Do Trading Course actually work ?
 

Hi,

I am keen to know if there are folks who have attend trading course conducted by those advertised trading managers and found those tips that are given useful and workable.

Care to share what was the best advice you received ? And what was the "school fees" you paid so far ? And how tips given actually made an improvement to your trading strategy / portfolio.

Frankly, would you also comment if this is due to luck or really increase in your trading skills.

The real key to trading.. let me tell you.

Number 1: Identify the major trend (up or down)

Number 2: Trade that trend...as if give higher probability. Build small positions...
and keep adding to that trend and let time make the trades mature.

Minimize ultra short term trading... which will likely cause you psychological and $$$ damage.

As to how to identify trend and add positions... you have to find it yourself. Without number 1, nothing can work. Think of major trend as Big Boss and adding positions as Workers. Add more Workers along with the Big Boss. If Big Boss turns, take out Workers batches by batches.

I have an even simpler strategy - buy during major recessions / crises, e.g. 1997 AFC, 2000 dotcom bust, 2001 september-eleven, 2003 sars, 2008 lehman, and sell half to two-thirds during major euphoria (1996 property craze, 1999 dotcom craze, 2007 super bull run) which usually happens just before a major crisis.

You'll find that this is easier than going in and out of the market. If the market is unexciting, you just sit back and enjoy the dividends.

Of course trading courses don't work. Cos the trainers themselves are failures. Why else would they want to teach and impart their knowledge? If they can already make millions, why waste time teaching dummies who don't know anything?

Remisier King Peter Lim doesn't teach for money. He willingly shares his knowledge (the general stuff) with newspapers. Go read his interviews. Of course, he won't share the very special stuff that gives him an edge. He'll buy the stock first, and then later the newspapers will learn of it, like the recent purchase of Informatics stock.

So, if you are a "dummy" in trading, do yourself a favour. The first thing you should do is read up widely first. The basic stuff is all free. As for the stuff that gives people an edge, you can never learn from a "guru" anywhere. It naturally comes with intelligence and experience.

Arent you afraid that the company you invest go bust ?

Maybe, but if the other guy is right, there is a major surge in interest in trading and these are guys are really milking it.

But really, i do want to hear more about those who really attended these training and if they really experienced a increase return over their portfolio.

Would you say doing a CFA, etc will be better than going for such a course or the reverse is true ?

When I was younger, I did 2 levels of CFA. I wouldn't say it's entirely useless or useful. It's just like a degree - employers want to know if you are able to learn things well and excel under stressful conditions like examinations.

But, having said that, education can only bring you to a certain point. And sadly, at that certain point, you are on par with many many others. To differentiate yourself, a lot of what you need is common sense, analytical skill, experience and definitely some luck.

Honestly, if you ask me, you don't need degrees or CFA to succeed in anything.

How many companies have gone bust? They are usually the ones into "special areas".

To play safe, you can always trade the STI component stocks or blue chips. I've made over 100% profit in the last crisis trading them ("trade" as in medium term trading, not "in and out" trading). Of course, you can always cite CSM and Creative as bad examples, but for every CSM or Creative there are countless other very profitable stocks.

I can tell that you are a noob. You need to read widely and monitor the market closely with an open mind. Study the big charts, study the 10-year history (if you ask me, I don't trust short term technical analysis).

Don't waste time on seminars. They won't help much - they'll only enrich the self-proclaimed "gurus". Your time could be better spent reading and monitoring the market. I used to waste a lot of time reading about the seminars, their ads, their trainers, attending their "free" previews, and wondering why they do it, how they do it, are they for real, etc. It's a waste of my time. Or maybe not - I can become a seminar guy one day too! :)

Wow. I am impressed. You determined that i am a noob because of which statement ?

Anyway, since i started this thread, i want it to be more constructive. I read most posts here and i find that they are not constructive and usually filled with personal remarks so that a reader cannot make good use of the information given. Hope that things can change and i will strive to provide sincere advice without the personal element for those who really need it. (and if i fail, let me know and i will give you my apologies) . That is also one reason why i decided to move from unregistered status in this forum so i can be accountable for my words. ok, enough about my convictions.

Back to your post and point on investing in crisis which is similiar to gabriel yap. Can you share your key assumptions ?

My questions are :

1. Do you invest in large cap companies during crisis or small cap ones ?

2. And during crisis, do you favour any sector speciality for the rebound? Hard commodities like oil and gas, metals , or maybe tech , finance etc ?

3. You seem to also favour the warren buffet approach of LT view of companies. If so, then your trading strategy is strategic investment bet style.

4. Care to share what is your worst investment ?

Ok, by the way, i am keen to know more about really short term trading? Less than a week timeframe of holding.

Those who do, please share , and maybe let's see if we want to start a separate post on technical trading if more are interested.

Again, the purpose of this thread will be to also determine if trading courses do work ?

Is it really just down to luck to be a good trader ?

Sorry if I sounded rude. I just thought you were new to investing / trading. That's all. No offense intended.

1. Large caps.

2. Commodities, oil and gas, and a little finance, SGX too.

3. Not exactly Buffett approach. He rarely sells. I buy low during crises and sell high during happy periods. There's a risk too - if the crisis turns out to be as bad as the great depression (or its aftermath), my money could get stuck for a long time before I see any gains.