Why Immitation is a Path You Shouldn't Follow

[TheNegotiator 13]

There are many roads which lead to dead ends or wild goose chases when a new trader starts to look for a methodology or style which suits them. Finding something which suits you is certainly important and more important is you find something which works. One way many attempt on their journey is to look for experts and to see what it is they are doing. There are two big problems with this though. Firstly and perhaps most obviously, the industry is awash with so called experts, many of whom have no real advantage in their methodology. Most importantly however, is in the way markets move, immitation in the long run rarely leads to understanding. Markets have so many nuances and rarely look the same. So even if you understand the direct theory of a technique, the broader understanding of the markets and the nuances which often require you to be nimble and adaptable in the moment, are likely to evade you.

 

My suggestion to anyone new to trading is this. Study first how the markets move and work in terms of auction before you attempt to work out any way in which to profit from the movement. Then even if you do attempt to mimic another trader, you'll be better placed to understand if they really are good or not and you'll fast learn why the method works and when it doesn't.