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TSME #029: Stock Trading with Discipline

TSME #029: Stock Trading with Discipline

Released Wednesday, 24th February 2016
Good episode? Give it some love!
TSME #029: Stock Trading with Discipline

TSME #029: Stock Trading with Discipline

TSME #029: Stock Trading with Discipline

TSME #029: Stock Trading with Discipline

Wednesday, 24th February 2016
Good episode? Give it some love!
Rate Episode

Ka Pang is probably one of Tyrone Jackson’s most curious students. He is a successful graphic designer turned stock market trader.

Born in Hong Kong, Ka came to the United States when he was ten years old. His parents were in the restaurant business and didn’t know much about the stock market. Ka enjoyed working and started to save money. Eventually he graduated to the thought: what do you with that money, other than spend it?

When it came to the stock market, Ka lacked a good system; everything was trial and error at first. When he joined The Wealthy Investor Program he learned a disciplined system, which he says simplified and slowed down the game for him. That discipline consists of how you allocate your portfolio, how many options to purchase, knowing to always going back to the covered call, and having x number of strategies to employ when the stock market changes. Even just learning to always choose a stock that is in an upward trend, has 4 quarters of top line revenue growth, and pays a dividend changed the game for Ka.

When Ka entered Tyrone’s Wealthy Investor Program there was a period of just trying to understand everything, almost like learning a new language. He took it one step at a time. Once he understood all the trades and tools in his arsenal, the ah-ha moment was realizing that there is a time and place for each strategy. Once you learn it you want to run out and do it, but the key is learning timing and how to react to the market.

Ka has made it all the way through to Tyrone’s Mentor Program, the most advanced level. A lot of people who like to trade options choose to trade shorter-dated options. However, Tyrone teaches his students to trade the longer-dated options, called the Long-term Equity Anticipation Securities, or LEAPS. Ka likes the leverage of these trades, that they are cheaper to get into, and that you can make a lot of money for a small movement in the stock price. You also never know what the market is going to do, so by having a longer-dated trade you have more options as to what you can do in response to the market.

Ka’s number one rule is to not lose the money he already has, which makes him a more conservative trader. He will never abandon covered calls because he equates them to owning rental property - it’s like renting out the stock you already own for guaranteed income. Its easy money that he can then use as leverage to purchase LEAPS, which is his favorite trade in a bull market.

As long as Ka is bringing in the money to cover his expenses, he can basically consider himself ready to retire. He can picture making up to $15,000 per month just from trading within the next three years.

Ka’s advice to beginners is that there’s a certain level of risk, but if you don’t start somewhere, get a mentor, and get the education that you need to at least get exposed to it; you’re never going to go anywhere. People are always complaining about their life but they don’t want change, which is counterintuitive. It’s all in the art of the start.

So master that art and get started right now at TheWealthyInvestor.net! If you are ready to follow monthly trades and get in the game, check out WITradeSchool.com.

 

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