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Dreamers exploited

The more I look around the net on trading courses, the more I come to think that there is a big scam going on. Some of the supposed greatest traders out there are selling trainings and courses. They’re selling dreams for the most part.

Look, I just don’t get it – if you’re making millions why would you wish to sell new traders whatever opportunity at £1799 reduced from £9977? Do you really need the money? It would make more sense to share your knowledge and skill at a substantially lower price to a select group of highly motivated individuals for a basic ‘interest’ fee. Like? Like £100 or a mere £50. You wouldn’t be doing this for the money or to compensate yourself for time spent. You’d do it that cuz you simply don’t need the money!! For Pete’s sake!! Isn’t it that obvious? Probably not.

Do the math – if a so-called expert is selling dreams at £2000 a pop and they catch 100 dreamers in a year, how much is that? A cool £200,000 per annum. Is somebody gonna convince me that such ‘experts’ are making double or more of that money in a year from trading? I’ll have a hard time being convinced. It’s this simple; if a so called expert trainer is making £200,000/yr on selling courses, teachings and materials, there’s hardly a need to trade for a living. I’d suspect that most of these trainers are earning more from training than from trading.

I’ve been watching several guru trainers out there. Of course they don’t claim to be gurus. Many of them are plain-talking and give new traders the so-called realistic expectations. Some of them give snapshots of their earnings. They almost never reveal the whole history of their accounts. Lots of these folk end up on talk shows in various places. The standard set of lines are:

  1. That they were struggling in the early years.
  2. Through discipline, pain and hard work they made it.
  3. Then they proceed to give others tips on how to do the business.

I’m not saying that 1 and 2 above are wrong. I’m only saying it’s a credible story that attracts attention. The effect of it is to add some sort of credibility. After all, if you’re a struggling trader, you would naturally be attracted to some guru who suffered like you do but who has come out in the end very profitable.  That’s your dream too. Innit? You might think, ‘Well s/he knows the ropes having suffered as I do – so I’ll give him/her a try.’ Your dream is therefore congruent with the guru’s story.

Credibility does not mean that what they’re saying is true. You have no way of verifying what is true in their assertions. The credibility of various methods does not mean they are making money or that you will. Why – because the unfolding truth is one particular method has no real advantage over another. That would seem very strange, and most people reading this would argue against it.

What all truly successful traders are doing – by whatever method – is

  1. finding a way to exploit a trend or parts of it.  Even counter-trend trading still exploits a trend in a specific way.
  2. limiting losses
  3. remaining disciplined with their chosen method.

The above has nothing to do with the method of trading. It has everything to do with the fit of the method to a trader’s psychological framework/preference.

I’ll give some an example. I became quite interested in Harmonic Trading methods some time ago. It looked like and it is a very sound trading method. I studied it intensely and really worked at it. Scot Carney is the true original master of all this. I read his books and applied them. However, there was a problem for me. I could not find the time assessing ‘Potential Reversal Zones’ on 4H or 1D charts,  and even if a reversal became ripe the risk potentials were too much for me.

I then came across the Stealth Trading system which I pushed together from lots of other people’s work. This matched my personal style, time impacts and risk potentials. This is still in refinement and development.

But keep in mind the main point of this post. I assert that a majority of high flyers out there are actually not experts at trading, at all. If individuals wish to spend their money finding a method that works for them, from one of these gurus, that’s entirely fine. It’s your dream and you are entitled to it.

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