trade. down. You are not a loser responsible for your
Don’t worry about because a single trade future from this point
making actual money, stops. You are not a loser forward. We are here to
worry about executing if you have to stop help you all that we can,
your trading plan and trading one day. Winners but as always, your
advancing to the next curtail their losing periods future lies with you…
level. Never pass up in so they can be winners in
advancement. The proper the long run.
discipline is part of the
equation.
REMEMBER
The material presented in this seminar is not to make you trade more
frequently or more aggressively. It is to make you a smarter, more
knowledgeable trader.

You should be more successful trading the strategies presented in this

seminar with the knowledge you’ve gained.
“ Nothing in this world can take the place of
persistence. Talent will not; nothing is more
common than unsuccessful people with talent.
Genius will not; unrewarded genius is almost a
proverb. Education will not; the world is full of
educated derelicts. Persistence and
determination alone are omnipotent. The slogan
'press on' has solved and always will solve the
problems of the human race.

Calvin Coolidge