Our firm made a large trade this month in a stock overbought. I was waiting and waiting and waiting for one of our senior traders to close his trade and offer congratulations. The trade kept working and working and working so it took him days to finally close out.
The discussion afterwards proves constructive to those seeking to trade bigger.
Me:
The trader responded:
Lesson:
Notice how the senior trader sees a potential million dollar trade for him “in a few years.” That million dollar trade will not visit the NEXT TRADE. He will incrementally increase size so that in years it will be a million dollar trade. Incrementally seek to increase your size.
Three tips on trading bigger:
- Identify your strengths as a trader
- Trade your best setups bigger and more often as I wrote about in The PlayBook
- Incrementally increase your trading size
I hope that helps.
*no relevant positions
**extra credit if you can guess the stock mentioned above.
