How to create your daily trading routine

In this article you are goin to learn how to create a daily routine. As a trader or long term investor it’s important to be efficient with your time. There are endless opportunities, but you have to remember that you are only one person. You only have 24 hours in a day. Creating the right routine is the secret to success in this game. Watch the video below for our step by step daily routine.  

Watch our step by step daily routine

1.)Check the Economic calendar: Every week important economic reports come out that can help us understand the strength of the economy and all of the different components. 

2.) Check Earnings: There are several reasons to check earnings. One of which is that any plays we might find on our scanner could be companies that are reporting earnings for the day or the week. Also depending on the companies that are reporting earnings, we might find new potential ideas for that day. 

3.) Check Commodity market reports: Commodities offer opportunities at times. I like to look at Crude, Gold, Uranium. Those are the commodities that I trade-in. 

4.) Check indices around the world, fx, rates, and commodity markets: It’s not as important that we closely track international markets, but I do like to have a general understanding of where other countries are relative to where they’ve been in the past. I have international exposure in my equity portfolio, but also it’s just nice to know from a top-down perspective. I look at the FX markets mainly to see if any major swings could allow for an opportunity. I’m really not big on FX but I will step in and make trades every once and a while. That tends to be around big events.

5.) Look to see any options positions expiring: One of the things that I do is put the expiration of my options on my calendar, so I’m never caught off guard by an upcoming expiration in an options position. I’ve had situations where I had positions that were expiring that I just totally forgot about. It seems like a really dumb thing to do which it is but trust me it’s easier to do than you think. Make sure you just check up on your portfolio every day to double-check that you didn’t forget about something.

6.)Check for news or any upcoming material info for all of the positions you are in: I like to keep a list of companies that I’m ultra familiar with and actively monitor all the time. I tend to really watch things for at least three to six months. Usually a lot longer. So these companies that I have on that list I check the news flow every single morning.

7.)Look at the Theta of the portfolio and each position: A lot of my portfolio positions are centered around trying to achieve a certain amount of theta. Theta is time decay in options. Good volatility arbitrage is to find options that are pricing in a lot of volatility when in reality it will actually experience very little. Those options will have a lot of time decay so we can sell them at a nice premium and they decay in value daily. 

8.) Look at the Delta of portfolio and each position: When you are a professional in this game you should be able to take your net views and narrow that down into an actual portfolio delta figure.  Delta tells you your net exposure to a move in the $SPY. So it’s obviously incredibly important to pay attention to and track. Delta values will move like the stock moves. Make sure your portfolio continues to stay on target and make adjustments as needed: 

9.) Look at each position: Monitor the P&L and % gain or loss for each position. 

10.) Exercise schedule: A lot of people notice that I have somewhat of a crazy schedule I sleep a lot less than the average person. I’ve gotten a lot of questions about how I’m able to maintain my energy after all of this activity. I really think that it’s impossible to do without having a healthy balance of exercise. I’m not trying to be a health coach. I know how important it is for all of us to stay in our lane. That said, studies have definitely shown the link between exercise and energy levels. 

11.) Watching tv and movies: Contrary to popular belief I do make time in my life for entertainment. I watch TV and movies just like anybody else. While I do occasionally watch things that have no purpose, I tend to almost only watch things that either motivate me or educate me. So that could be things like documentaries or could just be a show like billions. 

12.) Operating businesses: A big part of my strategy is oriented around freeing up time during my day so I have time to operate my businesses. I’ve always had at least one business as a source of income that I could funnel back into my investment portfolio. If I spend too much time watching the screens that don’t allow enough time for me to run my businesses.

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