How Do You Think This Trader is Doing?

Good evening Bella! I wanted to fire off a quick email to you, and if you had time to respond or post it, I would greatly appreciate it.

I just need some input from someone who has observed intraday traders for years to gauge where I’m at. I started prop trading last August, so it’s been nine months. Before that I had dabbled in the markets with a focus on daily charts and pattern recognition. I do a lot of the “hustle plays”, i.e., archive trades, trading journal, go thru charts, news, etc., and that all adds up to lots of time. OK, since last August I haven’t made money. August thru December was consistent losing. I climbed a big mountain back so far this year, and am basically at break-even I feel like I’m in that “make a little” phase that you talk about. I am so striving to make that next jump, i.e., capitalizing way bigger on trades that make sense to me, and extracting as much as possible from the marketplace in those situations. My dad has always told me, “Don’t expect too much too soon.” So true, but while there are lots of other areas to measure growth, P&L is still a measure I want to see start growing in a more measurable manner. The negative view is I haven’t made money yet. The positive view is I’m doing the little things to try and lay the right foundation, and I haven’t blown out of the game. From this very short synopsis, any input on where I’m at in the timeline of a trader’s development?

Thanks for the time, much appreciated!

@mikebellafiore

Gr8 question. First, we have to outline the path of the intraday trader. Then we will discuss where you are at on that path.

In The PlayBook one chapter is called “Follow the Trading Path of Pippen”. One of our better young traders went through this path, which I suggest you copy. Here is that path from a draft version of The PlayBook:

Lose money.

Lose less money.

Flat for the month.

Slightly positive for the month.

Consistently positive for the month.

Find more opportunities in the setups you are consistently profitable.

Build from this positive base by adding other trading plays.

Focus on getting bigger in the plays that make the most sense to you.

I like where you are at in your trading career. Look how much you have accomplished. You have progressed through three very important stages. Most traders never get past stage one: lose money. Personally, as a trading coach this (slightly positive) is when you get my closest attention. From here you are very dangerous (in a good way). You have developed a PlayBook of trades that make the most sense to you. Obviously you have been paying close attention to our training techniques. You are building from your strengths, getting bigger in your best trades. You have developed the trading skill which will allow you to build new trades.

I would rate your progress as TRACKING. This is about where you should be but with a very bright future from my experience. I like your chances. Congratulations on your progress! And hey start making some more money and reach out to us for a 5m account and superior trading technology, so you can make even more.