Archive for August 2010

Rebuilding Confidence

Aug 31st, 2010 | By | Category: General Comments, Steven Spencer (Steve's) Blogs
One of our young traders did a nice job today of rebuilding his confidence. He started off the month of August on fire seemingly unable to have a negative day. His confidence grew and he began to take on more risk. I noticed that when he had his first negative day of the month that he overtraded a bit in an attempt to get positive for the day. What trader hasn't done that before :) . Over the course of the next couple of weeks he overtraded a few more times and gave back a good chunk of his monthly profits. Today, he drew a line in the sand with respect to his trading behavior. One, he decided that he would only focus on the Read more [...]


And The Real Reason For That Losing Trade Was……..?

Aug 31st, 2010 | By | Category: General Comments, Mike Bellafiore's (Bella's) Blogs
Look at the chart above.  Say you shorted RIMM below 45 and got stopped out at 45.16, develop a reason for this loss and then continue reading. Ok great to have you back with us.  Today during a teaching session Bad A$$ Mike shared a trade he made on the Open getting short RIMM below 45.  Steve whispered in his ear before the opening bell that 45 was a big level and it had downside potential.   Bad A$$ Mike had other ideas but he flipped to Steve's right before the open.   He shorted below 45 and got stopped out.  Reviewing his work, the subsequent two points of down and frustrated he concluded,"I didn't give RIMM Read more [...]


SMB Trade of the Week-MDT

Aug 31st, 2010 | By | Category: Trade of the Week
Watch Mike Bellafiore in this short video discuss SMB's Trade of the Week. SMB's new video series for StockTwits TV first released exclusively on the iPad, details trading patterns that are consistently used on SMB's trading desk. Mike Bellafiore, partner at SMB Capital and author of One Good Trade: Inside the Highly Competitive World of Proprietary Trading (Wiley), discusses Shorting a Weak Stock Below Intraday Support in MDT. We hope you enjoy! Don't forget to follow us on Twitter! Also, check out SMB on youtube for more SMB Trades of the Week! Read more [...]


SMB Morning Rundown – August 31, 2010

Aug 31st, 2010 | By | Category: Trading Ideas
The SMB Morning Rundown highlights the key levels in the Market and the best trading setup that we have identified for the Open. Read more [...]


A “Cloud”(y) Day

Aug 30th, 2010 | By | Category: Steven Spencer (Steve's) Blogs, Trading Theory
This AM I tweeted that VMW was a long if it was holding above 80.  VMW got on my radar last night when I saw an article on the WSJ site that it was investing in the "cloud".  For those of you who aren't aware of the "cloud" it is the buzz word du jour with respect to technology firms.  Even if you aren't a primary provider of cloud technology services it probably would serve you well to throw out a press release or two about how you are helping customers move there as it will cause a nice bump in your stock price. Buzz words have always been important with respect to short term movements in stocks.  Back in the 90s "B2B" Read more [...]


What is Your Big Picture?

Aug 30th, 2010 | By | Category: General Comments, Mike Bellafiore's (Bella's) Blogs
Every trader must see their big picture. At SMB we make trading decisions based upon three factors: Reading the Tape, Technical Analysis, and Intraday Fundamentals. We teach our traders to think of a big circle with each of these factors inside. How do you determine your big picture? Today during an informal discussion one of our new SMB Training traders, let's call him Smooth, asked about a trade we make based upon Reading the Tape. I asked the room to take a step back and remember the big circle. Understand the context of this question. The question was about the prints which we use to determine the strength of the Read more [...]


SMB on StockTwitsTV

Aug 30th, 2010 | By | Category: SMB on TV
Steve appeared on StockTwitsTV to discuss the Market and the stocks in play for the day. Read more [...]


SMB Morning Rundown – August 30, 2010

Aug 30th, 2010 | By | Category: Trading Ideas
The SMB Morning Rundown highlights the key levels in the Market and the best trading setup that we have identified for the Open. Read more [...]