A reader asked: Hello Mike. I have been involved in trading for a number of years and follow your youtube channel with interest. A quick query when you have some time. Going back a few years, the main ‘focus’ for trading (mainly using the tape) was on the open and the first hour of trading. Then also the last hour … Read More
Trade your PlayBook for improved consistency
I received this email from a trader: Hi Mike, Terrific piece yesterday on trader development. You have a wonderful way of clarifying things. Step 1. Build your playbook of trading ideas Step 2. Become consistent trading these plays. I have come across the word “consistent” more and more frequently but have never fully grasped just how important it is. Dr. … Read More
First comes…..next comes…..then comes……for the developing trader
Getting your priorities correct really helps shape the trading day for optimal progress. One trader with, with whom we are working, is coming along nicely. Firm is happy with his progress. Our sense is he has a real chance to become good. Our job is to help him set priorities. Is that to make money? Or is that something else? … Read More
Rules for high conviction trades
During a daily review a developing trader tackled his system for re-entry with high conviction trades. In his words on his high conviction IBB breakout trade, expressed with LABD: (LABD) Was one of my larger picture ideas for the day. Was using this 3X leverage ETF to play the IBB breakout. IBB looked positioned for a breakout on the daily … Read More
Trading lessons from Happy Hour
We held a traders Happy Hour last night for our proprietary trading firm. Some of the new hires having a blast asked how often we hold Happy Hours. And I thought, “What we don’t cover this during recruiting?” Note to HR. Rooming the room to check in on everyone a few trading lessons emerged: Traders were gathering and discussing new … Read More
Sometimes the best trades just come to you
Sometimes the best trades just come to you. Today was a perfect example in SUPN. During our 11AM mentoring session with our new class, we discussed this important trading lesson. Yes! we need to prepare before the open. Yes! we want to develop theses for trades. Yes! stock selection best for you is important before the market opens. But we … Read More