I received an end-of-the-year review from a trainee and his list of goals for 2012. It’s a great exercise for every trader and one that is supervised by our floor manager for our trainees. While reading one this norning I stumbled upon an important trading point that we have discussed some, many misunderstand, and might be able to improve your … Read More
What is your giveback rule?
Yesterday in a daily trading review a trainee wrote with disgust about giving back too much of his early profits. I really hate what I did today… basically gave back 90% of my net on the day by trading like a jackass. It just started with one bad trade and snowballed into a few more, and before I knew it, … Read More
A Conversation With Young Small Cap
This is a conversation I had today with a trainee about doing better in non-small-cap stocks. This mentee had previous success with small cap stocks while in college. During an end of the year review he made some observations and wanted to discuss them with me. Young Small Cap is an example of the very best of the people I … Read More
How do you develop conviction as a trader?
Hey Bella, I’m a relatively new trader as I’ve been trading for a little over a year now. The best plays that have the highest win-ratio for me are scalp plays. My question is, how do you know when you have enough conviction to act to execute, or consider executing, a trade on a specific stock? I understand every trader … Read More
How is this trader doing?
I received this email from an email trading buddy and wanted to know how you thought he was doing. I hope you are doing great. I just wanted to remind you who I was so I attached the below email. I was wondering if I could run a question past you. It’s tough here at the home office to get … Read More
To improve your trading results first do this
Bella: Put up 15k in Jan and there will be a special surprise for you 🙂 Trainee: I am trying to do that half way through the month…I’ve hit that before in 6 days and that is months ago. I didn’t get a chance to do the review today will get to it Tomorrow. Have a doctors appt and got … Read More
A good trading day can be right around the corner
Your trading can get better. I sacked a trainee to the demo yesterday for sloppy and irresponsible trading. This new trader spent the day thinking about his strengths and mentally rehearsing the best set ups for his trading. This was a time out day. I have done this to this trainee before after a period of underperformance, which then preceded … Read More
Trading lesson of the day
I received this note from an excellent trader about the market before today’s open: Won be trading for the rest of the year. Tired of this (insert cuss word- deleted) trading. debating on even coming back till earnings season. I can certainly understand those thoughts after struggling through a tough trading market to start December. Â I have had those … Read More