Thursday, August 14, 2014

How to Create New Habits to Become a Better Trader

When I want to create a new habit, I take a 30 day challenge in order to ingrain the new action into my daily routine. I pick an action and set a time and place to repeat that action every day for 30 straight days. I call this the 30 day challenge. Why the 30 day challenge?

A simple neurological loop is at the core of every habit. If you want to create change, you must create a new habit loop. Once the habit loop is created, the action you are trying to create becomes ingrained into your daily routine.  You don't even have to think about doing it.

I create the habit loop  by forcing myself to start doing the same thing every day for 30 days.  In the morning, in front of my computer I place a large post it with the time, place and action I must complete. No matter how badly I want to do something else, I do what I have told myself to do.  If I can do this for 30 days, without fail the action becomes so ingrained in me that I feel like something is wrong if I don't do it.

So what is my new action?

One of the most important factors in my market analysis is using underlying breadth indicators to confirm my chart analysis of the market. For years, the first thing I would do within the first 15 minutes of market open is gauge the TICK, watch the number of breakouts and breakdowns and compare my own focus list gains to that of SPY.  Doing this for a few days always gets me "in tune" with the market. Lately however, I've been going straight to my swing trading focus list, my day trading setups and even monitoring what my friends and Trade Report members are doing instead of following the breadth indicators.  Even if I tell myself to ignore the other stuff and follow breadth the night before, in the morning I tend to follow my new pattern.  I am not happy about this and am looking to change this bad habit.

On a post it note I have written the following:

Action: Breadth Analysis
Time: 6:35 am
Place: Family Room

I will do this every day for the next 30 days.  If I get through it, this new action will become an ingrained part of my daily routine, a new habit.

Our actions become our habits - Mahatma Gandhi
We become what we repeatedly do - Sean Covey
The chains of habits are too weak to be felt, until they are to strong to be broken - Samuel Johnson
What new action would you like to turn into a habit?

Wednesday, August 06, 2014

How to find stocks to short in under 2 minutes

I have a gift for all you busy stock traders that want to quickly find high quality short setups. In this short and sweet 2 minute video, I show you how to scan for short setups using the free website finviz. It will literally take you no more than 2 minutes to narrow the universe of stocks from thousands down to a few perfect short setups.

Why am I sharing this video with you? Six years ago I was a part-time trader with a demanding full-time job and a wonderful, yet time consuming family. In order to pursue my passion of trading, fulfill my goal of creating additional income and eventually trade full time, I had to come up with simple hacks to streamline the process of trading and scanning for stocks. After years of tinkering, I can now find quality short setups in less than 2 minutes!

Now that you have watched the video, head on over to and take a free sample of my nightly trade report. It's another "hack" that will save you time and give you the expertise of a successful full-time trader, all in under 10 minutes per day.  Not only do you get the Report, but also real-time trade alerts and daily videos.

Friday, August 01, 2014

How To Trade SPY After Today's Breakdown

In this short five minute video, I analyze what a swing trader must know in order to trade SPY and the stock market in the coming days and weeks.  I also go over a few of my trades and stocks on the focus list.

Thursday, July 31, 2014

How to Analyze a Stock After it Breaks Down on Earnings

Even the best stocks to swing trade have bad reactions to earnings.  Gap downs post-earnings are often profitable trading setups.  In this short 6 minute video I analyze BWLD, Buffalo Wild Wings, post earnings.  You will understand exactly what I look for when a stock breaks down.

If you would like to learn more about how I trade, receive my nightly focus list with market analysis, setups and trade alerts, sign up for a 7 day free trial at  

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Monday, July 14, 2014

This is How I Prepare My Swing Trading Plan for the Week

Spending quiet time outside of the market, uninfluenced by emotion and biases is required for most successful traders. To get ready for the coming week, I spend my weekend analyzing sectors, basic scans (like the 4 percent breakouts), proprietary scans (like bottoming formations with a few unique variables added) and reviewing my watchlist.  The time I spend on the weekend is by far the most important work I do.

That's right.  It's not the time I spend executing trades, nor is it the decision I make in picking a stock.  The real work comes from developing the game plan.  It's during this time that I get a real feel for the market.  There are times when it's tough to even put into words what the "feel" is, but I know it's there.  It is at this point that I write down my game plan for the coming week, which I send out to Trade Report members.

Here is a free view of the Trade Report game plan for the week, which I develop for Trade Report members on the BullsonWallStreet website.  It is exactly what I trade from.  Since starting the Report the results have been fantastic, with a 14 percent gain in two months.

Tuesday, July 01, 2014

Are You Being Lazy Building Your Swing Trade Watchlist?

Building your swing trading watchlist can be a lot of fun, especially in the beginning of it's creation when ou find tons of new stocks.  However, after a while it can become a grind.  You start skimping on your scans and head over to twitter and see what the twiiterati is watching.  Or you forget about your stock sector analysis and figure you can just trade the ETF.

Yes, we've all been there.  After a while your watchlist gets bigger and less manageable.  Pretty soon it's been a year and you wonder why a beaten up stock is still in your breakouts list.  It happens to the best of us.

I combat this by starting a new, totally fresh watchlist every two months.  I've found two months is the point where my watchlist tends to get away from me.  While it may seem starting your watchlist from scratch is a pain, it actually is invigorating and lots of fun taking a fresh look at many of the stocks you were trading.  There also is the added benefit of getting away from trading the same stocks over and over.  Rather than reach for buypoints at the same old stocks, you'll find yourself with better entries in stocks that have better setups.

I challenge you to mark your calendar two months from now as "rebuild stock watchlist" day.  I'm willing to bet that when you are done you will wonder who stole your watchlist.  That is how different it will look!

If you would like to learn more about how I trade, receive my nightly focus list with market analysis, setups and trade alerts, sign up for a 7 day free trial at  

If you like this article, follow me on twitter

Monday, June 30, 2014

What is Your Best Trade of the First Half of 2014?

With 6 months in the books, I would like to know what your best trade was during this amazing first half of the year.  Tell me the stock, your stats, why you entered and exited the trade.  You can leave it in the comments or email me.

The best explanation gets five chart requests annotated by me in July!