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Wednesday, January 29, 2014

Who Should Be Your Trading Mentor?

Experienced trading mentors have groomed successful traders over the years. While some frown on the idea of mentioning mentors, it’d be necessary to say that the writer of this article would’ve quit the trading world many years ago when things became so hopeless in the markets, provided he didn’t come across those seasoned coaches and traders who revealed the secrets of successful trading to him. It’s reckless to assume that you can just read a few articles from some ‘Golden Goose proponents’ and then conclude that you can go to the battlefield of the financial markets on your own. The reality is totally different from this.

When it’s possible to become successful after many trials and errors of your own, things would be very much easier and far less intricate if you go to the battlefield with a trading veteran who’s also a talented trainer. It’s easier for one to call oneself a hero/heroine before one faces a real battle. Those who ignore the fact above would eventually be forced to look for help when they face the quirk of the markets with their shallow experience.

You tend to be like trading mentors you like. They can be successful traders - or losing traders - based on whom you like. There are mentors whose trading principles are worth emulating. You don’t need to have met the mentors face-to-face. In this Internet age you and your mentor can telecommute.

Your trading mentor doesn’t have to be perfect, nor winning always. It’s unrealistic to think that a mentor must be a saint that no one can ever find any fault with. You also have your own weakness and human flaw. No human being is perfect, and such your mentors may exhibit some human errors, yet they would be exemplary when it comes to trading and some other professional aspects, and therefore they can be great role models in the world of trading.

It’s possible that you’ve many trading mentors; as many as you want. One might be good at trading with precision accuracy, while another might be a good trading money and risk manager. Another one might be an expert in trading psychology and disciplined mindset. My own role models are many. They include Joe Ross, Dr Van K. Tharp, Sam Evans, Dr. Alexander Elder, Dr. Emilio Tomasini, Loiuse Bedford, and others.

How You Can Benefit from Your Trading Mentors
1.         Carry out research and observe them and have an insight into their trading principles.

2.         Interact with them. There are many technological devices that can be used in achieving this, like telephone, webinars, trading rooms, teleconferencing, chatting facilities, etc.

3.         Ponder your role models’ trading qualities, strengths and principles. As you ponder these, you’d see yourself imitating them.

4.         When you choose a trading mentor, your aim won’t be to transform yourself to be exactly like the person. Probably, you still possess your own innate good trading traits and strengths. Nonetheless, having role models in the trading world would help bring out the best in you as a trader.

You can learn as part of a trading team or group. Before you can become part of hedge fund, you’ll first need a good account history, even if your capital is small. Getting employed as a funds manager is highly dependent on your track records. Should you become part of a trading group, you’d then need to gain more ideas from the most talented and the most proficient speculators in that group. Good reputation in trading has to do with your records and longevity – these are mandatory.

Excerpts from Trading Role Models
Quotes are beneficial and inspirational, for they have transformed many souls. Quotes from famous, seasoned and profitable traders are thus no exception. Below are excerpts from articles written by a few of my role models:

“People act like they've got all the time in the world, oblivious to the fact that the hourglass is running out of sand. They waste time when they could educate themselves. They entertain when they should focus…. People's lives seem to be getting more and more crammed with a lot of ignorance, self-entertainment one way or another, and... well... not much else. Don't let this world-wide trend define THIS month for YOU! You have a choice. Invest your time and reap the benefits. Spend your time and it will be gone forever.” – Louise Bedford (Source: www.tradingsecrets.com.au)

“Learning to trade is different from learning to ride a bike; it’s more like learning a profession. Unfortunately, most traders think they can just close their eyes, pick stocks, sit back and let the money roll in. But it doesn’t happen that way, and eventually, new traders figure that out—often painfully. Successful trading takes a tremendous amount of planning, skill and training—just like any business venture. Essentially, your trading should be viewed as a business—because it is a business. And if you want that business to be profitable, you need to understand the parts of your business, you need a good plan, and you need the discipline to follow the plan… If you're looking for a quick and easy way to make money in the markets, even Tharp Think won’t help. There is no "silver bullet solution" to trading success.” – Dr. Van Tharp (Source: www.vantharp.com)



Eye-opening trading lessons: Lessons from Expert Traders

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