One of our traders, The Original Jersey Shore, was long big at support in CEPH at 58.50 (Trade 1). He got stopped out. After the close he stopped into my office to discuss. He did not get long above the top of the range after consolidation above 58.57 (Trade 2). If you are in 1 why not 2? Shark was … Read More
Options Trade Initiation: Why Patience Pays Off
When developing traders enter into income options strategies, there is a tendency to become impatient when executing the opening trade. The trader will typically put an order in at or around the mid-price but often finds that the market is not biting on that price immediately. This can create anxiety and a feeling of impatience in the trader, arising from the belief that, since almost … Read More
SMB Morning Rundown – February 15, 2011
The SMB Morning Rundown highlights the key levels in the Market and the best trading setup that we have identified for the Open.
Morning Thoughts 2/15/11
Good Morning Traders, Most markets we watch are relatively unchanged this morning. Not a lot of interesting price action in early trading anywhere. Asia is flat, with all indexes between -0.5% and +0.5%. Europe is slightly higher, with European Broad Market index at 0.4%. South Pacific stocks are also flat/mixed. In currencies, the British Pound is strong (especially against Asian … Read More
Traders Ask- Why the Discrepancy? (Midday Trading)
Bella, I have a question about trading midday. The lecture on times of the day (Day 15) seems to recommend giving extra room on the downside and the upside during midday trading: In most trades you need to give your stock a bit of extra room to both the downside and the upside. Your mentality is to find plays that … Read More
Trade Review CTXS
A new trader sent me his thoughts on his CTXS trading today (see chart below). Here is what I really like about his trading: a) He was in complete control of his trade. b) He does an excellent job of finding a way to be bigger for the next time he sees a similar set up. c) He is … Read More
Getting Started as an Active Trader
I was asked to speak at the TraderExpo next week by LightSpeed on this topic: Getting Started as an Active Trader. Here are my bulletpoints on what you need: 1. Domain Knowledge 2. Intrinsic Motivation 3. Critical Feedback 4. Purposeful Practice 5. Luck 6. Talent 7. Growth Mindset 8. Your PlayBook 9. Value-Add Environment 10. Mentor What do you think … Read More
SMB Webinar: Breaking Down Recent Trading Setups
SMB Webinar with Steven Spencer