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Maverick Trading: PROVEN STRATEGIES FOR GENERATING GREATER PROFITS FROM THE AWARD-WINNING TEAM AT MAVERICK TRADING
PROVEN STRATEGIES FOR GENERATING GREATER PRO FITS FROM THE AWARD-WINNING TEAM AT MAVERICK TRADING Wall Street’s dirty secret is out―you don’t need a professional to manage your money, and you can beat the market on a consistent basis. All that’s required are three personal dedication, a sound risk management strategy, and the trading system outlined in this book. Yes, it’s that simple. As active traders at the private proprietary trading firm Maverick Trading, the authors have taught hundreds of budding traders how to end their relationship with the so-called professionals and trade on their own, using the same system the firm used to generate gains of more than 100% in 2008, 50% in 2009, and 50% in 2010. It’s not a get-rich-quick scheme. It’s a long-term methodology designed to create steady wealth you can live on, retire on, and pass down to the next generation. Maverick Trading teaches you how
- GenresFinance
304 pages, Hardcover
First published December 1, 2011
24 people are currently reading
63 people want to read
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Displaying 1 - 5 of 5 reviews
September 2, 2020
I recently joined Maverick Trading and am currently working through their training program. This book remains a comprehensive overview of the basics of the Maverick Trading system, a trend-following approach to options trading that their traders have used to consistently make money for the last 23 years. The key elements being:
-Risk management. Strict loss limits keep you in the game, and are the key to being a profitable trader. Most new traders think that trading is about predicting big moves and placing large bets on those predictions - on the contrary, nothing will blow up your account faster! Instead, the Maverick team contends that it's a numbers game - you find slight edges in probability, make many trades, and cut your losers rapidly while letting your winners run.
-The top-down approach. Don't start at the level of stocks. Don't keep watch lists. Identify the overall trend of the market, then the individual sectors within the market, and then screen for individual stocks within sectors that have the characteristics you're looking for. Modern screeners like Finviz make this simple.
-Chart reading. Forget everything you know about fundamental analysis. Here you're trying to identify the short run (2-8 weeks) moves of the stocks and ETFs you'll be trading on. They provide a brief introduction to technical analysis here, but you'll need to go elsewhere for more comprehensive information.
-Options setups. Condors? Butterflies? The book explains many different options plays, and when and how to set them up and use them. This is a great section (and a good refresher from business school and the Series 7). My only complaint is that it may be tough going for those who don't already have a background in options - not that a great deal of experience is required, but one needs to be fairly familiar with the terminology and concepts already to get the most out of this part.
-Psychology. Maverick uses the Myers-Briggs typology to test all their traders and identify what their strengths and weaknesses are likely to be. The book only gives a brief overview of this; they go into it in much more depth in their courses, but I've found it to be one of the most unique parts of their training system. Maverick are big believers that "traders are forged, not born", and believe that anyone with the dedication and a modicum of brainpower (not that much - they point out that all their trading systems require only "5th grade math") can do it, provided they build systems that accentuate their strengths and compensate for their weaknesses. Given their low turnover, they've apparently been pretty successful at forging new traders over the years, and their emphasis on trading psychology, careful risk management and a growth mindset is clearly part of this.
Overall, I highly recommend to anyone trying to understand and work a trading system (especially readers of Michael Covel's Trend Following, which provides a wealth of information but doesn't really hold the hand of the aspiring trader and lead them through the actual workings of a consistent system).
-Risk management. Strict loss limits keep you in the game, and are the key to being a profitable trader. Most new traders think that trading is about predicting big moves and placing large bets on those predictions - on the contrary, nothing will blow up your account faster! Instead, the Maverick team contends that it's a numbers game - you find slight edges in probability, make many trades, and cut your losers rapidly while letting your winners run.
-The top-down approach. Don't start at the level of stocks. Don't keep watch lists. Identify the overall trend of the market, then the individual sectors within the market, and then screen for individual stocks within sectors that have the characteristics you're looking for. Modern screeners like Finviz make this simple.
-Chart reading. Forget everything you know about fundamental analysis. Here you're trying to identify the short run (2-8 weeks) moves of the stocks and ETFs you'll be trading on. They provide a brief introduction to technical analysis here, but you'll need to go elsewhere for more comprehensive information.
-Options setups. Condors? Butterflies? The book explains many different options plays, and when and how to set them up and use them. This is a great section (and a good refresher from business school and the Series 7). My only complaint is that it may be tough going for those who don't already have a background in options - not that a great deal of experience is required, but one needs to be fairly familiar with the terminology and concepts already to get the most out of this part.
-Psychology. Maverick uses the Myers-Briggs typology to test all their traders and identify what their strengths and weaknesses are likely to be. The book only gives a brief overview of this; they go into it in much more depth in their courses, but I've found it to be one of the most unique parts of their training system. Maverick are big believers that "traders are forged, not born", and believe that anyone with the dedication and a modicum of brainpower (not that much - they point out that all their trading systems require only "5th grade math") can do it, provided they build systems that accentuate their strengths and compensate for their weaknesses. Given their low turnover, they've apparently been pretty successful at forging new traders over the years, and their emphasis on trading psychology, careful risk management and a growth mindset is clearly part of this.
Overall, I highly recommend to anyone trying to understand and work a trading system (especially readers of Michael Covel's Trend Following, which provides a wealth of information but doesn't really hold the hand of the aspiring trader and lead them through the actual workings of a consistent system).
November 23, 2019
As far as a book on trading goes, it focuses on all the right stuff with an emphasis on risk management. Funny and easy to read with good quality trading information. Taking information from books and creating a successful trading strategy is the hard part that takes years.
October 24, 2017
I am always reading new trading books even though I have been in the finance and trading industry for years. Most of the books follow the same path and go through the same things and for the most part the Maverick Trading book walked through charting, strategies and other things. The thing I did find refreshing and different than other books was the realism and frank speech of the book on things like risk management, position sizing and backtesting strategies. Most of the other books walk the trader through charts, strategies and everything going right and don't really discuss what to do when the system fails.
A big part of the book was dedicated to the system and trade failing and what to do. But, even more importantly, how you are going to feel and some of the mistakes you are likely to make. As mentioned earlier, most trading and finance books paint a rosy picture of buying at the right times on the charts and getting out at specific points and that's all you need to do. This book accurately describes the life and process of a trader and helps the reader understand what is likely to happen to you in the real world. It is for this reason why this book got 5 stars instead of my usual 4 stars I give a well written book.
A big part of the book was dedicated to the system and trade failing and what to do. But, even more importantly, how you are going to feel and some of the mistakes you are likely to make. As mentioned earlier, most trading and finance books paint a rosy picture of buying at the right times on the charts and getting out at specific points and that's all you need to do. This book accurately describes the life and process of a trader and helps the reader understand what is likely to happen to you in the real world. It is for this reason why this book got 5 stars instead of my usual 4 stars I give a well written book.
March 21, 2013
A good trading book that spans the beginner to intermediate experience levels. The authors tackle the psychology of trading very well, and also lay out their system in a very matter of fact way. If you are looking to become a position/swing trader, this is probably the best strategy/psychology book you can read.
The book describes at a very high level why the system works by piggy-backing on large institutional traders. They often use the 'do not care where the bus is going' phrase to showcase that they are along for the ride. The only real negative point I have against this book is that there is quite a bit of salesman ship in the book as though they are fishing for proprietary traders. They probably are, and if you have no intention of joining the Maverick team, or if you made up your mind that you would early, the continuing praise of their own firm gets quite tired.
The book describes at a very high level why the system works by piggy-backing on large institutional traders. They often use the 'do not care where the bus is going' phrase to showcase that they are along for the ride. The only real negative point I have against this book is that there is quite a bit of salesman ship in the book as though they are fishing for proprietary traders. They probably are, and if you have no intention of joining the Maverick team, or if you made up your mind that you would early, the continuing praise of their own firm gets quite tired.
August 24, 2013
Just finished. As in Japanese saying "if you believe everything you read, you better not read" I try to read the book objectively. I don't like the way they say in a number of memento "that one doesn't work, in maverick, we do.." They do bad metaphors.. Which is okay , I only care bout the contents.. There's one or two things interesting here and there. This book is okay
Displaying 1 - 5 of 5 reviews