We all see the screens differently. However we all must see the screens as patterns of risk/reward opportunities that we can make our own. Below are 7 trades I might make in CCJ. Do you see your screens this way? 1) Premarket Breakdown Trade Play the downside momentum until the stocks slows. 2) The Bounce Let CCJ stop going down, … Read More
You Ask I Answer
Hi Bella: Hey young fella. Thanks very much for putting some much valuable material on your blog and website. Thxs for following us. Although I didn’t receive the opportunity of a summer internship with SMB, your website certainly provides quite a learning experience for me. Freakin SMB HR! I especially appreciate your classroom style of challenging your trainees to prepare for more … Read More
Critical Feedback on SBUX Trade
At SMB we share the PlayBooks of each of our traders. When a trader adds a new play to their PlayBook they shoot me an email with a description of the trade and the trader’s attack plan. Below is a portion of a trade description sent to me from Shark for an Opening Drive Play in SBUX. My feedback is … Read More
Using a Premarket Level (FNSR)
Not all levels are created equal. With all these technical indicators it seems that every ten cents could be a level. When we ask our guys to discuss levels we ask: on a scale of one to ten how important is that level? When we find important levels we expect a battle, and then for stocks to move away from … Read More
All that JAZZ
I trainee stopped into my office today. “Bella I think I am looking at the charts too much. Any suggestions?”. On this blog, our seminars and public presentations we are one of the few firms that talk about Reading the Tape. Recently Stevie Cohen was quoted as saying the tape is not very useful these days. So true but intraday … Read More
Traders Ask- Doubling Down Bella?
In One Good Trade I offered this example of a RIMM trade: Today I got this email from SMBer Terry: Hello Mr. Bellafiore, I just have a quick question about adding size to a short in a weak stock that is working against you. In your book, you reference a play in RIMM around the level of 82. The play … Read More
Trader Rant
Yesterday I wrote a blog on how to use the ideas from others to add to your trading game. At SMB we share a lot of what we do so others can learn. Yesterday a Reader took exception to something that we have shared, our best AM idea. I had something that worked for me, but I have lost my conviction … Read More
A Point of Clarification
We teach our traders/trainees/community to start thinking about the markets as we do. We make decisions based on three factors: Reading the Tape, Intraday Fundamentals, and Technical Analysis. We ask our desk to find the Stocks in Play. We ask our desk to trade intraday. It is our belief that this is the best way for a new and developing trader … Read More