What Do You Love About The Stock Market And Trading?
I think the thing I love most about trading is that it’s just one gigantic game. There’s thousands of market participants all over the world, and they’re all competing together to try and achieve the one outcome, which is making money consistently. I mean people’s definitions and objectives are a little bit different, but in general, everyone’s in the market, in some way or another, to make money. And for me, the process of thinking about, okay, what am I trying to achieve, and what type of move am I going to catch, and how am I going to catch that move? And what rules could best allow me to get in and get out of the market as close to the beginning of my move, and as close to the end of my move, as possible, so I can make the most amount of money?
I just geek out on that stuff. I just love looking at different ways of making money, and analyzing historical performance, and backtesting my rules, and finding what works, and then implementing it. Because, look, it’s super-interesting. There’s lots of different ways to make money. There’s many, many, many trading systems that work. Any educator that tells you, “There’s only one way to trade, and this is it”, frankly, they’re just lying to you. There’s thousands of trading systems that work and I’ve tested heaps of different approaches that work. The key is to find an approach that works for you. I’ve found systems and rules that work for me because they match my personality, they match my objectives, and they match my lifestyle. As soon as I found those rules that matched those three things, my trading life just became simple, and profitable, and consistent.
And what I love is that you can make money by waiting. It’s this crazy thing where you develop a set of rules, and you follow those rules. Following the rules means I place a trade today and I’ll wait. I’ll wait until I get a sell signal. And when I get a sell signal, I wait for a buy signal. I’ve spent months waiting for a position to play out and made hundreds of thousands of dollars because I was willing to wait. It’s like, where else can you do that? You can’t wait in any line, anywhere and get paid except to the stock market.
And there’s this great quote, what Warren Buffett said, that the stock market is a mechanism to transfer wealth from the impatient to the patient. And I absolutely believe that’s true because if you have the patients to follow a set of rules that are profitable, follow a trading system, making money is only a matter of time. I mean you’re going to have fluctuations in your account and you’re going to go through good periods and bad periods, but if you have a winning approach and you’re patient enough to follow it, then that’s when you make the money. And I think that’s what I love. I love that process of developing those rules and testing them and making sure that they’re profitable and stable and managing the risk and waiting for the outcome and seeing the account build.
And it’s just such an amazing process once you get it right. And I just wish everyone could learn it, but not everyone’s willing to take that step and willing to invest in themselves. I mean, I hope you’re willing to invest in yourself and learn how to trade in stocks and how to develop your own trading system, because when you do, you get this new hope like I did. When I got to the point where my trading was working and I knew it was working, I wasn’t rich yet, I wasn’t a millionaire, I hadn’t paid off all my debts or any of that. And I think I only had a small account. I had a 20 or $30,000 account. But at the time when I got that confidence, I just knew, I knew it was working and it was going to keep working because I developed my rules. I backtested them. I’d started trading more. I could see the reality of the money flowing into my account. When I got that confidence, man, my world changed.
I mean it was still quite some time after that, before I was financially independent. But what changed was the confidence that my life was getting better because my wealth was growing independently of my job. And that’s just an amazing feeling, knowing that no matter what happens in your career your wealth is building and it’s going to get you there, wherever there is for you. It’s going to get you to your financial dreams and your dream life and the lifestyle that you really want. It’s just a matter of time and not everyone’s going to achieve it because not everyone is committed enough. Not everyone wants that dream enough. Not everyone puts in the effort. But if you do and you start on the path and you develop your own training systems and you learn how to do this, it’s an amazing journey.
And I just love seeing people develop and grow and get those, aha moments, when they finally get it, that trading is not complicated, but you just need a simple set of rules that suit you and match your personality and match your objectives and give you the lifestyle that you want, or actually fit your current lifestyle so that you can follow them consistently. And look, bringing all of those moving parts together and designing rules and systems to achieve that, I get off on that. It’s the best thing ever.