Transcript of I made $800k day trading stocks and learned this
Emmanuel Malyarovich
0:00Over the last couple years, I've made0:01over $800,000 day trading stocks using0:03my own personal live capital, not prop0:06firm money. But what surprises most0:08people when I tell them is that I don't0:09have a high win rate, I don't predict0:11the market, and I'm wrong all the time.0:14What actually got me here are five key0:16lessons, and most of them have nothing0:18to do with technical strategy or price0:20action at all. These are actually the0:21same core principles that my father0:23taught me 6 years ago when he mentored0:25me on how to trade after he spent over a0:28decade developing his own trading0:29system. One of these lessons completely0:31transformed my execution and helped one0:33of my students scale to $30,000 a month.0:36So, I'll break that lesson down right in0:38the middle of this video. But let's0:39start with lesson number one. Your0:41ultimate edge as a trader is not making0:44gains. It is limiting your losses. Risk0:46management is everything in trading. You0:49could essentially make any strategy work0:52as long as you're an excellent risk0:53manager. And being an excellent risk0:55manager does not mean not having losing0:59trades. That's a very common1:00misconception. Losing in trading is1:03inevitable. It's a part of the1:05profession. I am wrong all the time. I1:08probably have a 40 to 50% win rate on a1:11daily basis, but the reason I make money1:14consistently and the reason why I1:16haven't had a single losing month in1:18over 6 years is because I am exceptional1:21at limiting my losses when I am wrong.1:24I'm very good at mitigating my risk when1:27the trade goes against me. So, just to1:30give you a little glimpse of what my1:32trading days look like, this was August1:3514th. This was just a couple of weeks1:37ago. I made $5,100 on this day. I had 11:402 3 4 5 6 losing symbols, and I had 1 21:463 4 5 winning symbols. But I made $5,1001:51that day. Now, obviously my winners were1:53pretty nice, but my biggest loser that1:56day was $174.1:59Now, if I had a $1,000 loss, $800 loss,2:02$500 loss, this number would be a lot2:05smaller at the end of the day. Now,2:07let's take a look at a day that didn't2:09go so well for me. So, this was August2:1119th and I just couldn't get going on2:14this day and I traded quite a few2:17symbols on this day. Maybe I even2:19overtraded a little bit, but that's2:21okay. I like to do a lot of scalping and2:22I trade on a commission-free broker. So,2:25as long as I'm limiting my losses, I2:27don't really care how many trades I2:29take. But, check this out. Look at the2:31amount of losing symbols I had that day.2:34And take a look at the amount of winning2:36symbols I had, right? I mean, this is2:39beyond a negative win rate. I think this2:41is like a 20% win rate that day. I'm not2:44going to do the math, but I still walked2:46away up about 450 bucks. And my maximum2:50risk per trade is 500. So, I made almost2:53one risk unit that day. But, the reason2:57I made $450 and I finished green is2:59because I kept my losses very small. My3:03biggest loss was only $262,3:07which is basically half of my maximum3:09risk unit. One more example, this was3:11from yesterday actually and I didn't3:14really trade that much, but my biggest3:16loss was only $267.3:19My win made $3,300. So, as you can see,3:22as long as I follow this risk management3:25framework where I'm limiting my losses,3:26I know more often times than not I'm3:29going to make money. A lot of people3:30underestimate how much more you can make3:33if you limit your losses on your losing3:35trades and if you trail a lot of your3:38losing trades to break even. You don't3:41need to implement new strategies, you3:43don't need to add new indicators, you3:44just have to mitigate your losses when3:47you are wrong. So, I have a profit3:49projection model right here. Now, this3:52is obviously a projection. Okay, so keep3:55that in mind. These numbers are going to3:57be different for every trader, but let's3:59say you're risking $100 per trade and4:02you're taking seven trades per day. Now,4:05for a lot of people, they might find4:07this high, but I'm a pretty active day4:09trader. I do a lot of scalping and I4:11would say seven trades per day is4:13actually a reasonable amount for my4:15style of trading. I have students that4:17take like 20 to 30 trades per day and4:19again, we trade on a commission-free4:21broker, so as long as we're limiting our4:23losses, it's okay to take trades. Now,4:25let's say you have a three to one R to R4:28and you have a 35% win rate. Again, this4:31is just a sample kind of projection.4:34With these numbers, you would be4:35averaging about $280 per day and about4:39$70,000 per year. Not bad. And of4:42course, you're going to have losing4:43days. This model is a projection for4:46like on average how much you're making.4:49But, take a look at this. You would be4:51averaging 4.64:54losses per day. Now, out of those 4.64:57losses, let's say you were able to trail5:01two of them to break even. So, instead5:04of losing $1005:07on two of those losing trades, you break5:10even. So, you don't lose anything. Well,5:13by just doing that and implementing a5:16better risk management strategy or just5:18having that risk management your5:20mindset, you're going to make an extra5:21$2005:23every single day. So, this number is5:26going to go to 480.5:29And of course, all of these weekly,5:30monthly, and yearly stats are going to5:33have a huge jump. So, you don't need to5:36make more money on your winning trades,5:38you just have to lose less. And as a5:41result, I mean, you're not doubling your5:43P&L, but basically, almost by just5:46trailing a couple of these losses to5:49break even. And yes, I understand that5:51this model isn't perfect. It's just a5:53projection, but it helps me prove a5:55point that if you want to make more5:57money as a trader, focus on risk5:59management. And you're probably6:01thinking, "Okay, well, how do I do6:02that?" Let's go to lesson number two.6:04You need to have pre-execution6:06architecture behind any single trade6:09that you take in the markets. And that's6:10just a fancy way of saying you need to6:12know your exact entry price, stop-loss6:15price, and risk before you take any6:17trade. This is critical, especially for6:20risk management. And most traders out6:21there operate completely randomly. They6:23have random risk, random exits, random6:26entries, and then they get surprised6:28when they see random results. If you6:30want consistency within your trading,6:33you need to have consistent action. You6:35need to be trading the same setups every6:37single day, and you need to know your6:39entry price, stop-loss price, and your6:41risk before you take a trade in the6:43markets. And you need to commit to6:45risking the same amount for every single6:48trade. You can't deviate your risk trade6:51to trade. You can't risk $50 on one6:53trade and then $500 on another trade.6:55You have to stick to one risk unit. And6:58I want you to follow the share sizing7:00formula. This will ensure that you don't7:03oversize your trades and that you don't7:05undersize your trades, right? So, this7:07is it. Risk divided by entry price minus7:10stop-loss price. And I actually7:12programmed this formula into a share7:14sizing calculator that you could use.7:17So, we have a wide array of different7:19stop sizes. A stop size, that is your7:22entry price minus your stop-loss price.7:25So, that is this part of the equation.7:29And from here, you input your maximum7:31risk per trade, and it will tell you the7:34maximum amount of shares you can get7:37based off the size of the stop. So,7:38let's say you identify a setup, and it7:41has a 30-cent stop. That's the a7:43difference between your entry price and7:45stop-loss price. You can get 333 shares7:48for that trade to ensure you don't lose7:51more than $100. Now, if you want access7:53to this calculator, I actually posted it7:56within my free 10-plus hour course. You7:58can get access to it for free in the8:00description under this video. Take8:02advantage of my free course. It's8:04genuinely better than most paid courses8:06out there. And if you go to the risk8:07management mastery section of my free8:10course, you'll find the share sizing8:12calculator right here. You'll be able to8:14open up this Google Doc and begin using8:17it. Let's take a look at a real-life8:18example. This was on the ANF. I called8:20this trade earlier in the day for my8:23group and this stock had an overnight8:25gap up and it actually showed a ton of8:28strength in the pre-market. Then when8:30the market opened, it got bought and it8:32began to consolidate on the 5-minute8:34time frame and I identified a 5-minute8:37breakout. From here, I went to the8:40smaller time frames, the 2-minute time8:42frame,8:43to find a potential entry and I called8:45this out as a breakout opportunity over8:48$142.8:50Stop-loss $138.508:53or so, okay? We're going to use $138.508:55just because that's a round number. So,8:58that is about a $3.509:01stop because $1429:04- $138.50,9:06that's about $3.50.9:08So, that's the distance between the9:10entry price and the stop-loss price. So,9:13I know what my risk is, $100, and I know9:16the size of my stop, $3.50. What I don't9:19know is my share size. So, let's figure9:21that out. So, if it's a $3.509:24stop, it's basically in between 339:27shares and 25 shares because, you know,9:29for a $3 stop, that's 33. For $4 stop,9:33that's 25. $3.50,9:36call it around 28 shares. So, if I buy9:3928 shares at my entry price and if it9:42hits my stop loss at 138.50,9:46I'm only going to lose $100. So, that's9:49an example of me sizing my position9:51correctly based off my risk. And this9:54trade9:55ended up hitting like $154.9:58And I think the best management for this10:01trade was 15-minute bar-by-bar. So, what10:04that means is bar-by-bar management is10:06when you raise your stop to the next10:09candlestick's low. So, here was the10:12original stop a little bit below that.10:14So, I'd raise my can my stop loss to10:16under this candlestick's low, then I10:18would raise it to this low, then I would10:20raise it to this low, then to this low,10:22then to this low,10:24then to this one, then to this one until10:26eventually, you know, it would break10:27under the low and it would have stopped10:29me out right here at around $152.10:33So,10:34I don't know the exact math, but I think10:36that's about a three to four risk unit10:39trade, which is pretty good. You risk10:41$100 to potentially make three to $40010:45as long as you followed 15-minute10:47bar-by-bar management. It's very10:48important that you time your entries the10:51right way and you want to look for10:53setups that have a tight stop. For10:56example, we have two breakouts here. On10:58this breakout, we have a 10-cent stop11:00because entry price is at three, stop11:03loss price is at 2.90. If we subtract11:06the two, that's a 10-cent stop. In this11:08case, we have a super sloppy base. This11:10is not a tight stop. The entry would be,11:12let's say, $3, stop loss 2.70. We have a11:1530-cent stop. Now, for both of these11:18setups, we're still risking $100, but I11:21am able to get significantly more shares11:24on this [snorts] setup versus this11:26setup, right? I'm only able to get 33311:29shares on this sloppy setup versus 1,00011:33shares on this tight setup. So, my R to11:35R is significantly better with this11:38setup because I'm able to get more11:40shares on the same risk. I'm not risking11:43more on this setup. I'm still risking11:45$100, but I'm able to get essentially11:48triple the shares because the size of11:51the stop is super tight. Now, you want11:53to find a balance here because you also11:55don't want your stop loss to be so tight11:58to where as soon as you get into the12:00trade, it wicks you out with one candle12:02and then continues in your direction12:04anyway, but you're out of the trade and12:06you lost your full R. You want to find a12:08balance. You also don't want your trades12:10to have such a big stop to the point12:13where the risk to reward doesn't really12:15make sense. Lesson number three, your12:17P&L is a lagging indicator of your12:19growth as a trader. You cannot gauge12:21your progress by looking at your profits12:24because your profits don't tell the12:26whole story. There are so many traders12:28out there that are so results and profit12:30driven that they completely lose sight12:33of the process of actually becoming a12:35skilled trader. I've met a lot of12:36traders that want to make money, but12:38don't because they don't know the skill12:40set, but I've never met an elite-level12:42trader who doesn't make money. So, focus12:45on the process. Focus on building a12:48profitable trading plan. Focus on timing12:50your entries better. Focus on becoming a12:52better risk manager. Focus on refining12:55your system. And if you improve every12:58single day, I promise you the money will13:00inevitably come. And this is what13:03happens with most traders. And I really13:05like this meme. They're digging for13:07diamonds. They're working hard, but they13:09don't actually see the results. And13:12because they don't see the results, they13:13get discouraged and they give up. And if13:15you give up, well, I can promise you13:17you're definitely not going to become a13:19profitable trader. And you have to work13:22hard. You have to chip away and grind13:25until you reach the exponential curve,13:28the parabolic phase of your trading13:31because that's usually how it goes. You13:33could struggle for months, but as soon13:35as it clicks, your results go absolutely13:38parabolic. You have to have that13:40process-driven mindset, and you have to13:42focus on becoming the best trader that13:44you could possibly be every single day,13:46and you have to believe that if you do13:48that, the results will inevitably come.13:51And I'm going to use one of my13:52mentorship students, Bello, as an13:54example because he paper traded for the13:56first couple months of his trading13:58career, and in his first 2 months14:00starting off with real money, he just14:02couldn't find any success. He was a14:04break-even trader. So, this was14:06September 24th of 2025. He was still14:09kind of struggling. And from there, on14:11November 7th of 2025, he finally had his14:15first breakthrough, and he had his first14:17$1,700 week. And as you can see, he had14:20a pretty tough 2 months starting with14:23real money, but what I told him is to14:25just focus on the process. Focus on14:28improving every single day, and I14:29promise you, as long as you show up and14:31you put in the work, you're going to14:33succeed. And check out his results.14:36January14:3730th, right? So, this was just a few14:39months later, he made almost $18,00014:43that month. He had Essentially, he14:45quadrupled his prior PR month.14:48Then, just a couple of months later,14:50March 31st, he made $30,000 that month,14:54almost double what he did in January.14:57And now, this was August 14th, 2026, he15:01had a $17,50015:03week that week, and he had a $8,10015:05day. So, hopefully, you're seeing the15:08exponential nature of your results in15:12trading, but this does not happen unless15:15you have the right framework, unless15:17you're working hard every single day,15:19unless you're patient, unless you're15:21process-driven, and unless you're15:22disciplined. By the way, if you want to15:24learn my risk management framework and15:26how I limit my losses every single day15:28and if you want to learn how to trade by15:29actually doing it with me on a daily15:31basis, you can apply for my mentorship15:33in the description under this video.15:35It's a very tight-knit group. I don't15:37work with a lot of students, but if not,15:39make sure you watch my free 10 plus hour15:41course. You'll also find that in the15:43description under this video. Lesson15:44number four, execution is the final 10%15:48that pays 100% of the bill. And what15:50that means is you could be an excellent15:52risk manager. You could spot flawless15:55setups every single day. You could have15:57the best stock picks, but if you don't16:00execute, you're never going to make16:02money. You could be 90% of the way there16:04towards becoming a profitable trader,16:06but that last 10% the execution is what16:09separates break even and losing traders16:12from consistently profitable traders.16:14There are thousands of price action16:17technicians out there that are really16:19good at reading charts, but they don't16:21make money because they can't execute.16:23So, how can you ensure that you have16:26excellent execution every single day?16:28Well, a lot of that comes down to your16:30own mental state and your mindset. I16:33talked about that earlier in this video,16:36you need to be protecting the capital16:38that's in your account. You have to be a16:39really good risk manager. Well, you also16:41have to protect your mental capital. You16:44have to know when you're psychologically16:47vulnerable. You have to be aware of your16:50emotions and you need to regulate your16:52emotions and know when they're beginning16:55to creep in your trading and you have to16:56make sure you stop those emotions from16:59impacting your objectivity. You have to17:02be in that flow state. What is a flow17:05state? This is when you're not even17:07thinking in your trading. You're looking17:09at the screen, you're analyzing the17:11information, and you're acting. You were17:14just executing, right? You're not17:16second-guessing yourself, you're not17:17hesitating on every single decision,17:19you're reading the data, and you're17:21acting. And that flow state where17:24everything just feels easy, where all of17:26the setups just come to you, the only17:29way you can build that is through17:31consistency and stacking green days and17:34making sure you're never psychologically17:37compromised. And, you know, this starts17:40off in the morning. When you wake up,17:42you need a pre-market routine. You need17:45something that's going to get you in17:47that mental state where you can focus,17:50when you have clarity, and when, you17:52know, nothing is distracting you. If you17:54just roll out of bed, go on the charts,17:56and start trading, you're not going to17:58execute. You're not going to make money.18:00And this also applies to stresses within18:03your life. If you have relationship, you18:05know, issues, if you have an issue with18:07a friend, if you have financial issues,18:09if you have any type of anxiety in your18:12life, that's going to negatively impact18:14your trading. It's going to impact your18:17execution. Protect your mental capital.18:20And whenever you feel like you're18:21getting tilted, you're starting to get18:24emotional, you're psychologically18:25compromised, the best thing you can do18:28is step away. Do not take any trades,18:31because if you do, you're probably going18:33to make an emotional decision, and18:34you're going to snowball that18:37psychology, and you're going to end up18:39losing way more money than you want to.18:42Lesson number five, you cannot scale18:44inconsistency. You won't be able to add18:46position size to a system that lacks18:49uniform execution. And if you size up on18:52your erratic trading, it's not going to18:54make you more money. It's going to18:56accelerate the destruction of your18:58trading account. Your first goal as a19:00trader should be to become a break-even19:03trader, where you're consistently not19:05losing money. And from there, you want19:07to become consistently profitable with19:09baseline small sizing. And only after19:13that, you can begin thinking about19:15scaling your risk gradually. So, you19:18want to establish consistency first and19:21then scale. What a lot of traders do is19:24they start off with small risk, let's19:26say $50 risk per trade. They start to19:28see some success and from there, they19:31get greedy. They want to make more money19:33and they scale their risk from $50 all19:36the way to like $500 and they think that19:39they're going to replicate the same19:41results on big risk as they did with19:44small risk and that is one of the19:46biggest mistakes you can make. Establish19:48consistency first and scale gradually19:51even if it takes a little bit more time19:54and I practice what I preach. This is my19:56Charles Schwab brokerage account and19:58over the last couple of years, I've made20:00a little bit over $800,000. Now, you're20:03going to see net contributions during20:05this period -640,000.20:08I did have to withdraw some money from20:10my account to pay taxes and for20:12investments, but I contributed nothing20:14to the account, only about $21. So, I20:16essentially deposited no money during20:19that stretch of time and I had a 1,000%20:22return. Now, take a look at my equity20:25curve. Do you see massive spikes up,20:29then down, then up, then down?20:31Absolutely not. My equity curve is20:33extremely smooth because I focus on20:37consistency and I scale my risk with20:40time and with confidence. And what you20:43want to do20:44is start small. If you're not profitable20:46trading 100 shares, you're not going to20:48magically become profitable trading20:501,000 shares. Scaling only amplifies20:53your flaws, both the emotional flaws and20:56the technical flaws within your trading20:58plan. And little analogy, scaling21:01inconsistency when you're making $10021:04one day, then minus 500, then up 1,000,21:07then minus 2,000, right? That's like21:09turning up the volume on a bad song. It21:11only gets louder and uglier. Now, I want21:13to ask you a question. Which trader do21:15you think is going to have a more21:18prosperous trading career?21:20Trader A or Trader B? And if you're21:23looking at the total profit and you're21:25saying, "Hey, trader Trader B is going21:27to make more money over the long run21:29because he made $3,500 here while Trader21:32A only made $700." You're wrong, right?21:35The total profit doesn't matter. The21:36results don't matter. The process is21:39what matters because look at Trader B.21:41There's zero consistency. $3,000 on Mon21:45on Monday. $2,500 loss on Tuesday. Minus21:482,000 on Wednesday. Minus 3,000 on21:50Thursday. Plus $8,000 on Friday. Maybe21:53he got lucky that day, right? And yeah,21:54he made $3,500, but look at Trader A.21:57$100 green. 150 green. $300 green. He22:01kept his losses really small on22:03Thursday. Only lost 50 bucks. Had one22:05losing day on the week. Friday, $200.22:07Yes. $700 doesn't sound like a lot of22:10money compared to 3,500, but Trader A22:12can actually scale these results because22:15he's established that consistency. And I22:18can promise you if Trader B decides to22:21scale these results, his losses are22:24going to become five times larger. All22:27right, guys. That's it for this video. I22:28hope you found tremendous value. If you22:30do want that strong risk management22:32backbone behind your trading and if you22:34want to learn how to trade every single22:36day by actually doing it with your22:38mentor, you could fill out my mentorship22:40application in the description under22:42this video. If not, make sure you watch22:44my free 10-plus hour trading course.22:46Make sure you subscribe to the channel,22:47leave a like, and leave a comment. Thank22:50you guys so much. I'll see you on the22:52next video. Happy trading.
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