Do Not Give Up On The Best Setups

There are several setups for intraday traders that offer the greatest risk/reward.  An essential part of our job is being able to identify these setups and not to abandon them if they fail to reap a reward initially.  One such setup was offered in CAT this past week.  CAT gapped down on abysmal earnings.  It spent several days flirting with … Read More

Making Money IN AMZN

So I ran out of the office after the Close to grab a couple of slices of pizza.  By the time I got back AMZN was trading up 5 points.  About six traders on the desk were actively trading it in the after hours.  I quickly gathered some information from those who had been watching it.  There was selling at … Read More

Trading Unusual Weakness

Many short term traders get killed trading weak stocks on the short side.  What is the root cause?  The most common error is they have poor entry prices.  We all know that a stock in rapid decline is on the radar of every day trader and hedge fund on the Street.  This attention creates spikes that some interpret as a … Read More

Learn How to Score

I shorted ROH in the Premarket.  Chop!  I shorted CAT on the Open.  Chop!  And then CAT got hard.  I made some and I lost some.  And as I like to kid our desk, then people started bothering me. Roy generally bothers me first about something I need to do for him.  Roy runs SMB Training.  So if you are interested in … Read More

Bidding, Offering, or Sweeping

The most difficult thing for us to teach is when to bid and offer or sweep. To sweep means to pay the offer and potentially through the offer if you want to get long. I set my sweep key to pay the offer or through the offer by up to three cents. This is a matter of preference. Some traders … Read More

Trading Multiple Asset Classes

From time to time I get asked during interviews if I trade other asset classes during the trading day. My answer is always yes and no. I do longer term swing trades in the FX market but no, I do not trade both FX and equities intraday very frequently. When I do I tend to lose my focus and do … Read More

A Day on the Street

SMB offers the very best intraday equities training program on the Street.  We meet hundreds of college students seeking an invitation from our desk.  And many ask what it is like to trade with us.  Before anyone is asked to accept an invitation we mandate that a candidate meet with traders on our desk.  A candidate may ask any question … Read More

System Writing Without Trading Skills

Every now and then we receive emails from new traders seeking capital to trade their systems. Their academic backgrounds are impressive. They all have worked very hard at fine tuning their strategy based on historical data. They tend to be avid technical analysis students. Most have crunched statistics on their systems to support their claims. However, most lack the trading … Read More