2. Hard Work Watching the Level II and Times & Sales Watching price action at your levels Important intraday Prices?
3. Patience If your entry price is 30 then where do you enter? An upside of 5 and a downside of 1 Chasing is for dogs Affects your exit if you enter at a bad price Hard to get big from a bad price Win rate declines
4. A Detailed Trading Plan For if the stock trades in your favor For if the stock trades against you
My Favorite Teaching Exercise Tap a trader on the shoulder Why are you in this trade? Where will you exit? I expect an immediate answer If not then kicked off the trading desk Come back when you plan on being a pro
5. Discipline What do you do if your stock trades against you? What do you do if your stock hits your exit price? What do you do if your stock hits your criteria for exiting?GET OUT!!!!!!!
SNDK – 11/21/2005 Intel Teams With Micron For NAND Flash Production SanDisk in this space SNDK down 16%
Who is not a Trader- The Blow ups Jon Corzine MF Global John Meriwether Long-Term Capital The London Whale 5B in losses Buzz Weinstein other side of the-now famous London Whale trade.
6. Communication Sharing information with community StockTwits Chat rooms Internet trading communities Create your own trading community I have traded solo…………………….
7. Replaying Your Important Trades SMB Playbook Trades that make the most sense to you Build from your strengths Get bigger in the plays that make the most sense to you Find more of them Trade them with more size This is how you become great
One Losing Trade If you make a losing trade is that One Bad Trade?
A Professional Trader A professional trader takes losses all the time Control their risk Do the right thing If I make this trade 1000xs will it work? @sspencer_smb, “A professional trader takes many small losses.”
7 Fundamentals If you have followed all 7 Whether you make $ or not Then that is One Good Trade That is your job! Sustaining, consistently profitable trader
SMB Mantra Make One Good Trade and then One Good Trade and then One Good Trade Coach K at Duke