The Red Pill or the Blue Pill?

Taking the Redpill

So let’s have some fun folks! “You take the blue pill, the story ends. You wake up in your bed and believe whatever you want to believe. You take the red pill, you stay in Wonderland, and I show you how deep the rabbit hole goes.” I’m sure most people are either familiar with the movie The Matrix or have heard the above quote. It’s an interesting premise I think. Let’s have a discussion and see how we can relate this to trading! To start with, I will just be open about my own personal frame of reference for all



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The Trading Game

trading education

Of all the trading courses I have done in the last few years, this one is different. This course is run by Louise Bedford and Chris Tate, well known and respected traders in Australia. Both Louise and Chris have written several books on Trading. Louise and Chris run a trading mentoring at The Trading Game. They only accept one intake of mentorees every year and run a 24 week course over just over 6 months. It is a very intensive course that mentorees can repeat every year at no additional cost. I had already completed a couple of trading courses



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Podcasts

trading podcasts

I have found some really great free podcasts. I have included the RSS feed links. You can copy the link into many media players and you will get a list of tracks and can play them. (Works well in the free VLC) Free ones: Michael Covel Michael wrote the book ‘Trend Following’ as well as many others has a great free podcast Trend Following. Click the cover below for Amazon   Click link below for The Book Depository Book Depository Link   Michael can be abrasive and blunt at times but I do enjoy his podcast which 50% of the



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Covered Calls

Covered Call

My first introduction into trading was by way of covered calls. Covered calls are an income strategy and typically promise a 2% or so return per month. This strategy involves buying a share (or even a CFD) and selling a call against it. Variations of this strategy include buying an option ITM and selling an option OTM at a higher strike both with the same expiry. Covered calls CAN work quite well in a market that is rising or going sideways but can present problems if a market is declining. In addition to buying stock and selling a call, some



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Trading Plan

get a trading plan to succeed

One of the things that is most indicative of whether or not you will be a successful trader is having a trading plan or not. Having a plan will enable you not trade emotionally but systematically like a machine. A trading plan will answer these questions: How much time do you wish to devote to trading? What returns are you expecting? How much capital do you have to invest? What markets will you trade? How will you deal with a string of (20+) losses? How much will you risk per trade? How will you set your stop-loss orders? What will



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