Knowledge is power

That feeling when your research pays off is pretty hard to beat. Researching markets seems to be beneficial in the long run, taking the time to understand the markets and know when and when not to open a position has shown me time and again that there's profit to be had in the time spent researching.

Whew, Cheltenham was very fast paced for a noob such as myself. They say that traders should embrace volatility and this is the mentality one should have. However, when you are new to reading the market and the way it behaves, it's difficult to leave positions open with such volatility. Scalping such a high turnover market requires a different strategy to the slower paced normal daily races.

Big events like Cheltenham is where the real money is at, so while it can be vastly different to the normal daily race, I need to invest time and effort understanding it. With big markets like Cheltenham entering, the fray I feel that research is less of a time waste and more important now than ever. It's time to take the foot off the gas and focus more on the research side of things. I'm going to set my self some homework for this week:

  • Watch the market. Without placing any bets, predict where it's going to fall and why.
    • Do this with screen and audio recording software so you can play it back and know what your thinking is behind your prediction.
  • Scalping. Investigate 'normal' financial scalping. I'm betting (ahem) that bet trading is faster paced. However, I am sure to pick up some great pointers from the likes of options trading strategies.
  • Watch some of the great betting traders such as Peter Webb and Caan Berry, break down some of the positions they took and why perhaps this could help to introduce some new strategies.

My friends, the profit is in the knowledge, not the markets.


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