I must becoming a better trader because I've heard all of this. It's time to implement it. No more going 100% solo, no more avoiding journaling or oversizing overleveraging and not knowing the % loss on each trade compared to the gain
That's one of the things that pushed me to the next level. Knowing what needs to be done to be successful, and stop being lazy about it. Put in the hard work and see the results.
That's Funny! Tiffany, you're already Tiffany! Lol. Great presentation my Friend! (all good SMB traders are my friend) But seriously, I have learned so Much from SMB and the fine traders/leaders there. I am feeling like I am on the runway to not losing money anymore and on the ramp to taking off thanks to all that I have learned from everyone at SMB. Now I wish I hadn't spent 80K on my education so that I had a large account to take off with. But I am going to be in the 2% of traders, if its the Last thing I do.
Been thinking about how unsexy risk management sounds, but how risk and trade management might literally be my entire edge. I'm not really sure that anybody knows anything or that TA and fundamentals predict anything, but if you play the numbers right you can still trade profitably over time (with exponential gains forever, until you run into liquidity issues). I bet more new traders would take learning about RM more seriously if we rebranded it like... "PROFIT MAXIMIZATION" or something lol.
@@TMacFPV sure, but traders usually just assume I think that EV will be high if their setups are "right". Even if you're focused on EV, the risk management side really has to come from incorporating a perspective. You really need to STARE at simulations of your expectancy (or back/fwd test results) to make the winning and losing streaks a reality. Then on top of that become conscious of how FAST you can see equity curve gains in testing and review, versus how slow it will be in reality waiting for the next 20 setups to play out before you have any even remotely significant evidence.
I am a bit confused, when you talk about daily stop, do you treat profits and losses separately? For example, my daily stop is 1,000, and i made 2000 that day and lost 1000. Technically i am up 1k for the day, but am i stopped out?
Would be nice to have some hard specifics on what daily loss should be in terms of your account. I'm sure it's experience based to an extent, but let's say for a 2nd year trader at the firm who's profitable. What would his daily stop be vs his equity in % terms?
@@smbcapitalthanks! The way im currently operating is I take 1% of my account and divide into 10 R units. If I lose 10R units in a day my account is locked out and I can’t make anymore trades (hard stop via DAS, with auto liquidate). I also have a 5R max loss on an individual ticker that will lock me out of the ticker for the day. I sort of just came up with this on my own
@@smbcapital thanks! im currently operating like this divide 1% of account equity into 10R units If i take 10Rs of Losses, DAS will auto liquidate me and lock the account out for the day I have a 5R individual ticker loss limit, which will also auto liquidate me and lock me out for the day. Sometimes it feels constrictive, but generally speaking, if im losing 10R units in a day or 5 on one stock, im pretty prone to losing much more. so protects me from myself
@@SDM37912% for a day is a lot if u lose 5 days in a row that is 10% loss 😅 good luck coming out of this drawdown 😅 that is why they say after 4% cut rick in half witch makes u lose only 3% for the rest of the week instead 6% and then if u lose another 4% cut the risk by 50% again witch will make it that for the next week your risk for 2% daily will become 0,5% daily risk so the maximum u can lose for your second week is 0,5*5= 2,5 % instead of losing another 10% if u do not change the risk and u are in bad drawdown period
Risk management gives you a plan on how to operate. Great. Pat yourself on the back. But if your tools don't give correct measurements the plans will disintegrate. Si here's my question for all the smart traders out there. What's critical for your stochastics to tell you you are indeed at 40000 feet and not above or below. If you can't answer this simple question don't waste a penny or a min on trading even an ice cream.
Seeing him engage the audience and have a laugh makes it easy to watch. Great presentation
This speaks to me. Risk management is my main focus lately. Thanks.
I must becoming a better trader because I've heard all of this. It's time to implement it. No more going 100% solo, no more avoiding journaling or oversizing overleveraging and not knowing the % loss on each trade compared to the gain
how could you be a better trader if you haven't even implemented it
That's one of the things that pushed me to the next level. Knowing what needs to be done to be successful, and stop being lazy about it.
Put in the hard work and see the results.
Stop being lazy, implement all with work properly
the most valuable video i have come across even from SMB in a while . thanks a ton mate.
Glad it was helpful!
Already from the title I’m getting excited. Thank you so much!
Love Carlton’s Easy money trade classes !! He’s awesome!!
super helpful video. applying for an internship for the summer soon. hope i get it. would kill to learn from your firm in person
This video answered a lot of the R:R questions I had so thank you for sharing SMB! Now to rewatch and take notes 🤓
Glad it was helpful!
Thanks for sharing this , Carlton is the best . I like his easy money trades.
That's Funny! Tiffany, you're already Tiffany! Lol. Great presentation my Friend! (all good SMB traders are my friend) But seriously, I have learned so Much from SMB and the fine traders/leaders there. I am feeling like I am on the runway to not losing money anymore and on the ramp to taking off thanks to all that I have learned from everyone at SMB. Now I wish I hadn't spent 80K on my education so that I had a large account to take off with. But I am going to be in the 2% of traders, if its the Last thing I do.
Excellent class, sir we need more of these videos
Great vid, lots of gems in this one.
It's about time I see this brother! 😊
Cbry is the man
I am a beginner trader am I have found from Kenya and that was impressive,,, thank you
According to my Twitter feed, it's no longer true that 95% of intraday traders fail. Apparently this is now the easiest game in town!
probably the wallstreetbets crowd
Been thinking about how unsexy risk management sounds, but how risk and trade management might literally be my entire edge. I'm not really sure that anybody knows anything or that TA and fundamentals predict anything, but if you play the numbers right you can still trade profitably over time (with exponential gains forever, until you run into liquidity issues). I bet more new traders would take learning about RM more seriously if we rebranded it like... "PROFIT MAXIMIZATION" or something lol.
Maximizing "Expectancy". (win%) x Avg Win Size - (loss%) X Avg Loss Size
i actually had same conclusion when it was clicking for me
@@TMacFPV sure, but traders usually just assume I think that EV will be high if their setups are "right". Even if you're focused on EV, the risk management side really has to come from incorporating a perspective. You really need to STARE at simulations of your expectancy (or back/fwd test results) to make the winning and losing streaks a reality. Then on top of that become conscious of how FAST you can see equity curve gains in testing and review, versus how slow it will be in reality waiting for the next 20 setups to play out before you have any even remotely significant evidence.
Very very good risk management information!
thanks! hope it helped
I'd love to see this for options
Hot topic. Good coverage
Best % percentage for weekly and monthly stop?
At SMB is the Daily Stop also tied to the total account value for the trader? Like 1% of their account value = their Daily Stop?
Bitte schalten Sie die automatische Audioübersetzung ein! Vielen Dank!
Any pointers how much our daily stop should be?
It's widely said that 2% is the responsible max loss
Anyone blown an account? Anyone taken outsized losses? Camera shows audience and not a single person raised their hand? Come on Lol...
Lol
Lol
Liars!!
It's called pride and ego. A great example of why 95% lose.
Everyone in there is lying. lol
I am a bit confused, when you talk about daily stop, do you treat profits and losses separately? For example, my daily stop is 1,000, and i made 2000 that day and lost 1000. Technically i am up 1k for the day, but am i stopped out?
was this video released previously?
no this is the first release. It was from an event we held in NYC in 2024
Would be nice to have some hard specifics on what daily loss should be in terms of your account. I'm sure it's experience based to an extent, but let's say for a 2nd year trader at the firm who's profitable. What would his daily stop be vs his equity in % terms?
good suggestion for a future video, will pass it on
@@smbcapitalthanks! The way im currently operating is I take 1% of my account and divide into 10 R units. If I lose 10R units in a day my account is locked out and I can’t make anymore trades (hard stop via DAS, with auto liquidate). I also have a 5R max loss on an individual ticker that will lock me out of the ticker for the day. I sort of just came up with this on my own
@@smbcapital thanks! im currently operating like this
divide 1% of account equity into 10R units
If i take 10Rs of Losses, DAS will auto liquidate me and lock the account out for the day
I have a 5R individual ticker loss limit, which will also auto liquidate me and lock me out for the day. Sometimes it feels constrictive, but generally speaking, if im losing 10R units in a day or 5 on one stock, im pretty prone to losing much more. so protects me from myself
From what I've studied, most would say 2% max loss
@@SDM37912% for a day is a lot
if u lose 5 days in a row that is 10% loss
😅
good luck coming out of this drawdown 😅
that is why they say after 4% cut rick in half witch makes u lose only 3% for the rest of the week instead 6%
and then if u lose another 4% cut the risk by 50% again witch will make it that for the next week your risk for 2% daily will become 0,5% daily risk
so the maximum u can lose for your second week is 0,5*5= 2,5 %
instead of losing another 10% if u do not change the risk and u are in bad drawdown period
Спасибо за связку. Полезное видео.
When is the next SMB conference?
not sure we will do one this year. We may do smaller happy hour type of events in miami or nyc
Nurlan from Kyrgyzstan🎉
A+ Risk Management Ted Talk! thanks @Carlton & @SMB
(incorporated a few quotes linked to vid timestamp into my re-re-invented DRC)
Hi Mike I do want to be one of your trader I send email twice they said you dont do in house trading is this correct?
TraderVue?
many of our traders use that to help analysis their trading
Not to be confused with Tradingview. Tradervue is different.
Risk management gives you a plan on how to operate. Great. Pat yourself on the back. But if your tools don't give correct measurements the plans will disintegrate. Si here's my question for all the smart traders out there. What's critical for your stochastics to tell you you are indeed at 40000 feet and not above or below. If you can't answer this simple question don't waste a penny or a min on trading even an ice cream.
Blown a ton of accounts on pocket option the manipulation is real that side 😞
all due to addiction!
Risk management allows you to flush your account slowly.
Why are there no women in these videos?
Who cares!
Simma down wokester!
They on only f
Most woman cant get it
theres a woman there relax