We had an ice storm on the East Coast this week that knocked my Internet service off the grid and shut down electricity throughout the area, and so I wandered through the city whose infrastructure had failed me as snow and ice fell around me. From home to office to a soccer-mom-filled Starbucks, I finally made it to my daughter’s … Read More
Addressing the Trader’s Fear of Missing Out
One of the more entertaining things I hear out of forex traders that I talk to is, “I can’t believe I missed that 40-pip move! I left so much money on the table!”. My question is whose table did you leave that money on? What’s even funnier is when traders claim they’re losing money because they’re missing nice moves. This … Read More
Market Commentary and Analysis
In this short clip from our AM Meeting I break down recent SPY action and discuss my thought process for possible trading scenarios. Also highlighted two In Play stocks ARMH and TWTR with possible trading scenarios. Steven Spencer is the co-founder of SMB Capital and SMB University which provides trading education in stocks, options, forex and futures. He has traded … Read More
Risk Tolerance VS Risk Capacity
To be successful at trading, long term, it’s extremely important that our risk tolerance is in line with our risk capacity. Risk “tolerance” has to do with the amount of draw down we can withstand prior to the loss psychologically effecting our trading. Risk “capacity” has to do with the amount of draw down we can withstand prior to the … Read More
A News Pattern Trade: Full Year Beat or Miss
I am a pattern trader. Technical pattern trader. Tape pattern trader. News pattern trader. Whatever the pattern that makes sense to my trading brain, my risk preferences and trading sweet spot that gives me an edge in the market. For the patterns that make the most sense to me I build a PlayBook. One play in my PlayBook is the … Read More
A Trader’s Contract
Jimmer Fredette was a star college basketball player, a Naismith College Player of the Year. A couple of years ago I wrote a blog post about a contract he signed with his brother to play in the NBA. I__________________ will make all necessary and proper sacrifices to reach my ultimate goal of making it to the NBA. ________________ ______________________ Name (Signature) … Read More
Traders Ask: How Do I Overcome My Fear of Failure?
Hi Mike, It’s been a long while since we’ve been in touch and even longer since I was with the SMB team (edited out praise that could be perceived as self-congratulatory). During my time in California I have made great strides in building a couple of trading strategies. I have been keeping a journal of my strategic development, and while … Read More