The Trading of Past Trading

Dr. Andrew Menaker, noted trading psychologist, and I spoke briefly on the phone today about a lecture he will give to SMB. He asked for topics. I gave one and then another which I am pretty sure gets undercovered. We talk and write often about trading on tilt. That state of mind where your judgement is impaired, literally, and you … Read More

Legging out of a winning options spread

Nothing is more frustrating to an options spread trader than working a trade for 30-60 days, using all of your skills and knowledge to initiate, adjust and improvise to position the trade for a nice win and then, on the day you have decided to exit and pocket that   profit,  you run into execution problems. There is nothing quite  like … Read More

Traders Ask: Why Can’t I Trade the Open Better?

Hi Mike, I’m a developing trader with a full-time job. Fortunately, I live on the west coast which affords me the first two to three hours of the day and my entire evening(!) to devote to trading and studying, respectively. Unfortunately, the setups I have the most success with often develop too late in the morning for me to see them … Read More

Options Tribe – Free Webinar

Tuesday, May 31, 2011 SMB’s Options Tribe is an online community of options traders dedicated to sharing successful options trading ideas with all of our members worldwide. Each week the  community  will meet online for the primary purpose of watching live presentations made by outstanding  veteran options traders and experts in the world of options trading.  This week we’ll be … Read More

Traders Ask: How do you play a breakout trade?

Hello Mike, An appreciative follower here. There’s this question that has been floating in my head. I’m reaching out to you for abetter answer. When do you pay for breakout plays out of a range or through a key resistance? Do you: 1.       get in earlier at a better price anticipating the breakout 2.       hit the offer as soon as the key … Read More

Take your gifts when you get them

For butterfly traders like myself, there are scenarios that occur where a trade can appreciate very quickly. This can happen for several reasons. One of the very common causes of this phenomenon is when the trade is initiated in a high volatility environment and then the volatility is removed from the market rapidly.  In other cases the market simply channels for … Read More

A trading day ruined

Ever go from having your best day ever to negative?  Below is a recap of one such experience. Big Baby did a wonderful job of analyzing his trades from yesterday.   He was frustrated that he went from his best day ever to negative. I thought we would share his post trade review.  The only way to get better as … Read More