BETTER. BIGGER. BROADER.

“Do you even know what you do best?”

This is one of the first questions I ask the traders I work with.

It’s rare that anyone has an answer.

Most people can tell you what price action “system” they use, but that isn’t really a system.

It’s a concept of how price moves in markets. At best, it’s a suggested method of trying to trade those moves.

But every concept of how and why price moves is just an opinion superimposed on a chart.

What’s the truth?

Is it the hedge funds?

Maybe it’s the central banks?

Or is it just some big ultra algo running the whole thing like The Matrix?

Honestly, who cares?

All that matters is - can you trade that move?

Are you trying to be the best in the world at making money that way?

If not, you still have some work to do.

The title of this newsletter is a catchphrase used by the team over at SMB Capital, a Manhattan prop firm. (https://www.youtube.com/@smbcapital)

The phrase refers to the development path of any trader.

First you get better (develop an edge), then you get bigger (add more size), then you get broader (find more opportunities to trade).

Couldn’t be simpler, really.

Where most traders go wrong and waste months and years is trying to trade too many markets, using too many timeframes and too many “setups” without a clear system and profit goal.

Just trying to make some money.

It’s too broad, and lacks intention.

Position sizes are usually too big for the current level of emotional control, and big drawdowns occur.

The average trader is trying to be broader and bigger without knowing what they do best.

Ass backwards.

I spent 6 months working on a systematic approach using The Strat in Q1 and Q2 2022, and arrived at this definition of what I do best:

1) Macro reversal ideas on the month and quarter with at least 10% range in the stock price.

2) I trade through those a week at a time using a 4hr chart to determine reversals off high and low of week that I can scalp, day trade and swing.

3) I buy options a maximum of 3 weeks out but usually trade same week or two weeks out.

4) I buy strikes no more than 50% out of the money in the range from trigger to target.

5) My aim is to be several dollars in the money on every trade with time to spare on the expiry.

That’s all I do in the market, over and over. Come up with ideas on the macro that have the range I like work with. If the idea is in play, I structure options trades to daily and weekly targets. I trade these pieces within the entire range of the macro idea using these tactical structures (positions) to be efficient with my time and reach a monthly profit goal.

I don’t care what kind of reversal it is. I learned long ago that the probability on a reversal completing is not down to the “combo” on its own, which is another abstract. It’s more psychological and and a result of the overall market condition, which is the last thing a lot of price action traders want to hear.

The timeframe on a chart is simply a visual distribution of the range of trade across x amount of candles. Use whatever timeframe suits you to create ideas you want to work with and fits your perception of the next move you can trade.

(An example of my system was my trade idea on $RIVN last December for a big 2d month to a target of $19.25, which I explained in this video: https://youtu.be/5kPV62SDURs). This was all I traded for my monthly goal.

When it comes to trading, it absolutely pays to be a specialist.

It’s a game of niches, and you have to determine yours.

I wish I could tell you what that is, but you have to figure it out.

Everyone else claiming they have the best way of doing something isn’t being completely honest.

Truth is, there aren’t too many rules to follow in trading.

Stay on the right side of the market and don’t do anything stupid, obviously.

The rest of what wins over the long term is more of an art form than a science.

Drilling down into your own way of doing things through coming up with ideas, using charts for range and timing, and constantly reviewing your trades to put more pieces together to see what you need to see to make money consistently.

It isn’t as hard as most people think, but it’s a dedicated practice to get to proficiency and professional levels of income.

Start by deciding what you want to be best at, before the money.

That’s how you get to the money.

P.

If you’re ready, CONSISTENCY starts on 26.03.23.

3 weeks. 5 live calls per week.

Creating the biggest ideas in the market and the systems to trade them.

I’ve worked with 100 traders in the last 6 months.

Some made 5 figures before the course finished.

Many paid for the course during the 3 weeks putting what they learned into practice.

They built their systems for consistent profits and continue to grow.

I will coach you on idea creation, execution, systems thinking and managing your emotions through efficient routines that promote mental clarity.

All calls are recorded and you get to keep them as a reference library.

You also get free lifetime access to an alumni community of traders who been through this program and continue to help each other improve.

If you’d like to talk to me about your trading progress and goals and whether CONSISTENCY can work for you, use the link below to book a call.