Archive for November 2014

You Can Be Better Tomorrow Than You Are Today! (video)

Nov 26th, 2014 | By | Category: Free Daily Trading Video
The other week I presented at #Stocktoberfest the @Stocktwits event masterminded by @howardlindzon. My presentation was titled: 8 Ideas from the Prop Desk to Improve Your Trading. Below is the final part of the video series. In this video Mike shares a philosophy that drives his firm: 1) You can be better tomorrow than you are today! (his personal mantra and how The PlayBook ends) 2) Sharing anecdotes from his experience as a trader and trading partner 3) You may not be as good as you want as a trader (or anything) YET.  But you can be! You can sign up for our free daily trading video here! Mike Bellafiore Read more [...]

Trader’s Ask: I’ve got a family and a full time job—how can I trade for financial freedom?

Nov 26th, 2014 | By | Category: Seth Freudberg's Blogs
Hi Seth, I am a 51 year old man from Florence, Italy and I want to learn options trading  for financial freedom. During the last five years I have day traded futures…… I am having mixed results. A couple of years ago I started to study the Market Profile ( Jim Dalton's approach to auctions in the financial markets). I am putting a lot of patience and energy into this. But… I’ve got a family, a fulltime job and not much capital. Nor can I dedicate much of my time to live trading. You see, due to the difference in time zones I have a time window of about 2-4 hours before the close of the American markets. Read more [...]

How a Stock Can Trade When Their Dividend is Cut (Seadrill)

Nov 26th, 2014 | By | Category: General Comments
In the premarket Seadrill, an offshore driller, announced it was suspending its dividend as this headlines shows: This is news of changing fundamentals in a stock that gets my attention.  When a company suspends its dividend many shareholders HAVE to sell as that offering no longer fits their investment strategy.  Further the suspension of a dividend signals financial weakness in a company as they now have a weaker cash position.  In short, there will be many new sellers in a company that is now newly weaker than yesterday. I love to trade changing fundamentals trades.  Even after SDRL gapped down on this news there Read more [...]

SMBU’s Options Tribe Webinar: Noted Author Jeff Augen: Finding Ideal Entry And Exit Points when Trading Options

Nov 26th, 2014 | By | Category: General Comments, Options Education
December 2, 2014 Today’s markets are almost entirely driven by algorithmic trading – a new dynamic that invalidates most technical indicators.  The PhaseTrader® indicators were developed to address this problem.  They are designed to detect and respond to the activities of program trading systems in a variety of financial markets, and they are currently licensed by hundreds of individual subscribers for their own investing. This webinar will focus on using PhaseTrader® to identify entry and exit points for stock and option trades spanning timeframes as brief as a few minutes and as long as several weeks.  The discussion Read more [...]

Trader’s Ask: Should I Use a Time Stop in Alibaba?

Nov 24th, 2014 | By | Category: General Comments
Hey Bella sorry to bother you again intraday.  I'm very close to having having gotten ride of my over trading tenancies/urges and will start pulling the trigger on better trades2hold in the coming days/weeks. BABA though, it formed a support at 112.10 - 12.15ish. When you get long.  Two questions. 1.) If you got long at 112.12 do you hold BABA regardless of elapsed time (and only exit of it breaches a price level) or do you give it an allotted time limited before you exit? (assuming BABA just sits at 112.20 area and doesn't move) 2.) If the price starts to compress and hold lower and tighter towards 112.10 do you exit Read more [...]

SMB Trading Lessons of the Week

Nov 23rd, 2014 | By | Category: General Comments
Bella discusses an anecdote about a great automated trader who was formerly a failed discretionary trader. In this video Bruce Bower discusses decision making from his visualization series. Latest Blog Posts Hopeville: Where Traders Go To Die There are times when I am required to give a mentoring student some tough love, because it’s important for me to convey, immediately, to a trainee when I spot a trading quality that is so destructive that he has virtually no chance of surviving as a trader unless he rids himself of that trait...Read More Avoiding Losers (And Winners) We have all heard it said ... let your winners Read more [...]

Don’t Lose the Trade Before You Enter It

Nov 23rd, 2014 | By | Category: Guest Blog, Health and Trading, John Locke, Options Education, SMB Options, Trader Development, Traders Ask, Trading Ideas, Trading Lesson, Trading Psychology, Trading Theory
Trading is similar to playing sports at an elite level, they‘re both mentally demanding. In fact it is quite common in sports for a highly gifted athlete with a compromised mindset to lose miserably against a much less talented competitor utilizing the proper mindset. Trading is the same way. You can know everything about charting, indicators and options. You can have the perfect plan. The market might even go your way, but if your mental game is poor then you don’t stand a chance at making it long term as a successful trader. Let’s take look at a common mental error that lead traders to poor performance, lost trades Read more [...]

Lesson 2: Trading Is Peak Performance

Nov 23rd, 2014 | By | Category: Bruce Bower, General Comments, Trader Development, Trading Lesson, Trading Psychology
Lesson 2: Trading Is A Peak Performance Activity Continuing the series Seven Lessons I’ve Learned, I wanted to talk about the right lens or framework for understanding trading. Is it “combat”, is it a “sport”, or is it “a treasure hunt”? All of these are valid metaphors for describing some aspect, but I don’t feel that it captures the essence of the activity. Instead, peak performance is the lens that I use. To me, peak performance means performing well under pressure, as is the case in many fields like sports, medicine or other stressful professions. In our case, we are making risk/reward decisions about what Read more [...]