People are starting to show interest in giving me money to trade. I have been saying no so far, because I first want to get a good track record going for myself. But good to know that there is interest out there.
Some research on what is needed to become a prop trader. See Observations.
No market information today. Markets closed.
Observations:
Having a quantitative background is key to get into the prop trading industry. Not all positions ask for it, but having it is a big plus.
Python is key. Not all starter positions ask for it, but we are moving there. Because of this, it is a good idea to sign up for some courses/workshops to improve my programming skills.
Background in Finance helps, but is by no means a deal-maker. I cannot rest on these laurels.
Many summer positions are already open. I am applying to a few of these because I check all the boxes. Just the interview process is a bit demanding.
A lot of emphasis is on screening candidates that have strong "Analytical Skills". This basically comes down to being intelligent and having trained your intelligence profoundly enough. How do they screen for these analytical skills? By doing ‘brain teasers’. They are basically trying to tease out your level of intelligence with these exercises. Sometimes, firms will also ask for online psychometric tests, but the brain teasers at the physical interview is what makes you or breaks you.
Teamwork and strong communication skills are also key. These skills also come across in the interviews. It is a bit self-evident what they mean: "can you get your idea across?"
Winner’s mentality in trading is what allows you to consistently perform, so you better embrace it.
Ability to thrive under pressure might sound like a cliché. It is not, it is incredibly important to succeed in so many aspects of your life. Adopting stoicism as a life philosophy can set up you up amazingly in this regard.
How has the portfolio done today: Continuing Trades (Open Before Today):
TQQQ Covered Call.
100 Shares TQQ @ 121.76 (long)
Daily P&L -$311
100 TQQ JUL24’20 120 CALL @ 5.38 (short)
Daily P&L +$252
LULU AUG14’20 350 CALL @ 6.06 (long)
Daily P&L -$77
UVXY JUL24’20 25.5 CALL (short)
Daily P&L -$5
Opened today:
None
Closed Today:
None
Observations:
Spent a bunch of time today summarizing mental models for decision-making. In total, I have summarized 25, amongst which the most important are ‘Second-order Thinking’, ‘Probabilistic Thinking’, ‘Velocity >> Speed’, ‘Leverage’, ‘Momentum’, ‘Preferential Attachment’, ‘Margin of Safety’, ‘Compounding’, ‘Multiplying by Zero’, ‘Mr. Market’, ‘Seeing the Front’ and ‘Influence of Stress’.
I summarized the mental models to be able to showcase bits and pieces of these during the job interviews.
Prepping for job interviews test. Damn, there is a lot. But I am starting to see the clearing in the forest.
How has the portfolio done today:
Continuing Trades (Open Before Today):
TQQQ Covered Call.
100 Shares TQQ @ 121.76 (long)
Daily P&L +$50
Total P&L -$261
100 TQQ JUL24’20 120 CALL @ 5.38 (short)
Daily P&L +$33
Total P&L +$285
LULU AUG14’20 350 CALL @ 6.06 (long)
Daily P&L -$22
Total P&L -$99
UVXY JUL24’20 25.5 CALL (short)
Daily P&L +$38
Total P&L +$33
Opened today:
None
Closed Today:
None
Observations:
Although I have been doing some progress, specially in the career area, I feel like last week I checked out a bit. I have not been sleeping well and etc. I need to get back on track, and that starts this night with a good night of sleep to start crushing goals tomorrow.
More attention needs to go to OPTIONS TRADING!
Diet, by the way, has such an enormous impact on performance. I am right now at a strict 1600kcal deficit and it is to die for. Happily enough, this ends on Sunday. Just imagine all the energy that will be available to me.
