The real stop

A trader on the desk wrote this in his daily review: Took the train home with (redacted, Senior Trader at firm) today, we had a really good chat. Seeing how far he has come and how he views trades.  Does Not trade price action so much. He focuses more on his overall idea and trades it loosely.  Shorting rallies covering … Read More

How to improve your discipline as a trader

A new trader wrote this to me: Noob (trader here).  Two months in with maybe a total of 3 days where I consistently followed my rules.  Down about 2k thus far.  I am questioning my ability to do this.  Mainly because of my lack of discipline in following my rules. There is the old parable about the frog that asks … Read More

When you are trading well…..try this

During a daily review one of the firm’s top traders observed this about this trading:  I am feeling confident about my trades, seeing the markets well, and want to leverage this period here to trade aggressively as long as I am staying in sync. Dr. Steenbarger has taught us traders to study, study, study the trading periods when you are … Read More

What are you going to do about it?

Last night a trader sent me a review from a very poor trading day.  He wrote: Little mad at myself for not taking 2 of my best setups in UVE below 18 and HCI at 32.  Had the alerts go off but didn’t take the trade, and those trades played out to perfection. It definitely got under my skin most … Read More

An anecdote from a developing trader on the prop desk- sizing

One of our developing traders is consistently profitable.  Undeniably, he trades with edge. This is a great position to be in.  But for some traders it is not sufficient.  They are making money, but they are not making enough.  And when you are sitting next to and behind 7-figure traders it is not enough. So this trader sought to trade … Read More

Automated trading helps with this trader’s discretionary trading

At our firm, traders can be discretionary traders, automated traders or hybrid traders.  Discretionary traders push the buttons and make their own decisions.  Automated traders develop and idea, backtest, forward test, and then let computers run the strategy.  Hybrid traders do a little of both and use technology to inform better discretionary trading. Often we hear in the Financial News … Read More

What is working for YOU

When I receive emails from new and developing traders they often dwell on what is not working with their trading.  They recite with precision exactly what they are doing poorly and with thoughtful reasons for this.  Inevitably, they ask for help with these issues. My first response generally is to ask them what they do well.  And we then build … Read More

How you find more trading opportunities in this market

I was on a phone call with a former *star* futures trader who blurted, “this is the worst market I have seen in my life.”  He was referring to the lack of movement in e-mini futures. During a private coaching session with one of our better senior traders, that trader stressed, “patience is the key in this market.” One veteran … Read More