Posts Tagged ‘ learn to trade ’

Snapchat- When to add size

Jul 11th, 2017 | By | Category: General Comments
Traders often want to trade bigger.  Today SNAP offered an example to me of when and how. I was short Shapchat ($SNAP) intraday and scrolling through the SNAP positions of our other traders on the desk. I felt like I was not big enough in my short. I started to think where I could add to my winning position. First, one of our firm traders shorted into the close yesterday when SNAP dipped below its IPO price of 17 and held his position overnight. He was the biggest winner on the desk as SNAP gapped down, and traded down until EOD.  That swing overnight is one setup worth study for developing traders. But for those Read more [...]


A Trade to Master- $RIG

Jan 5th, 2013 | By | Category: Mike Bellafiore's (Bella's) Blogs
One of our new trainees from Thailand traded RIG yesterday and sent me a PlayBook on this trade.  This was his Trade Management slide for the trade.  There are some lessons here. 1) Great job being in the best stock yesterday for intraday traders, RIG.  You are only as good as the stocks you trade.  This was a stock with opportunity. 2) The Trend Trend Trade is a powerful trade for the new trader.  This is one of the first patterns you should learn.  First work on taking as much as you can from a basic set up like this before moving to more difficult set ups. 3) I would take issue with some of his stops, but this Read more [...]


The happier Toronto trader

Oct 16th, 2012 | By | Category: Mike Bellafiore's (Bella's) Blogs
I am an hour away from my presentation at Quant Invest Canada and instead of preparing I thought I would share some thoughts from a few meetings with Canadian traders with whom I met.  I take the Coach K approach to presentations.  If you cannot get up there and speak on a subject without notes then they probably should not have invited you in the first place.  I will have a power point for the presentation but if you have seen me speak I hate speaking from prepared remarks.  I prefer to just start, get a feel for the audience's interest, pivot there and see how that goes. So yesterday I met with some traders in Toronto who Read more [...]


The Opportunity for a Prop Trader

Jul 28th, 2012 | By | Category: General Comments, Mike Bellafiore's (Bella's) Blogs
@DynamicHedge wrote a must-read piece recently that went viral, "Letters to a Young Trader", in which along with buckets of awesome advice he also asserted prop trading shops are dying.  This is true.  But this is not the same as prop trading is dead and/or ALL prop shops are dying.  That would not be correct.  The author never stated this but some might have missed this important distinction.  This is an opportunistic time for the right people to be prop trading!  Let me explain why and offer a status update on prop trading. First here is what @DynamicHedge wrote about prop trading: (Question from @dynamichedge reader)It Read more [...]


One Easy Trade (ANF)

Feb 6th, 2012 | By | Category: Mike Bellafiore's (Bella's) Blogs
After our 11AM Open review a trader approached my desk. "Bella can I ask you a question?" "Yes." "Do you think I should add here to ANF?" (Abercrombie & Fitch Company) I looked at the chart, saw it trending cleanly above the important 41.50 technical level, spotted a target entry at 42.11 and a definable exit at 41.94, found room on the longer term charts to 43.80 and possibly 45. I said, "Yes."  Then bid for ANF at 42.11 where I was hit and set a stop for 41.94.  This was a Trade2Hold with upside to its next long term technical level of 43.80. During the course of the day I managed my stop.  I moved it Read more [...]


Copy this trader (episode 2): An SMBU Blog production

Feb 4th, 2012 | By | Category: Mike Bellafiore's (Bella's) Blogs
Yesterday in our first series of  "Copy this trader" we highlighted the best practices of an SMB Trader to copy.  We are back at you with some more goodness from the desk. continuing to focus on whats working for me which is finding the sector thats showing relative strength or has fresh news and finding the sympathy plays in the small caps. traded the social media small caps friend finder (FFN) which ive traded a few times in the past couple days also WEBM. also traded a few biotechs like IBIO, KUTV, SNSS, CYCC, OXGN. i had a decent week, finishing 150$ short of my ... weekly goal. traded w/ 1/2 size today because alot of Read more [...]


Copy this trader

Feb 3rd, 2012 | By | Category: Mike Bellafiore's (Bella's) Blogs
A decent day for me to start the month of February. I have experimented a lot of new trading techniques today, and added more elements to my trading. For example, trading a high beta, in-play earning stock like AMZN. In fact, 1/2 of my daily P&L was generated from AMZN today. 178 was the pre-mkt level we had discussed in the AM meeting. AMZN was weak, gapped down, high volume. However, 178 held nicely, and I felt I could risk 10-15c to make 1pt in AMZN. I got long 178.01, and sold AMZN into 179. Stocks like AMZN wouldn't be something I look to actively trade at this stage of my career. However, if I see a clean level being Read more [...]


This is How You Make More Money

Feb 1st, 2012 | By | Category: Mike Bellafiore's (Bella's) Blogs
I tweeted on the open: A pattern to master for the open: The Opening Drive. See STX in the first ten minutes this am. My inbox is dominated with trading reviews of SMB Traders thirsting to make more, blog readers the same, and new traders looking for the path. Well here it is. The clean, trending STX. I traded it on the open. I should have made more. Others around me traded it on the open. They could have made more. I am sure many readers did. I know they will be writing asking how to make more. There was the Opening Drive Play from the SMB PlayBook. A stock gapping up that's first move on the open is not to go down Read more [...]