There are real life legendary traders. Locals, MMs, and guys who worked deriv's MM sell-side at banks, prop, or buy-side people, quants, etc. You should learn the lingo and the whos who of the industry. IMO, Cboe and Cbot locals are the real legends, as well as guys like Danny Reilly (Mr Topstep) and Marty Schwartz (author of Market Wizards), Tudor, Druckenmiller, Gundlach, or even El-Erian. Great traders know about banking and market making, replication and greeks, vol MM and shit, lol. Generally speaking they have a lot of money, and so they can trade in ways most can't (means more leverage/margin relief). Vol arb, relative value, vega and shit. Markets are fuckin awesome. Great traders know about the exchanges, the interexchange rules and regs, and the licensing rules and regs and their history. In short, they have "professional" level knowledge. If you know where to look, it's not hard to find them, but if you don't have contacts or industry knowledge, you won't know where to look, or how to read up on it in a time efficient manner. There are real pre-reqs for it. Addendum: For specifically 'mindset', Brett Steenbarger is recommended.
The only advantage they have is they have enough money to actually move the market or have inside information. Take those advantages away and institutional traders are basically inept. By the way, I believe Tudor is a practitioner of Elliott wave.
Size, outside of greenmail/activism, is generally a disadvantage. PTJ was into EWI for a short time in the late 90s.You're mental if you think his performance has anything to do with EW.
That’s not a disadvantage lol... It's cause and effect. Drop a big order on a thin float and suddenly you’re spoofing yourself just trying to fill the darn thing. Once you understand Elliott Wave, you can never unsee it. It will influence every decision you make going forward. It's the ability to recognize the structure behind what others see as chaos. @Baron For the record, I'm not jacking this topic into another Elliott wave discussion... It came up organically. .
Yes,Tudor is a waver, but first and foremost he trades with stops. “We” covered him way back when, and he had zero interest in shorting vol, only wanted leveraged instruments to max his directional view.
Have you even read the first Market Wizards book? Direct quote from PTJ in Market Wizards, 1989 "I attribute a lot of my own success to the Elliot Wave approach"
Good traders get into asymmetrical trades, liking risking $1 to make $38. Good traders can sit in a winner riding to a target without chickening out to the noise along the way. ES/MES short near day high on July 3 - risking 3 pts with profit target 116 pts away. a little luck always helps.
Advantages of Institutional Traders: Significant Capital: Institutional traders, such as hedge funds and pension funds, manage vast sums of money, allowing them to execute large-scale trades and potentially influence market prices. Access to Information and Resources: They have access to sophisticated analytical tools, extensive research, and teams of experts, enabling them to make well-informed trading decisions. Advanced Trading Strategies: Institutional traders employ complex strategies, including arbitrage, high-frequency trading, and event-driven trading, often requiring specialized expertise and technology. Deep Liquidity: They can access deep liquidity pools, which can be crucial for executing large orders with minimal market impact. Lower Trading Costs: Institutional traders often negotiate lower trading fees and commissions due to the volume of their trades.