The Power of Trading Pods: Elevate Your Trading Game

Unlike many retail traders who operate solo, my entire career was defined by teamwork. From my first day as a trader, I was placed in a team, given a mentor, and surrounded by traders all striving to improve. Without that environment, I don’t believe I would have achieved the success I did.

When I later became the manager of my trading office in Chicago, I made it my mission to optimize the environment for teamwork. We weren’t just individuals making trades—we were a unit, constantly exchanging ideas, strategies, and lessons learned. The result? A small office of just 10-15 traders consistently ranking among the top 10% of a firm with over 100 traders.

Why You Need a Trading Pod

1. Faster Learning and Shared Experience

A common frustration for traders is missing out on great setups. Imagine how much faster you could develop as a trader if you had a few extra sets of eyes on the market? When you work with a team, you’re not just relying on your own insights—you’re leveraging the experience of others to identify opportunities and avoid costly mistakes.

Consider this: If you’re not an expert in biotech or mergers & acquisitions (M&A), wouldn’t it be helpful to have someone in your group who is? A diverse trading pod ensures you cover more ground than you ever could alone.

2. Increased Conviction in Trades

Let me share a quick story from 2024. The market had been selling off aggressively, and I had a strong conviction that we were nearing a bottom in stocks like MSTR, CVNA, and ARKK. I don’t actively trade much these days, but when a home-run opportunity presents itself, I take notice.

That same day, a trader from SMB Capital reached out, asking me to join their Discord channel. It wasn’t a coincidence—he also recognized the same turning point. Together, we confirmed our views and executed one of the best trades of the year.

When two experienced traders align on an idea, conviction soars. Now, imagine a team of four to six traders all independently arriving at the same conclusion. How much more confident would you feel in that setup?

3. Emotional and Psychological Support

Trading is a high-stress profession. Working within a pod not only enhances your performance but also makes the experience more enjoyable. Every year, I attend Traders4aCause in Vegas not just for the education but for the camaraderie. A trading pod brings that same level of community to your daily routine.

Let’s not forget: Even in solo sports like F1 racing and tennis, athletes have entire teams supporting them. So why should trading be any different?

How to Build the Right Trading Pod

You might be thinking, “I’m already successful, why do I need a team?” But the real question is: Could you be making 10, 20, or even 100% more with the right group of traders?

If you’re ready to form a trading pod, here’s where to start:

1. Find the Right People

• Network at trading conferences like Traders4aCause.
• Engage on FinTwit (Twitter/X) and connect with traders who share similar interests.
• Join trading communities where active discussions happen daily.

2. Aim for 4-6 Members

This group size has been extensively researched as the optimal number for exchanging ideas effectively. It prevents freeloading while ensuring diverse perspectives.

3. Diversity is Key

A strong pod includes traders with different styles and strengths. While it’s great to learn from those above you, don’t underestimate the value of mentoring others. At SMB Capital, we’ve implemented a one up, one down mentorship structure—where each trader learns from someone above while mentoring someone below.

Best Practices for Running an Effective Trading Pod

1. Share Daily Report Cards (DRCs)

One of the biggest catalysts for my success was consistently sharing Daily Report Cards (DRCs) with top traders.

A DRC should summarize your day and include:

• Your best and worst trades
• Any missed opportunities
• What you could have done better

The key here is consistency. Whether the day was good or bad, the DRC goes out. This practice alone multiplies your learning opportunities by four to six times when done as a group.

2. Assign Group Tasks

A great trading pod isn’t just about sharing trade ideas—it’s about collaborating on market research. Here are some valuable ways traders can contribute:

• Building a biotech calendar with FDA events
• Tracking upcoming M&A catalysts
• Compiling a morning news summary to streamline pre-market prep
• Sharing trading technology tips (e.g., scripts, hotkeys, backtesting tools)

Less experienced traders can contribute with time-intensive research while seasoned traders provide expertise.

3. Utilize Callouts & Live Discussions

Live communication is critical. Whether through Discord, Zoom, or voice chats, a trading pod thrives when members call out trades and share real-time observations. This accelerates learning and enhances focus, especially for newer traders.

Think about this scenario: A stock is moving aggressively. Who will figure out why faster—a solo trader or a team with one member checking Bloomberg, another scouring Twitter, and another digging through SEC filings?

4. Make It Fun

At the end of the day, trading should be enjoyable. Some of my best memories aren’t just about big trades but the dinners, happy hours, and trips I shared with my trading peers. Find the right people, set clear expectations, and build a pod where everyone benefits.

The Challenge: Step Up and Form Your Trading Pod

I challenge you to use this weekend to start forming your trading pod. Find four to six traders, discuss expectations, and lay the groundwork. If it doesn’t work out? Adjust, refine, and try again.

When I led the Chicago office, we became a well-oiled machine, rarely missing an opportunity. It didn’t happen overnight—it took effort, communication, and teamwork. But in the end, the results spoke for themselves.

If you want to elevate your trading to the next level, stop trading in isolation. Build your pod, embrace teamwork, and watch your trading transform.