What criteria to select a training course?

[Jaybee from UK]

Hi all, first post here at T2W !!

First a bit about me - newbie trader for the most part, dabbled in a couple of trades back in the mid-90's (catastrophically on the second, went down nearly 2k on Eurotunnel in '95) and was tech support for a US datafeed/software supplier in '99, so the words 'Fibonacci' and 'MACD' signify more to me than Bella Pasta or beefburgers...

Anyway, got some (expendable) cash together, and have been advised so far that this is the order of things:

1) Take a trading course:

2) Paper trade for a month or two by devising an ongoing strategy, making and correcting mistakes in strategy/discipline, reaching a 'Pareto' point where more than 80% of trades are profitable and I can demonstrate a feasible return on outlay;

3) Execute the strategy adhering to money management fundamentals.

Now, it's #1 I wanted to ask about - presumably, a training course will teach two things:

1) Discipline;
2) Technical analysis.

Now, what else should I look for in a GOOD course?

Many thanks in advance,


Jaybee.

 

[wasp]

Skip number one. Study and read as much as you can for the technical analysis and the demo account will take of the discipline. The discipline is down to you alone, no-one can teach that. IMO a training course won't teach you anything more than this board can coupled with a few months experience.

 

[LevII]

A tutor who is willing to support his claims of success with his brokerage acccounts for the last 3 years.

If they show consistent returns of the level you hope to attain then before you commit yourself make sure the sort of trading the tutor teaches fits with your scheme of things. Not much point in taking lessons in scalping US stocks at the open if you work normal UK hours.

If your man will not let you see his broker accounts then ask yourself - why not? The answer should be obvious and you may wish to walk away but that is a matter for you.

 

[Directional]

and you'll save yourself a boatload that can be used to fund your own account, rather than fund some seminar teachers yacht holiday on the riviera.

 

[Jaybee from UK]

Appreciate the nuggets all, I suppose then that if a training course is not the way to go, the question then becomes, how then do I pick an item to paper trade? Again, what criteria should I use?

I read somewhere here that Forex is the best start for beginners. There are also a couple of stocks I'm particularly interested in.

Again, your thoughts would be (and were!) appreciated gents.


Jaybee.

 

[wasp]

Appreciate the nuggets all, I suppose then that if a training course is not the way to go, the question then becomes, how then do I pick an item to paper trade? Again, what criteria should I use?

I read somewhere here that Forex is the best start for beginners. There are also a couple of stocks I'm particularly interested in.

Again, your thoughts would be (and were!) appreciated gents.


Jaybee.

Forex is probably the worst to learn on. Although some don't see the need, a market with volume would be better...

It depends on alot of things, a few being...

What time of day and how many hours?
Do you want to be in and out in minutes or do you want to hold for days at a time?
Do you prefer fast movement (US stocks/FX) or more sedate (in comparison) like Indicies or UK stocks?

The best thing to do would be to browse the forum and read the first steps and the sticky's on each category for a start.

have a read of these too....

http://www.trade2win.com/boards/showpost.php?p=202729&postcount=5

http://www.trade2win.com/boards/showpost.php?p=202765&postcount=8

and another >

http://www.trade2win.com/boards/showthread.php?t=16010

 

[dbphoenix]

And two more questions: are you interested in learning somebody else's system and trading it? If so, pay special attention to LevII's post. If the instructor can't demonstrate that he himself can make money with his own system, what makes you think that you'll be able to do so? Or, are you more interested in developing your own system? If the latter, a course isn't likely to do you much good. May as well pick up a copy of Trading For Dummies or some such.

Echoing wasp's questions, what exactly do you want to get out of all this?

 

[Jaybee from UK]

Echoing wasp's questions, what exactly do you want to get out of all this?

To answer the first question, I would rather go with the "whatever gets me up to speed asap" approach - that may be an existing system, that may be one I need to devise myself. I don't know which - yet.

What do I want out of all this? Short term, the ability to make 15% a month on my outlay. I have no idea if that's optimistic or pessmistic, but that's what I want. And from that point on, to pick up speed without tearing my hair out. This is something I've wanted to do for 16 years.

Clearly, a thorough reading of this forum for the next few days would seem in order!

 

[wasp]

To answer the first question, I would rather go with the "whatever gets me up to speed asap" approach - that may be an existing system, that may be one I need to devise myself. I don't know which - yet.

An existing system will not teach you a thing apart from maybe discipline but probably not. 'asap' is not a good acronym when it comes to trading, if you have waited 16 years, another couple won't matter. If it does, stop now.

What do I want out of all this? Short term, the ability to make 15% a month on my outlay. I have no idea if that's optimistic or pessmistic, but that's what I want. And from that point on, to pick up speed without tearing my hair out. This is something I've wanted to do for 16 years.

Clearly, a thorough reading of this forum for the next few days would seem in order!

That would be your best plan to start.

Good luck.

 

[dandxg]

I agree with a good thorough reading of TA. Here is a a good list, first 2 are considered classics by many. http://www.amazon.com/s/ref=br_ss_h...ywords=technical+analysis&Go.x=0&Go.y=0&Go=Go

If you are going to spend serious money don't go to a seminar IMO, most are scams. They show you optimized back tested results that display all winners and no losers. See if you can find someone to mentor you. Finding a mentor isn't easy. You will still need to put in screen time, especially if you are day trading.

The key to trading, I am slowly finding out, is to find a method of trading that you really believe and can execute every trade. It has to show a positive expectancy. How do you find out such a thing? By keeping track of your system's results. It doesn't get any better than this. I am still trying to figure out if I am day trading scalper or a day trading swing trader.

Get some books on psychology Mark Douglas and Ari Kiev are good.

Remember this.........trading is a mind game. There are lots of good methods to make $$, but you better have confidence in yours, and have done your homework, before you put your $$ on the line otherwise you will most likely blow up your account. I know this was a little off topic, but I believe helpful. Good trading to everyone.

Dan

 

[Jaybee from UK]

I agree with a good thorough reading of TA. Here is a a good list, first 2 are considered classics by many. http://www.amazon.com/s/ref=br_ss_h...ywords=technical+analysis&Go.x=0&Go.y=0&Go=Go

If you are going to spend serious money don't go to a seminar IMO, most are scams. They show you optimized back tested results that display all winners and no losers. See if you can find someone to mentor you. Finding a mentor isn't easy. You will still need to put in screen time, especially if you are day trading.

The key to trading, I am slowly finding out, is to find a method of trading that you really believe and can execute every trade. It has to show a positive expectancy. How do you find out such a thing? By keeping track of your system's results. It doesn't get any better than this. I am still trying to figure out if I am day trading scalper or a day trading swing trader.

Get some books on psychology Mark Douglas and Ari Kiev are good.

Remember this.........trading is a mind game. There are lots of good methods to make $$, but you better have confidence in yours, and have done your homework, before you put your $$ on the line otherwise you will most likely blow up your account. I know this was a little off topic, but I believe helpful. Good trading to everyone.

Dan

...I don't even know the difference between scalping and swing day yet...!!

I think the part I'm having most difficulty with now is how to determine what instrument to just PAPER trade - there is a daunting choice of them out there, and I've got to narrow down the search result. I want to spend the next months wisely, meaning something kind to novices but where there is still a feasible profit to be made.

TA - not many problems so far, I've found the main indicators straightforward to follow, the challenge now is deciding which to use with what instruments - but I suspect that is part of every mans own strategy.

Guys, keep the ideas coming in please, but thanks all of you for the help so far - it's appreciated.

 

[Directional]

Take a look at the trading plan template in the knowledge lab - use that to clarify your objectives and to identify what info you still need to find out.

As to markets, you might want to try looking at the EuroFX currency futures, the EuroStoxx 50 future and the Bund future... this will give you a currency, a stock index and a bond and let you a feel for the way these different types of markets move.