Andrew Falde left his career in commercial real estate in 2008 to become a trader. Since then, Andrew has been able to carve a profitable niche trading options and designing systems.
Andrew discusses in this interview how he avoids trying to predict the market and likes to think of trades as a series of “what if” scenarios. He also talks about what’s really interesting about why options markets exist, and what traders need to think about when thinking about designing a system. Andrew also talks about how in his own trading he applies a blend of systematic and discretionary aspects.
What’s Covered in This Interview:
- Why Andrew feels free education can only take someone so far, and what learned from investing tens of thousands of dollars in trading education.
- Andrew’s view on why trying to predict the market is a common mistake made my newbie traders.
- Why traders need use the right strategy for the right instruments. Andrew discusses if it’s a recipe for disaster if traders get it wrong.
- How Andrew uses a discretionary approach to trading systems and why using a similar approach could help those who are only discretionary or even investors who invest long term.
- The purpose of options markets, what’s different about them compared to insurance markets and what traders need to understand before trading options.
- How options can have more advantages to traders.
- Why Andrew believes most traders will never make any money.
- Why traders need to change their mindset when it comes to expectancy, and that they can be wrong on a trade more than they’re correct.
Links and Resources:
- 7 Steps to System Trading Success – Andrew’s free video series. It goes over different metrics and aspects of systemic trading, and runs for about 10 minutes each.
- SMBu.com – Learn more about Andrew from his articles on the SMB University blog.
- @AndrewF_SMB – Follow Andrew on Twitter.
