It’s been a while. But I am back, and I’m better than ever!
But, before I tell you about the new and improved DumbMoneyTrader.com, I want to ensure you’re a member of my Facebook group. If not, just click here and request to join. The group is private, which helps keep the scammers out. Unfortunately, scammers are abundant in the financial industry.
Anyway, now for the good stuff!
So what has changed? Lots!
When I surf the interwebs and Facebook investing groups, I see a lot of lost and confused traders who receive very poor advice, if any advice at all. So, I want to reclaim the original point of me starting Dumb Money Trader, and that is this: To help dumb money traders trade like smart money traders.
You might be asking yourself, “what’s the difference between dumb money and smart money traders?” Well, I’ll tell you.
There are retail traders: you and me. And there are institutional traders: hedge funds, banks, investment firms, etc etc. These traders are sometimes referred to as dumb money, and smart money. We (the retail crowd) are the dumb money, and they (the institutional crowd) are the smart money. There are actually logical reasons behind the reasonings for calling the two groups what they are called, and I’m sure at some point I will blog about it. For now, hopefully you understand that I’m not calling you, or myself, dumb. LOL! It’s just a saying.
Anyway, back to what I was saying about wanting to help dumb money players.
The name of this game – the investment and trading game – is to FOLLOW THE SMART MONEY! That’s it. It’s that simple.
But unfortunately, far too often, and partly a reason for the name “dumb money”, us retail traders do the exact opposite of the institutions. We don’t move price. We don’t have the amount of funds needed to do such a thing. So why on Earth would you think you know something that smart money does not know? Meaning, why would you think you can change the course of a stock or futures or option or crypto or currency…? Think about it.
When I first involved myself with trading and investing, I got hammered! I mean HAMMERED! I would blindly pick stocks, and my reasons for picking the stocks would be this: “Well, it can’t fall anymore, it’s gotta turn around.”
Ummm, says who? Who says that price of stock “XYZ” or “ABC” can’t continue to fall? Fyi, those were fictional tickers I made up just now, incase you didn’t know.
Ever heard the term, “it’s like catching a falling knife”? That’s what I was doing. Over and over… and over again. I was catching falling knives. I was randomly picking my stocks based on nothing more than, “it just can’t continue to fall.”
Well, I’m here to tell you that they certainly can continue to fall, and sometimes do.
So, after a little while, I decided I didn’t want to lose money anymore. Lol, shocking, right? And at the same time, I was intrigued. Very intrigued at the stock market in general. I found I had a passion brewing. It was at this time, that I asked myself, “how come some make money and some don’t?” Well, the naysayer, and the ones who don’t have the passion or the desire to learn this game will simply say, “The market is rigged. It’s a casino. Only Wall Street makes money.”
I just couldn’t accept that as an answer. It just fundamentally didn’t make sense to me. So what I set out to do, was to find out why some make money and others don’t. And that was the start of a long journey to becoming a profitable trader and investor.
I will blog about my journey from time to time, so for now, know this: The one single thing that I learned that put me on a successful path (eventually successful anyway) was understanding that I was a dumb money player, and dumb money players do not make the decisions in the stock market, or futures market, or options market, or any other market. Smart money makes ALL the decisions.
That, of course, led me to wondering how can I trade like them. Hence, FOLLOW THE SMART MONEY!
Long story made short, that’s what I’m here to do. I am here, and I wanted to start this site, to help others figure out the same thing.
Smart money leaves clues everywhere on a chart. Regardless of chart time frame, smart money drops what I call “golden nuggets” all over the place. The key, and what separates good dumb money traders from bad dumb money traders, is good dumb money traders know how to spot the clues.
That’s what I want to help you do. I want to help you learn how to spot those “golden nuggets.” That’s the only way any of us will ever be profitable in Wall Street’s world.
Now for what will be new on this site:
I will, of course, be blogging as frequently as I can about anything from trades I have taken (lost or won or still in), market-related news and events, market-related political happenings, and of course my personal opinions on anything investment & trading, or financially related.
Soon, there will be a separate page on this site dedicated to what I see happening in the markets, and what stocks or futures I am looking to buy or sell. This will include my in depth analysis (technical and/or fundamental).
Eventually (sooner than later), there will also be a page dedicated to teaching fundamentals and technicals.
So, with all that said, I will leave you with this: If I can be profitable investing and trading, so can you. I am nothing special. I just had a desire to learn, and a drive that kept me going through the growing pains.
Now would be the time for you to subscribe via your email, so you don’t miss a thing. Lots of good stuff coming, and it all starts right now!
WARNING/DISCLAIMER: Investing and trading carry significant financial risks. I am not a licensed financial or investment adviser. Nothing on dumbmoneytrader.com should be considered financial or investment advice. Everything on dumbmoneytrader.com is for educational purposes only, and should NOT be considered advice. Consult a professional financial or investment adviser before making any financial decision. Never enter any investment or trade without consulting a professional and licensed financial or investment adviser. Never enter any investment or trade based on anything you read or see here on dumbmoneytrader.com.