Where Can Retail Traders Get an Edge in the Market? Ben Berggreen Answers

a retail trader as a human getting an edge has to be systematic there has to be some sort of quantitative systematic element to it and some discipline there because they have to go into a longer time horizon where the where the retail traders in your opinion in all probability get an edge over the market well I think you know if you kind of put this put yourself somewhere in between the high-frequency quant type hedge funds and playing like long-only typical value manager who you know they look at years and years so if you look at more I guess what's referred to more is a swing trading style which is you know a few months one month to six months around there yeah I think you can find a lot of opportunities but I at the end of the day though you know you really have to mash your personality to your trading style mmm you can't necessarily take one approach that's not it's not gonna be a fit all sure you fight you have a you know kind of a model if you will or a process but then you finesse it to to your style because if you're not comfortable taking risk much risk you shouldn't be trading the same thing as somebody who's very comfortable trading and taking risk so that's kind of in a something that's been really useful for me and something that took me a long time to learn is you're not gonna be successful until your matches your trading approach to your personality so I mean you guys who have literally never done anything in financial markets for retail traders open a trading account put real money in there it's you know part of their life savings and obviously like anybody else they don't want to lose it in terms of gaining a foundation gaining an education in the first year or two and then at the same time obviously finding where opportunities like this kind of like weekly to monthly time horizon there's there's so many different styles in so many different ways that can retail traders can have can approach that kind of like 1 to 6 month horizon so finding the personality within that time horizon do you think it's possible for retail traders to be successful like as a high percentage of them well not unless you have basically somebody holding your hand at least and beginning because as soon as you put you know real money on the line for a lot of retail traders it's it's money that they don't want to lose I don't mean nobody does it loose but but I think you know if you trade your money which is millions of dollars or somebody else's money when you trade your own money and you loose and then you think about our man you know I I could have used that money for this or that it is actually very difficult sometimes to deal with pushing beginning so discipline is is to me the most important thing in trading but you know you need you need to have the process and when you start out you don't know how your trading style is gonna fit right whether the market but you need somebody to help you out in the beginning somebody to hold your hand because there's so many mistakes that can be made in the beginning and then the way this works is that you do a couple mistakes and then they kind of become a snowball and it starts rolling down the hill and before you know it you blew out of half your accounts and you don't even know what happened you're like oh what does happen nobody wants to blow half their account right alright because and it's all about understanding the risk management discipline trading is a lot more complicated really than what you read in in any book you can buy because I didn't today you know it's all about emotional how you are emotionally and how you control your emotions so if you trade a little oh I don't know some sim accounts you might do great but you don't have the emotional impact which is huge and you know especially when you if you have any loose because you will loose on multiple trades you know how you then react to those losses and that is I think where as really important to have somebody you can you can go to for for help and you know somebody can kind of guide you on the right path but then eventually you build you know develop your own style and you become self independent but that you know the learning curve can come take some can take some getting used to and it can be really expensive to get to that point unless you have somebody who can guide you down the right path I think

Channel: InstituteofTrading

Views: 68,960

Keywords: Anton Kreil, Raj Malhotra, Jason McDonald, Chris Cathey, ITPM, Institute of Trading, Goldman Sachs, Trading, Retail Trading, FOREX, Instutrade, Institute of Trading and Portfolio Management, Ben Berggreen, Stock Market, David Perlin, Ross Williams, Anthony Iser, Million Dollar Traders, Hedge Funds, Investment Banks, Training, Coaching, Mentoring, Business, NYSE, NASDAQ, Day Trading, Swing Trading, Hichem Djouhri, Stocks, Commodities, Interview, Wall Street, Finance, Millionaire, Billionaire

Id: I-XsHDoniKc

Length: 4min 54sec (294 seconds)

Published: Tue Mar 20 2018