Career Change

[nishi]

Hi everyone,

I am very new to this site, and came across it by chance.

Trading is something that I am interested in. I am a thirty year old TV Producer who has worked on business docs and wanted to find out a little more about how to become a trader and the skills needed?

I would be grateful for your insight

N

 

[Mr.J-Arthur]

Oh man...Good luck on your journey

The "job" is like no other. It can be very rewarding and very stressful.

Rule#1: You eat what you kill (your "wages" come from your success only)

Rule#2: You've got to be objective and find a method of trading that can be followed (we call it a "trading plan").

Rule#3: You will lose money trading when you first start, so try to absorb everything possible before starting.

Anyone can trade. You don't need a PHD, masters, or bachelors, but you will need common sense about things. Everything about trading is probability. So if you can work with numbers, percents, points and such it should be fun for you.

You'll also have to find out what you want to trade. Stocks, futures, options, bonds, currencies etc.
Starting capitol must be at least 10k, because trading can be tricky with limited funds.

Keep researching everything about trading. If you can find a well-seasoned mentor, that's even better!

Good luck on your journey.

 

[nishi]

Thank you.

If I decide to do this, it will be a very big and rather scary journey for me.

I have no training in this area and must admit that a lot of it sounds like a foreign language to me- but I'm not too proud to ask when I don't understand and am a fast learner. You have to be when you work in the media; there are many similarities between your environment and mine.

Should somebody who is a complete novice to trading look at beginning on courses to understand the basics? Or is it standard practice to learn on the job?

I have so many questions!

 

[shadowninja]

I think there's a whole world of difference between your industry and retail trading. Nobody gives a **** about you as a private trader. Your only real contact with the industry (the broker) is only interested in you for your money and they want to relieve you of every single penny. There's no official course to study and no guarantee that even after your fifth course, having spent yet another £1000 on a course, you will actually make a single penny. There's no HR to complain to about unfair treatment. There's no fairness or safety for newbies. That said, the market is the only truly fair entity - it doesn't care whether you're black, white, yellow or brown; it doesn't care whether you're muslim, christian, buddhist or atheist; it doesn't care if you're rich or poor, beautiful or ugly; it wants to empty your bank account. This is why I actually like trading.

As a start read all the articles, above, plus browse through the traderpedia.

 

[rawrschach]

Course are a waste of money. There is nothing you can really read either, you're just going to have to pick things up with experience; as a start read the making money trading thread and perhaps Douglas' 'Trading in the Zone'.

 

[shadowninja]

As an aside, I see Darren Winters is spamming the media with his courses.

 

[nishi]

Hi Everyone, thanks for your advice.

When I said courses, I meant to get a basic understanding in Economics really, rather than a trading course.

Is it not worth it?

 

[shadowninja]

From an interest viewpoint, why not! Might help you understand the fundamentals.

 

[rawrschach]

Monetary policy is pretty much the only economics you need to know as a trader.

 

[options]

Hi Everyone, thanks for your advice.

When I said courses, I meant to get a basic understanding in Economics really, rather than a trading course.

Is it not worth it?

Can't see how that could help.

Do well, and you eat and pay the rent.

If you do not do well, you find another job. (Part time at least).

You can't more of a basic understanding of economics!

Why don't you 'document' yourself trying to become a trader. I'm sure you would be able to sell that given your contacts.

Best way to learn?

Study a 'live' chart for a few weeks. No indicators, and just eyeball the chart. Better make it a 5 min chart just so as you don't fall asleep through boredom.
Try to predict which way the price will go.

 

[nishi]

ok, which is the best place to find live charts? I've found a few websites such as livecharts.com etc....is this the best site to start looking at?

 

[nishi]

documenting it isn't a bad idea...not sure how interesting looking at charts would be...

 

[options]

ok, which is the best place to find live charts? I've found a few websites such as livecharts.com etc....is this the best site to start looking at?

Livecharts.com will cost, Although they do a free trial.

If you have never really looked at a chart before, I would suggest Live forex charts, real-time forex charts, live currency charts

just to see what's happening.

 

[chart rider]

nishi
There's unlimited styles of trading:

Intuitive trading, trading based on fundamentals, systems trading using probabilities and statistics, or a combination of these. Different time frames - day trading, short term position, long term position.

I don't see how any courses on economics can help in any way, but admittedly I trade using mathematical probabilities and don't use any form of fundamentals. In any case, understanding fundamentals has more to do with knowledge of how companies are run and market interactions.

The best way to identify the type of trading that suits you is to start trading small time and initially try lots of different approaches. You will not make any money, not consistently anyway, until getting through this first stage. Only then can you start to develop your own strategies based on your prefered style.

Expect to take time and expect to spend money on both setting up and losing, it's a long road. Those who are unsuited or impatient wash out during the learning stage.

Don't overlook the phsychological aspects. As somebody already mentioned, Douglas is a good place to start ("Trading in the zone").

CR

 

[nishi]

Is fantasy trading a good place to start?

 

[shadowninja]

Long Elves, short Orcs?

Financial Spread Betting with TradIndex.com for a demo spreadbetting account. Don't give them your real money, though. They're crap.

 

[shadowninja]

Why don't you 'document' yourself trying to become a trader. I'm sure you would be able to sell that given your contacts.

And attending those "free" seminars on trading. I'm thinking hidden cameras etc. Then phrases like, "Mr XXXXXXX, why won't you admit you're a sham?"

 

[piewka]

I have a different standpoint in this discussion. Economics and other academic skills are only useful if you know what to do with them. I use it together with psychology as my key objective is to observe market information and estimate how traders, investors and market makers will react. All this is reflected in technical analysis, but I find it more relaxing to know what will happen in advance. But yeah, I only use economics in digesting market information. Knowing what it "means" before the masses, gives me few seconds more to react. But thats because I am an action trader, others might do something else...

 

[piewka]

Nishi, I think paper trading (fantasy trading?), is a good place to start. You can either use a software of your own choice, I think most online brokers have trials or demo versions you can try, or you can use paper and pencil. Record your trades, minus commisions and other costs you might have, and see how it goes. Unstable market is a good teacher right now.

 

[nishi]

Ok, I've subscribed to bullbearings initially but I'll try the other suggestions.

I can only really do this at home so this is really just a question because I haven't had time yet to look up the answer. When you are going to buy stock it asks about stops? Are stops a point at which you no longer want to buy?