Millionaire TradersQ: Do you look at the P&L during the day and let it guide you?
Or have you now learned to just look at the numbers, whether
you’re down 20,000 or up 50,000 and not really get too emotional?
A: I don’t care—no. My goal is to make another good trade based
on what’s going on in the market. It doesn’t have anything to do
with last trade or the trade before or my P&L.
Q: Obviously that’s great principle to aspire to. But in real life,
what’s the maximum amount of bad trades during the day that
you’ve run into? Did you ever make four or five consecutive bad
trades where you would either short, short, short, long, long, long
and it would go completely against you?
A: You know, I can tell from experience that if I make four or five
bad trades in row what the day is like. It’s a day where it’s creeping
up all the day long. It always looks toppy to me, and after making
four or five bad trades, I’ll just come back the next day.
I’ve never found a good trader or a great trader who was good at
every kind of market, and I know what my weaknesses are and I’m
going have those days once in a while. In the long run we are going
to have creeper days two or three days a month. I am going to have
another opportunity tomorrow or the next day. A lot of new traders
and a lot of people who are not trading anymore, they just know
they’re right and know they’ve got to make one more trade and then
know they’re going to have to win. Well, it doesn’t work that way.
Q: Let’s go back to the start of the career. You are trading for
about a year, day trading stocks, starting to hit the big NASDAQ
bear market. Your second year in the business what happens? What
happens with your stock trading?
A: I’d go in every morning and I’d try to be done by 9:30a.m.
my time which is 10:30a.m.market time, and I’d typically leave