Happy Buddha Says

BellaMike Bellafiore's (Bella's) Blogs3 Comments

An email from a new trader:

Hi Bella,

My Weekly Goal:

1. Being patient to wait for great setups to get aggressive
2. Trade 200 shares responsibly on excellent R/R setups
3. Go over entire Reading The Tape lectures again
4. Recognize bigger picture and trade stocks that move away from prices
5. Get more well-rounded in this new market
6. Share one great idea with new surrounding traders
7. Write over 15,000 shares with over $8 ticket average once
8. First $300 P&L

Day 7 Review:

Friday was my Day 7 of trading live. Carlton integrated us into the trading floor. I was very fortunate to sit with the most recognized traders in my firm and Happy Buddha besides me, sitting on the air conditioning vent.

Friday into the close, I was still negative. I have not been doing well recently as I used to trade better in the past weeks. I finally stepped out of my comfort zone, and reached out to Happy Buddha for guidance. I expressed my frustration and pleaded for suggestions. Happy Buddha said:

1) You lack experience in the recent market. One month ago you were trained on DEMO in a market where most trading ideas were generated from breaking news of individual stocks. You were taught to read the tape on them, identify patterns, and trade off of them. Those stocks move individually from the market back then. Last week we just entered into a new market, where most stocks would move with SPY. You’ll have to take more rips for a greater-sized profits. You lack screen time in this market. You lack experience. Work hard and learn. This is a learning process.

2) Your trading setups are fine, but you over traded in a range. Although SPY had moved multi points recently, most stocks were still in a range. You’ll need to wait until they move away from prices. These are higher probability trades. You’ve executed too many trades in a lower probability environment. Sometimes, not trading is the best trade.

I will continue to work hard to learn and gain experience in this new market, and get more well-rounded in this market. I really appreciate the ability to trade 200 shares, but I will not execute my 200 shares unless I see great setups with excellent R/R. This is my responsibility.

By the way, I was referring Happy Buddha to the more experienced traders who generously spent time and listened to my problems. They are my valuable resources. I want to learn from them and get better. Thanks Happy Buddha for these great advice! (end of email)

One Good Trade

3 Comments on “Happy Buddha Says”

  1. Its  a great imagination. If this would be true Buddha would a happy man . But I wonder which places he might choose to go on a tour?

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