Whenever we talk about stock market trading discipline, everyone seems to understand that we are referring to trade decisions. We know that good discipline is required to pull the trigger and exit a trade with a loss. It really should not be difficult. After all, we know our position has not been working and is not likely to get better any time soon.
Reading as much as we can about trading always helps us to improve and become better traders. I'm pleased to share some of the best trading articles, podcasts and videos from some of my favorite traders, bloggers and educators. If you came across an interesting article please share it in the comments section.
For most option traders their first encounter with options was probably Covered Calls. Covered Calls are easy to understand, seem to have very little risk and convey the feeling of being more than just a “plain investor”. They are still the most popular option strategy.
The future and markets are unpredictable. When asked on CNBC to make any predictions or forecasts about the future or the markets, the ONLY correct answer is: I DON'T KNOW. Of course nobody has the courage to say those three words on CNBC or other financial media, otherwise they would never be invited back.
"Since the beginning of the financial markets, trading has undergone constant changes. High frequency trading, rigged markets, unexpected news and insider trading makes profitable trading impossible for the regular trader. But is that really true, and is trading becoming harder and harder these days?"
An investor who wants to go long a security can buy that security, or buy a call option. A call option gives you the right to buy the stock at certain price. The big advantage of call options is the fact that it requires much less capital than buying the stock. For example, you will need about $77,000 to buy 100 shares of GOOG).
Reading as much as we can about trading always helps us to improve and become better traders. I'm pleased to share some of the best trading articles, podcasts and videos from some of my favorite traders, bloggers and educators. If you came across an interesting article please share it in the comments section.
It is one thing for a trader to state that he anticipates that the markets will become more volatile and it’s another to create a plan to earn money when that volatility prediction turns out to be correct. For example, the immediate question becomes: What is the source of the profits?
Peter Brandt was named as one of the 30 most influential persons in the world of finance by Barry Ritholtz’ web site, The Big Picture in 2011. And rightfully so. Peter has immense experience in futures and proprietary trading. I have been following Peter for years, and would like to bring some of his gems to SteadyOptions readers.
I must say that I don't like the word guru in general. One of my favorite quotes is "Our world needs less gurus and more teachers. Gurus are about helping themselves become successful-- Teachers are about helping others become successful."-- Joseph C. Kunz Jr.
Question from a reader: What about trading the weeklies (naked puts and calls)? The time span is very short and if you are more conservative, you can skip the weekends and start on Monday and bet on about 4 days. You can still get about 10% return per week with very little risk.
Reading as much as we can about trading always helps us to improve and become better traders. I'm pleased to share some of the best trading articles, podcasts and videos from some of my favorite traders, bloggers and educators. If you came across an interesting article please share it in the comments section.
