lystn

Hey everyone, Kirk here again and welcome back to the daily call. On today’s call, we’re going to talk about what I’ll do different in the next bull market. First of all, I just got back from a three day event, the mastermind group that I’m part of. Many of you maybe have heard me talk about it before or if you haven’t, maybe this is the first time. But I’m part of a mastermind group that’s been going about two and a half years now which has been really, really good. I pretty much cut back on all masterminds and coaching except for this one group which was a huge change for me because it was an insanely expensive one to get in and to maintain the relationship. But it's been a really good thing for me just personally, like businesswise, development wise, running this business, being an investor, being a trader. It’s been great. I met great people. The lesson for today is also that I wouldn’t shy away from paying a lot of money to be part of the right mastermind group. If you’re a part of those or the right membership or whatever you want to do, but be part of something that gets you in the room with like-minded people or get you in the arena with like-minded people which I think is really important. Today, talking about what I’ll do different in the next bull market, I think for me, the next bull market… What I mean by this is I think that what I’ve done a bad job in this bull market is not playing the trend more. I think I’ve done a really good job in all honesty, recognizing that when we’re in an uptrend to not continue to think that the market top is there. What I used to do way back when and this is probably five or six years ago now, is that when we’d have a move up in the markets, I’d say, “Okay, this is it.” I’d have a lot of bearish positions that I put on. I’ve been pretty good about doing that the last five or six years in that I don't put on a lot of bearish positions when the market rallies. I put on more bullish positions. I just continue to stay neutral and that served me very well. But where I think I’ve missed out is I’ve definitely had more of a neutral stance in my portfolio on a consistent basis and that’s resulted in at times, me being a little bit directionally bearish just because of where the market moves and where the center of my portfolio is relative to everything else that I have. What I think I’ll do different in the next bull market is just recognize that if we are in the bottom of a big move down, so the next crash, the next correction, whenever that happens and we start to recover from that, to start playing things with a little bit more of a bullish skew. I think not a huge bullish skew maybe, but just in some areas, I might continue to have maybe a core position or a core ticker symbol that I trade where I just naturally traded bullish. Maybe it's IWM put spreads, maybe it's QQQ put spreads, something in the portfolio that is just always on and always directionally bullish because it seems like that's the path of least resistance the vast majority of time and I think that that’s something that we could definitely add to the portfolio. That’s something I’ll do in the next bull market. I think in the next bull market, I’ll also allocate even more money towards the bottom. What I failed to do as much as I wanted to do during the last crash in 2008-2009 is I failed to allocate more money and that’s where I realize that the money is made in those high implied volatility markets. When the VIX was 80, 90, etcetera, I mean, that’s crazy, crazy volatility and at that level, it's like basically just taking money from the market. I mean, people are just insane with their pricing. We were selling options on the SaP at 600 and it was just hand over fist that you could collect. What I’ll do definitely next time is just be even more aggressive when that time comes. That doesn’t mean that we get aggressive in directional trades. It just means we get aggressive in selling premium because you can do it really, really far out and you should have to have the margin to handle it. Hopefully that helps out. Hopefully again, just listening to these and recapping some of the things that maybe you might do different or trying to take a step back and look at your own trading, look at your own investing. There’s obviously places where maybe you might do things different or maybe take a different angle than what you have before and I think that’s helpful. I think whether you find that in a mastermind group, whether you find that type of insight in listening to this podcast, I really don’t care where it comes from, but I think that you should take a look at yourself and how you’ve done over the last couple of years and start asking yourself questions like this, like – What will you do different if the market crashes this time versus last time? What will you do different if we have interest rates go to zero or negative? Start going through those scenario, trading in your mind. I think that might really help out. As always, hopefully you guys enjoy these. Until next time, happy trading!