Brian Lee, a trader based out of California, has had a very unique story in terms of his trading career and how he has found consistency. From being a professional gamer out of high school to finding his love for trading stocks, he has gone through a lot to get to be where he is at today. Though when he started trading he was technically over the PDT, it took him time to find consistency to start truly growing his account to be over the PDT for good. In time, though, he has grown his account quite exponentially and is well over the PDT.
As mentioned, Brian started off as a professional gamer out of high school. He mentioned to us that he would often sit in his house for hours on end playing video games knowing that he wanted to do something with it. The game he and his eventual team trained for was called DOTA 2, and while at the time there was a $1,000,000 prize pool, it was unheard of for American gaming teams to be invited to this tournament. With that being said, the team that he built made a name for themselves being named the eighth best team in the world.
Though they proved many people wrong, they fell short in the tournament and lost to another team. It was after this point that Brian realized he wanted to do something different – he had made it as a professional gamer, but it was time for something that he felt he could do long term. It was at this point in time that he discovered day-trading.
How Did He Get Started?
Brian mentioned to us that he had a lot of rules coming into the game. Though he papertraded for quite some time and did feel like that was time wasted, he had a lot of rules after realizing how much money could be lost. Instead of adding to losers, he would cut them off quick for a small papercut if anything, and let his winners run for a 3:1 r/r. Once he became confident in his trading strategy, which is primarily short-bias at this point, he began to see exponential gains in his account. With these gains, Brian realized that this is something that he could possibly do fully time.
Unfortunately, Brian’s father passed away which put a damper in his trading career. Because of this, he took some time off to be with his family. One of his concerns was that he felt as though he would come back to trading and haven forgotten his rules, but instead, the exact opposite happened. He realized the value of money more than ever now and knew that if he wanted to continue to do this full-time, that he would have to take this extremely seriously to ensure his success. After coming back from this family tragedy, he was back swinging in full force with a lot of momentum and continued to hit it out of the park. This too helped his account to see exponential gains.
Did He Ever Have Drawbacks?
Every trader has a time in which they have some drawbacks, and when Brian began getting to the point where he could use enough size to affect the short-term market, he saw that he was taking losses due to slippage; an issue that he has never had to deal with before. Furthermore, during the run of the weed-sector, he had taken some losses that if they went uncontrolled, could have led to a blown-up account. Brian took a step back and sized down, refining his strategy and adapting to the market to help him get back on track.
After being back with a new set of rules, Brian has continued to grow his account to a place where he is comfortable with the size he is using and having a very systematic strategy – something that he feels is very important to become a professional and successful day trader.
Advice for Newer Day Traders?
Brian mentioned to us, like many other traders we have talked to have, that psychology is everything in day trading. Handling emotions is one of the single best ways to become a successful and consistent trader. To him, this means having a very strong understanding of risk reward, because if you can find a winning strategy and have a very strong risk reward, this will allow you to cut losses right when you need to, and let the winners run enough every time so that your account can grow. To Brian, he mentions that risk reward and understanding how to properly use it for his trading was how he became so successful and recommends that newer traders work to have a better understanding of this.
Brian Lee was a great person to talk to regarding trading and learning the psychological aspect of it. If anything, risk reward and understanding how to systematically trade seem to be one of the most important aspects of how Brian has found success, and it is clear that he recommends this to be the way for new traders to find consistency. Also, Brian also tells new traders that he does not recommend beginning with paper trading as many other due for the simple fact that it does not teach people how to deal with emotions, which again, are among some of the most important aspects of trading.
Overall, Brian wants to let the listeners know to take singles when they are there, and to work on finding a strategy that works for you. If you can master the psychological aspect of trading, consistency will come. We had a great time interviewing Brian and would love to have him again some time in the near future. Thanks for reading!