By Kelly Price In one of the most famous trading experiments of all time a group of traders learned to trade in 14 days and went onto to make over $100 million. If you want to learn to trade, then this experiment can point you in the right direction...
Trading legend Richard Dennis conducted the trading experiment and his aim was simple:
To prove that anyone could learn to trade regardless of - their age, sex background or educational background. He gathered a diverse group of people together which included a security guard, an actor and an auditor which shows just how diverse the group was and taught them to trade in just 14 days.
The result is history now and this group nicknamed the turtles went on to make over $100 million in 4 years and become one of the most famous groups of traders of all time.
Now you probably are thinking how did they do it from no experience to millionaire traders in just 14 days? 95% of traders lose but this group were all successful how did they succeed when others fail?
You can learn a lot for your own Forex Trading strategy, from their experience. You can say, well they had one of the best teachers which they did - but how Dennis taught them is a lesson for your own Forex Education.
Dennis taught them a simple, long term breakout trading methodology, combined with specific money management rules. It was simple, in fact so simple, that anyone could learn it.
When you put together a Forex trading system always remember simple systems work best and always will, never over complicate you're trading, as complicated systems tend to fail as they are less robust.
A long term trend following breakout system is a timeless way to make money which is easy to understand and covered in our other articles, so look them up.
The real challenge for a Forex trader is not to learn a method but to get the right mindset to apply it.
This comes from inner confidence and self belief.
You will never apply a system with discipline, unless you have inner confidence in it to succeed, as you will never be able to handle your losses and keep them small until you hit a home run.
Never believe what you read online from so called experts who tell you that you won't have drawdown periods you will and even the best trader's drawdown for weeks or even months.
It's in these periods where you are looking stupid and your emotions are getting involved, that you must continue with discipline.
Dennis gave them the inner confidence and discipline to follow the plan. He didn't just say follow me blindly, he made them learn how and why the system would work what to expect in terms of losses and how to stay on course with discipline.
In interviews all the traders, said this was the hard part of trading and it is, anyone can learn a method but applying it is the hardest part.
What this experiment proved was trading is a learned skill and anyone can do it but they must have the right education and system (the easy part) and the right mindset the harder part.
Read about the turtle experiment in Shwagers great book "Market Wizards" and "The Way of the Turtle" by Curtis Faith, the most successful turtle trader who gives a great inside view of the experiment. The story is inspiring and encouraged me to become a trader and I hope it will encourage and motivate you too.
The good news is anyone can succeed, if they really want to.
Now I am not implying everyone can make millions life isn't so clear cut but there is a big difference between something not being possible at all and something being achievable. It is my belief that anyone can become a competent, disciplined trader and earn a great second or even life changing income.
