This may come across as a mini rant but allow me to spew some gospel here regarding something near and dear to me: traders focusing all their attention on stock-picks. And it doesn’t matter if those alerts are coming from a service, indicator or “Joe Schmoe” on Twitter. That’s what they crave, to the point that they overlook some really useful and quality resources that don’t offer the simplicity of alerts, but would actually benefit the trader.
Don’t get me wrong, every trader starts out there. It’s natural to want to have someone else do all the work for you. If only it was that easy. While every single trader has tried tailing somebody else’s picks hoping they’ve found the golden goose, everyone has the same response.
It doesn’t work.
It doesn’t f’n work! Trust me, it’s a losing proposition. I’m in this game 20+ years, have seen and worked around a handful of professional traders who make money consistently in this game, and they definitely didn’t do it by following someone else’s picks.
You see, trading can be a very streaky game, and usually you hop on a hot trader’s picks only because you have seen a handful of winners, not realizing he or she is overdue for a losing trade, or even a coldspell.
So basically you’re randomly picking, relying on luck and probably overextending yourself based off what you have seen in the past. You obviously can’t tail every single play and move that somebody else is making, you have different bankroll, risks, resources, etc…so just forget it!
What you should be focusing on is utilizing your tools and resources (possibly learned from watching other successful traders) and applying them to structure your own gameplan/strategy.
That’s the first thing I tell anybody who asks me for advice, or how to trade, or a “pick” … What is your f’n plan dude? Are you looking to swing trade, day trade, invest longer term…is this your profession, looking for income, or investing on the side? If you step into this game without knowing what it is you are trying to accomplish, you are dead before you even get started.
And I see it all day, everyday around me. Traders telling me they’re losing money because they decided to swing NFLX off a weekly call sweeper, that already expired last week! Or they are day traders but decided to swing this stock for some reason they can’t seem to explain. That’s why I refuse to give out stock picks to my subscribers: I know many would blindly follow them, and that would be my team and I setting them up for failure.
I tell every member of the Steamroom, repeatedly, that you can literally throw a dart at any and all sweep alerts you see/like, and as long as you have your stop-loss in place and a plan of what you’re looking for on the upside, you have a good shot at profitability and are well ahead of 99% of traders out there. If you put a structure and a disciplined approach together with an edge, you’re onto something. It’s amazing how few traders actually put in the work to get there though!
Whatever style of trading it is, you have to stick to a plan that allows you the chance to be profitable. Two or three winners won’t do you any good if you’re only going to give it all back on the fourth play. It’s about the big picture, something that will allow you to stick around for the long haul. One bet means absolutely nothing… that’s luck.
Everybody wants a stock pick from every Wiseguy Alert they see, but if that’s what you’re looking for, you’re spinning your wheels my friends. I sound like a broken record but I’m really looking to drill this point home because it’s what destroys so many traders. You have to develop a plan that allows you to both lose and take profits. A plan that suits your bankroll, risks, and personal needs.
That’s the most important thing in this game. Otherwise you are just a straight up degenerate player like most traders/gamblers out there. So at the least make sure you’re having fun while losing money, because its inevitable. Any edge out there, including Wiseguy Activity, is completely useless without a plan. Useless! So get to f’n work!