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Jan 17, 20261 month ago

How to become extremely profitable in 1 day

MT
Morgan Trades@morgan__trades

AI Summary

This article is a direct, no-nonsense trading guide from a 22-year-old who claims to have generated over $1.2 million in a year using a specific swing trading system. It positions itself as an antidote to common retail trading pitfalls, offering a complete, rule-based framework instead of vague advice. The author argues that consistent profitability comes from a disciplined system focused on momentum "breakout" stocks, not day trading or guesswork. The core framework has three pillars: 1) Using TC2000 software with specific scans to find the top 2% strongest stocks, 2) Trading only a precise "Breakout" setup identified by a 5-step process on daily charts, and 3) Executing with strict risk management (risking max 1% per trade) and a mechanical profit-taking protocol. Key Insights The primary strategy is swing trading "Breakout" patterns (bull flags) on daily charts, identified by a 30%+ move up, a pullback to the 10/20 Simple Moving Average with tightening range and drying volume, and a final breakout on high volume. Risk management is paramount: Position size is 10-40% of the account, but the stop loss (always at the day's low) limits risk to 1% of total capital. This allows for large positions with defined, small losses. The profit-taking rule is non-negotiable: Hold until a position is up at least 5x the initial risk (R), then sell only 10-30% of the position near market close. Move the stop to breakeven after this partial sale, and exit the full position only when the stock closes below its 10-day SMA. Market context is crucial: The system works best when the NASDAQ's ($IXIC) 10-day SMA is above its 20-day SMA. Trading during unfavorable conditions lowers the win rate. The entire process is systematized, from scanning and alerting to entry on 1-minute/5-minute charts and order placement, aiming to remove emotion and discretion.

At the time of me writing this, I am 22 years old with millions in my account.

I made $1,286,782.86 in 2024, and I’m currently making over $100k/mo.

I don't say this shit to brag, but to show you what's possible.

No handouts, no rich parents, just myself and one hell of a mindset.

The reason I am writing this is because there are so many bullshitters out there I really just want you to have the right info and know how to actually trade.

This is completely free, I do not make money off of this, it is simply here to help you.

No more burning money trying to day trade FVGs, support & resistance, supply & demand, using a prop firm, day trading $SPY/$QQQ options, randomly placing calls on $TSLA because “ItS gOiNg Up BrO”...

Or whatever trap you fell for and are currently doing.

Because let's be honest, that is leading you nowhere.

The truth is, nothing will ever work as well as this.

This is an entire system.

You will know exactly what to do, when to do it, why, and how.

I’ve spent thousands of hours staring at charts, trying all sorts of strategies, and nothing even came close to this.

So, I’m gonna share it with you right now. This will be a full tutorial from start to finish. First, I want to tell you a little bit about how I trade.

I am a swing trader meaning I aim to hold positions for multiple days, weeks, and sometimes even months.

Anything you hold overnight is a swing trade, anything you buy and sell within the same day is a day trade.

My positions are usually around 10-40% of my account, while risking a maximum of 1%.

So I can have 10-40% of my account in a position, but if I lose, I will only lose 1% at most.

This might be a little confusing at first, but just keep reading and you will understand.

‍1. Choosing a broker

Obviously you will need a broker to execute the trades, and this will be separate from your charting platform.

I personally prefer Webull, but you can really use any broker you would like.

At the end of the day, you just need something where you can buy, set stop losses, and sell.

I don’t have a link for Webull so just look up Webull on google or the app store and figure out how to download it/set up an account.

If you are in any other country than the US, Interactive brokers is likely your best option, but do your research.

I could write more on this but it's so basic you should probably learn it on your own…

IMPORTANT

No matter what broker you choose or currently use, if you are going to be trading with less than $30,000 choose a cash account.

Above $30,000 choose a margin account.



2. Charting software/Indicators

‍Hands down the best charting platform is TC2000.

If you are on trading view right now or any other trading platform, grow some balls and make the switch.

I was hesitant too, but once I finally pulled the trigger holy shit did everything change.

Yes it does cost money, but it’s SOO worth it.

Everyone I have put onto this says their trading got 100x better and I’m not even being dramatic.

Also because this platform is what I use, you can copy my exact layout using a link.

Here is a tutorial on how to setup TC2000 and get my layout:
‍CLICK HERE

‍If you do not get TC2000 (which you should don’t be a loser), then you will need these indicators on your chart:

- 10, 20, 50, 200 Simple Moving Average
- Volume

That's it.

3. The Setups

There are 3 main setups that I trade:

The Breakout (later I will link videos to each one discussing them in depth)

Episodic Pivots

Parabolic Puts

‍Let's start with The Breakout

The breakout relies on a very simple concept.

If you study the stocks that led the markets for the past 100+ years, you will notice they all act the same.

They move in a stair step-like pattern. Meaning they will go up, pullback and trade sideways for a bit, then make another big move up. It looks something like this:

This pattern is called a bull flag or the breakout.

When looking for this setup, use the 1D or the 1W chart.

The 1D is where I find 99% of my setups, but the weekly can have some good ones as well.

For now, focus on the 1D.

The way we find these is by scanning for the top 2% of stocks that are the strongest over 3 time periods. (My TC2000 layout has all of the scans already on there)

1 month, 3 months, & 6 months.

‍Identifying a breakout

To identify a breakout you can use this 5 step process:

1. A big move up of 30%+ over multiple days - weeks (not just a single day pump)
2. 10/20 SMA inclining
3. An orderly pullback to the 10/20 SMA with higher lows and lower highs (tightening range)
4. Volume drying up as the stock pulls back
5. A breakout of that range on high volume

Stock selection rules:

- Stock price above $1
- ADR% above 5
- Average daily dollar volume above $3.5M

The best ones typically have all moving averages in order and all moving averages inclining.

This is not always the case, but is best.

At least the 10/20 should be inclining.

Some examples:

You will notice in the examples that this setup is not cookie cutter.

It will vary. A LOT.

The main thing is just the 5 step list I gave you.

It’s simple but may take a bit to be able to identify setups the way I can.

How to trade this setup

Now that you know how to identify a breakout, let's go over how to trade it.

You should use the 1MG/3MG/6MG scans to find these stocks and build a watchlist.

Once you have a watchlist, some stocks will be ready and some won't be.

Typically before we get a breakout, the volume is really low and there is often a thin candle (doji candle) right before breakout.

Example of “thin” candles:

This of course is not always the case (as you can see on $BBAI in the example above) but can be a good indication.

You should have price alerts set around the breakout level so if the stock starts breaking out and you are picking your nose, a notification will go off and tell you to look at the stock.

Entry

When the stock does start breaking out, you want to enter on the 1-minute or 5-minute chart.

The 1-minute provides a better risk:reward, but has a higher failure rate and can be a bit trickier.

You will enter the first 1-minute or 5-minute opening range highs.

Stop loss will always be at the low of the day.

No exceptions.

The 1-minute/5-minute opening range high entry is only used if the stock is breaking out within the first few minutes or is gapping out of the range.

‍Example:

A stock can break 1-minute/5-minute opening range highs, but not be breaking out yet.

If the opening range is strong and it breaks 1-minute/5-minute opening range highs but isn’t breaking out yet, enter on a breakout of previous day high.

A breakout is confirmed as a clear trendline/range break.

You don't just enter because the stock is going up within the first few minutes of open.

Check the daily chart and confirm, this is why I have the 1D up on the left side of my TC2000, and the 1-minute/5-minute on the right.

Example:

Placing The Order on Webull/ Position Sizing & Risk Management

I use Webull desktop to place my orders using the classic trade tab.

If I were to be entering a stock, I would have TC2000 up on the right side of my monitor with the 1D and 1-minute/5-minute open.

I would use the risk calculator in the bottom left of TC2000 to tell me the low of day and how many shares to buy.

Then I would go to Webull on the left of my chart and place the order. This is what it looks like: (49” Samsung ultrawide)

On Webull I would then type in how many shares I want to buy, click the stop loss box and type in my stop loss (low of day).

NEVER CLICK THE TAKE PROFIT BOX. (I will show you how to take profit in a second hold on jeez)

You will see on Webull it shows an “Est. P&L”.

This is showing you how much you are risking.

If you are risking 1% on the trade, make sure this value does not exceed 1% total account value.

Example:

You can see here it is saying I can put in $93,100.00 while only risking $4,900.

This is because risk does not equal position size.

Your risk is the difference between your entry and stop price.

For example you can have $10,000 in a position that you bought at $100/share, and if your stop loss is at $99 you would only lose $100 if you lost on that trade.

This way you get good size with very minimal risk.

If the stock goes up 20-50% which is very common, you make $2,000-$5,000 which is 20-50x your risk…

This is the formula to calculate how many shares to buy if you do not have any of these tools: Risk/(Entry - Stop)

So you can see why I stress the importance of getting tight stops.

The smaller the difference is between your entry and stop price, the more size you will have in the position.

For example if my entry is $100 and my stop price is $99, I can put in 100% of my account while only risking 1%.

Because my stop loss is only 1% lower than my entry.

And if the stock goes up 20% (which is really nothing trading these types of stocks), then you make 20% on your account…

Obviously that's a pretty extreme example but I typically get stops around 2-5% wide.

Sell Rules

If the stock hits your stop loss it will sell for you as long as you have your stop set as a market order.

The “Time in Force” on stop orders should also always be set to GTC (good till canceled) not Day.

You ONLY sell when you are up 5x your risk or more.

But your first sell is only a portion of your position, not the whole thing.

Once you are in a winning position and you are up 5x your risk or more, you will sell 10-30% of the position a few minutes before close.

Sometimes this will result in a winning trade turning into a losing one because you wait until 5x to sell, but it happens and this is necessary to get those big winners.

I would rather not take profits on a position that is not up that much and risk it going to a loss, than not hold a big winner that can grow my account exponentially.

The hardest part in this game is following the sell rules and holding those big winners out.

When you see profits, it's tempting to take them early.

But remember, we have a proven profitable system here, you need to follow these rules.

We want to hold the good ones out as much as possible and honestly who cares about the other ones (chump change).

I told you to sell 10-30%, but how do you decide?

If you should sell 10%, 20%, or 30%, is determined by how much you are up a few minutes before close.

If you are up barely 5x your risk, you would lean more towards 10%.

The more you are up, the more you would sell.

This is completely determined by you and depends on how much profit YOU want to lock in.

Being up 5x+ your risk typically happens a few days in on a winning trade, but can happen on day 1.

After you sell a portion of the position, move the stop loss to breakeven.

This way you have locked in some profits and even if the trade turns around you will win, because it will just sell for you at the same price you bought it at.

You already won lol.

You sell the full position when the stock closes below the 10 SMA on 1D, so set an alarm for 5 minutes before market close to check on positions and sell if needed BEFORE the market closes.

If it is about to close under the 10, sell the entire thing.

I see too many people asking me “do we sell it closed under the 10” at 4:01 PM…

The markets fucking closed dude-__-

Of course if you are late you can do a limit sell order at bid price and make sure you have after hours turned on, but just be on time.

Example:

Market Conditions

Since these are all momentum based setups, they will work BEST when the 10 SMA is above the 20 SMA.

To identify market conditions, go to $IXIC/$COMPQX (or $SPY/$QQQ) and look at the daily chart.

If the 10 is above the 20, you are good to go.

If the 10 is below the 20, either don't trade this setup at all, or be ready for a lower win rate.

Example:

Reading this page, you learned how to identify chart patterns, when to enter a trade, how much to put into each trade, and when to finally click sell.

These things are obviously easier said than done.

If you've made it to the bottom of this screen, it means you're serious about taking your trading to the next level.

If you would like to work with me 1-on-1 and hold your hand throughout this entire process, click this link below.

CLICK ME

By
MTMorgan Trades