Trading training with a trader

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Finding a good trading background is sometimes complicated for a new trader. There are many possibilities with specialized websites, paid group training, trading books, etc. Beginners are often lost and don't know where to start. Some are therefore turning to another solution, which consists in using a trader for personalized training. On paper, it seems to be the ideal solution. A professional trader transmits all his knowledge and trading strategy to you, and so you are sure to be a winner in your trading. But what about reality?

How to choose the right trader to teach you trading?

Before considering the relevance of this type of trading training, let's look at the characteristics that a good trainer must have:



: The trader must be able to clearly explain the different aspects of trading (psychology, money management, strategies, etc.). This is very important. It's like a teacher in school, the subject can be interesting but with a bad teacher, you'll hate the subject.

You must also have a good relationship with him. You will spend several days training with him, so it is imperative to get along well. It's like life, there are personalities you can't stand! He must therefore be someone that you know, with whom you have already made contact, either through a site or at a trade fair, etc.



: You should look at the trader's CV. How long has he been trading? Has he already run some training courses? In short, it's like a job interview, you need to know who you're dealing with.



: If you talk to a trader directly, it's because you want to perform well in the financial markets. The trader must therefore be effective in his trading. You absolutely must ask him for proof of what he tells you. It's easy to say that you make 50% a year, but how you got there is another thing. If the results are too high (50% for example), beware, it's probably fake or it's because he takes too many risks!

If you follow all these criteria, it eliminates a lot of people. If you finally find someone reliable, should you go for a personalized training trading course?

Reasons not to do a personalized trading training course



: Group paid trading training courses, (you know my opinion on them), and they are expensive enough. But a private trading training course is even more expensive. You're going to tell me that this is understandable. It's going to be in the order of several thousand euros. You can see this as a long-term investment. You are going to get this money back through trading...

A little example. Your training costs you €2,000. After that, if you make 10% per year, that is a good enough result! To recover your investment over 2 years, you must therefore invest €10,000. For 2 years, you will trade for nothing, and then some. I’m using a €10,000 account in this example. In many cases, it is people with the lowest incomes who choose this type of training (in the hope of generating a lot of money).

Always consider your training course as an investment. You have to be able to make it profitable and few people can do that.


Investor profile

: Each trader has his own trading preferences: scalper, swing trader, trend trader, against the trend trader, short term trader, long term trader, etc., and, I should add, each trader has a different psychology (risk aversion, emotion management, etc.). All this makes each trader unique. A trader's strategy is the combination of all these elements.

Your trainer will not have the same vision as you do. He'll teach you his strategy. The problem is that it will be different from the one you would have used if you had trained yourself for trading.
As a result, you could force yourself to apply a strategy that goes against your nature as an investor. For example, he could tell you to trade short term when you may not be cut out for that, or to scalp when you see yourself more as a swing trader.

In the short term, you tell yourself that this is not a problem, but in the long term you come to realize that you can't stick to your trading plan. You will be tempted to switch to trades that suit you better. Generally, in a winning phase, everything is fine, but in a losing phase (which is inevitable for all traders, don't think otherwise!), you will start to doubt the strategy you have been taught (and sometimes even turn against the trainer).

Your trainer (and trader) can be the best there is, that doesn't change anything. He teaches you his strategy. The best trading strategy is your own, that's the one that suits you! There are thousands of winning strategies (with a little time it is easy to find them), but the hardest part is to stick to them over time. In trading, the important thing is not to win but to last, and for that, you have to know how to perfectly manage market risk and emotions, and have a strategy that matches your investor profile.



: After completing trading training, you generally feel confident. The trainer has managed to make money as you watch, you just have to replicate what he did or what he got you to do. You may even want to take risks by increasing the size of your positions, telling yourself that you can't lose, that his strategy is safe.

The problem is that once you are alone in front of your trading screen, you will see that it is not the same thing. You're going to be lost. Having self-confidence in trading takes a long time! It's not 2 or 3 days of training that makes you a good trader.

In addition, on the financial markets, trading conditions are constantly changing (volatility phase, range, etc.). So you have to be able to adapt, and training doesn't teach you that. It teaches you to trade at a given moment. You don't have the experience to know how to handle different situations. As in life, there is a big difference between theory and practice.

You can't be good at trading if you haven't gained market experience. And training does not teach you that.

So then, is it useless to have trading training with a trader?

It is not useless, but it should not be undertaken for the wrong reasons. If you do this to be able to copy a winning trading strategy, you are mistaken. Books or training that sell you a strategy are scams. Even though whoever sells it may not have bad intentions an experienced trader should know this.

If you see training as a shortcut to learning the basics of trading faster, that’s different. A trader trainer can help you to learn the important points of trading but it is not worth a lot, as you can find all that for free on the specialized sites. Afterwards, you may need someone to reassure you, to confirm that you are not on the wrong track in your apprenticeship. Certainly, but you can ask these questions on the forums, and it's free!

Get thoughts of being able to become a good trader overnight out of your head. Trading is a step-by-step process. There is a long way to go. It takes time and patience! With these you can accumulate experience that will lead you to successful trading.

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