This one had me laughing. If you find yourself having to fake digestive problems in order to "make a trade", I feel confident in saying you are NOT going about the markets in the wisest of ways – haha! Thanks to our guest, Chad, and his truthfulness we all get to see what certain "strategies" can lead to. As funny as his story is, I'm sure several of you can relate to it in one way or another. Bottom line, signing up for a service that promises to send you text and/or email alerts in order to make you money is not going to turn out well. I realize on the surface it sounds great (and the really great advertisers make it sound even greater), but in the real world and in a practical sense… it doesn't work consistently. From both an entertainment perspective and a wisdom perspective, this discussion has lots of great stuff in it, so be sure to set some time aside to listen! Notes: Today we speak with community member Chad. His interest in the market grew after he talked to someone who retired early and was currently trading ETFs in his tax-free account to generate about $1,000 a week. After spending hundreds of hours going through free education and briefly paper trading (for a week), he pooled together about 7k and borrowed money to get his account to the 10k mark. His logic was that he could trade 1000 shares of stocks under 10 dollars with that size account. Chad started the first day positive and then promptly lost 800 dollars the next. This led him to realize he needed to find someone who could provide a more structured training. He joined a community that essentially played follow the leader. While he had some winners he had more losers which were also larger than his wins. He decided to take a break and focus on life instead of trading. Utilizing the gains from selling his house, Chad got his finances back in order and cleared his old debts that had accumulated. After getting back into trading he started to paper trade options, futures, and forex. Chad opened a futures account and began to rapidly trade intraday since his new job hours worked with market hours. He realized that he ultimately did not want to day trade. As much as he wanted it to work it just didn't work with his personality. This led him to focus on advanced options. Now Chad is paper trading advanced options while he saves up to a certain amount for his trading account. While he has a rough idea when he will go live, he's going to wait to see what his paper trading performance has looked like and will use that to determine when he is ready to put money on the line again. Quotes: I thought you had to be on Wall Street or work in an office building to be a part of the market. I saw the tab at the top that said 'Options.' I thought that was settings for the platform. I was willing to listen to complete strangers to verify my thesis that this company would do well… even though they've never had a positive earnings report. I like to relate free education to a 1000 piece puzzle. You don't have the picture on the box and you're missing 100 pieces. I came to the conclusion was that I don't like day trading. Despite wanting to do it so badly I didn't like the rapid decisions you had to make. Links: https://claytrader.com/videos/trade-profits-100-time/

Ask this episode

“What did the council decide on item 42?” — answered with the speaker and the moment.

Transcript

Related