THIS IS A WEBSITE CREATED FOR, AND DEDICATED TO, DEVELOPING TRADERS
HERE IS HOW YOU BECOME A SUCCESSFUL DAY TRADER!
Have I gotten your attention?
Trading is a difficult business. I am a physician, and medicine is difficult, but trading has been more difficult.
Why would that be so? The most obvious reason is the aspect of learning. I went to medical school for four years where I had many professors teach me many different subjects. There was typically always one correct answer. Then I spent four years in residency during which many attending physicians and fellows taught me. In this phase there was not always one correct answer, but rather different approaches toward the same endpoint. Each of those who taught me was known to be accomplished at his or her duties, and had proven results with their approach, lest they would not have been allowed to teach.
Compare that to learning to trade. Think of the ways you have tried to learn so far. This almost certainly has included books, likely videos, probably some seminars, perhaps one on one mentoring or websites with trading rooms. In how many of those situations did you know for sure that the information you were trying to assimilate, was coming directly from an individual who was proficient making money trading? Probably few at best.
Now think of the logistics. Assume that you have indeed mastered trading and are successful most of the time. Assume that you can make money day after day, possibly to the extent of a master trader like Martin Schwartz (author of Pit Bull who was able to achieve 25% gains / per month). If that were you, why would you teach your techniques to someone else, someone who would soon be your competition?
There are successful people who do devote time to teaching others to trade. Mark Cook is one of those individuals and you can find a link to his website HERE. But there are not many traders like that.
So when you are trying to learn to trade and you come across a mentor, a video, a book, etc., ask yourself why that person is promoting their method. Are they doing so out of a desire to help others or a responsibility to the profession, and do you have evidence that that individual is a proficient trader? Or more likely, are they selling you something? Something that will NOT make you a better trader?
THAT is what makes learning to trade so very difficult
Trading is an extremely competitive business. The lure of money, and lots of it, causes many of the best and brightest to devote all their resources to this profession. . (Consider the development of Automated Trading Desk in Mount Pleasant, SC where I live, and Tradebot).
If you are going to trade, you are going to go up against men and women and businesses that are well prepared and devoting much of their resources to diligence and improvement. Your devotion must match theirs, because your resources certainly will not.
Despite all this you still want to trade.....right?
You know that despite the numbers, despite the odds, YOU can be one of the chosen few to make it (too bad for all those other suckers out there who think they can, but fail). Well, perhaps you will make it. But I started this website a couple of years ago with the only intent being to make new traders aware of the incredible difficulties in learning to trade. I have been trading for many years now. I generally do not lose money, but I am far from making Marty Schwartz' 25% / month (I tried to meet Mr. Schwartz for years, leaving messages with a mutual friend.....no luck! Who can blame him? Why waste time trying to teach others....right?).
The Markets are incredible and trading can be as well. But do not delude yourself about either the difficulty involved, or the characteristics that make a good trader. More than likely most of you reading this will be out of trading in months. That's OK, but don't allow it to be with new financial burdens thrust upon you because you made poor decisions in the heat of battle. THINK about the risk involved. Read through this website (these are all my experiences... they happen). Make some prudent decisions right now that won't allow you to cripple yourself later.
If you have questions: Contact me via this site. I will try to respond>
IF YOU ARE JUST STARTING, HERE IS WHAT I WANT YOU TO KNOW...AND DO
YOU WILL LOSE MONEY
- Trading is NOT easy money....you will likely lose a lot
YOUR TRADING MAY AFFECT YOUR FAMILY LIFE / SAVINGS / MENTAL HEALTH
- You will likely break your rules, lose more money than you anticipated and argue with your spouse because of it (and then feel like a complete failure).....and you must take steps to avoid this (such as limiting your access to funds)
PEOPLE SELLING TRADING METHODS AND TECHNIQUES ARE USUALLY TRYING TO TAKE YOUR MONEY
- Most often you get little in return
TRADING IS NOT WHAT PEOPLE THINK IT IS:
-No one can PREDICT what will happen, that is not what you are trying to learn
DESPITE NOT BEING ABLE TO PREDICT WHAT WILL HAPPEN....THE RANDOM WALK THEORY IS WRONG!
- Human behavior makes markets behave in a similar fashion again and again........that does not mean PREDICTABLE......it means MORE LIKELY
Because of this aspect of market behavior you can make money......but only if you learn how to put that knowledge to work properly
NO MATTER HOW KNOWLEDGEABLE YOU BECOME, YOU WILL ALWAYS HAVE LOSING TRADES
Being a successful trader involves learning how to make money in spite of the fact that you can NEVER know (for sure) what will happen!
Successful Trading is a numbers game.....It is Vegas......It is knowing you can never know for sure and being OK with that and sizing and committing your trades appropriately
YOU MUST PLAN AHEAD
It is not possible to make logical, dispassionate decisions in the midst of a trade
These decisions HAVE to be made in advance: If this happens I will do this!
THE MARKETS CAN STAY IRRATIONAL LONGER THAT YOU CAN STAY SOLVENT
Therefore, leverage can (and will) hurt
ONCE IN A LIFETIME OCCURRENCES HAPPEN NOT INFREQUENTLY IN THE MARKETS
Read THE BLACK SWAN...Understand that it is possible to make risk predictions on frequently occurring issues, but not on those that occur rarely. This can lead to BIG losses if you believe otherwise.