Trading futures might be a great way for you to make very positive investments, but if you don’t know how to tackle this job, you might find it difficult to get results, which is why it pays to find yourself a mentor. If you are unsure about whether you require the assistance of this type of professional, you might want to take some time to find out more about them.
Coaches don’t necessarily have to be trading to be helpful to their students, although they do need to be experienced in this field; this is because most of the advice that they give will come from their own experiences. The experts of Investopedia explain it this way;
On the other hand, a coach who no longer trades can still provide great benefit if he or she is an effective teacher. A non-trader coach may have been successful as a trader in the past, but has chosen to give up trading.
Coaches not only need to have traded in the past, but they also need to have traded more effectively than the student they are teaching, otherwise there is little point in this relationship.
Learn From Their Mistakes
There are many mistakes that a novice might make as they learn their way around the futures trading industry, but a good coach will help them avoid many of them along the way because they know what to look out for. A good coach understands the risks involved, and if they haven’t made these mistakes on their own, they have most certainly been aware of them throughout their careers as traders.
Keep in mind that a trader who has made large mistakes in their career often has the most to offer their mentees because they can provide them with information as to how they fell into these traps.
One On One Mentoring
Usually the only way that you can go about learning the futures trading industry is by purchasing an e-book or signing up for a course on this subject, but this often leaves a lot to be desired in terms of one on one instruction. When you are dealing with your mentor, they will not only be able to track your progress, but they will also be able to provide you with very specific advice, because they should have taken the time to get to know your trading ability level and style, among other facets.
If you aren’t new to the world of trading, you will most likely already be aware that there is a wealth of information out there about trading and how to go about it in the most effective manner possible. As Niall Fuller puts it;
Some of it is quality information; the great majority of it is someone trying to make a quick buck preying off of less knowledgeable peoples’ hopes at making money in the markets.
Basically, this means that a lot of what you learn is going to be useless, and you need to make sure that you know how to sift through all of this information to find valuable information. A great mentor has already accomplished this, and so they know exactly which strategies and tips are going to work for you and which ones aren’t. While a mentor can’t predict exactly what is going to happen in the industry, they can do a much better job than individuals with far less experience, and this is what makes their advice worthwhile.
The many advantages of a mentor make them a valuable asset to anyone looking to either learn how to trade or hone their skills in this market, so it is most definitely worth looking into investing your time and effort into someone in this capacity.