Tutorial #5 – Using the Volcube Market Mentor to learn options trading in Volcube
Volcube Market Mentor is an intelligent, automated, in-game help system that can teach you about options trading as you play on the Volcube options market simulator. It can understand the game you are playing; it can interpret your Greeks for you; it can advise you on what trades you should be looking for and how to manage your option risk. It can reduce your inventory down into simpler terms for you to understand. It can suggest option prices for you and indicate what is happening in your trading session to implied volatility and skew. Market Mentor is a great tool for optimising your options education.
Volcube Market Mentor is accessed via the MM speech bubble in the top right of the Messenger pane, in the Main Game screen. Pressing this bubble will call up the Market Mentor menu of help.
The help from Market Mentor relates to help with the current Quote Request, help with your option risk and help with the market in general. If the broker is showing you an order, the Market Mentor will update to offer you help with the order instead of the quote request.
How to learn options trading using Volcube Market Mentor
The Volcube Market Mentor can suggest pricing for you, it can advise you about your risk and it can inform you about the market you are trading in. So how should you use it? Well, the best way seems to be to start playing a game and then to call on Market Mentor when you are un-sure. Perhaps you are not certain about what price to make? Or perhaps you do not understand how you should ‘read’ your Risk Detail? See what Market Mentor has to say on these matters. Then, if you find you do not understand the help Market Mentor is offering, this indicates that you really need to head for the Volcube Learning environment. Look for options articles or videos in the Volcube Learning environment that explain the problem or the aspect of options trading you are having difficulty with. Remember, it helps to watch the videos several times because you may not understand them fully at first! It is better to watch the options trading videos and read the articles, then play some more option trading games and then return to the videos/articles. You will find that each time, more and more pieces of the options jigsaw fall into place and your options trading will improve.
You can also use Market Mentor to test your options knowledge. For example, using the Volcube SUGGEST-A-PRICE feature in the Market Mentor menu, you can get a suggestion of a competitive, accurate quote response to give to the broker. This is great to use when you are still learning. But as you improve, you can still use this feature as a way to test yourself. Think about your quote response to the broker and then maybe test this against the SUGGEST-A-PRICE recommendation. If your price is very different, can you give a good explanation as to why? Likewise, do you know what has happened to implied volatility in your game? Ask yourself the question and then test your answer against the Market Mentor “What is happening to implied volatility?” help.
One final thing to note. Using the Volcube Market Mentor will disable your Trading Performance Index score for that game. This is because obviously it is easy to get a great TPI if you use Market Mentor! So, set aside some of your trading sessions as pure training sessions where you intend to use the Market Mentor to really advance your options education.
To learn more about Volcube Market Mentor and how it can help you to learn about options trading, remember to check out the articles about Market Mentor in the Volcube Learning environment within the application itself.