Deconstructing A Trade: Staying In The Game.

Posted by Brian Lund in Deconstructing A Trade

A few weeks back I was fortunate enough to hear Howard Lindzon give a speech about his thoughts on successfully trading the markets.  One of his main points was “staying in the game.”

In the context of his speech it meant making sure you were risk averse enough so that you could whether bad trades, in order to stick around for winning trades that would eventually come.  But as I thought about it more, I realized that “staying in the game” can also apply to trading in a micro way as the following video illustrates.

(Enlarge when video starts to watch in HD)

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  • Ali

    Brian,

    Thank you for your insight. I have a question that is a bit more elementary: how do you scan the market, identify potential candidates, and select – the few – that are credible trades for the day?

    Also, in direct relation to today’s post. I was wondering if it would have been advisable to not only be looking at the 5, 10 and 15 when going into this trade? I tend to do that to have a firmer grasp of how the market feels – I guess that’s more stylistic than practical. Anyway, your thoughts would be appreciated.

    Cheers,

    Ali