Short form audio discussing life as a trader. My focus will be on how to think, how to learn from mistakes, and how trading relates to so much more than the markets. I will also do some self reflection on my own journey. I’ll bring up market setups, lessons from trading, and trends I’m seeing. I will speak on cryptos, stocks, futures, and certain evolving situations. My goal is to have the content be timeless so listeners can get value regardless of when they tune in.
I discuss how I moved the goalposts during a trade. I changed what I was going to do by talking to somebody else and when it didn’t work I had no solution. I then allowed it to bleed into the rest of my week.
I talk about maintaining the right perspective as you navigate through different environments and see different things happening around you. It’s very important to understand these cycles so you do not get caught up in them.
In this episode I reflect on my desire to constantly be learning and growing. Why am I doing these things? Sometimes it can become like a sickness and I can operate out of an energy that’s not productive. It’s important to really understand why you are doing this stuff in order to get the most out of it.
I discuss why it’s unlikely you will be successful over the long term just using a chart. Some people may pull this off but in my experience and from observing others who are successful this is rarely the case. I talk about why.
This episode is about the importance of contingency plans. Much of this I learned from studying Bill Walsh. I also get into my year end review process and a little bit about the market turmoil right now.
I discuss the current environment in the stock market and the attention the inverse head and shoulders pattern is getting. When this many eyeballs are focusing on something it creates the potential for a lot of fake outs before the real move happens. Planning ahead and running scenarios can be very useful.
I share some experiences of being caught by getting sucked into the crowd. The more work we do the more we get attached and feel we’re right. It’s when a group of more sophisticated investors agree when caution is needed most.
An old lesson came back to bite me in a big way at an inopportune time. Position sizing continues to be my greatest strength and greatest weakness but at this stage of my career the downside of that is less tolerable.
You must determine the point where you are going to exit your trade before you enter. Sometimes the more complex your strategy the more you can rationalize not doing that in your head. You can also rationalize that when you are trading well and it doesn’t seem important at the moment...but it IS!
It’s important to focus on what actually makes you money. It’s very easy to bleed your day away pursuing intellectual macro discussions that won’t give you an edge. Take the time to do the most important stuff first.
I discuss how it’s important to understand your personal risk tolerance. You can’t have market declines outside of your trading ruin your mindset and make you emotional. Proper planning can prevent this.
I talk about how during a sports bet there is a defined ending point but during a trade if you don’t create an ending point it can be a continuous thing. That can be very dangerous if you don’t know where you’re wrong.
There are no shortcuts. Pain and experience are part of the process. Nobody else can save you with their system but you can certainly learn a lot from other people. The faster you figure out you need to make a system your own, the quicker you can move toward success.
I discuss why it can be difficult to increase your size just based on a good run and why it’s more important to cut your size when you’re struggling. If you are focusing on your process then your size goes up automatically when it’s time.
I talk about the importance of knowing yourself before a probabilistic outcome causes you to panic. If you know that you can take worst case outcome then it will be easy to figure out how to structure the trade.
I describe a new process that has helped me find more trades without it feeling like work. A top down approach of identifying themes while also staying focused on EPS winners and their chart formations.
Today I discuss exiting trades early and how it’s important to keep track of your thought process as you do so. You are not a robot (yet) and sometimes your intuition can be your best friend. Knowing yourself can be an edge.
Today I reflect on my past few weeks where I've gotten a bit obsessive about finding the exact perfect setup (software/technology) when in reality it would be better to just find something that's 80% there and go with it.
I go on a bit of a rant about reinventing yourself and how that’s a normal part of every living entity. I also share some personal information about what I’m going through and how it’s not always clear what the next step is.
I talk about minimizing risk while traveling and about the importance of determining if the trade is a shorter term one or something longer-term. It’s not good to be flipping back-and-forth because you end up getting the worst of both worlds.
This is an actual recording I sent to a friend so it's a bit more raw. I talk about my career win % as I answer his question about the feeling he has to get the absolute tops and bottoms in his trade execution. He is observing he wants things to be very structured and I talk about how that can work in practice.