Random Thoughts

Coach Beilein, University of Michigan Head Basketball Coach, offered some thoughts for his players useful for traders. U of M was preparing to play the mighty University of Connecticut. UConn was ranked #1 in the entire country, as is their natural right. And U of M was a middle of the pack Big Ten school. U of M has about … Read More

Learning to Grind it Out

Last Thursday after the close I was reading through our newswire service and saw that their in-house traders posted comments about their trading and saw something that caught my attention. Most of them said that they had traded lightly this week given the current market conditions. Further, I have heard from traders on the street that they have found the … Read More

A Core Position (HIG)

Our firm did a great job establishing a core position in HIG yesterday.  GMan was grinding it out in HIG during the lunch hours.  Numerous times he was long waiting for HIG to break above 11.50 and it just couldn’t.  And then HIG would return to 11.   Looking at the intraday chart a new trader might have concluded that HIG … Read More

Step it Up

Every so often a trader will find me and say,”I am going to step it up.” I love confident traders. And every so often Steve, GMan, JToma, or I will tell a trader that they need to step it up. And you can sense after the talk they would run through a wall if that is what it took to … Read More

Advantage–SMB

About 18 months after we created SMB I remarked to Mike that one of our key advantages over other trading desks was a trading philosophy that is not broadly shared amongst our peers.  The focus of our desk is to trade things that are In Play.  We have a set of criteria used to find these stocks before the market … Read More

From the Mailbag

I received the email below today.  Great question.  I thought I would share.  I am sure others who read SMB Blog have had the same question.  So please read the email below and our response. EMAIL  Hi Mike, I’m an equity trader at a hedgefund and read your SMB trading blog routinely and very much enjoy it.  I’ve read your blog for … Read More

Revenge Trading: Just Walk it Off, Friend

A few weeks backs I wrote about catching yourself before disaster hits. In that entry I discuss what happens when you make a couple of mistakes in a row that lead to complete disaster. Then, a couple of weeks back we got a comment in one of our blog posts that touched on this subject. I would like to expand … Read More

Fake Breakdown- ROK

I traded ROK today.  It was an excellent trading stock.  And it’s still acting well.  Tomorrow if ROK holds above 23, then I will get long.  At 20.60 the bid would not drop.  This was the catalyst for an explosive upmove.  I was in this move.  Chop!  And later ROK would not trade below 22.80.  And I started a long … Read More