Auto is our Motto

What are you doing…

…that’s not on auto?

Next question is, why is it not on auto?

On purpose?

Sure, there’s some stuff that you’d like to reserve for manual. That’s absolutely fine. 

Not on purpose?

Meaning you want it to be on auto, but haven’t done so?

Right. 

Why not?

Meaning, why are you not using that one big benefit of the twenty-first century – to your benefit?

Lazy?

Couldn’t care less?

Too complicated?

In a rut?

Whatever. 

Bottomline is, you’re losing out. 

How?

You’re losing out on…

…time…

…growth…

…evolution…

…prosperity…

…sense of fulfilment…

…sense of purpose…

…and what have you.

You can also start figuring out for yourself how you are losing out on these things amongst other stuff. No spoon-feeding here. 

Automation is the minimal requirement of our times. 

Automation requires transcending an activation barrier. 

This is a one-time input, before the concerned process goes on auto. 

This is also the step which makes many lose interest in going auto. 

Well, from nothing comes nothing. 

You will have to put in that time and energy for the one-time input that pushes the process into auto-mode. 

There is no way around it. 

However, each time you’ve gone auto, you’ll get a huge sense of accomplishment. 

You’ll want to recreate that feeling again and again and again. 

You’ll want to put more and more stuff on auto. 

With so much of auto stuff adding to you from the background, your life will become fuller. More enjoyable. More time to pursue whatever you wish to pursue. More time to be…

…you.

Cheers. 

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What to do in the Age of Shocks?

Wait for a shock.

That’s it.

Then go in… a bit.

Sound simple?

Ain’t.

Why?

Firstly, patience.

Who has patience, today?

Few.

Secondly, psychology.

Shock brings pessimism.

You don’t want to go in, not even a bit.

That is the whole thing.

Punchline. Understand it, and you’ve won already.

Thirdly, funds.

Who has funds, when the shock arrives?

Few.

Why?

Barely anyone knows how to SIT on funds.

I didn’t either.

Self-taught.

Through mistakes and pain.

By putting money on the line… losing it.

Took eleven years.

Now I know.

So don’t tell me that one is only born with the ability to sit.

Don’t waste your funds. Save them. They are your soldiers.

Fourthly, energy reserves.

Who has energy reserves when the shock arrives?

Few.

Why?

We’re too busy doing this doing that, always, forever. We don’t know how to conserve energy and build up reserves. Those who do then use their reserves to carry forward their strategies upon the arrival of a shock.

Fifthly, focus.

The hallmark of a big winner is focus.

Who has focus?

Few.

We’re too busy diversifying. It’s safer. Investing in the wake of shocks requires pinpointed focus.

Sixthly, courage.

Who has courage?

Few.

Why?

We’ve been taught to avoid, and move on. Life’s too full of BS that needs to be avoided. However, coming out during shocks needs courage. Face the enemy, and fight.

Seventhly, and perhaps this should have been on the top of the list, common-sense.

Who has common-sense?

Almost no one.

Why?

We’re too busy being complicated and sophisticated. We want to portray falsehood. We miss the forest for the trees. However, shocks are tackled with common-sense. Simplicity in thinking is paramount. The simplest ideas making the most sense are also the most successful ones.

Eighthly, long-term vision.

Who has vision?

Handful of people.

Why?

We’re too near-sighted. We want instant gratification. However, a shock presents excellent ground to root yourself in for the long-term. Understand this, and you’ll have understood a lot.

I could go on.

That’s quite enough though.

Above are eight points to think about,  to be seen as eight weapons that need sharpening, to come out fighting in the age of shocks.

Be patient, optimistic, fund-heavy, energy-heavy, focused and brave. Use your common-sense. Have long-term vision. BASICS.

Wishing you successful investing, in an age riddled with shocks.

🙂

Core-System Maintenance

First up, one needs to discover one’s core-system.

That’s a big chunk.

We’ve spoken about it. Again and again.

Why?

Meaning, why was it required to speak about this again and again?

We have problems putting our core-system together, that’s why.

Why do we have these problems?

We fail to sort properly. What belongs in? What needs to be kicked out? We’re not able to answer these questions properly.

People, what is working? While this thing is working, are we comfortable? Yes? Lastly, is this thing looking lucrative? Yes? Keep it.

Is something not working? Kick it out.

Look for the next thing that works.

Find three or four things things that work.

Intertwine them into a core-system.

That’s it.

It’s that simple.

Maintain your core-system. Tweak it upon requirement. If something stops working, replace it.

Yeah, even maintenance is that simple.

When will we acknowledge that…

… the best things in life are not complicated or sophisticated, but…

… simple?

Playing Ball

Everyone plays some kind of ball. 

Friendly play. 

Bread and butter play. 

Big play.

Small play.

Whatever. 

We play. 

When we play, we need to make sure…

…that we play. 

Meaning that it’s one thing to play ball, and its a wholly another thing to avoid ball. 

Make yourself play…take a few swings…try to strike…do something…that moves and shakes other things…OR…

…when your leave, you’ll be kinda feeling empty…at not having amounted to much in your sojourn. 

Make a difference. Play hard. If nothing, then just…play. 

How does one do that?

Meaning, how does one put oneself in a situation, that one just has to take a swing, if nothing else?

Hmmmm, that’s an important question, but I’m sure you’ve already realised that.

Took me a long time to find the answer. A long, long time. 

When I did, I was surprised at the simplicity of the solution. 

Don’t do many things. 

Do one or two things, that is. 

In other words, play a coupla games, that’s all. 

That way, the ones you do play will ask you to address them, again and again and again, till you do address them. That’s your play. You’ll have played. 

Too many games?

You don’t get around to addressing most to the extent of obscurity and irrelevance. 

Not worth it. 

Games that are complicated?

Cost energy. 

Activation barrier is large. 

Many times, you don’t overcome this activation barrier. You let things go. Again, to the extent of obscurity and irrelevance. Amounts to nothing. 

Play an A-game. 

Play a B-game. 

I also have a C-game. That’s it. No more. 

I try and address A, B and C everyday. 

A gets the most time. I keep trying to convince myself that B should get more time than C, but sometimes C gets more time than B. You see, C is recreational and pro-bono, whereas B is supposed to yield secondary income. Anyways, I need to show some professionalism and give B more time than C. We’ll see about that. 

You get my point. 

What are your A, B and Cs? 

Define them.

Then play them. 

What’s the Next Step?

Movement is from step to step. 

That’s stable movement. 

During stable movement, one is aware of former step, gap, and latter step. 

Transition is smooth. 

Former step is digested well and moved on from. 

Latter step is taken on with enthusiasm. 

The cycle repeats, so on and so forth. 

Yeah, given above is one question that I ask myself many times a day – What’s the next step?

The next step dawns upon one. 

Mostly, that’s when it’s the correct one. 

It’s coming from depth. 

It’s the Universe speaking.

The Universe tells you the next step, from within you. The Universe is in you. 

Sometimes, you’re not sure. 

Ok, happens. It’s normal. 

Ask, simply. 

Ask the Universe. 

It’ll tell. 

You need to listen to the answer. 

The Universe speaks in many ways. These are subtle ways. You have to be receptive to subtle answers. 

Once you realise what’s the next step, you also feel that – oh, so simple, the answer was staring at me in the face, why didn’t I realise this earlier – or something to that effect. 

The most logical next steps in the world are also the simplest ones. 

We’ve become complicated. We refuse to think simply, till Nature forces us to do so, sometimes causing pain during the cleansing process. 

Think SIMPLE, people. Empty your minds. Let the next step dawn upon you. Let your mind experience that – aha! of course! that’s it! – feeling. 

The most beautiful ideas in the world – are simple ones. 

Options Setup El Cheapo

What are the basic ingredients of a cheap options setup?

We’re not bothered about what the underlying is.

We’re outlining in general. 

A correction / rally needs to have taken place. 

The correction / rally level needs to be significant.

That’ll account for the cheapness of the option.

I suppose it’s obvio, but I’m still saying it nevertheless, that you’re going to be trading in the counter-correction or counter-rally direction, but in tandem with the overall long-term trend.

Then, a slight move needs to have started in your trade direction after this significant correction / rally. 

That could account for correct choice of trade direction. 

We need just one more ingredient.

Can you guess what that is?

Yeah, breathing space. 

Allow the trade time to pan out in your direction. 

Buy an option which has at least 3-4 weeks left till expiry, if not more. 

That’s it. 

It’s as simple as that. 

Lucrative ideas are simple. There is nothing complicated about them. 

Lose your sophistication and / or complicatedness. You’re not going to make it big by being sophisticated or complicated. These two characteristics will negatively affect your trading. Flush them down the drain. 

Be simple. 

Happy trading. 

🙂