Ep. 303: Charles Faulkner Interview with Michael Covel on Trend Following Radio
Michael Covel's Trend Following
Michael Covel
4.6 • 732 Ratings
🗓️ 22 December 2014
⏱️ 55 minutes
🧾️ Download transcript
Summary
My guest today is Charles Faulkner, an author, trader, and an expert on modeling the knowledge and performance of exceptional individuals. He was originally featured in "The New Market Wizards" by Jack Schwager.
The topic is trading psychology.
In this episode of Trend Following Radio we discuss:
- The notion of fictional people and why famous figures in finance are "fictional"
- The importance of narratives, stories, and metaphors
- The halo effect and deluding ourselves
- The difference between a story and a strategy
- The nature of independent thinking; herd behavior
- Ego, ignorance, and authority
- The five different types of minds: the experiencing mind, the imaginative mind, the reasoning mind, the reflective mind, and the generative mind
- System one and system two
- Why words don't change people but experience does
- Experience base and the difference between amateur and professional traders
- The two kinds of market wizards
- Language in the context of the five different types of minds
- The importance of asking "how" does the market work over "why"
- The importance of luck and time in the case of Warren Buffett
- Why you shouldn't get your excitement from trading
Jump in!
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I'm MICHAEL COVEL, the host of TREND FOLLOWING RADIO, and I'm proud to have delivered 10+ million podcast listens since 2012. Investments, economics, psychology, politics, decision-making, human behavior, entrepreneurship and trend following are all passionately explored and debated on my show.
To start? I'd like to give you a great piece of advice you can use in your life and trading journey… cut your losses! You will find much more about that philosophy here: https://www.trendfollowing.com/trend/
You can watch a free video here: https://www.trendfollowing.com/video/
Can't get enough of this episode? You can choose from my thousand plus episodes here: https://www.trendfollowing.com/podcast
My social media platforms:
Twitter: @covel
Facebook: @trendfollowing
LinkedIn: @covel
Instagram: @mikecovel
Hope you enjoy my never-ending podcast conversation!
Transcript
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| 0:00.0 | This is Trend Following Radio, where great thinking comes alive. |
| 0:10.9 | Nobel Prize winners, legendary traders, bestselling authors, and the pros that know what drive us irrational human beings. |
| 0:21.1 | I am your host, Michael Covel, not filtered, raw, honest. |
| 0:27.3 | That's my passion. |
| 0:33.2 | I've lost track at how many times my guest today has appeared on my podcast. |
| 0:39.6 | This might be his fifth time or fourth time. |
| 0:42.5 | I would have to go double check. |
| 0:45.1 | Charles Faulkner is my guest today. |
| 0:48.1 | A fantastic mind, a fantastic intellect. |
| 0:51.8 | He sees people in their behavior very clearly. |
| 0:55.8 | I always love talking to Charles. |
| 0:58.0 | Before I jump into my conversation with Charles today, let me offer two reminders. |
| 1:04.1 | If you would like a free CD and DVD of Trend Following Ext extras sent to your house. |
| 1:12.4 | Simply go to iTunes. |
| 1:13.8 | Real simple. |
| 1:16.7 | Covel.com forward slash iTunes. |
| 1:18.8 | Redirect you to the iTunes page. |
| 1:20.3 | Write a review at iTunes. |
| 1:26.7 | I will gladly send you to your home or your office a free CD or DVD of trend following extras. |
| 1:31.1 | Come on. That's easy. And look, and you can also, |
| 1:36.8 | you can say something nice on iTunes, you can say something mean. You know, look, I can't control that. |
| 1:43.0 | That's the nature of the beast. I put myself out there. People like, people don't like. Hey, |
... |
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