What worked well on our trading desk in 2017

2017 was a very strong year for our trading desk in NYC.

After such a strong year it is important to study what went well so we can do more of it in 2018.

So what worked well for our trading desk in 2017?

Team Trading

Senior traders who embraced building Teams made more.  Junior traders who were willing to assist learned more and sped up their learning curve.  This Team is an example.  

The Daily Report Card

The Daily Report Card sparked our biggest improvement in 2017.  You can find more about that here.

Trading Bigger

Responsibly and consistently increasing size, in measured edge and where trader has shown consistency, helped traders increase their trading size and make more. Here is an anecdote of a firm trader successfully trading bigger.  One firm trading manager in Austin says this well to traders by asking them to set risk per trade and the stop and using that to quantify if they are big enough.

Stock selection

Trading the right stocks.  Dr. Steenbarger said it well in this post about key ingredients to success in 2017 that he observed: what you trade is as important as how you trade.

Cryptocurrencies and Blockchain

Open mindedness to bitcoin, other cryptocurrencies, and blockchain opportunities was key.  For example, experienced and stagnant traders started trading these opportunities and seeing solid PnL improvement.    

Sticking to the process

Sticking to the process! Even if trader is not seeing PnL jump immediately.  One senior trader stuck to his process and then experienced new success levels.  

Doing more with technology

Weekly technology meeting for Teams is a best practice to build on in 2018.  Meetings once a week as a Team and discussing what can be built to help the Team make more and play more offensive with their best trades is an excellent best practice.

Improved trader training

New hires are much better versed in technology and modeling because of our revamped Trader Development.  Once a week our head automated trader in NYC held a class on technology and modeling.

2017 was a strong trading year for NYC.  We have challenged traders to develop trading goals for 2018, building from 2017.  And we have started meeting with traders individually to start planning their improvement for 2018.

We are grateful for your feedback/comments/questions- mbellafiore@smbcap.com.

*no relevant positions


SMB Training Blog

[Recording] SMB Webinar: What Worked Well on the Trading Desk in 2017

In this webinar, Mike discusses the work he has been doing with SMB traders reviewing what they did well in 2017 and coming up with plans on how to do more of it, figuring out what their weaknesses are and help them with their goals for 2018. He will also share some best practices for you to incorporate into your trading.

SMB Training Blog

Well That Worked Out

As I’m working with my team on New Slope, I’ve been reviewing our videos to see which are still useful and which need to be tossed. One of them was about analogs, and even though it was recorded over five years ago, it worked out great. Here it is: For those who didn’t watch the […]
Slope of Hope

Well Look, a New Updated Fibonacci Grid for the Emini July 28

After a series of new all-time highs – at which point we really can’t draw a Fibonacci Grid to target pullbacks – we ARE seeing a decent pullback today to a key “first Fibonacci” target.

Here’s today’s updated Emini (@ES) trading levels for your trades:

A big rally emerged on July 6th off the 2,410 level that sent price surging toward 2,480.

However, a persistent negative momentum (and volume) divergence set the stage for risky conditions for the bulls … and the market snapped yesterday.

The selling (liquidation) was particularly powerful in tech names in the NASDAQ index though the Dow and S&P 500 were spared most of the collapse-style price movement.

Nevertheless, here we are, trading into – and possibly bouncing “up away from” – the 23.6% Fibonacci Pivot just above 2,460.

Use this as your short/term and intraday “bull/bear” pivot price as highlighted.

If you’re new to this style of simple level trading, welcome aboard and keep checking back or get more details beyond just the @ES (stock scans, money flow, education) by becoming a member!

Afraid to Trade Premium Content and Membership

Follow along with members of the Afraid to Trade Premium Membership for real-time updates and additional trade planning.

Corey Rosenbloom, CMT

Afraid to Trade.com

Follow Corey on Twitter: http://twitter.com/afraidtotrade

Corey’s book The Complete Trading Course (Wiley Finance) is now available along with the newly released Profiting from the Life Cycle of a Stock Trend presentation (also from Wiley).”

Afraid to Trade.com Blog

We are all working on that on our trading desk as well

Yesterday a 30 year market veteran, who has been a part of our trading community for years, stopped by to visit.  He has been struggling with his trading and felt something was just missing.  He wasn’t sure exactly what.  His visit and our discussion about his struggles became so interesting to me.  This retail, developing trader was struggling with the same issues on our desk, even among our successful traders.

He said three things about his trading that I hear guys on our desk say.  In fact, I hear these from many guys on our desk, even our best traders.  What was most interesting to me, was the three things this Read more […]
SMB Capital – Trading Education

2016: A Year for Contrarians; 2017 Shaping Up That Way as Well

2016 was the year I finally decided to codify my niche as a psychology-focused market contrarian, putting the Alice, Red Queen and Rabbit components of NFTRH’s logo right there on my inner forearm, forever. This is because I love the imagery and themes of NFTRH’s guiding metaphorical story, Alice in Wonderland, and because the weird […]
Slope of Hope

I trade well when…..

In The PlayBook, my thesis was for traders to study their best trades and build from them, trading these setups more often and bigger.  The feedback I have received is that this has helped many traders.  If you are not actively studying your strengths, consider doing so.

Yesterday, during our SMB Options Tribe webinar, special guest, trading author, and trading coach to some of the world’s largest traders Dr. Brett Steenbarger shared,”The best traders study when they trade best.”

This is a more complete thought.

A subset of studying when you trade best is the best setups for you.  But studying your best trading involves Read more […]
SMB Capital – Trading Education

SPY has weekly expirations on Wednesday as well as Friday.

As the number of expiring cycles has increased over the years expanding from monthly expiration only to quarterly and weekly expirations, we want to express the importance of verifying the expiration date when trading options with multiple expiring cycles within a single symbol.

SPY, the highly liquid S&P 500 ETF, currently lists weekly options expiring each Wednesday as well as Friday, monthly options expiring on the third Friday of the month, and quarterly options expiring on the last trading day of each quarter ending in March, June, September, and December. The sheer number of expiring cycles can be confusing. We have notated on the option chain, the order ticket and the position page to clearly indicate the expiration date of each option to help avoid any confusion. Weekly and quarterly options will show an extended date clarification of the expiration day, such as Sep-23-16 or Sep-30-16. Monthly options are simply identified by a month and year designation of Sep16 or Jan17.

Please take the time to double check the expiry date on the options chain as well as the date in your order ticket to ensure you have selected your intended option expiry when entering orders.

With the multiple number of expiring date cycles within option classes, it is critical to confirm the date field to avoid any confusion.

The post SPY has weekly expirations on Wednesday as well as Friday. appeared first on OptionsHouse.

OptionsHouse Blog – OptionsHouse

Doing well by doing good: Earning more than $4 million per year from a nonprofit…

“Executive Compensation at Private and Public Colleges” is out with the 2013 numbers. It seems that working at a nonprofit can be pretty rewarding, if not profitable. The president of Columbia collected $ 4.6 million, the president of Penn clocked in at $ 3 million, etc.

The U.S. is supposed to be a place with a deep pool of talent. Being a college president is, absent some sort of hashtag protest, a coveted job and a relatively easy one. Why is the wage then so high? Is the U.S. in fact not blessed with a large pool of qualified people? Is there cronyism going on such that people are not being paid a market-clearing wage? What?

Philip Greenspun’s Weblog