How to pick a Trading Room, Trading Educator, Or Trading Mentor

A lot of people ask me, “who has the best trading room, is the best educator, or mentor?”. This is a tough question to answer. All I can do is give you the answer that works best for me. Which requires that I take a step back in time. Need to give you a little history.

About My Trading

At my trading desk.I started off trading the mini Dow back in 1997. At that time, the contracts were traded in the open outcry format, within the trading pit at the Chicago Board Of Trade. Of course, I got into this business like many others, I got something in the mail that promised huge profits with little effort. I immediately grabbed onto the idea of fast and easy money. This then lead to a copy of Stocks and Commodities magazine, where I caroused through the classifieds section looking for someone to teach me how to trade. I could do this trading thing, I just needed someone to teach me.

Finding A Mentor

I had no idea how futures contracts worked. The idea of going short was a foreign idea. I was hungry for knowledge, starving for it. I wanted to learn so bad. Finally, after calling every single ad in the back of Stocks and Commodities, I decided to purchase the day trading course, RS Of Houston. These guys were professional traders operating out of Houston, Texas and specialized in trading the big SP500 pit traded contract. For a fee of $3,000, I would travel to Houston and learn all I needed to know to become a professional trader. And so I paid my fee and jumped on a plane to Houston.

 Three Days With RS Of Houston

I spent three days in Houston with Ron and Valdi, both mormons, and really nice guys. The first day, we went over how the markets worked and the specialized indicators that they had developed. Day two, we went over hundreds of charts and trade sets ups. And day three we did live trading. Day 4, I went home to San Diego, armed with all the knowledge I needed to make a living day trading. I was so excited.

My First Day Trading The Mini Dow

On my first day, my very first trade, I did exactly what I was taught in the workshop. I waited for the set up and called my broker to place my order in the pits. My account was funded with $25,000 at Mann Futures. I called and told the broker to sell one mini Dow at the market. After about 5 minutes, called me back with the fill price. Yes, you are reading this correctly, he called me back 5 minutes later.

frustrated traderA little while later, my trade was going in my favor and I called back to the broker and told him to sell my emini at the market for a profit. He called me five minutes later and informed me of my fill price. I was ecstatic, my first trade for a profit of $50. Unfortunately, if read this message closer, you would of read that I sold one contract, and immediately sold another, which gave me a new position of short 2 contracts. Instead of flat.

During the course of the day, I bought and sold about a dozen times and had spent spent nearly $200 in commissions. At the end of day one, I asked my broker to confirm that I was flat for the day. He informed me that I was long June and short September in multiple contracts. Of course I had no idea what he meant. Apparently, the day I was trading was the final trading day of the June contract, and the volume had been now been moving to the September contract.

Long story short, I thought that I had made money. It turned out that I had actually lost $1200 and spent $200 in commissions. I remember walking to 711 for a slurpee, I was literally in an emotional stupor. Day one was a disaster.

Day One Lesson Learned

I learned on my first day of trading that my $3000 dollar education, and my traveling to Houston Texas to learn to trade was not enough. I needed an education on the basics, like contact months, and confirming with the broker, and how to properly place an order.

The Next Six Months Of Trading

For the next 6 months, I followed the trading plan to perfection. I did exactly as I was instructed. Everyday, I would take the trades and maintain a trading journal of my trading. I would even mark my trades up on paper, then fax them to Ron and Valdi in Houston, they would reply and give me advice on what I did right and wrong. At the end of the six months, My trading account had ground down to $10k. I had lost $15k. The biggest winner was the broker. I dont remember how much in commissions, but it was more than the trading losses. What I learned during this 6 months of trading was the something was wrong. I was told by Ron and Valdi that my technique would improve and that I needed to execute better.

Back For More Education

After 6 months of losing, I contacted Ron and Valdi and told them how poorly I had performed. They told me that I need more education and that they would like to invite me to their newest trading course for a reduced fee of $1500. They assured me that I was close to turning the corner and that a little more education would get me over the hump. And so back to the RS Of Houston trading workshop.

 The Next Six Months Of Trading

After receiving my refresher course, and replenishing my account, I went back to the markets and promptly lost another $15k. After a complete year of trading, I had spent $4500 with a trading educator, spent several thousand in trading commissions, spent $2400 for the year in a live data feed, and spent $2000 on Trade Station trading software. Oh, and blown my trading account down to parking meter type money. At that point, I threw in the towel on the RS Of Houston method of day trading method. I felt like a complete and total loser.

The Truth Revealed

Trading Fraud RevealedIn the year 2000, I finally found out the truth. The CFTC has filed a fraud allegation against RS Of Houston. They had subpoenaed the trading records of Ron and Valdi. After reviewing the records, the CFTC discovered that both Ron and Valdi had always been losing traders. And not just one or two years of losing, but every single year for year upon. The entire RS Of Houston trading education was based upon fraud and deception. Their entire trading methodology was based upon their own losing experiences, and they taught me how to lose.

They had created this entire scheme to dupe rubes like myself out of $3,000 for a trading education. I had spent an entire year attempting to execute successfully, what was flawed from the beginning. I had lost everything. The $3,000 was not much, what I really lost was an entire year of my time and nearly $50,000 in savings and this was the real damage.

How To Pick A Trading Room

This leads us back to our original question, how to pick a trading room. What you should be really considering is not the cost of the trading room, what you really need to consider is the time opportunity, and the money you could possibly lose if you pick a fraudulent trading room. You could spend months of trading room fee’s, commissions, and lose thousands upon thousands of dollars on a trading method that simply cannot work.

So What Should You Do?

The first thing you need to find out is whether the person running the trading room actually trades. This might seem like a ridiculous question, but you would be shocked at how many trading rooms that I have reviewed where the person touting the product does not even trade. Of course, they never admit it, but I press and press until I get the truth. Its not easy, but I always get to the core truth.

 Once you discover that the trading room is being sold by an actual trader, you then want to interview the trader and ask a lot of questions about personal experience. About previous trading success and failure. I have found that the best trading products are presented by educators that have tasted failure. And they love to talk about their trading failures. Anyone that talks about the pain of this business, is someone probably worth paying money. Another thing I ask for is an annual profit and loss, I don’t ask to see every single trade, just a monthly break down of performance. The honest educators have absolutely no problem showing these numbers, if they balk and make excuses, its because they are likely a fraud.

 After you discover that they are 1) Are Currently Trading, 2) Disclosed Actual Annual Results, you then need to do the most important thing…determine if your personality and resources match the trading product. For instance, if a trading room is operating 16 hours a day, and they have a great track record, then you better be willing to devote 16 hours each day to taking each signal. Or, if you purchase a trading room package from a mentor and the mentor regularly experiences an annual draw down of $15k, then you better have a trading account larger than $15k because the next big draw down is always in front of you.

How To Pick A Trading Mentor

I have found that the best trading mentors are not day traders, but are active position or swing traders. Probably one of the best I have found is Matt Davio of market profile trading academy. Matt actively trades. He is quite honest about his successes and failures, and he possesses a long history of trading success that has been proven in many different markets and environments. What make a mentor like Matt really special is that he has a proven track record of mentoring people that have also made the jump to full time professional trading. Once again, the most important thing is that the mentor is actually trading, has been around different trading environments, is open about his failures, and most importantly has a few offspring to prove that his methods can be taught.

Wrapping Things Up

There is nothing wrong with purchasing a trading room, or hiring an educator to teach about the markets. Of course, the problem is that in our quest to achieve immidiate success at trading, we forget to properly verify and substantiate the persons running these trading educational companies. Like myself, you can put all of your hopes and faith into an educator, spend thousands of dollars on educational materials and then lose thousands of dollars because the product or person was a fraud from day one. So make sure that you verify, verify, verify. Ask questions and demand proof.

 And if you are on the fence about a product, please send me an email and simply ask my opinion. Sometimes the extra voice of friend in trading can make all the difference between success and failure.

 Well thats it for now. Please leave comments below. I really appreciate your opinion, good or bad. And please let me know how I can improve.

 

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59 Comments on "How to pick a Trading Room, Trading Educator, Or Trading Mentor"

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Ashok Jain
Guest

Can you please evaluate this hot shot in Biotech who has converted $15,000 to 3 million in a couple of years. I have already joined , but having second thoughts on continuing. Looks like he is providing proof of his gains, but I am not so sure because he has partnered with Jason Bond whom you have marked as scam. His name is kyle Dennis and his website is Biotechbreakouts.com

Charles Dowis
Guest

You should check out Dan Sheridan Mentoring. He specializes in option trading and is an active trader. He puts on live trades in his classes.

Geoff
Guest

Does anyone have experience with the “Online Trading Academy”. They are very expensive and have been seriously thinking about signing up for one of their education programs. Any feedback helpful.

Geoff

Rob B
Guest

So Depressing!!

All these reviews here on these Day TR Vendor con artist and you cannot wait to send them money. Did you ask them for any proof of they can trade profitable, backed up by brokerage statements?????

Let us know how that investment goes. I have seen this movie played over and over again.

Cyn
Guest

Are they not the ones that Emmettt says he has actual hidden video about?

Stray Dog
Guest

@ Geoff
Before you part with your hard earned; do this. Set up a dummy email account to deal with all the spam you’ll get. Next go to these sites and look at their education that is free. Not claiming that it’s great but it’s probably as good as “Online Trading Academy” and it won’t cost you a bean.
www DOT swing-trade-stocks DOT com
forextradingstrategies4u DOT com/price-action-trading-course
www DOT investoo DOT com/advanced-technical-analysis
swing-trading-strategies DOT com
www DOT marketlifetrading DOT com/course/index
or Google “learn to trade stocks free course”

David Kiash
Guest
David Kiash
Hi I wanted to thank you for all the hard work you have done which is so evedient base S in your site content , the service you have provided to people and the quality and usefulness of what you have published. Your work sarisfies a large and growing need in the marketplace to help protect people from the outright fraud that is going on every day in this sector. Quick question. You mention Matt Davio in your personal summary–I cannot find any review of his actual service on your site though–and I cannot find a whole lot about people… Read more »
Jay M
Guest

You are genuine, Like you I lost about 50K two years ago using Vector Vest, to my surprise I see the advertisement of their product everywhere include your Blog. I would like to get your opinion about “TradeIdeas”, they claim their product is the best out there. I am looking for a Trading Room/Educator/ Mentor, any advise ?? Thanks Jay M.

dtchurn
Guest
Sorry you lost to vector vest. I hope it wasn’t the majority of your trading account. Yeah, I’d seen “vectorvest” advertised for so many years even on tv maybe even on PBS before. What a disservice. You can add vector vest to the add-listing or request for a review or through email to Emmett. If enough people request a review, usually it’ll be put on a to-review list as Emmett has described. For “Tradeideas” you may also want to read the warrior trading review, because Ross Cameron uses it primarily as his scanner tool, and he also has an affiliate… Read more »
James Mincell
Guest
Don’t go into the chat if you want an idea of what they do look through this book http://www.financegirltoronto.com/wp-content/uploads/2017/01/HowToDayTrade-RossCameron.pdf Many many of my friends who traded and tried ross’ room says he can’t trade or doesn’t trade in a way which can be followed he needs to provide a proper review to this site.Sometimes the stocks he trades is highly illiquid .I also found a hack into his website and downloaded a great deal of his content .If you can find my email on here I will give you jay but I don’t want to put it up again because… Read more »
Mike m
Guest
James, Ross Scameron has reached the pinnacle of fleecing people out of their hard earned money. He has made it into an art form. Rob B actually thinks Ross is the gold standard for con men, pond scum, subhumans or whatever you call someone that attaches to a host in order to survive. He wakes up everyday with his granola bs talking about pre market stocks like he is ready to help the newbie make it like he did with just $583 to start and turn it into 6 figures in a matter of months without a hiccup. The guy… Read more »
Rob B
Guest

Just to set the record straight. I think Ross is a Brilliant Marketer and IMHO the best of the con men when it comes to marketing and that is some stiff competition with Sykes and the like.

Cyn
Guest

I am going over to the dark side. I am starting a trading room, as I posted in another post. In fact, I am so serious about it that I am going to go over and pay Ross to teach me how to run the scam.

If one must do it, one might as well learn from the best, and Emmett is no longer in the business of boiler room scamming.

And before some shill comes talking rubbish, those who are intelligent, know what kind of post this is. It is called sar….

James Mincell
Guest
I’ve used trade-ideas and it’s worth the cost, there is also a free scanner currently called intelli.trade just sign up and it will scan the markets on that website, they may add a cost later on but it’s been free for a while. Please feel free to ask any questions about stock trading .I’ll answer them for free no need to pay for anything again I will tell you what works just ask. But trade-ideas has partnered with a lot of guys and is only a scanner program, they don’t scam traders as it is just used as a tool… Read more »
Juan Camilo Abello
Guest
Juan Camilo Abello

Thank you very much for your input. I’m currently searching for a mentor that completely gives me a good and lasting strategy.

Also, can you recommend more metros that meet your expectations??

Coo
Guest

I have an offer to do mentoring program for $5,000 with Matt Davio. It’s one week program to improve my trading skills. Do you think its worth it?
Appreciate any input and feedback.

Rob B
Guest
“Mentoring program for $5,000 with Matt Davio”, let us know how that goes. I know nothing about Matt Davio, but based on my past experience with every so call day trading guru out there this will be $5,00 down the tube, so before you shell out $5,000 has he provided you with Live Brokerage statements showing that he is trading profitable for an extended period of time. Or are you just taking his word on based on some fake Excel spreadsheet track record. If not can you get a month free trial to witness his trading and demand evidence he… Read more »
Coo
Guest

Thank you for your feedback. I havent seen any of his paper/brokerage records, I am not sure if he would provide that even if I ask.
There are many gurus as you said but hard to find a legitimate one.
I would rethink about the offer and definetely do not want to flush $5000 into the drain.
Do you know any reliable chat room that would coach you and not just make entry/exit calls?
Thank you !

Rob B
Guest
“Do you know any reliable chat room that would coach you and not just make entry/exit calls?” Plenty of them, but none that are going to teach you to trade profitable. There is a reason none of these Con Artist trading rooms can show they can make a dime trading. They teach complete nonsense and that is what people want to hear. And here is just some of the nonsense they preach: 1) You can trade a highly leverage highly volatile instrument such as CL, 2) You can do this with some small account like $5,000, 3) You will have… Read more »
Coo
Guest

Thanks Rob for your feedback.

dtchurn
Guest

Did you read the post just above by James and his concerns about the vendor’s questionable practices (read: typical shamster tricks) ? Davio had been a shilled and promoted vendor on bmt and looks like fell into obscurity since prospective newbs were no longer buying into the bs.
https://futures.io/vendors-product-reviews/26332-market-profile-trading-academy-misstrade-s-matt-davio-ask-me-anything-ask-me-anything-9.html#post371462

Coo
Guest

Thanks for the link.
What confusing is, Emmet has rated Davio as one of the best mentor.
Has you seen his website marketprofiletradingacademy.com

Mike M
Guest
Coo, I have no experience with your request, but I know they teach market profile. I do know J Dalton trading teaches market profile and I believe it is cheaper. However, it is not one on one. The only experience I have with them are his books and his live webinars that help you break down the process of analyzing a market from top to bottom. In my opinion, he does trade and has been for years. I think it could be a great foundation for a new trader. That’s for you to decide, but I think it is an… Read more »
Coo
Guest

Thank you very much Mike for your input. I will look into it.

Mike M
Guest

The reality is there is no short cut and everything Rob B stated is exactly correct. I learned all of that the hard way. So…be realistic in your endeavor. Just my opinion, try to learn as much as you can at your pace without shelling out your hard earned money. That is just my 2 cents and hopefully it will help you keep some $$$ in your pockets.

dtchurn
Guest
Your welcome. Not sure what you mean. Emmett said above James’ post he hadn’t reviewed Davio. I’ve never subscribed to Davio’s site as I tried out marketprofile by learning about it from Dalton’s book. I don’t think it’s any real better edge than anything else in my own opinion. I’d concur with Rob’s post above, “none that are going to teach you to trade profitable. There is a reason none of these Con Artist trading rooms can show they can make a dime trading. They teach complete nonsense and that is what people want to hear.” They are just shamshows… Read more »
Coo
Guest
if you scroll up on the article Emmett wrote “How To Pick A Trading Mentor” as follows: qte I have found that the best trading mentors are not day traders, but are active position or swing traders. Probably one of the best I have found is Matt Davio of market profile trading academy. Matt actively trades. He is quite honest about his successes and failures, and he possesses a long history of trading success that has been proven in many different markets and environments. What make a mentor like Matt really special is that he has a proven track record… Read more »
dtchurn
Guest
I see, good catch Coo. I’d read the article a long time ago and probably forgot Emmett mentioned Davio, so it’s strange in his last comment 3 months ago that he hadn’t reviewed Davio’s site. I noticed this article was written in early 2015 and a possible explanation I think could be this was during a time when Emmett was far more lenient and took vendors’ word or even some bogus list of results claiming to be proof and even was lenient about supposed testimonials by shills or faked by the vendor himself. Emmett would later on revise a few… Read more »
Coo
Guest

Thanks for sharing. I checked out Dalton’s website and just purchased his book on Market Profile as you suggested. I will take my time to learn.

Coo
Guest

I totally agree with you and Rob on the comments. If they are doing well with their own trading, why would they bother with doing TR?

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