How to choose a forex trainer
If you have tried one of the trading “mentors” with the flashy cars and mansions that you found on YouTube, and it did not turn out the way you were promised, it may be time to face reality.
I can tell you that any money making endeavour is difficult to start with. There is no way to make large profits after three months of watching videos. It is not true about any industry and it sure is not true about currency trading.
If the equivalent of 3-years study is 10 000 hours, you can expect that to be the time you will need to learn enough about currency trading to be reasonably successful. Mentoring can speed up the process.
In any career, you will find that the people who make the largest income, are those that put in the time and effort to become masters of their trade. Whether in the medical, legal, scientific or business fields, you need to put in the time, and apply your mind, or you will never be a top earner.
Why then would forex trading be any different?
But, it is after aspiring traders have burnt their fingers, that the difficult part begins. How to find training or mentors that will give you your money’s worth?
Finding a forex educator is easy. Finding a forex educator that really knows forex trading, is difficult.
How to choose a trading mentor
People often ask me how to find a trustworthy forex trainer that will help them on their way to trading success.
The best way to approach the search for a mentor, is to look for a trainer who has a proven track record.
And no, boasting about the money you made on social media does not make you a trader with a good track record.
So, how must I approach the search for a mentor worth the money I will spend on the training?
Consider that you need someone who will be able to coach you through good and bad times, who would be a logical choice? Would it not be someone who has been through good and bad times, through booms and busts?
What you want to do first, is to sift out the trainers and gurus without experience. You are looking at removing from your list of potential trainers, those ones that has experienced only one economic cycle, especially if it was a boom cycle.
What you should be looking for is a mentor that has survived, and preferably flourished, during an economic bust. Those are the people who has the experience that you need.
During an economic boom, it is relatively easy to be successful and the gurus jump out from behind every bush. The acid test is whether a forex trader has survived a recession.
Secondly, you need a forex trainer who were able to make a living from trading for a while. The longer, the better.
Surely, not many people will have more to teach you than a trader who could make a living through all the economic cycles?
You are not looking for someone who became rich. Just making a living is quite adequate. It is a false view that someone who became rich quickly, is a better mentor.
A good example is a sports person who excelled because of a natural aptitude for the sport, but who have limited success as a trainer after retiring. It is often the average sports person who had to study the sport and needed to spend extra time and more effort to reach success, that understands the sport better and makes a better trainer.
You are not looking for the “natural wonder” who may not comprehend why you struggle with the learning process. You need the mentor who went through the same struggles as you, before reaching success.
Do not choose a trading mentor based on what you are told. Choose on what you can see.
Anyone can boast about making a fortune in three months. Lucky gamblers do that. You need to look for the trader who can boast about repeating his success.
Hitting the jackpot is easy, it depends on luck. Hitting the jackpot every week is another story.
You can never know whether a trader will be successful in future, just as you don’t know whether you will be successful. You can only look at history and see if there is a basis for future success.
It is reasonable to expect that someone who made a living from trading over, ten, twenty or forty years, will have a better chance of being successful in the next year. The same can’t be said of a trader who made profit in only one year, especially if it was in an economic boom cycle.
In our view, someone who traded for a living for more than 20 years and who rose to become head trader for a major bank, should be a good choice as a mentor.
On this website you will find links to traders, trainers and brokers.
Some may be affiliate links which does not cost you anything if you buy their products or services via links on my site, but it does help pay for the maintenance of the site