The myth of the pain threshold

BellaGeneral CommentsLeave a Comment

An SMB Trader during his daily review wrote: Today was definitely a day to really pick your spots for initiating trades. I think for the most part I selected the right stocks today but just had trouble managing some of the trades namely in FB and FAST. Something I thought about today after getting stopped out of a FB short … Read More

Is bad really bad? (Part II)

BellaGeneral Comments1 Comment

Yesterday I wrote Is bad ready bad?  Today we follow up on this idea by looking at the work of legendary traders/investors. Over the past few years I have noticed some good coming out of what I first thought was all bad.  When I lost my mom there was at first only loss, but then I recognized some good.  When … Read More

Is bad really bad?

BellaGeneral Comments3 Comments

Over the past few years I have noticed some good coming out of what I first thought was all bad.  When I lost my mom there was at first only loss, but then I recognized some good.  When my dad had a stroke it was at first so horrible, but then some good.  When we lost a mess of traders … Read More

Why FB was a long

BellaGeneral Comments2 Comments

I stress for our traders to trade with the trend.  We teach generally that if a stock is in a clear downtrend to follow that trend.  There are exceptions.  FB today was one such exception. After the close I pinged to our traders: Why would it have been correct to get long FB today even though it has been in … Read More

Facebook Friday And Rocket Science

sspencerGeneral Comments, Steven Spencer (Steve's) Blogs, Trading LessonLeave a Comment

Despite the fact that the fast majority of those hired by hedge funds and banks these days are literally rocket scientists (PHD’s in Physics, AstroPhysics, Mathematics etc.) trading is NOT rocket science. Of course being good at math and being able to write algorithms doesn’t prevent someone from successful market speculation it just isn’t a prerequisite. On Friday I outlined … Read More

What behavior should a prop firm reward?

BellaGeneral Comments7 Comments

After the close one day this week I encouraged our traders to CALL OUT awesome potential trading opportunities.  Shark called out SXCI into one close and the firm and individual traders caught a very profitable trade.  I got our Floor Manager into ILMN for an opening drive play at the start of the week.  He sent me an email of … Read More

Chill!

BellaGeneral Comments7 Comments

Here are two comments made from two SMB traders in their daily review sent to me after the close.  Both harm their results by trying too hard.  Do you do this? I am slowly becoming less and less content with just making $$$$ (note: SMB cannot talk our PnL because of compliance reasons) and calling it a decent day. I … Read More