Tuesday, October 06, 2009

So You Want to Be a Super Trader?

Super Trader
By Van K. Tharp, Ph.D - Van Tharp Institute

Click Here For Dr Van Tharp's 2009 Trading Workshops Schedule

We’ve had a lot of interest lately in our two year Super Trader program. More people are taking their investment education seriously and preparing themselves just like they would in any other profession. They don’t want to be average investors or traders who constantly lose or fail to outperform the market. Instead, they want to be Super Traders. Is this you?

In my new book, Super Trader: Make Consistent Profits in Good and Bad Markets, there is a short quiz that I reprinted here.

1. Do I treat my trading/investing like a business? Have I prepared for it like a business?

2. Do I have a business plan—a working document to guide my trading business?

3. Do I identify and address my mistakes regularly (a mistake means not following my rules)?

4. Am I following a regular procedure to prevent mistakes?

5. Do I have a tested system? Do I know its System Quality Number™?

6. Do I know how that system will perform in different kinds of markets?

7. Do I know what kind of market we are in now? Do I know what to expect from my system in such a market?

8. When it’s not expected to do well because of the market type, do I stop trading it?

9. Do I have exit points preplanned for every position I currently have in the market?

10. Have I developed specific objectives for my trading?

11. Do I understand that I achieve my objectives through a position sizing (TM) algorithm? Have I developed a specific position sizing algorithm to meet my objectives?

12. Do I understand the importance of the above points?

13. Do I understand that I create my own investment results through my thinking and beliefs? Do I accept responsibility for that creation?

14. Do I regularly work on myself to make sure that I follow the above points?

Circle all of the responses that are true for you. If you have not circled at least ten of the fourteen, then you are NOT taking your trading seriously. Your financial health is in danger. It just shows you how much work you need to do. I strongly recommend that you read the Super Trader book as a starting point.

And, if you are really serious about becoming a Super Trader soon or down the road, then I recommend that you enroll in our upcoming Super Trader teleconference. The teleconference will start on Monday September 28th at 8 PM with the all-important topic of “Working on Yourself.”

But this teleconference is not just one day—it’s in a series format spread over five days. Each day will include an hour of packed information related to becoming a Super Trader plus time for your questions.

Here are the five topics:

1) Working on Yourself (developing a solid core)

2) Developing a Business Plan to Guide Your Trading/Investing

3) Understanding Market Type and Developing Core Systems to Fit Each Market Type

4) Knowing Your Objectives and Using Position SizingTM to Meet Your Objectives

5) Learning How Efficient You Are and Using the 12 Tasks of Trading to Eliminate Mistakes

I’ll spend a full hour with you on each session, so you’ll be getting at least six hours of my time in these teleconferences. (My hourly rate for private consulting is $1,000 per hour.)

RJ Hixson, our Vice President of Research and Development, will also be a part of this teleconference. RJ understands these topics thoroughly because he’s been through them and has completed the Super Trader program. I consider him to be a mentor to our current Super Traders, and he’ll be a mentor to you on this teleconference. You’ll be getting at least six hours of RJ’s time in these teleconferences, as well.

In addition, I expect that about ten of our current Super Trader candidates will also be listening into this teleconference. They can give you their feedback about what it’s like to be going through these steps right now.

Click here for Dr Van Tharps Trader Programs and Workshops