Index

TraderSpeak

Volume 1, v1.1

           

 

Volume 1 cd one

 

 

 

1.     Adrian Burridge   23 mins

File: BURRIDGE1.mp3

Private Futures TRADER:    UK

Born:   1948     Years in the Market:     6

Method of Trading:     Technical, System

 

It was obvious from early on that Adrian was different. With his incredible ability to observe and apply mathematical logic to the market, Adrian is a rare animal. He makes up his own systems. However, like many creative people, he has had to grapple with discipline in the market and he has devised a series of rules and practices that should be useful to any trader getting off first base in order to cope with the reality of dealing in markets.

 

 

2.      Valery Ann Moore   1h

Files: VALMOORE1.MP3 & VALMOORE2.MP3

Private futures TRADER & Spredbetter: UK

Born: early 1950's   Years in the Market:      6

Method of Trading:      Technical, System & Discretionary

 

Val trained at the same time as Adrian. She has the amazing and rare gift of being able to blend a system with her own discretionary approach, making her a successful private trader. She has put her finger right on the money (excuse the pun!) when it comes to men and trading - at least some men. Well worth a listen!

 

 

 

3.      Alex Benjamin   1 ½ hr

Files: ALEX1.mp3 & ALEX2.mp3

Born:  1954   Years in the Market:   28

Private/Floor/Institutional & Bank TRADER: BROKER: Alex Benjamin: UK, FRANCE

Method of Trading:      Various

 

 

 

Alex’s ambition to be a stockbroker began at the tender age of five. In the markets since the mid 70's, it is clear that this man has a great level of experience, ability and aptitude under his belt. Alex works in one of Europe's largest brokerages and is a key dealer. As the interview progresses you will experience the consummate professional at work while he breaks off the conversation to issue orders and strategies on markets to other traders who are executing them on his behalf - and in more than one language. Listening to Alex juggle this while conducting a fascinating interview on different aspects of trading makes one appreciate the level of skill that he brings to the table.

      

 

4.      Chris Antonio   2 ¼ hr

Files: ANTONIO1.mp3, ANTONIO2.mp3 & ANTONIO3.mp3

Floor TRADER, Private TRADER, BROKER: USA

Born 1959           Years in the Market: 19

Method of Trading:      Technical

Main Instruments:      Equities, Options, Futures

 

 

At college, Chris became interested in the markets and started on the Pacific Stock Exchange San Francisco floor. Chris always "looks for inefficiencies".  In his seven years on the PSE floor Chris went from order entry clerk to Market Maker, and he describes the mechanics of order processing and how orders were handled and routed on this floor, where voices once rang out in open outcry. The Pacific Stock Exchange has since closed its doors. Chris describes the PSE floor during the 1987 crash, and how he and others reacted. How "quiete" the floor became and how by Tuesday morning the stock exchanges in the worlds largest economy had effectively crashed to a halt and how, at last, "bids" began to appear again on the tape as the markets were jump-started back into action.

 

 

Learn how the mechanics of market making worked on the PSE. He described how the market worked then and how it works now. In 1996, Chris set up his own broker dealer, even though he mainly trades for himself. He describes how he combines techniques with the use of intuition to decide which technical tools to use. He relates some of the tricks and techniques used.

 

Chris describes how he tailors his trading and options strategies to different market conditions.  Chris is a "buddy trader". He trades with a small group of associate traders and prefers this to sitting alone and trading.

 

"Everything is always evolving and is oozing toward greater and greater efficiency. So a lot of the inefficiencies and ways we played in the market years ago simply don't exist anymore"

 

"I rely (now) mostly on chart formations and just price and volume primarily with an oscillator here or there ...  "

 

"Over time the tools become dull and they stop working very well ... Even back in my floor days I could see a lot of the old timers becoming grumpier and grumpier because their old edges were disappearing."

 

Extract from the internet:

 

It's the Final Bell for the Pacific Exchange

 

Pacific Stock Exchange‑Los Angeles

05/25/01‑ The once‑bustling trading floor, which began as the Los Angeles Oil Exchange, officially closed its Beaudry Avenue location west of downtown at 1:30 p.m.

 

A group of people counted down as the final moments came.

"The sentimental side of me is very sorry to see the floor go away," Dale Carlson, a spokesperson who has been at the exchange for 14 years, told a local newspaper.

 

"But there's little value in sentiment in this industry in this age. Most, if not all, stock‑trading floors are going to disappear."

 

In the early 20th century, there were more than two dozen U.S. stock exchanges. Today ‑‑ in an era when trading in cyberspace is making bricks‑and‑ mortar stock exchanges less and less relevant ‑‑ there are seven.

 

 

 

 

 

 

5.      Melissa Arden   49 mins

Files: ARDEN1.mp3

Floor /Institutional TRADER, BROKER, Exchange Rep:  AUSTRALIA

Born:      1964     Years in the Market:      19

Method of Trading:      Technical

Main Instruments:      Futures, Stocks, Options

 

 

Melissa was born in Cheshire in Northern England but moved to Australia at a young age. At 20 years old she started work in Sydney for Bain and Company, a prominent Australian stockbroker. After joining the options team at Jardine Fleming and starting to trade successfully for her own personal account, she became an options market maker on the options floor of the Australian Stock Exchange. Melissa speaks clearly and wisely about the psychology and approach necessary to be successful in trading, and how to deter success from going to the head. She also speaks about the transformation to electronic markets in Australia, as well as options strategies and the workings of an options market maker, including her "get on with it" approach to life in general and the challenge of dealing in a male dominated environment.

 

On the options floor she was one of three "girls" amongst 150 men. She believes being a woman in the male dealing environment is an advantage. Melissa's pro positive approach to life serves as an inspiration to us all. Many pearls of wisdom are revealed throughout the length of this fascinating 48-minute interview. After doing options, she worked on the Sydney Futures Exchange for UBS. And now she actually works for the Aussie Stock Exchange itself. Interesting and informative listening.

 

 

 

6.   Mike Battle      1 ¾ hr

Files: BATTLE1.mp3, BATTLE2.mp3, BATTLE3.mp3

Floor/ Upstairs BROKER, Private /Pro /Floor TRADER UK

Born:   1965               Years in the Market:      22

Method of Trading:      Technical

Main Instruments:      Futures, Stocks, Options

 

 

 

Mike Battle was dubbed by a fellow in the market as "Britains Best Trader". 

 

He made a calculated decision to get into the City and decided not to return to school to take his "A" levels. As a result he witnessed the end of the London Stock Exchange floor and, at a young age, was thrust in as a market maker with a book worth millions. Promotion came quickly for Mike as London moved from floor to electronic market in one of the biggest market changeovers in history. Mike tells the story of his career in the City as only a true- blood like Mike Battle can.

 

The second half of the interview deals with practical trading advice as well as clear insights into the techniques that put Mike into the 'supertrader' league including details of his multilayered money management strategy.

 

 

Hearing Battle speak about trading is truly to hear the mind of the consummate, driven professional at work. Low ego. On the job. No messing about. Battle does Battle in the market. Take no prisoners. Well done Mike.

 

 

7.      George White (name changed)   14 mins

Files: WHITE1.mp3

Private TRADER:  UK

Born:   1947            Years in the Market:      5

Method of Trading:      Technical

Main Instruments:      Futures

 

 

White has kept "very much to simplicity". He trades a handful of stock index futures and gives a sobering view of the industry and of trading. George describes how "people are given the wrong impression or the wrong information right from the very very start".

 

George has clearly spent some time at the school of hard knocks and has a cautious, if not a pessimistic, view of trading - which is not uncommon in our time given the amount of mediocre, or worse, advice, training and software doing the rounds at ridiculous pricing.

            

 

8.      Peter Steidlmayer   1h 8mins

Files: STEIDLMAYER1.mp3

Floor  TRADER:  USA

Born:   1930's    Years in the Market: 40+

Method of Trading: Technical - Something & somewhere new

Main Instruments:      Commodity Futures

"Opportunity is evolving to a different model"

 

With over forty years of floor trading behind him and, without doubt, one of the great influences on the way we think about markets today, Peter Steidlmayer scopes out the state he thinks markets are evolving towards and how to trade this.

 

 

 

9.      Tony Stein (name changed) 46 mins 

Files: UX1.mp3

Private TRADER:  UK

Born:    1952   

Years in the Market:      18

Method of Trading:      Technical

Main Instruments:      Futures, Spreadbetting on Equities

 

Although he gets off to a slow start, Tony soon warms up to describe how he trades equities using spreadbetting and what he calls the classic "cut and handle" pattern.

 

 

 

 

 

 

10.      Gerald  Celaya 1 ¼ h

File: CELAYA1.mp3

Professional ANALYST, Institutional/Private TRADER: USA. UK

Born:      1964

Years in the Market:      18

Method of Trading:       Technical

Main Instruments:      Bonds, Forex, Futures and Stocks

 

 

What's it like to have thousands of technical traders in banks hang on your words every day? Ask Gerry! Then, after years of being on the line, you are assigned real millions and a proprietary trading group of your own by a major American bank. In other words:  "do it yourself now! ".

 

lastly, ending up with your own research house, writing for major banks and brokers and  just plain ol' trading for your own account. Gerry's seen it all, been there and done a good deal of it - from senior analyst at MMS (Money Market Services) to American Express Bank, and Chase, as well as meeting clients in countless banks on different continents. Celaya is every bit the well rounded professional while retaining his effervescent modesty and sense of humor.

 

 

11.      Claire Holden (name changed)   22 mins

Files: CLAIRE1.mp3

Private TRADER:  UK

Born: 1965   

Years in the Market:      5

Method of Trading:      Technical

Main Instruments:      Futures

 

Having lost existing careers through back injury, Claire and her friend jointly decided to take up trading. They trade together intraday, mainly on the DAX but also on the S&P futures, via electronic platforms like PATS, spreadbetting companies and via the telephone.

 

Claire describes how they went from "the adrenalin rush" and "fear factor" of early trading to the development of something better.

 

 

 

12.      Erland Goar             34 mins

Files: ERLAND1.mp3

Private TRADER:  UK

Born: 1964           Years in the Market:  5

Mthod of Trading:      Technical

Main Instruments:      Futures

 

 

      

Erland Goar, from Edinburgh, worked for many years in the back offices of funds and investment houses in Edinburgh, Scotland. After attending a technical analysis course in London, he began his own trading career, which took him from wannabee trader to full time day trader and finally to part time end of day trader.

 

He describes how this works in his favor in spreadbetting with Deal4Free which is his favored way of trading.

 

Goar cut his teeth trading at home from August 2001 onwards, which took him through coping with the aftermath of September 11th 2001 in the financial markets. He describes how he adapted his trading from just "going in" to waiting for "setups" - in other words he has turned into the stalker and hunter ­ waiting for the markets to hit a certain price and "setup" before "going in".

 

 

Erland uses a host of free internet sites now for trading rather than paying for access. He describes how trading is now a profitable "hobby" and an "interesting pastime", which is enjoyable rather than being any longer a thrill.

 

 

He is a living example of someone who has modestly found his place in the trading world - perhaps something more of us should strive for.

 

 

 

 

 

13.      Keith D             20 mins

Files: KEITHD1.mp3

Private TRADER:  UK

Born:   1943             Years in the Market:      3

Method of Trading:      Speculative

Main Instruments:      UK Index & Stock Options       

 

Classic and somewhat sad story of failure in the markets, where individuals may speculate their own and then the money of others on the gamble to make money. Keith describes his fascinating trip through the London options markets in the late 1980's as he traded his money away and eventually stopped trading.

 

Listen to this story and take note.

 

 

 

 

 

 

14.      Mark Codd   21 mins

Files: MCODD1.mp3

Spec/Floor/Arcade TRADER:  UK

Born:   1975             Years in the Market:      10

Method of Trading:      Speculative

Main Instruments:      Futures

 

Witness to the end of floor trading on LIFFE and the rise of what are known as the "arcades". These are places around the world where (sometimes) hundreds of traders sit and trade the futures markets together, renting desks with all the toys - at premium rates.

 

Mark describes the days and atmosphere down on the late LIFFE floor as well as the potential profits and training offered at an "arcade", where potential traders are turned into active traders after six months of rigorous training, including time on a simulator.

 

Codd shows a world where private meets professional and fuses individuals into money-making machines.

 

 

 

15.      Sean Downey      4h

Files: SHAUN1.mp3, SHAUN2.mp3, SHAUN3.mp3, SHAUN4.mp3, SHAUN5.mp3, SHAUN6.mp3

Private TRADER: Commodity BROKER, Analyst, Money Management -  UK & AUSTRALIA

Born:   1964  Years in the Market:      15

Method of Trading:      Technical and Fundamental

Main Instruments:      Futures, Options, Equities

 

 

" You don't tell the chart: the chart tells you"

 

 

Sean talks over four fascinating hours.

 

The following sections are broken into six files that make up his four hours and give an indication as to what is on each file:

 

 

SHAUN1.mp3

 

His first year in the markets was spent in the back office at Rudolf Wolff, perhaps the best known commodity firm in Britain at the time. From there he moves on to broking and trading coffee and sugar, as well as "prop trading" (proprietary trading). 

 

"One of the reasons I got put in the dealing room so early was because I could handle my drink … A lot of business was done down the pub …"

 

"Their idea was to lose money for tax reasons … (however) I couldn't  seem to lose; whatever I did"

 

"They didn't teach you anything. You sank or swam very quickly"

 

Sean describes what it took to survive in a dealing room. What helped to eradicate the divide between the "upper classes" and the "east end" and what it takes now to get into markets.

 

"Hedge funds definitely seem to remain the old school tie…"

 

Sean saw a story relating to the shortage of cotton due to floods on the Yangtze River in China. This caused him to get long of soyabeans before the Chinese even began to buy to fill their shortage. Hear the full and fascinating story of how Sean made over 20x his money in beans in 2003.

 

"There are lots of connections to do with different markets and its important to try and connect those markets together and be ahead of it ...."

 

Hear this amazing commodity trader at play.

 

"What should have gone up, didn't go up and it must go down. I know it sounds silly!  Major tops and bottoms are invariably made on those sorts of stories."

 

Sean describes a break on the cotton market. The why's, what to watch out for and what to do and what not to do.

 

Sean describes his options strategy. He holds seminars on options strategies and is a former options market maker ...

 

On options:

 

"I never ever sell naked on options - ever .... I trade those one week to two day (to expiry) options nearly every week but I use technical analysis ... I would thoroughly recommend it. There is nothing worse than trying to cover a short options position that's gone wrong."

                         

Various interesting options strategies are described, including combining options and futures trades together to maximize income.

 

Mental agility and the importance thereof is described by Sean. For his mind, fast moving markets are a necessary target. Otherwise it's "boring".

 

"I actually purposely go to the markets that are the most volatile ... I tend to move to where the volatility is ..."

 

On money:

 

"I learned that money is not a passport to happiness necessarily...that there are much more important things ..."

 

SHAUN2.mp3

 

"Nearly all the methodologies  I use are my own. I don't do technical anaysis from a book. Its all my own theories, my own custom studies, my own patterns ..."

 

Sean describes that he found someone in his own firm (head of the Short Sterling desk) who was so consistently wrong that Sean would consistently make money from taking the other side of that person's trades.

 

The Internet and the Commodity Trader

 

Sean uses some of the stranger more professional sites on the net to analyze possible acreage yields on soybeans.

 

 

"Certainly China is a huge example of where they will not tell you anything till they've covered themselves."

 

"The powers that be don't want you to know that information."

 

            

SHAUN3.mp3

 

*       Long term future of the US$ and the rise of the Euro.

       "China is the driver of the world now."

*       Interesting theory on the 1987 stock market crash.

*       "Kodak is terminal .... Its difficult to see them turning round."

*     "I'm a big fan of fair value ..."

 

 

SHAUN4.mp3

 

After his stint as a private detective, despatch riding and setting up a specialist travel agency, Downey ended up working at Reuters on the Globex project - one of the worlds first electronic order routing systems. He then worked in a specialist role on Schwartzatron (the Reuters options product), Reuters Technical Analyst as well as the new versions of Reuters Terminal and Excel programming. He talks about his time at Reuters and the company culture, and how "they were too slow in the late nineties".

 

Could Reuters be the Kodak of the datafeed world ?   After leaving Reuters he joined CQG (Commodity Quote Graphics Inc) in 1991. He describes himself in a "pseudo sales support" role, helping to promote Market Profile to the CQG customer base.

 

He describes how "A lot of the analysts are stuck with the old clichés and ... the real technical analysts tend to be ... in some of the smaller places where they are given the opportunity to be more specialist and really sit down and go through it ..."

 

The Role of the Computer

 

Downey describes how he couldn't possibly do his job and trade as many markets without the central role of the computer. He describes how the computer is comprehensively employed. How he trades (what is prioritized) and how he does not "finesse" his orders. Sean can have up to 100 separate and concurrent positions running at one time.

 

 

 

 

 

 

Time Frame and Risk

 

 

*       Linking time frame to your risk profile.  Fixing Volume & Risk.

 

*       Taking emotional attachment out of the trading decision.

 

*     How a day trade can become a "strategic trade". Dollar / Yen example of how an intraday signal developed into a weekly.

 

" You don't tell the chart: the chart tells you"

 

 

What do people "in the know", know early?

 

From recent electrical blackouts to the Budesbank, Sean highlights how "there's always a leak".  Often there are clues in the charts! 

 

The role of VOLUME.  Sean gives multiple examples. Several intriguing uses of volume information are highlighted.

 

How does Sean place orders and why he DOES NOT use electronic order routing!

 

 

 

"I will freely give away my methods"

He describes his personal analytical market methods, which lead to his trading.

 

His views on why "Fibonacci doesn't work anymore". Which markets still work.

 

Which indicators he uses.

 

Details on this file include the importance of long-term intraday data. Examples given.

 

 

 

SHAUN5.mp3