Archive for June 2015

What it Takes to Go Live at Our Firm

Jun 29th, 2015 | By | Category: Trading Ideas
SMB receives approximately 5,000 applications each year to trade for the firm. As you can imagine, it's nearly a full time job to sort through 400+ new applications each month. Of the thousands that apply each year, the net acquisition of new traders that go live with the firm is less than 50. That's right... Less than 1% of applicants make it on our desk. The overwhelming demand to be a part of our desk is a direct reflection on the environment and culture we have developed. This is a culture developed around having a growth mindset. We believe that sharing ideas and reviewing our trades as a team helps everyone get Read more [...]


Why It’s a Really Bad Idea to Bump Your Trading Capital Level Too Quickly (SMBU Daily Video)

Jun 27th, 2015 | By | Category: Free Daily Trading Video
In our SMBU Daily Video, we dive into trading IPOs. In this video from Mike Bellafiore, he will discuss: Important levels that formed in Fitbit since its IPO Why technical levels are so important How support can become resistance We hope this video helps you improve your trading skills. - SMBU Team Read more [...]


The ONE Thing Options Traders Want More than Anything Else Is…

Jun 26th, 2015 | By | Category: SMB Options
Options traders like you have been telling us for years what they want to achieve in their trading. Strangely enough, they don't ask us to show them trades that make bigger profits. Nor do they ask for risk-free trades. The word we hear most from options traders is consistency. Who wouldn't want to be more consistent, right? However, we believe consistency is not enough. After all, you can be consistent at getting mediocre results, consistent at breaking even, or you can even be very consistent at losing. We regularly see options traders make the following mistake. In the fight to achieve "consistency", traders stare Read more [...]


Trading Fitbit (SMBU Daily Video)

Jun 26th, 2015 | By | Category: Free Daily Trading Video
In our SMBU Daily Video, we dive into trading IPOs. In this video from Mike Bellafiore, he will discuss: Important levels that formed in Fitbit since its IPO Why technical levels are so important How support can become resistance We hope this video helps you improve your trading skills. - SMBU Team Read more [...]


What You Can Do to Stand Out (SMBU Daily Video)

Jun 25th, 2015 | By | Category: Free Daily Trading Video
In our SMBU Daily Video, learn what can set you apart from other traders. In this video, Mike Bellafiore will discuss: What qualities make a trader stand out Fitting in with other traders Why you shouldn't reinvent the wheel We hope this video helps you improve your trading skills. - SMBU Team Read more [...]


SMB’s Top Options Trader Shares His “Favorite” Income Strategy [Video]

Jun 24th, 2015 | By | Category: SMB Options
 John Locke returned to the Options Tribe to share his insights on the popular (and successful) Bearish Butterfly strategy. Learn the Options Trading Strategy that Allows You to Profit Big When the Market Goes Down and Generate Income During Most Other Market Conditions. Read more [...]


SMBU’s Options Tribe Webinar: Seth Freudberg to present a weird version of the Weirdor

Jun 24th, 2015 | By | Category: Options Education, Seth Freudberg's Blogs, SMB Options
Today, Seth Freudberg will be presenting a modified version of the iron condor trade known as “the weirdor”. This will be the first time that this particular version of the Weirdor has been presented on the Options Tribe Read more [...]


How to Add Probability to This Index Mean Reversion Pairs Trade Opportunity

Jun 22nd, 2015 | By | Category: General Comments
With RUT accelerating to new highs and the SPX lagging -- is there an opportunity for a mean reversion pairs trade? I believe so. The probabilities are high for mean reversion. But, the danger of a mean reversion trade is the possibility of being too early. That is where options can give us additional edges. With options we can "lean" one way or the other and not need the directional bias to work out. A bearishly positioned spread in RUT (like the bearish butterfly) coupled with a more bullish spread in the SPX (like a medium probability credit spread) could allow for the mean reversion bias to be profitable -- Read more [...]