Al Brooks - Al Crooks, Charlatan

[wrbtrader]

It's not the duped's fault. It's the dupers fault. Thank you for admitting that Dr. Brooks MD does not operate at any ethical level above the very low one in this corrupt business, which is industry standard.

You have some antiquated 20th and pre-20th century notion of personal responsibility that current legal, ethical, philosophical, and scientific understandings are not in agreement with.

Listen...I'm not a kid that you can play those types of manipulating conversation games with.

Al Brooks is not a financial advisor and should not be giving you any info about risk management or position sizing. It will open the door for lawsuits. Therefore, for you to expect him to do such just for you is unrealistic.

Yet, if you're going to point the blame at those that make blanket statements...you need to equally do the same for your broker, data vendor and any other services you're using because they do it too...even more so. Your brokers are more sneaky...they make you sign an agreement upon opening your account that they are not liable if you failed to exercise proper risk management and they are smart enough to NOT offer you any specific advice about such that's tailor specifically to you. That's why your broker specifically states they are not finanical advisors.

By the way, I won the bet.

I knew you wouldn't answer my questions that was highlighted in bold because if you did...you will then need to start a thread about that broker and your data vendor for not giving you proper information about risk management and position sizing and failing to tailor it specifically for your account size while you continue using their services for a fee. To single out one person when all of them are doing such about risk management...its clear you have a personal vendetta and Baron (ET owner) is probably getting the smell from this thread by now. :eek:

 

[Q3D]

I just feel personally mislead from what I read in the books and how the trading of the ES played out for me. I didn't mean to make any suggestions that everyone else shares or should share a similar experience to mine. Moderator, please delete my postings in this thread, thank you in advance.

 

[wrbtrader]

Q3D,

You need to contact Baron @ http://www.elitetrader.com/et/index.php?misc/contact if someone hasn't already done such for you or as a complaint.

I doubt they will delete you're messages because it makes messages by everyone else look like they are talking to no one. Instead, as Baron stated...just contact them to request the thread to be closed.

For what its worth, many people feel they've been mislead about the actual risks of trading that's not correlated to the unrealistic goals.

Yet, I can honestly tell you that the S&P 500 Emini ES futures is not a "learning trading instrument" and not suitable for most retail traders. Its very seductive trading instrument and attracts many traders because its often discussed at forums, cost per contract is cheap (that in itself violates most risk management rules by the broker themselves), probably the most debatable trading instrument, data access is cheap via the CME and an exchange seat can easily be had by anyone with a proper sized trading account and broker verification that want to properly scalp it. Also, the tax is favorable too in comparison to other trading instruments that are not futures.

Simply, its a cheap way to get involved in trading but often at the end of the day...the most expensive result.

 

[onemoreshot]

Q3D,

You need to contact Baron @ http://www.elitetrader.com/et/index.php?misc/contact if someone hasn't already done such for you or as a complaint.

I doubt they will delete you're messages because it makes messages by everyone else look like they are talking to no one. Instead, as Baron stated...just contact them to request the thread to be closed.

For what its worth, many people feel they've been mislead about the actual risks of trading that's not correlated to the unrealistic goals.

Yet, I can honestly tell you that the S&P 500 Emini ES futures is not a "learning trading instrument" and not suitable for most retail traders. Its very seductive trading instrument and attracts many traders because its often discussed at forums, cost per contract is cheap (that in itself violates most risk management rules by the broker themselves), probably the most debatable trading instrument, data access is cheap via the CME and an exchange seat can easily be had by anyone with a proper sized trading account and broker verification that want to properly scalp it. Also, the tax is favorable too in comparison to other trading instruments that are not futures.

Simply, its a cheap way to get involved in trading but often at the end of the day...the most expensive result.

Is CL better for a smaller account?

 

[onemoreshot]

Is CL better for a smaller account?

And for clarification, not for a newbie but a scratch type trader.

 

[marketsurfer]

Risk management and position size is a personal issue. Every trader has a different account (capital) size, different broker (leverage, margin requirements), psychological barriers when changing size, different goals (rewards) and so on. Every trading day is not the same...that complicates it further because than there's a need for discussion when the risks changes due to changing market conditions.

At best Al Brook can do is make blanket statements but its still your responsibility to have a conversation with him that's specific about your account size, broker, goals and so one. A conversation with info that will not be appropriate for another trader because that other trader has a different account size, different broker, different goals and understanding of risk.

Yes, I am in agreement with you about one thing. If Al Brooks told you how much capital you really do need to trade the Emini ES futures within appropriate risk parameters and explained to you when you should be changing your position size...he'll get less business because most retail traders will realize they don't qualify to be trading.

Guess what, brokers do it too. They offer up the S&P 500 Emini ES futures per $400 - $800 bucks with a minimum of 5k account...a few brokers even try to look as if they're serious about risk by requiring 10k minimum deposit and giving you a questionnaire about your experience level.

Seriously, how insane is that for risk parameters. It gets more crazy. Look at every data provider (e.g. eSignal, TradeStation and many others)...they allow traders to subscribe to their services without validating if the trader understands risk management or position size. There's no mentioning of such with any details at their website except for a warning in their disclaimer statement at the bottom of their website.

What if they all (brokers, data providers, vendors and other trading resources) made you take a class about risk parameter / position sizing, take an exam at the end of the course and then you need to verified you have enough capital and then they would input something to prevent your ability to place a single trade to prevent you from trading whenever you try to initiate a trade that violates those parameters. Heck, what if your broker, data provider, vendor and other trading resources had the power of attorney to close out your trades when you violate such parameters...

Would you still be able to trader or interested in trading while knowing some big brother like figure has taken away your freedom ? .

My point...silly to point the finger at Al Brooks when everybody else does the same. Thus, if you're going to start pointing fingers...you need to spread the blame around equally to every trading resource that you're using because they all do it.

Seriously, who is your broker, data provider and please name any other trading resources you're using ?

I am willing to bet that you will not respond to the above question because you know I will go to their website to see if there's any specific information about risk management or position sizing beyond any standard disclaimer statement. If you do respond, you won't name the resources you use that allows you to trade.

Think about it carefully. If you only have a 5k account, you decide to trade Emini ES futures...who fault is that ? Its your fault...not Al Brooks, not eSignal, not your broker, not CNBC, not Yahoo Finance, not the company that built your computer and not any relative or friend that knows your trying to trade for a profit.

Something else to think about. If you knew the discussion in his book or webinar or whatever lacked information about proper risk management or position sizing...

You were smart not to put on a single trade until you got that information from another resource...correct...or did you decide to do what most newbies do...start trading and you'll just figure it out on your own while trading ?

P.S. I wrote in another thread here at ET to explain why trading resources (e.g. brokers, data, vendors and many other trading resources) do not discuss risk management or position size for each specific customer so that its tailor specific for that customer...

Realistically, it will kill their business model, they open themselves up for lawsuits because the info was tailor specific for that trader and it didn't work...that's why they don't do it. They are not financial advisors and at last I check...Mr. Brooks is not a financial advisor nor does he offer such a service.

Its all very seductive. Its like meeting that hot girl and you've been dating a few months and one day she takes her clothes off and spreads her legs...the odds of you using a condom is LOW just like the odds of you ensuring you have the correct info about risk management / position sizing that's tailor to your needs.

I completely disagree with you about account size.

With $500 margin , the YM needs to move 100 points against u ( not counting commissions) so with a $1000 starting balance-- 100 points to eat up your margin. Isn't that enough of an adverse move to lose? Why lose more money?

Not to mention the risk of having capital at sny retail broker.

surf

 

[wrbtrader]

I don't know anything about your financial situation nor do I have a financial adivsor background. In addition, I have no idea of your definition of a small account nor your broker.

With that said, you can find data resources with cheap historical data (there's a list of several names somewhere here at ET) and backtest your trade method on just about any futures instrument.

Simply, let your test results of CL, ES and all others tell you which trading instrument your trade method works the best on. You'll be very surprised at the low percentage of traders that does not do that one simple verification to determine what they should be trading.

Yet, lets pretend you discover from your backtest that only Hang Seng HSI futures or EuroFX 6E futures perform the best via your trade method. You will have a difficult decision to make if those particular trading instruments are producing trade signals via your method in a time duration you're not available for trading.

Therefore, do you trade something that's not profitable for you or do you trade something that makes you profits but requires you to make dramatic changes in your lifestyle. Its a tough question because I know a few traders that actually relocated to a different time zone or moved to another country because their goal was to make money and not play favoritism for a particular trading instrument.

 

[wrbtrader]

I completely disagree with you about account size.

With $500 margin , the YM needs to move 100 points against u ( not counting commissions) so with a $1000 starting balance-- 100 points to eat up your margin. Isn't that enough of an adverse move to lose? Why lose more money?

Not to mention the risk of having capital at sny retail broker.

surf

Surf,

Math makes sense but in real life...doesn't work like that because most traders violate their risk management rules in reference to those that made the effort to have such while most shoot from the hip (no risk management rules) and decide they'll figure out such if their account grows. Reality, most accounts do not grow.

Regardless, I did not know there are brokers out their that allows someone to open a trading account via a $1000 account minimum to trade Emini ES futures. Scary to know they exist...more surprise that they do exist.

I am aware you're talking about mini-sized YM futures and not Emini ES futures (my entire conversation is about Emini ES futures).

 

[onemoreshot]

Yes, all very true.

However, My suggestion to new traders is use as little money as possible in your account. Since u will likely lose anyway, keep the acvount size small. Having tons of money in the account only means u will lose more. surf

Ps. Yes, at one point global futures allowed $1000 emini accounts. Not sure about now.

+1 from personal experience. People tell newbies they have to have a huge account to start trading, which is false. People dump big dollars into their first account and then blow up.

 

[wrbtrader]

+1 from personal experience. People tell newbies they have to have a huge account to start trading, which is false. People dump big dollars into their first account and then blow up.

Nobody said "huge account". That's a newbie assumption.

In contrast, what's stated and specifically...brokers should not be in the business of offering $1000 account minimum to trade Emini Futures (you quoted surf in saying it was Global Futures) without any risk management assessment of each client.

If you disagree...good luck in your trading with that type of risk and without them educating you about how to manage such in specific types of trading conditions. Simply, you can't make trading decisions on risk management all by itself and without any risk assessment...that's exactly what you and surf are attempting to do as if someone is telling you that you will trade profitably with a bigger account size.

We all know what types of retail traders brokers are going after via the $1000 account minimum requirements...the high turnover rate ones...easily to replace them after the blowup.

Like I said to you before, you can easily determine on your own what trading instrument you should be trading via backtesting all available futures trading instruments to you. That comes prior to you finding someone to give you advice about risk management that's cater specifically for you based upon how you assuming you give them the info they need to be able to properly give such advice and assuming they have the proper Financial Advisory credentials to be such for you.

Yet, don't fool yourself into thinking risk management is solely decided by account size.