Little Hope for the Little Trader

[StreetCoup 10]

Traders that are new to the industry are too easily scammed into dubious trading products or subscriptions. So-called trading gurus permeate our society to exploit the starry-eyed eagerness of a trader trying to learn. It is marketers and their never-ending sales pitches like, "You need this system. This one will make you the star trader you’ve always dreamed of. The new and improved version is guaranteed to double your money instantly or you get your money back."

 

Gossip tabloids exploit readers that crave sensational news. Did you hear the latest on Brad Pitt? The National Enquirer tells me so. What will your car salesman, who needs to achieve his quota for the month in order to pay for his new house, tell you? "You look successful. This car will represent you perfectly in your next business meeting." You try on clothes in a fashion boutique and ask the salesgirl whether it suits you, "Fits perfectly." Whatever you try on, it always fits perfectly. These people just want to sell you stuff! The sooner you understand it, the better. What will a politician tell his supporters? "If you want change, then vote for me. I will deliver change for you, my friend."

 

We live in a capitalistic world where people will always inevitably seek to exploit the ignorance of others. The original intentions may be good, but trading products are often marketed in a way as to guarantee positive performance. A guru is under no obligation to disclose his profit and loss column to you or anyone.

 

It is pathetic to hear traders complain how gurus are out to extract money from them. It is up to them to separate the wheat from the chaff and some unfortunately are horrible at separating fact from fiction until it is too late. Usually money is lost as a penalty for not being properly informed. There is a learning curve involved in this business of trading and struggling traders are repeatedly seeking a quick solution to their problem that typically requires months or mostly years to reach proficiency.

 

Just because a trader can show proof that he can make money does not insinuate that he is also a good teacher, and vice versa. The very best thing to do is apply common sense while learning as much as you can (ideally with the help of a trusted mentor). Every trader is individual in his personality, so you need to find out what strategy, time frame, market, or position size suits you best. A mentor can only provide advice. You have to continuously test and improve while risking the least amount of money. This will increase your chances of emerging financially unscathed and start a profitable trading journey.

[RealDemo 10]

  StreetCoup said:

So-called trading gurus permeate our society to exploit the starry-eyed eagerness of a trader trying to learn.

 

...... yeah they are all scum, every last blood sucking one of them.

[TheNegotiator 13]

This is a rather hypocritical post considering that one, the post is a syndication from the author's blog and two, the author offers mentoring.

 

I agree that many "gurus" are less than scrupulous. However, they do exist and will continue to do so. The trouble is as the writer puts it, "some unfortunately are horrible at separating fact from fiction until it is too late". This indeed works both ways and the less than discerning or simply inexperienced trader who is sceptical can also mistake their own underperformance using someone else's system for the system being totally useless and the vendor only being intent on 'stealing' their money. A free and foolproof system would lose some people money and yet it'd still be someone else's fault. So here's the challenge to anyone who reads this. Take ownership and responsibility for EVERYTHING you do as a trader. Trading is hard and trading evolves. If you don't understand the principles of a system then the chances are even if it works for you for a few weeks, the market will change and it'll cease to work. If you are the sort of person who wants to put in minimum effort, I suggest you'd be better off investing in a fund.

 

Please think carefully and trade responsibly.

[SIUYA 11]

which came first.....

the guru who wants to sell his wares, or the suckers (ahem... customers) who want to buy them?

 

if there is a demand, there will be a supply

 

I dont think we should ever stop legitimate sales people (scammers yes) but sales people are not scammers. If they are terrible at trading but great at teaching then they still have a place.

It really boils down to as Neg says - your own responsibility. Understand what you are trying to get, buy, offer, learn. It might be better to part with your money in the real market.

 

However, my issue becomes with this whole "mentor" process.

A mentor (guru) does not charge - they transfer knowledge

A teacher charges and it should be based on how well they teach

A salesman charges to sell.

 

So like many who promise large returns look out for things such as - "the secret", the only way, the right way, join the big boys, join the insiders, guru, sales pitches such as was $99 now $49....etc; etc.

 

The best knowledge is freely available and will only be learnt when you understand and not just know.

[Tams 20]

ALLL of these syndicators don't know what content they are posting... they are marketers, not traders. They get whatever essay from the pencil pushers and post them without even doing a proof read. LOL.

 

good for a laugh.

[steve46 12]

A simple, general comment

 

First, its clear that finding good education that helps people to move consistently toward their goal is challenging.....there are few folks who know enough to help, and then there is the problem of teaching skills (some traders may have good knowledge but can't teach)

 

I think the best advice I can give is as follows

 

1. Read, observe and learn the basics on your own....wait until you have enough background knowledge and experience to judge for yourself, whether a person, or a group can assist you toward your goal

2. Take the time to become familiar with a person before you enter into a business relationship. Observe them over a period of time....Aske for references of other customers that they have done business with.

3.. Ask if they offer a trial period so that you can see if the system they trade "fits" your temperment and resources

4. Make sure you have sufficient discretionary capital. You will take losses in the beginning so be prepared for drawdowns.

5. Be realistic....set goals that are reasonable and can be reached within a year....evaluate your progress regularly and if you aren't seeing success.....stop..

 

Good luck

Steve

[cavalierking 10]

Yes, we must be vigilant, but keeping up can be a full time job at best. Staying away from the "big guys": Merrill, Morgan, Fisher would be a good start. Employ someone who will correspond with you regularly and explain why the investments that are being made are right for you. Some investors are really and truely more interested in their commissions than the investments that will be right for their clients...been there. Young people are especially vulnerable because they feel they have a life-time to accumulate their wealth. Every dollar counts, kids, every dollar. You will never know how much you will need when you retire...your health may be a huge factor, not just life-style.

[SIUYA 11]

i forgot to add - beware of those who do things behind the veil of secrecy and this is too complex for most, and I dont want to feel the public gaze for fear I reveal too much, I dont want to open myself to public scrutiny for fear I may be shown 1...a fraud, 2...it does not work all the time, 3....not everyone may agree with me.

 

If religion and 5000+ years has taught us anything .....There is no holy grail, release to the world your secrets and you will still find division.

 

so what.....:helloooo:

 

traders who legitimately teach know that their methods should be open to scrutiny and that they might actually learn from others and low and behold, they might actually improve their own systems or flaws not obvious to them (or maybe not relevant to them) might be highlighted.

 

Public forum,.......post and be judged or sulk in the corner.

 

(too many martinis this afternoon)