Millionaire Tradersmarkets and these stocks were moving. It was only by trading four
or five stocks that I developed a feel and was in-sync with how they
move.
Q: But generally you try to always buy the bid, sell the offer?
A: When I could, but when stuff started moving, I realized it cost
you more if you didn’t go in and get it early versus watching it run
a point or two.
Q: Right. And then you would try to offer out, right? You would
at least try to make half of the spread by just trying to get yourself
lifted on the offer?
A: Yes, I’d always try and get out and make the spread. I would
refrain from exiting to bid or offer. But on the flipside, when things
turn, they would turn fast. So it was a quick decision, whether I
want to try to make an extra dime or quarter—or if I should just
get out and lock in a winner.
Q: Now most of this kind of trading was really not software
driven. What we mean by that is when you get into a trade, you
didn’t have a predefined stop-loss automatically in your software.
You would have to physically take yourself out of the trade, right?
A: Right.
Q: So a huge amount of this was very reactive. You had to make
lightening-fast decisions based upon the movement in Level 2?
A: Right. As fast as our software would let us [laughter], which
at times, was brutal.