Although calls and puts are not insurance products per se, they can be used to protect or hedge an investment, much like insurance policies protect an asset. Brad Zigler of HardAssetsInvestors posted an article on the "price of gold insurance" as measured by the options market.

Of the many strategies used by traders, the breakout setup is one of the most popular. There are many interpretations of this tactic, and therein lies some of the confusion. In this piece, I'll go over some of the higher probability, or as I call them, "quality breakout trades," that come from many years of observation, as well as the many traps associated with this setup.

Trading psychology is a subject most books and so-called professionals keep separate from the mechanics and strategies of trading and investing. A reality largely misunderstood is that the underlying mechanics and strategies within trading and investing are a direct function of your psychological belief system.