I have been trading for many years. I occasionally review sites like Elite Trader primarily for laughs. I never cease to be amazed at the negativism of a series of clowns who obviously couldn't trade their way out of a wet paper bag, critiquing others who take their risks in the public sphere.
The suggested guidelines by Samson are interesting but basically nonsensical. Here's a clue for those participating in the real world: no one is going to give you the names of unsatisfied customers. Period, end of story. This goes whether you are talking about trading systems, refrigerators, cars, toilet bowls, cleaners, or brooms. Get a clue.
I have found that trading the past is remarkably easy. In fact virtually every nimrod in here who has nothing but negative things to say about everyone else, is a perfect example. They want track records,. They want back testing, Hooey!
The problem is trading the future, not the past. The biggest waste of time, and one that I note most of the self-proclaimed experts here devote much of their time to, is trading the past. Testing the past will perfect your trading the past. Unless you goal is to sell systems to other nitwits don't waste your time. You see, the real challenge comes in trading the future.
One point that did actually make sense, even a blind squirrel as they say, is requiring a money back guarantee. Over the years, since the early 1970s, I have spent far more on trading systems and books than Samson. I give him a lot of credit of trying as many as he has. However, in all that time, and all that money, I have never asked for my money back. If they are good enough to con me, I pay the piper and move on. But I realize some people are not so forgiving.
You know what they say, fool me once, shame on you. Fool me twice, and we have a two party political system!
The fact of the matter is that successful trading has far less to do with "magical," complex or even mundane systems, than simple psychology. Any disciplined trader who understands the business could out trade everyone of the biggest blowhards here, simply flipping a coin and exercising proper money management.
That is the whole secret. Cut your losses and let your profits run. Not a terribly original thought I know, but terribly difficult to do in practice.
My decision to jump in with my 2 cents was occasioned by a recent discussion with David Landry, one of the few participants here with class, and an understanding of what it takes to make money. Mr. Landry does not pretend to have some computerized holy grail. In fact, he refers to himself as a "trend following moron" as the basis to his system. It's a scheme that all his critics should be so lucky to practice.
Most people simply misunderstand what the business of trading is all about. You are not trading against anyone else. You are trading against yourself. Not against the guy next door. Not against Dave Landry, thank your stars. Not against George Soros, his brain damage problems and all. Yourself. Period end of story.
Each trader should review plenty of basic material on technical tools like charts and indicators, until he finds a few things that make sense to him or her. For most I would think the Landry books are a good starting point. Some commentators here like Jeff Cooper. Perhaps he is for you, but is a bit too much of a blowhard for me.
Perhaps most importantly pick up a couple good books on the psychology of winning trading. It is not as sexy or seemingly profound as the latest mathematical whiz bang formula, that is actually a sure path to the poor house. But then again that formula you paid too much for and trusted far too long, does give you a great excuse while in bankruptcy court: why it worked so well on the computer!!
What it takes to succeed is understanding what is between your ears (for those few here without vacuums there). My personal favorite is Jake Bernstein's INVESTOR'S QUOTIENT. Mark Douglas's DISCIPLINED TRADER, or Van Tharp's TRADE YOUR WAY TO FINANCIAL SUCCESS are also worthwhile additions.
There are only about a billion books repeating the same things about technical analysis. Read the originals: Wilder's NEW CONCEPTS, William's DEFINITIVE GUIDE TO FUTURES TRADING (talk about two bozos who couldn't trade a nickel for a quarter from a blind kid!), and Murphy's tome (come on nobody really ploughs through THAT turgid tract in its entirety). Then find a few advisories with things to say and education to impart (see my recommendation below).
Any numbskull who thinks all they need do is pay someone $500, $1,000, or more, and they will be guided to riches gives numbskulls around the world a bad name.
The idea is to find someone whose approach makes sense to you. Perhaps they do some of the grunt work. I for example no longer plough through hundreds of charts and indicators when there are services that will do it for me. I merely take that info they so efficiently sorted out for me. Since I know that successful trading is primarily cutting losses (not spending hours on ferreting out pointless mathematical nuances as though they mean anything), I make money steadily and consistently using these others' inputs.
I know from reading the comments in these pages that these exact same services, that I use to great success, are regularly lambasted by know-nothings who will never make a dime except by the sheerest luck. By the way, I authored and edited a number of highly rated advisories over the years, and yes, my mailbags were filled with equal number of letters of praise and condemnation. And they were all reading or getting via telephone hotlines, the EXACT SAME advice. Its been years since I participated in the advisory business for that very reason.
For websites, I highly recommend TradingMarkets.com, of David Landry fame for one. If you are expecting hot tip heaven, forget it, it doesn't exist. But for continuous intelligent commentary from a variety of commentators (some I like, some I can stand, and others are to nonsense what the Sporting News is to baseball), realistic perspectives on the business of trading, and yes, loads of ads for their premium services (which I manage to ignore), it is the the best value out there. But check out the hundreds of others. It won't cost you a dime to see what they look like.
One last point. Many of the "experts" in these pages suggest that you should only read books from "proven" traders, as though being a successful trader somehow enables you to write competently. The skills of a writer are far different from trading skills. Some of the very best educational materials you will ever find are written by people for whom "clueless" is the highest possible praise of their trading ability.
Virtually all of Jake Bernstein's numerous books and materials are invaluable. Yet, no one ever confused Jake with Richard Dennis, or Paul Tudor Jones. There are truly great educators in the business who cannot provide you with great trading tickets. So What?!
Take most of the highly negative blatherings that you read here from anonymous know-nothings with a grain of salt. Only you can test the value of the many products out there. And remember the most valuable criticism is that which tells you why something is good or bad. Ignore the numerous idiotic rumors that such and such author is a victim of Mad Cow disease, or even worse, takes advice from Anna Nicole Smith, or has a former dimwitted associate saying negative things (duh!), or some other such idiocy.
This is the longest I have ever written in the field without payment. And it will be my last contribution. Don't bother commenting or sending me emails. I don't care about your opinions, your complaints, or your problems. For at least one or two readers I hope this cuts through the negativism out there and provides some value.
I suspect that Mr. Landry will confirm my own experience. Successful traders in general have a great positive outlook on the markets and life in general. You don't find whiny crybabies knocking everyone and everything among real professional traders. The world is a great place and the markets are a wonderful challenge that constantly changes and tests us hourly, daily, weekly, monthly, and for our entire lives at least for those of us who decide make that trip. It is an awe-inspiring, uplifting, life affirming experience.
I truly extend my wishes for the best of luck to all of you. You will need it as long as your focus is on developing perfect technical trading systems that somehow will account for every human foible (and remember those are what ultimately drive prices), rather than learning to understand and discipline your own foibles as a trader.
Keep your heads up. You stop earning when you stop learning. But you will never learn when all you can do is find problems, complaints, errors, treachery, and deviousness wherever you look.
Tolive
RS