A test of conscience at a trading firm

BellaGeneral Comments

Hi Mike, I was part of the first edition of SMB DNA and I am a consistently profitable trader now. I just read your article about the low float reversal trade. It is also a favorite trade of mine. The difficulty I sometimes have with these plays is to get borrows to short the stock. (I have one IB account … Read More

A favorite trade of active successful traders

BellaGeneral Comments

The Low Float Reversal Trade is a favorite of the active trading community.  It is a favorite of the best retail active traders.  It is a favorite of many large proprietary firm traders.  Here’s why: Low Float stocks are not as competitive as other stocks, and thus easier to trade. When they reverse, the downmove is substantial and fast, with … Read More

A note from the prop desk

BellaGeneral Comments

This African Proverb above presently sits on our whiteboard, just outside the trading bullpen, on our trading desk.  It encapsulates the advantage of trading at a proprietary trading firm, and helps us raise questions about what we want to be as a trader. Let me offer five examples from the desk this week to illustrate this point. 1. Trader A, … Read More