6 Things You Can Gain from Trading Classes
You’ve made it to the final piece of my argument for day trading classes. Congratulations!
Yesterday we started to talk about the six things you can get from diving into a day trading education.
I jumped into the first one: a strong foundation.
Just to recap:
It’s important to have a strong foundation of knowledge before you can be successful — and that goes for most things.
Day trading is no different. A strong knowledge base is incredibly important. It helps ensure that you understand the market mechanics, how to execute trades, trade order types, and how to choose stocks, just to name a few of the many benefits.
When you learn from the bottom up, you’ll be more likely to remain strong and unshakable when faced with the challenges that day trading can (and will) throw your way as you progress in your career.
And now on to number two…
2. Learn a Number of Trading Methods
There are plenty of different ways to approach trading.
As you know if you read this blog regularly, my favored method of trading is to choose low-priced stocks and trade based on tracking reliable patterns and stock chart history.
As a teacher, I focus strongly on teaching my students all about these methods, because they are time-tested and can be effective in both bull and bear markets. I’m an open book: I share everything I do with my students, tracking every trade and regularly sharing watchlists.
However, I don’t solely teach my students what I do. I want to teach them how to think for themselves, not just how to follow someone else’s trades.
So, I also introduce my students to other trading methods, so that they can choose their own path. I want to expose them to all sorts of trading types, from mutual funds to forex trading to options trading and more. This exposure empowers you as a student and as a trader.
If you were to just start trading without assistance, you might figure out certain methods of trading that work for you in time. But what is more common is that traders don’t understand the different types of trading, and end up just copying other more established traders.
This is something that you should never do.
Why not? Because it never really works. If you’re a follower, you’ll always come into trades a little late and there will always be factors about their fundamental or technical research that you won’t be privy to.
You need to learn to think for yourself.
If you take day trading classes, you’ll be exposed to more styles of trading than you might be otherwise. Armed with an education, once you begin trading on your own, these methods will begin to make sense. You’ll be better able to make decisions that suit your style as a trader.
When you have mastery of a number of different trading methods, you’ll be far more nimble as a trader. You’ll also be better prepared to deal with shifts in the market with more trading tools in your repertoire.
3. Pattern Identification
In my online teachings, I put a lot of emphasis on teaching my students about pattern recognition. If you can find predictable patterns in a stock’s performance and can take advantage of this, it will serve you well as a trader.
I truly believe that by learning to identify patterns with stocks, you can make the most educated trades and mitigate risk as much as possible. This methodology is the backbone of my trading career.
However, learning how to identify trading patterns isn’t always easy. It takes time and targeted study. A day trading class can help you learn how to identify patterns faster and more effectively.
Once you begin to be able to identify patterns, you will begin to understand the types of trades that can help you profit as a trader.
If you keep a trading journal and keep track of what you’re doing that makes you money, you can take advantage of patterns and keep refining your methods and improving your profits over time.
Having a mentor is like having a fast-forward button on your trading career.
You can learn a lot from someone who is further along in their career than you. One of the biggest benefits is that they can they offer extremely relevant and targeted advice from a place of experience.
But they can also help you get a leg up by teaching you what they did right … and help you avoid mistakes by schooling you on what they did wrong.
With the help of a mentor, you can potentially ascend toward success faster and sail past some common pitfalls for new traders.
No, it’s still not going to be easy, but why make it harder than it needs to be? I act as a mentor to my students so that they can avoid some of the mistakes I’ve made as a trader.
If you want to realize your goals and dreams, you need to work hard. To work hard over time requires a massive amount of self motivation.
Staying motivated isn’t always easy, and it’s even harder when you’re trying to do everything yourself. Having a source of accountability can be extremely helpful in allowing you to stay on track and not give up when times get tough.
Day trading classes can help offer a resource that keeps you accountable and helps you maintain motivation. Your mentor and your fellow students help you form a community that keeps you on task and inspired to keep growing and learning.
6. Day Trading Strategies
When you take day trading classes, you’ll be clued in on day trading strategies that you otherwise might have to learn the hard way, losing money (and potentially motivation) as you go.
Here are some of the things you’ll likely learn about:
History rarely repeats itself exactly, but often close enough to merit consideration. When you look at a stock’s performance over time, are there patterns that seem to be reliable or predictable?
This is a topic that is covered extensively in my day trading classes and that every trader should know.
Volume and Volatility
Trading volume can be extremely easy to understand. It simply refers to the amount of stock shares that are being sold or bought during a specific period, like a trading day. However, making use of volume and volatility can prove a little bit trickier.
Day trading classes can help you better understand the factual definitions of indicators like volume and volatility to and how they apply in conjunction with applications like stocks to trade.
Moreover, you’ll learn how to identify momentum and trends, see the price action, determine ease and entry of exit, be able to determine strong trading plans, and perform effective fundamental and technical research.
I’ve been trading for a long time, and I’ve learned plenty on my trading journey. Much of the knowledge I’ve amassed I’ve learned the hard way, because when I started out, there weren’t many day trading education resources out there.
As a teacher, my motivation is to help my students by giving them the education and information I wish I’d had access to when I was first starting out.
As mentioned, I trade alongside my students every day with a small account — so I can stay on a similar level of trading and be the most effective teacher I possibly can be.
The Bottom Line
Day trading classes can help you become a more effective trader. They offer many benefits for both newbie traders and those who tried to go it alone and found the process challenging.
Day trading classes can help you streamline your learning curve and refine your trading methods so that you can be more prepared to deal with what the market sends your way.
— Tim Sykes
Editor, Penny Stock Millionaires