Today's episode is a glimpse into the world of trading in stocks and options.
As a 7 year veteran of the markets, the information I go over today won't be found any other way.
If you're considering going after the markets, this one's a must listen.
Grab your drink and get ready. This is the caffeinated hustle, the best place to learn about entrepreneurs and FTS and life expert advice and guest interviews to launch your business and NFT journey further than you ever imagined. Now, here's your host, entrepreneur, coffee fanatic, and founder of the NFT project, caffeinated creatures, Ben Carson. Welcome back to the caffeinated hustle. I'm your host, Ben Carson, thanks for stopping by. Today is a good day, because it's just me. I mean, we've had so many unique impressive guests on here lately, I have not had a chance to do this in quite a while it's it's blown my mind how fast this thing is taking off how many people are wanting to get on. And I'm really just grateful for everybody listening and grateful for all the unique guests coming on to excuse me drop some value, drop some information that just you won't get any other way. Really excited that we're not trying to do some sort of teaser podcast, you know, that sells a whole bunch of courses. And it's you know, this is truly just trying to give you genuine alpha, just trying to truly give you a way to enjoy your day to get something out of it to learn something you didn't have access to before. So thanks for stopping by so far, thanks for sticking with us. It's just getting started, we're just going to keep getting better. Today is something that I've been putting off a little bit, but I think it's time, I'm going to talk about the stock market for a little bit. So before Wall Street prints, I was a trader and I was in finance for seven years. I was self taught, I worked with private money, didn't have a finance degree didn't have in the SEC certifications to work one of them. I was an exempted advisor in Kansas, I did have some registration, the what I needed to work in Kansas, you need SEC exemption status so that you can handle up to 25 million for 15 or fewer fewer clients. And that's what I had. I was mentored by a very successful manager. I'll just keep his privacy intact, but he was a nine figure trader. So he had a massive account. And he taught me some things that just I wouldn't know, I would never have learned those without working with someone like him. And the first thing he taught me was about longevity. And it wasn't about you know, any secret to price action or any secret to the markets, it was, you know, do something that allows you to stick around for the long term. And if you don't, you're going to blow up. And I think that's really important because there is no right way to trade. One of the best books I've ever read on the markets is what I learned losing a million dollars. It's a book by a guy that just really probably had a borderline God Complex for a little while. But he was one of the bank Chairman's. I don't want to butcher the story. Basically, he was really successful for a while, and he made a lot of money. And then he got cocky, and he lost all of it. He lost a million dollars. And he was so just distraught. He was so flabbergasted that happened that he studied, he studied why it happened. And he studied other successful traders. And he started finding, the fact is, no two systems are alike. No two traders are alike. If you read that book, you're going to come away realizing that some of the most successful traders on Earth counteract each other. There are phenomenal fundamental investors who thinks technical analysis is a total crapshoot. And anyone that's looking at charts to figure out how to trade minds will be looking and studying the moon. And it's a total joke. There are some phenomenal technical traders who think fundamental of investing is dead, because the fact that it doesn't work anymore, you can't base I mean, look at the last few years, the Fed has printed so much money fundamentals don't matter. That much money in the system, the stocks could only go one direction, when COVID hit, there were no abilities to gauge any sort of future guidance for future earnings, anything like that everything was shut down. Fundamentals didn't matter there either. It was just trade momentum down and then up. It's just, I'm a technical trader. So I'm always gonna, you know, go to that camp. But the bottom line is, is everyone counteracts each other. You have to have your edge and you have to do it when it works for you. But what I've found when I was doing trading, what I know now is, you know, at the end of the day, trading is a very personal thing. And it's very difficult because even though it's personal, a lot of people try and sell themselves they try and sell course they try and sell trade calling as a service. And so they put these things on display, and it makes you feel like you're not measuring up when in reality, it's very difficult to actually know their real situation. For a quick example I know, when I was doing it, there was a trader that would charge $150 a month for a service that did trade calling, this trader could make $20,000 in a day. And that sounds amazing. But when you really do the math, and you think about it, they're charging $150 a month for service. And they have hundreds of subscribers to the point that we're putting in 50 to $60,000 a month, with our trade calling service. And so if you pull in 20,000, a day, on a really good day, one day a month, and then you lose a bunch of other days, and you average out where your trainings, making a net profit, or even a net loss doesn't matter. It's just a marketing expense. Your income is coming from all these people subscribing to your service. And so you can't look at most traders and try and get any sort of real gauge of what they did what they do. Because you don't know if they're trading to trade if you don't know if they're trading for their company that they're trying to promote. And this is how they do it. It's just a giant facade. And so, trading is personal. That's what I have to tell you straight off the bat, there is no way to focus on someone else's results. It doesn't help you, it doesn't do anything for you, if you're working for a bank, your results matter for your bonus stuff like that. If you're trading for yourself, trying to make your own income, trying to make a bonus, trying to make some extra income, whatever you're trying to do here, ignore everything else, it doesn't matter. If you look at things like Wall Street bets, that is a really good example of what happens when a whole bunch of money hits the system. Everybody wants to get rich, and no one understands what they're doing. The risk of ruin and trading is supposed to be small, you should take a loss and still just be fine. When you look at Wall Street bets, people are losing everything they have in one trade and three trades in 10. trades as because they're risking too much money. If you take $100,000 and each trade you put up $25,000. And if you lose how many times you have to lose for you're broke? How many times can you do that in a row before a string of bad luck happens. Most successful traders in the end are trying to be better than 5050. And they're trying to make at least two to one when they win. And they're trying not to lose more than about 1% with the wrong 2% on the wrong tops. That's a system. That's literally it. This is not financial advice, there is no way I can tell you exactly what to do for yourself. But I'm telling you point blank, that if you have a system that can make you two to one meaning you bet $1,000. And when it works, you make $2,000. And you're right at least half the time, over 100 trades, you come out on top. So that's simple. And if you're doing anything crazy, anything sex, anything trying to be different, more than more likely than not, you'll be broke within 100 trades. And that's the bottom line is that most people go broke in this business. And it's not because of anything crazy. It's because they don't understand what they're doing. They're following people that are doing it for the wrong reasons. And so they're trying to copy those results, they'll never get them, or they have no concept of what they're really doing. So I really enjoyed trading for a long time, I stopped enjoying it. And what I'm doing now, to truly understand is my calling now, it's it's hard just to do something for money, if I'm being honest, it really makes you feel just it connects you too much to the money if you eat what you kill, if all you do is based off of money, it can be really good when it works make me really bad when it fails. Now, there's plenty people online on YouTube that show that but guess what they are doing it for different purposes. They're doing it for their social, they're doing it for their courses they're doing for the marketing, true traders aren't out there promoting things like that, because the true traders are just doing it. But that means there's no upside to winning other than just the win. And the downside can hurt you so much more. So you have to keep yourself in check. mental fortitude is a must for any successful trader for any serious trader. And when looking to get into it. Whatever your demons are in life will come out in trading. One of my biggest demons was always wanting to look busy. And so when I started trading full time, I came from a nine to five before that, and one of my biggest things early on was was overtraining simply because I wasn't working like I used to work. And so I literally would take trades that had I had no business taking, just because I didn't want to sit there idle and do nothing and doing nothing and trading is not a bad thing. If your system tells you don't do anything then that's what you do. So trading is very personal to a lot of people. It's something that most people fail at the barrier to entry is extremely low. It is very easy. You open up a trading account, fund it with little or no money in your life. Whether you do crypto Forex stocks options, just doesn't matter. The barrier to entry is low. There is excuse me, there are some very unique things you can do to succeed. I am probably going to be making a call For the caffeinated creatures, for the day one value, everyone that buys a NF T on day one will have access to a whole lot of content where most projects don't do this we are, and one of them is going to be a trading course. And it's not going to be a trade calling service, it's not going to be anything that gives you actual financial advice on what to do in this moment. But it's time that people understand the basics. I mentored someone recently on trading. And I never gave them a single trade recommendation, I simply showed them the basics of how to read a chart because the chart is just a result of price action, price action is because buying and selling is happening, that buying and selling is coming from people. Computers are executing most of this stuff now. But it's still comes from someone, it comes from a fund. Having money that goes into the system, it comes from a trader trying to read the charts trying to read the support and resistance and go against it. And there's so many nuances that I've learned over the seven years that I'm really excited to make this course it's just gonna be a basic course, it's not going to be anything crazy, but I can promise you, there's things that you won't learn on YouTube, you won't learn somewhere else, because I did it, I was mentored by someone that did it 1000 times better than I could ever do it. And it's just going to be a really unique perspective. But I'm doing it because I want to add value to my community on day one to this project. And I really did enjoy when I mentored the person I did last because you know, it's something that I'll always look at, I'll always know the charts always enjoyed a little bit, but you have to understand where you're at in life, you have to understand what you're doing. And um, so my good days, you know, $5,000 with a thing on so my bad days, you know, whiskey, three o'clock was a thing, trading is a very difficult thing to do well, if all you do is trading. So I love people that have a full time thing, something else and they like to trade on the side, I think they have a far better likelihood of success. If I'm being honest, someone that's trading full time and doing nothing else. If you hit a rut, you can hit a rut like you've never hit in your life, someone that's doing something else that wants to do a little side, income side piece, I think we're someone that really understands trading is not something you want to do all day every day, and you do it occasionally, I think you can do quite well at it. It's a very unique business. It's not like most things, but most things. You know, I'll tell you right now, the biggest reason I burned out in trading was this, when you are just dealing with money everyday all day. And it's just money for yourself or for a few other people. You're not adding any value to anyone else's day. And if you don't build value, if you don't have anything to offer that helps society, it gets really difficult to keep going. What I'm doing now is exceptionally easy for me to do. I'm adding value to so many people's day. I'm building teams, I'm very excitable I'm doing there's plenty of ways to make a living out there. But it's not just about the money. When you're doing trading, and it's just about the money. And it's just about a few people's money, it gets really difficult to try and find the value of it. And there's always a way you can do it. But just for me personally, I just sometimes you just get burned out. And that's just where I got and when I tried something else I immediately knew I just done it too long because Wall Street prints was still about the money. But it was artwork that helped other traders feel better about themselves feel more encouraged, and it immediately hit me. And so for me personally, it was just an easy decision. I'd done it long enough. I didn't have to give up for any bad reason. I just there's a point where it's okay to just say I want to do something else. But I've got a lot of experience here I've got a lot of knowledge. I've been around the wringer. I've blown up accounts, I've crushed some things, I know what I'm doing well enough that I know the the training I offer will help. And so if you're interested in it, it's just gonna be one more reason to check out caffeinated creatures pretty excited for that. But even if you don't want to just what I've told you today should add some very unique perspectives on it and value to your day because I want you to look at trading differently. It is not some glamorous thing that is easy to do. It is one of the easiest things to fail at the barrier to entry is extremely low. It is so easy to do this, which means it's so hard to succeed at it. And the ones that do succeed, you have to really understand what you're doing. And you have to make sure you're doing other things in life so it's not just about money when it just becomes about money. You will never find happiness. So little different episode. Little ups, little downs. That's okay. I hope you're really enjoying the caffeinated hustle I've been having a blast doing it so many cool guests have already been on so many cool guests are signed up to keep going. And this is gonna be something we're just gonna keep growing you know, we might have start moving it up to three episodes a week. Just you know, the people just keep showing up and the value that we just get to keep giving to you guys girls is just guys and gals. It's just awesome. So having a blast, hope you're having a blast following along and I will talk to you soon. Thanks for listening to The caffeinated hustle is sponsored by caffeinated labs LLC. For more information for to connect with Ben, check us out online at caffeinated labs.io. Or email us at support at caffeinated labs.io. Be sure to subscribe so you never miss an episode, or give us a follow on social media by checking the links in the description. We'll see you next time.