Capitalize

One of our new traders asked me whether yesterday was like trading “Back in the Day” (think Internet boom). I quickly said no and explained that spreads were wider and programs were unborn. But I thought about his question some more that night and recognized that yesterday did offer the trading opportunities that we often saw during the late 1990s. So what does this mean for our trading?

During these times you must squeeze out every dollar you can from the market. These opportunities, this license to effectively print money, will not last forever. These are the times to trade till the bell sounds. There are no lunch breaks. If you are up $2,500, keep trading. You just might make 5k. If you are up 6k, then keep at it. Maybe you will make 10k. The day doesn’t end until 4pm. These are the days that you wish there was no weekend. You wish that Saturday offered trading.

When you visualize your best days think bigger. If you are visualizing a great day as 5k then think 10k. When you visualize a great trade of 2k shares for 50c you ought to expand those chops. Visualize a great trade of 3k shares and 75c.

Force yourself to trade these fast, voluminous financial stocks. If you are one of those traders who says, “I can’t trade MS, GS, JPM,” then learn them. And learn them today. This is where the money is. This is where the huge chops are. Your job is to make money, not fall in love with your trading style and system.

These are times to think big: 1-3k during these days is not exceptional. There is so much more money out there. You can make more this month than most make in an entire year. You may have to leave your comfort zone to get there. But done correctly, it will be worth it.

Yesterday was another great day for our trading desk. Our guys are getting so good right before our eyes. And a few are coming close to showing signs of being flat out superstar traders. But they do all of the above. They think bigger. They squeeze out every dollar the market offers. And so should you.

Good luck with your trading!

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