Training for tradersTraining for traders is a difficult task because quite often we have many different types of traders in a seminar.  From a beginning stage to even very experienced floor traders that are looking to make the switch to electronic trading platforms.

Training for Traders – A New Perspective

As new traders come aboard, they often are quite feeble in their attempts – after all, trading is unlike any other business in the world (so we are told).  They purchase the indicators, install them, and then open up the workspaces.  Quite often, they are overwhelmed and presume they understand all the beautiful colors.  Blue means uptrend, red means downtrend, magenta means strong trend, and gray means look up.  And, so like the little puppies trying to “hit” the paper, they often attempt to hit on a good trade.  And, just like the puppies, they often miss.

After sufficient pain, most of them typically do one of three things:

  • They open the manual and start reading.  However, it is boring and, quite often, they put it aside and begin again in their attempt to “catch” a good trade.
  • They send me an email of their negative trades and ask me to explain why it didn’t work.
  • They give up.

Then, you have the select few, that realize they need “hands-on” training.  Yes, everything is in the documentation but they realize trying to read the manual just puts them to sleep.  Instead, they opt to attend a seminar where they get the instructions on the live edge of the market.  They get to interact and ask all kinds of questions about the indicators and setups and see the concepts play out on the live edge (the right side of the screen).

Of course, once at the seminar, they realize they still have to do a lot of reading and studying.  For most, it reminds them of their college days — when the college professor lectured all during class and then you had reading assignments.  Of course, the next day the professor decides to give you a “pop” quiz to see how many actually completed the reading assignments.

The Master the Trade seminar is very much the same way, as our recent attendees found out.  We gave them reading assignments on the first day and a pop quiz the next morning.  Regretfully, not many passed.  But, they did realize why they needed to study more.  And, the next morning, a new student body entered the class.  One that had studied the night before and now took those beautiful little colors seriously.  That morning, most of the students passed.

And, our biggest complaint on the seminar?  Too many hours of lecturing the first day.  And, we all agreed.  Twelve hours of lecture!  WOW!  And, then we expected them to study afterwards?  Ridiculous.  Well, not really.  We take our task seriously.  We want every trader in the room to understand the significance of price bars, volume, color schemes, and risk management.  We also have to prepare the trader for what happens inside their head, as well.  And, unlike a college course that has 12 to 16 weeks, we only have three days.  Three days to ensure that traders understand the significance of price bars, volume, THD indicators and colors, risk management, and what will happen inside their heads when they start pulling the trigger.

Of course, we could break it up but then students don’t get to practice for two days.  Two entire days devoted to students applying the concepts in front of the class.  Two whole days of applying volume analysis with not one but three instructors to show them what they are not seeing.  Two whole days of reading price bars with three instructors showing them what they missed.  And two whole days of trying to identify the markets to trade and the potential setups with three instructors showing them what they missed.

And, what amazed students, we were all accessible to them.  This is one reason we opt for small classes.  Yes, it is less money to have 10-15 students in a class but the quality is greatly improved.  We want to ensure that all students have ample time from each instructor.  We want to ensure that no question goes unanswered.  And, as instructors, we want to make sure we can scan all the students for signs of confusion or unanswered questions.