Imagine, during the FIFA World Cup you approach one of the players and ask:
I see that the World Cup is going on right now… how can I join this competition and win?
This is obviously, a ridiculous question. No sensible member of the public shows up on day one of the most competitive football tournament in the world and expects to win.
But you’d be surprised at the number of people who ask the same type of question during the most competitive periods in the market.
For example, during the:
- 2008 financial crisis
- 2010 Eurozone debt crisis
- 2017 Bitcoin boom
- 2018 Bitcoin crash
- 2020 coronavirus crisis
… I’d get emails from people asking how they can make money from such events.
For some reason, they think they can just show up to the trading equivalent of the World Cup and start making money.
Well, it doesn’t work that way.
World Cup players don’t just suddenly appear out of nowhere and join the competition. They’ve trained for a decade in smaller tournaments to get to the point where they have the experience and competency to handle the big event.
Everyone knows they have to learn to walk before they run. To master the small waves before trying to surf the big waves.
Trading is no different.
If you haven’t been trading live for at least a few years, don’t suddenly show up during a big market event and think you’ll walk away a winner.
More likely than not, you’ll end up being the patsy that pays for the profits of the experienced traders.
So what’s the solution?
BE the experienced trader.
Get a proper trading education (and I’m not talking about the Babypips school), put in the hours, and EARN the right to rack up the profits during the next big event that lures in unsuspecting amateurs.