Introduction ………………………………………… 5
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Section 1 Trading Mindset …………………………….………. 7
Trading with a winning attitude
Trading is a business
The Big Headed Syndrome
Think in probability and with accuracy
Trade for profits, not for excitement
Section 2 The Bearish Reversal System …………………. 12 Making quick profits from falling stocks
The art of contrary thinking
Going against the crowd
Short listing of reversal stocks
Setting up for the play
Wait for the entry signal
The Put option strategy
Section 3 Bearish Reversal System Case Studies ……… 19 Conditional orders reduces emotional trading Eliminating the fear of missing opportunities Trading using conditional orders
Case Study #1 Phillips-Van Heusen Corp
Case Study #2 Foundation Coal Holdings Inc Case Study #3 Goldcrop Inc
Case Study #4 Agnico-Eagle Mines Limited Case Study #5 McKesson Corporation
Section 4 Be Proficient In Your Trading …………………. 36 Do not listen to the experts
Do not trade the news
Do not tell others about what you trade
Do not predict, any thing can happen
Be neutral when you are trading
Let the charts tell you what to do
Be truthful to yourself
You don’t need to prove that you are right
Section 5 Becoming a Better Trader ……………………… 49 The No.1 deadly options trading trap
Completing your learning curve
Know your risk tolerance
Understanding the markets
Rules to follow in becoming a better trader