FAQ

+WHAT SERVICES DOES WOLFCLOUD CO. PROVIDE?

EDUCATIONAL INFORMATION REGARDING EQUITY MARKETS, OPTIONS MARKETS, AND FUTURES MARKETS.  WE ALSO PROVIDE EDUCATIONAL INFORMATION REGARDING TECHNICAL ANALYSIS, MULTI-MARKET ANALYSIS, MULTI-SECTOR ANALYSIS.

+HOW DO I RECEIVE THE EDUCATION?

WOLFCLOUD CO. PROVIDES THE INITIAL FREE EDUCATION VIA THIS WEBSITE’S FAQ SECTION, HOW TO SECTION, AND TRADING DICTIONARY SECTION, THEN SUPPLEMENTS THE EDUCATION VIA AN INTERACTIVE PRIVATE DISCORD CHAT ROOM. THE PRIVATE DISCORD CHAT ROOM IS CONTINUOUSLY UPDATED WITH NEW INFORMATION IN AN INTERACTIVE MANNER BETWEEN OTHER SUBSCRIBERS AND THE ADMINS OF THE PRIVATE ROOM. THE SUBSCRIBERS ARE ALSO RECOMMENDED TO USE CHARTING TOOLS FOUND ON WEBSITES SUCH AS TRADINGVIEW VIA WWW.TRADINGVIEW.COM (THERE ARE MANY OTHER PAID PROGRAMS AND WEBSITES THAT INVESTORS AND TRADERS USE TO VIEW CHARTS BUT THIS IS A FREE TOOL THAT ANYONE CAN ACCESS USING THEIR CELL PHONE OR COMPUTER).

+HOW MUCH DOES THE MEMBERSHIP COST?

$60 A MONTH ($2 A DAY). MONTHLY PAYMENTS MAY BE MADE VIA OUR PAYMENT PROCESSOR. YOU MAY CANCEL YOUR MEMBERSHIP AT ANY TIME.

+HOW DO I SIGN UP FOR THE EDUCATION?

IF YOU ARE INTERESTED IN JOINING THE WOLFCLOUD COMMUNITY, START BY OPENING A DISCORD ACCOUNT VIA YOUR DESKTOP COMPUTER OR SMARTPHONE AFTER DOWNLOADING THE DISCORD APP. ONCE YOU HAVE CREATED A DISCORD USERNAME AND PASSWORD, CLICK THE SIGN UP BUTTON ON THE WOLFCLOUD WEBSITE FRONT PAGE AND FOLLOW THE PROMPTS.

+HOW DO CANCEL MY MEMBERSHIP?

PLEASE REFER TO THE HOW TO PAGE AND FOLLOW THE GUIDE FOR CANCELLING MEMBERSHIP.

+HOW SHOULD I INTERPRET THE INFORMATION PROVIDED ON THIS WEBSITE AND DISCORD ROOM?

ANY INFORMATION ON THIS WEBSITE AND ALL PRIVATE DISCORD POSTS MADE BY ADMINS AND ALL OTHER MEMBERS ARE PURELY FOR EDUCATIONAL PURPOSES AND SHOULD BE TREATED AS SUCH.  ANY MARKET OPINION POSTINGS VIA THIS WEBSITE AND PRIVATE DISCORD CHAT ROOM ARE FOR INFORMATIONAL PURPOSES ONLY AND ARE NOT INTENDED TO BE INVESTMENT ADVICE.  SEEK A DULY LICENSED PROFESSIONAL FOR INVESTMENT ADVICE.

+WHAT DO I NEED TO UTILIZE THE EDUCATION THAT WOLFCLOUD CO. PROVIDES?

A CELL PHONE AND/OR COMPUTER THAT HAS CAPABILITIES OF ACCESSING DISCORD AND ROBINHOOD VIA THEIR RESPECTIVE APPS OR WEBSITES.

+WHAT IS AN ASSET OR ASSET CLASS?

AN ASSET OR ASSET CLASS IS A CLASSIFICATION OR GROUPING OF INVESTMENTS THAT EXHIBIT SIMILAR CHARACTERISTICS AND ARE SUBJECT TO THE SAME LAWS.  EQUITIES ARE ITS OWN ASSET CLASS, OPTIONS ARE ITS OWN ASSET CLASS, FUTURES ARE ITS OWN ASSET CLASS. THERE ARE MANY OTHER ASSET CLASSES BUT THESE ARE JUST SOME EXAMPLES.

+WHAT ARE STOCKS/EQUITIES/UNDERLYINGS?

A STOCK (ALSO KNOWN AS EQUITY, EQUITIES, UNDERLYINGS) IS A SECURITY THAT REPRESENTS THE OWNERSHIP OF A FRACTION OF A CORPORATION. THIS ENTITLES THE OWNER OF THE STOCK TO A PROPORTION OF THE CORPORATION’S ASSETS AND PROFITS EQUAL TO HOW MUCH THEY OWN. UNITS OF STOCK ARE CALLED “SHARES”.

+WHAT ARE OPTIONS?

OPTIONS ARE FINANCIAL INSTRUMENTS THAT ARE DERIVATIVES BASED ON THE VALUE OF UNDERLYING SECURITIES SUCH AS STOCKS.

+WHAT ARE FUTURES?

FUTURES ARE FINANCIAL CONTRACTS OBLIGATING THE BUYER TO PURCHASE AN ASSET OR THE SELLER TO SELL AN ASSET AND HAVE A PREDETERMINED FUTURE DATE AND PRICE. A FUTURES CONTRACT ALLOWS AN INVESTOR TO SPECULATE ON THE DIRECTION OF A SECURITY, COMMODITY, OR A FINANCIAL INSTRUMENT.

+HOW DOES ONE PURCHASE STOCKS/OPTIONS/FUTURES?

INVESTORS MOST COMMONLY BUY AND TRADE STOCK THROUGH ONLINE BROKERS. AN INVESTOR SETS UP AN ACCOUNT BY DEPOSITING MONEY INTO A BROKERAGE ACCOUNT SUCH AS ROBINHOOD.

DISCLAIMER: WE ARE NOT IN ANY WAY AFFILIATED WITH NOR DO WE RECEIVE ANY FORM OF COMPENSATION FROM ROBINHOOD MARKETS INC.

+WHAT IS FUNDAMENTAL ANALYSIS?

FUNDAMENTAL ANALYSIS IS A METHOD OF EVALUATING THE INTRINSIC VALUE OF AN ASSET AND ANALYZING THE FACTORS THAT COULD INFLUENCE ITS PRICE IN THE FUTURE. THIS FORM OF ANALYSIS IS BASED ON EXTERNAL EVENTS AND INFLUENCES, AS WELL AS FINANCIAL STATEMENTS AND INDUSTRY TRENDS.

+WHAT IS TECHNICAL ANALYSIS?

TECHNICAL ANALYSIS IS A METHOD OF EXAMINING AND PREDICTING FUTURE PRICES OF ASSETS BY ANALYZING THINGS SUCH AS FINANCIAL CHARTS, DATA AND STATISTICS TO UNCOVER AN ASSET’S STRENGTHS OR POSSIBLE WEAKNESSES AND FORECAST TRENDS IN ORDER TO HELP INVESTORS DECIDE IF INVESTING IN THAT PARTICULAR ASSET WILL BE PROFITABLE OR NOT PROFITABLE.

+HOW MUCH MONEY DO I NEED TO START TRADING EQUITIES, OPTIONS, AND/OR FUTURES?

WE ARE NOT FINANCIAL ADVISORS SO WE ARE NOT LEGALLY ALLOWED TO MAKE RECOMMENDATIONS REGARDING THIS QUESTION, BUT GENERALLY YOU ONLY INVEST EXTRA MONEY THAT YOU CAN AFFORD TO LOSE.  FIRST OFF, YOU DON’T NEED ANY MONEY TO START STUDYING AND YOU SHOULD FOCUS ON STUDYING FIRST BEFORE TRADING.  TRADING REAL MONEY BEFORE STUDYING AND PRACTICING IS LIKE DRIVING A CAR FOR THE FIRST TIME WITHOUT ANY PRACTICE, IT’S DANGEROUS, AND YOU WILL NOT SUCCEED.

+WHAT DOES IT MEAN TO BE “BULLISH”?

BEING “BULLISH” IS A BELIEF THAT THE PRICE OF A CERTAIN ASSET WILL RISE IN VALUE.

+WHAT DOES IT MEAN TO BE “BEARISH”?

BEING “BEARISH” IS A BELIEF THAT THE PRICE OF A CERTAIN ASSET WILL DROP IN VALUE.

+WHAT DOES IT MEAN TO GO “LONG”?

HAVING A “LONG” POSITION IN A SECURITY MEANS THAT YOU OWN THE SECURITY. INVESTORS MAINTAIN “LONG” SECURITY POSITIONS IN THE EXPECTATION THAT THE STOCK WILL RISE IN VALUE IN THE FUTURE.

+WHAT DOES IT MEAN TO GO “SHORT”?

A “SHORT” POSITION IS GENERALLY THE SALE OF A STOCK YOU DO NOT OWN. INVESTORS WHO SELL SHORT BELIEVE THE PRICE OF THE STOCK WILL DECREASE IN VALUE. IF THE PRICE DROPS, YOU CAN BUY THE STOCK AT THE LOWER PRICE AND MAKE A PROFIT. IF THE PRICE OF THE STOCK RISES AND YOU BUY IT BACK LATER AT THE HIGHER PRICE, YOU WILL INCUR A LOSS.

+WHEN DOES ONE PURCHASE A CALL?

AN INVESTOR PURCHASES A CALL WHEN THEY BELIEVE THE PRICE OF A CERTAIN ASSET WILL RISE IN VALUE. THE INVESTOR PROFITS ON THE INVESTMENT WHEN THE PRICE OF THE UNDERLYING ASSET RISES IN VALUE.

+WHEN DOES ONE PURCHASE A PUT?

AN INVESTOR PURCHASES A PUT WHEN THEY BELIEVE THE PRICE OF A CERTAIN ASSET WILL DROP IN VALUE.  THE INVESTOR PROFITS ON THE INVESTMENT WHEN THE PRICE OF THE UNDERLYING ASSET DROPS IN VALUE.

+WHAT ARE OPTIONS GREEKS?

OPTIONS TRADERS OFTEN REFER TO THE DELTA, GAMMA, VEGA, AND THETA OF THEIR OPTIONS POSITIONS. COLLECTIVELY, THESE TERMS ARE KNOWN AS THE GREEKS, AND THEY PROVIDE A WAY TO MEASURE THE SENSITIVITY OF AN OPTION’S PRICE TO QUANTIFIABLE FACTORS.

+WHAT IS THE PDT (PATTERN DAY TRADER) RULE?

THE PATTERN DAY TRADER RULE WAS ENACTED IN 2001 BY FINRA (FINANCIAL INDUSTRY REGULATORY AUTHORITY) AND STATES THAT IF YOU’RE GOING TO DAY TRADE MORE THAN THREE TIMES IN A FIVE BUSINESS DAY ROLLING PERIOD, THAT YOU NEED TO MAINTAIN A MINIMUM BALANCE, IN YOUR TRADING ACCOUNT, OF AT LEAST $25,000 DOLLARS. BUYING AND SELLING THE SAME ASSET DURING THE SAME DAY IS REFERRED TO AS A “ROUND TRIP”. AT THE DISCRETION OF THE BROKERAGE, A FIRST-TIME PDT RULE VIOLATION MAY ONLY RECEIVE A WARNING. HOWEVER, A SECOND VIOLATION WILL RESULT IN THE “FREEZING” OF TRADING ACTIVITY IN THE ACCOUNT FOR 90 DAYS, AS MANDATED BY THE FINRA RULE.

EXAMPLE: IF YOU BUY 500 SHARES OF AAPL AND THEN SELL THE 500 SHARES THE SAME DAY, THAT IS CONSIDERED A ROUND TRIP. HOWEVER, IF YOU BUY 500 SHARES OF AAPL TODAY AND THEN SELL 500 SHARES TOMORROW, THAT DOES NOT QUALIFY AS A DAY TRADING ROUND TRIP.

+WHAT IS RISK MANAGEMENT?

RISK MANAGEMENT IS THE PROCESS OF ASSESSING, MANAGING AND MITIGATING LOSSES IN A PARTICULAR INVESTMENT THAT YOU OWN OR ARE PLANNING TO PURCHASE.

+WHAT IS A TRADING STRATEGY?

A TRADING STRATEGY IS THE METHOD OF BUYING AND SELLING IN MARKETS THAT IS BASED ON PREDEFINED RULES USED TO MAKE TRADING DECISIONS. THESE PREDEFINED RULES ARE FORMULATED BY AN INVESTOR OR TRADER FOR THEMSELVES AND MUST BE REPEATABLE IN ORDER TO MAKE THE PROCESS AS SYSTEMATIC AS POSSIBLE. THE STRATEGY MUST HAVE BEEN BACK TESTED AND FORWARD TESTED TO PROVE THAT IT HAS POSITIVE EXPECTANCY TO AFFORD THE INVESTOR OR TRADER THE BEST CHANCE OF SUCCESS IN ANY PARTICULAR INVESTMENT.