Hi everyone, About me... I've always been interested in anything related to the financial world (That includes anything on businesses, real estate, and equities). I've sort of an entrepreneurial spirit and very ambitious. I have always had a relationship, if you will, a sort of love of the stock market (hopefully I will learn more about the futures markets also). I'm confident in myself. I'm not here to pester anyone with 'newbie' questions. I've done a lot of research on how to actually get started in trading over the past month or so. I just want to state my plan (for personal motivational purposes and for critique/input) I have bought stock in the past, but that was a few years ago (ha, 2001. right after bull market) and I lost all of my money. I now want to be serious about the markets. I know it's going to be a slow process, but im willing to put in what it takes. I hope my age will be to my advantage because I know I will have to put in a few years before I see concrete results. Summer is fast approaching and I am looking forward to an intense ready frenzy. I have about 2.5 months off and I will read these books: - Trading For A Living ~ Elder (sort of primer on trading) - Come Into My Trading Room ~ Elder (followup to 1st book, primer on trading) - Techical Analysis of Stock Trends ~ Magee (good fundamental TA knowledge) - Reminiscences ... ~ Lefevre (read it, but reading again. insights into thought process of livermore) - Technical Analysis A to Z ~ (another good fundamental book) - Schwager's books (motivation, maxims,....) - HTMMIS ~ O'neil (read it, will again. CANSLIM seems reasonable, maybe i will build a system around this) - Phantom of the Pits (read it, will again. A few people may be familiar with him, good sound rules) - The Disciplined Trader ~ Douglas (must read, i hear. Psychology) That's what I have so far. If anyone is willing to give me input (good choices, discard...), much appreciated. Also, as for charting, I'm not at the point which i know what kind of charts I will be using. I know that different kinds of charts and what they show (candles, bars, p&f), but as for now, I'm just reading on stockcharts.com's Education section. Any input here... That's basically my plan so far. 1. Whole summer of reading (2-5 days per book) 2. Start trading halfway through summer, just to get a feel (maybe 10-30 shares) 3. I will be holding down a job (50-60 hrs/wk ~$360/wk) I intend to pursue trading wholeheartedly as a full-time career, at this point. I have good grades, will be applying to few colleges in fall (NYU, Umich, maybe UPenn). I am not dropping out of HS or anything. I am also halfway through Cisco CCNA training if anyone is familiar with networking. So, I have much to fall back on also. I am a beginner at this. I know nothing. Would ET be willing to guide me? Sorry for the lengthy post, I wanted to be thorough (for purposes of your evaluation and for personal reasons). Thanks for listening! William
My best advice is to run from this forum as fast as possible. There are numerous daytrading shops that will try get you as a customer since you are fresh blood. What you need to understand is that the odds are hugely against independent traders to make any money at all. And most give up their profits in the form of commisions to daytrading shops.. For instance, follow this thread.. read every response. http://www.elitetrader.com/vb/showthread.php?s=&threadid=18665&highlight=bright+internship Don't give anyway your tuition money just because someone offers you an "alternative." For gods sake, don't fall into the trap of these people.
Lol. Well, willy, I began reading this post ready to have the carp annoyed out of me (17yo newbie....argh!), but I've been pleasantly surprised so I'll offer a word of advice. That's a pretty good list of books you've got there. Some, like the the TA book abovem are just useful so that you know what everyone else is talking about but I'm pretty sure that in time you'll come to realize that 99% of it is basically worthless. (Honestly.) You should understand that trading is one tough gig. Believe the stats -- very, very few make decent money at this. Even those who've read all the books and put in the hard yards. Just a fact of life. So it's very important that you've got something to "fall back on". Very important. Even if you've got some "love of the markets", realize that there are many ways to make money being involved in financial markets that don't require trading your own capital. That maybe something to look into also. (That way you get to be around "the action", while avoiding some of the less desirable aspects...like gettting creamed.) Also, if you are determined to trade, if you can, avoid the temptation of "daytrading". There are few pursuits more certain to separate you from your money. Don't forget to enjoy your life too! (Though at 17 that's probably a given...)
Sounds like you have a pretty well thought out plan for a guy your age. Some suggestions: Ignore most of what your going to read on message boards. Don't be in too big a hurry to jump in the market with both feet, successful trading is more of a journey than a destination. Give yourself time to absorb your lengthy reading list. After all your reading spend some time just watching (if you haven't already). Your starting small which is good. You may want to consider staying small until you have a consistent track record. Don't confuse beginners or random luck with trading prowess. While your doing all that reading be thinking about what kind of markets, time frames and trading strategies (trend or mean reversion) are best suited to your personality. I didn't notice The Master Swing Trader (Alan Farley) or Trading Classic Chart Patterns (Bulkowski) on your list although I hesitate to suggest any more books as your already going to be suffering from information overload. There are some very helpful and knowledgeable people on these boards but they are few and far between so don't forget my first suggestion. Good Luck
Hi William You're ambitious, prepared and you seem intelligent -- a really good start. 2-5 days per book (IMO) is not enough time. You might be able to memorize (think of your history classes) -- but this is not enough to make you a trader. becoming a good trader requires a fair amount of information synthesis that comes through experience. You won't be able to find this in those books... they are excellent references and a great way to start getting the synapses going in your brain -- but you must "put in your time" applying these principles to a live market day in and day out as well as studying old charts -- and really this is only the beginning. Trading isn't like anything you've studied at school... and this isn't obvious as a beginner. If you want a shortcut you need to find a successful trader who will train you 1 on 1. Unless your uncle is a successful trader this is really really difficult to do (think about it for a minute and you'll see why). Most of us have to figure it out on our own and it's a *process* -- not just a quick read and cramming session with pizza. I'm not trying to disuade you from trading -- just trying to put things in perspective. A followup on my original statement -- being ambitious, prepared and intelligent are the *minimum requirements* for being a good trader ... the rest is dedication, desire and you gotta love the game. good luck to you JT
hey bud, I've been trading for almost 2 years now and I turn 17 in september. give me a pm and we can talk
I have always thought secretly that a teenager has much more chance to get a right start than an already frozen adult brain : now I tell it aloud . The problem with teenagers is that they lack experience of life and so tend to be too greedy. A good thing that the first experience was negative it will help to temper that side .
The BEST advise that I can give you is to think independently BUT listen to experienced traders both positive and negative and find a balance. Your book list is great but allot of it will not make to much sense to you until you have traded for awhile so do not be in a rush. In my opinion the best book to start trading with right away would be Oneil's. It will give you a good game plan and be the safest way for you to get used the real world of trading. As others have already said this is a process not an end result. IT TRULY DOES TAKE TIME AND PATIENCE .........
Wow! Thank you everyone for all of your input. I am amazed at this 'homely' welcome. Sammybea - Haha. Yes, I've read that post and another one like it (the bootcamp one for Bright). Trust me, I am not that naive. Good lookin out though. spect8or - lol. Liked my little pardox there, huh (not as in fundamental investing, but as a 'basis of knowledge' kind of fundamental)? I know exactly what you are saying about 99% of it all being worthless. That's why I tried to select books that are straight to the point. I do realize that stats are against me. Basically everyone on this board is striving towards the same goal while there are probably only a handful on this board who are those select few who make it. But I'm sure those select few were told the stat when they started too right? Everyone on this board feels they will make it, and while most will not ever (i dont mean to be harsh), I believe I can (haha, heard that before?). Thanks for the varying viewpoints to my situation. TL - Thanks for your advice. Same words echoed all over ET here. I am planning to read Farley's book but I didnt include it because I think I need a few other primers before I can comprehend Farley. Who knows, maybe or maybe not. BATrader - Haha ... history classes. That's so true! Experience.. yes, I'm gonna need a lot. As for a mentor, I don't know anyone. I can only emulate others on this board. I too will have to go through this same *process*. I believe it is part of the experience. Harrytrader - haha. Yes, I am prepared to lose. Like Phantom says, "He he loses the best, wins in the long run." or something like that. Samson - Thanks for your input. I have read O'neils book. I understand CANSLIM, but the only thing I need are chart-reading skills. That's part of my plan... studying charts. I was already thinking along your lines and believe o'neil's approach to be a good starting point. Everyone's input is much appreciated. I will think on this some more. I will be keeping in touch with the board on my plans/progress. Thank you everyone so far. Please, others, chime in.