Market Mastery Bootcamp - Day 1

To go. We're rolling. Hope everyone's excited. Who's excited?

Nice. Looking forward to this. Some familiar faces, some smiling faces. This is good. Looking forward to it.

Alrighty. I see Jim. Hey, Jim. Nice to see you again. I see Peter. I see Phil. Hey, Phil. Owen Burton. Nice to see you, buddy. It's been a long time. Well, it hasn't really been a long time. We only spoke just like a day ago. But before that, it's been a while. Who else? We got Toby. Hey, Toby. Lee. Hey. Joanne. Joanne. Who else? Ray. Chucky. Hey, Chucky. Nice to see you. Adam Jansen. G. All right. Peter Cromwell. Fantastic. Good crowd. Alrighty, let's get rolling. Hey, people. This is a cameras on event. I don't know if you know, but I like to be interactive. So if you haven't seen me before on in an event, I do like to see your smiling faces. I know we're not in the same room together, but it's far better to act as if we are. We'll learn a whole lot more. Hey. I want to welcome you to Market Mastery Bootcamp. This is a fantastic event. Over the next two days, we're going to be spending about 90 minutes together each day and I'm going to cover some really, really powerful information to help you on your trading journey. So. So looking forward to working with you over the next two days to cover the agenda for Market Mastery Bootcamp. This is day one and as I say, we've got two full days of training. It is jam packed. We're gonna have to motor, so I'm gonna jump straight in if that's okay with you. If you have any questions at all as we go through the event, please pop them in the chat and we'll cover them at the end of each session. I may take questions as we go through, but chances are we'll save them all for the Q and A session at the end so that we can get get through all of the material. Okay, so just a quick reminder before we go any further, everything you hear today is for general educational purposes only. None of it should be considered personal financial advice. If you have any doubts, please speak to your investment advisor before taking action. Okay, here we go. Do you want a diversified portfolio of fully automated trading strategies that you can monitor in just minutes and each day, if that sounds good, give me a wave or a thumbs up. Let me know you're in the right place. Fantastic. I see lots of smiles, lots of thumbs up. Very good. You're in the right place. I'm going to show you the path, the fastest path to get there from wherever you are right now. Now, before we go any further, I want to share this. Learning requires energy. This is probably the most important lesson out of the entire two days. Even though it's not trading related. I'm going to put a whole bunch of energy into this. At the end of each day, I'm going to be completely smashed and ready for a nap. I would like to be, you know, active, engaged, ask questions. I'll put lots of energy in. I could sit here and show you 50,000 slides with 200,000 bullet points on each one and drone on and on and on, but you're not going to learn anything. You're going to fall asleep and I'm going to put myself to sleep. So that's not how we roll around here. So I'm going to put that energy in. I'm going to be active, engaged. In exchange, I need you to do the same thing. That means sit up, lean forward, take notes, ask questions, give me hand signals, thumbs up, let me know that you're getting what I'm sharing. This is really important. This is what an engaged student looks like. Sitting up, looking at the screen, taking notes. What you don't see is that this guy has his camera on. And having your camera. Thank you. I see you, Ray. I see you. Having your camera on is really important because if I see a whole bunch of confused faces, then I know I need to slow down or revisit something. If I see a whole bunch of people going, yeah, come on, get with the program, hurry up. I know that I can skip through the material. Good. So let's pretend like we're in the same room together. Let's all be engaged. And I guarantee you will learn a ton more over the next couple of days. So, first engagement test. What I'd love to know is in the chat, click on the zoom chat. If you're with us live. If you're with us on YouTube or Facebook, in the comments, I'd just like you to comment. Where are you from? What city are you coming in from? Just that I know who the audience is. So if you can do that. And I'll have a quick look at what's coming through. I can see a bunch of Sydney's. I can see Brisbane, I can see Penrith. Who else can I see? Oregon, usa. Nice to have you with us, David. Thank you. Adams in Sunny. Melbourne. Sunny but chilly. Owens in Perth. Oh, sorry, Phil's in Perth. That's, that's. Yeah. There you are. Hey, Nice to see you. Singapore, Toronto, Buenos Aires. Very good. I think, Javier, you might win the prize for the most distant, most distance traveled for this virtual event. Joe's in Brisbane. Melbourne, another Singapore Mackay Discover. Oh, fantastic. How good is this? One of the best things about having an online trading community is we have traders from all over the world. And when I jump on one of my calls with my students, one of our mentoring calls, we've got students from Australia, from the us, from Canada, from the uk, from Europe, from Asia. It's fantastic. We've had a number of students from Africa as well. So this is one of the best things about having an online trading community. A bunch of people working together on the same things from all over the world. Really, really powerful stuff. So thanks for, thanks for being here and thanks for staying engaged with us during this event. Here's my goals for you as we go through market mastery Boot camp number one, I want to show you the journey. This is the fastest journey and highest probability path for trading success. So I've been trading for over, well over 20 years now and I've taught many, many students how to, how to trade successfully and this is undoubtedly the fastest way for you to succeed. I've had huge numbers of students come to me after doing lots of different types of trading education. And what I'm going to show you is the one equalizer. It's the one thing that pulls all of the strings together, the one thing that shows you, that fills all of the gaps and gives you that confidence. And so I'm really excited to share this journey with you and show you the path because it's going to cut down years off your trading journey. And I don't know if you realize, but if you could shorten your trading journey by three years and start getting consistent and confident three years earlier than you otherwise would have in 10, 15 years time that is worth millions of dollars to you. Without exaggeration. I know this because, because I did this calculation. I figured out how much it took because it took me three years to get profitable. And I did the calculation to figure out how much more wealthy I would be had I Learned in just 3 to 6 months like I can now teach you, rather than the three years of blood, sweat and tears that it took me and it was millions of dollars just because of the power of compounding. So we all owe it to ourselves. We owe it to our family and to our kids, our legacy, our community to learn this stuff quickly and stop faffing around because I don't know about You. But I've met hundreds of traders who have spent 5, 10, 15, 20, even 30 years trying to figure this out. And I don't want that for you. I want you to be able to do it quickly so you can get on with it. How many of you want that? Raise your hand. Brilliant. You're in the right place. Let's keep going. I also want to teach you the principles, the foundational trading principles that ensure success, the principles that will keep you in the game and make sure you don't blow up, and the principles that ensure you maintain confidence and psychological stability no matter what happens. I'm going to show you the steps, the exact steps that you need to go through to succeed as a trader. And you can take those steps on your own if you want to do it the slow, hard way. You can take those steps without guidance if you want to do it the quick, easy way. But you can know what you'll know those steps. And by knowing those steps, you, you will, you'll be able to avoid or ignore a whole lot of extraneous information. Because if you know exactly what to do and you do just exactly that, you're going to save a whole lot of time and angst, which is really, really powerful stuff. I'm going to give you a strategy, a complete trading system that I actually trade and I'm going to demonstrate how it works. And so that's pretty cool because at a free event, you're going to walk away with something that you can actually use, which sounds kind of good. This is not going to be just some fluff event where you don't learn anything. Oh, wow. Adrian's really clever. I'm going to have to buy his five billion dollar course to learn anything more, though you will actually learn some useful, powerful stuff. In this event.

We'Re going to have questions. I'll have time for Q and A at the end of each session, and generally I'll stay until all of the questions are answered. And we'll make sure that you've got clarity about whatever it is that you've got on your mind. And then finally, support. I'm going to share how enlightened stock trading can help you succeed more quickly than doing it on your own. So these are the goals for market mastery boot camp. If that sounds good, give me a thumbs up in the camera so I know you're on the right track. Very good. Fantastic. Let's keep rolling. So I want to.

I know a bunch of you have been to trading events before, and I also know at A bunch of those events. You felt like you've wasted your time, right? You felt like probably there was information you couldn't really use. And I want to give you a guarantee about your time in this event. My guarantee to you is that we will help you take a huge step forward. That's why we're calling it our huge step forward guarantee. So my promise is that you'll leave Market Mastery Bootcamp, which is a free event with an understanding of the shortest path to systematic trading mastery. And you'll be empowered with enhanced trading knowledge and a clear trading strategy you can actually use. And if you feel like at the end of the event we haven't met that promise, then I'll give you an hour, one on one, exclusive session where we can address your concerns and make sure that you've got the clarity you need. Because I think this is really powerful stuff. And I've laid it out in a nice sequential way that I think is going to give you that huge step forward. So that's my guarantee to you, just so that you know that you're not wasting your time by being here. Good.

Great. Okay. Cool. All right. So who am I? Why am I talking to you? Why should you listen? My name is Adrian Reed. I'm the founder of Enlightened Stock Trading. And I've been trading stocks profitably and consistently for well over 20 years now. My trading has allowed me to build several seven figure trading accounts, pay off my debts. I escaped the corporate world in 2012. September 2012. I walked away from my last corporate job. Haven't had a job since then, thanks to trading. And that was a blessing. And also it led to this whole community, which is. I'll tell you more about shortly. Today. I coach and mentor hundreds of traders from all over the world to profitability every year. I still trade, obviously. My trading is now fully automated. I trade across multiple markets. I trade Australia, us, Canada, Hong Kong, and also crypto. And that's all fully automated and 100% systematic. Our trading allowed us to take the kids out of School in 2019, and we traveled all around the world. The kids were homeschooled that year. That was a super fun time and we have very fond memories. Unfortunately, it now feels like a long time ago because the kids decided that they wanted to stay in one place and finish high school, which seems reasonable. They did go to seven different schools in their times. So we were trying to breed flexibility, I think, and they just want some stability. So we agreed that we'd stay in one place. But once they finish school, different story. We'll be on the road again, nomading for sure. So that's our story. That's my, that's our backstory. And you'll see my wife Stephanie is here. Steph, give him a wave. She's helping kind of coordinate the event. We've also got our community manager, Siggy on the call. Siggy's giving a wave now. So the, this is a team effort and we go to a lot of effort, put a lot of energy into bringing you good, quality training that's really actionable. So I'm looking forward to that. Now, I know that there's an elephant in the room. How many of you know that there's an elephant in the room? Raise your hand. Anyone know what the elephant is? Yeah. So before I go any further, I want to address the elephant in the room, because if I don't, you're going to go the whole presentation wondering about this elephant in the room and you're not going to listen and you're not going to get the lessons. Now there's actually two elephants in the room. The first elephant is wondering, if you're so successful, why are you doing this, Adrian? Right. Anyone ever wonder that? Give me a wave. Yes, thank you. Thank you for your honesty. I appreciate that. I see your nod, David. And then the second elephant is wondering, Adrian, are you going to try and sell me something? And let me just tackle these both head on, because this is really, really important. So let's cover the first one first. If you're so successful, why are you doing this? Elephant one. There's five reasons actually why I teach and this is really, you know, I really want to share this because.

I feel like if I didn't have this in my life, there'd be something really missing. I'm really passionate about trading, in case you hadn't wondered. I'm very passionate in particular about systematic trading because I know how, how powerful it is and I know how transformational it's been in my life and in my students life and I just like to talk about trading. How many of you like to talk about trading? Anyone? How many of you would like to talk about trading? But there's no one in your life that understands? Yes, absolutely. Now trading is a passion of mine. And when I quit my job in 2012 in September, I walked away and man, that was a happy moment. I had made it. I felt like it was, you know, I reached the ultimate goal and it was fantastic. And six months later, I was bored, lonely and depressed because I Was sitting at home with my laptop with no one to talk to, no social interaction. It was all online, just me in the markets. And then I had all these people asking me, hey, how did you quit your job? Why aren't you working anymore? What happened? What did you do? Can you show me? And so ultimately, those two things came together. I was like, well, okay, I love talking about trading, and I'm bored, lonely, and depressed because I'm literally isolated, and people are asking me, how did I do what I did? So the natural conclusion was, well, if I just teach trading, not just teach trading. If I also teach trading, then I get to talk about the thing that I love. I get to help people who are struggling, and I don't have to be bored, lonely, and depressed anymore. And that was a real thing. Stephanie can give you a thumbs up if she agrees that I was in a bad way. Like, it was a problem. And so this was my savior. If you like enlightened stock trading, I created it to solve a whole bunch of problems all at once. So I wanted community. And enlightened stock trading is the community that I wish I had when I started learning. I designed the course, I designed the mentoring program. I designed the interactions that we have live each week. And even my free community, all of you guys, I designed that because that's what I wish I had when I started Learning trading over 25 years ago now, and I just didn't have it now. The other reason is I feel like there's a responsibility once you figure something out, to share it now, as soon I do a lot of personal development events, like, I've been to all the Tony Robbins and lots of other things. Don't hold that against me. If you don't like that stuff, it's fine. It's not the point of the story. But at these events, there's a lot of people who are really trying to change their life. As soon as someone hears that I'm a trader and that's what I do full time, all of the stories come out. I got scammed. I lost all of this money. I've been trying for years. I blew up three accounts, Cancer, you know, I got ripped off. All of these things. How many of you have heard some of these stories either from yourself or from someone else, Right? And I know how to fix that. Like, I know how to stop that from happening. And so I feel a responsibility to share that. And that's what I'm doing today. If you just follow these steps and we never hear from you again at Least I know I've put you on the right path to stop you from making those sorts of mistakes, to empower you to. To take control of your finances and not be scammed and not waste money on stupid education that doesn't work and not faff around getting lost in the weeds for five years. Right. This is my responsibility because I figured out how to do it make sense. Nice. The next one is diversification. Now, obviously enlightened stock trading is a business. I'm not going to lie. More money is better than less. Right? So I've got a business and I've got trading and that's a good thing. Actually quite like the challenge of running a business, of figuring out how to find people and all of that and marketing and that's kind of cool. Keeps me busy and God knows I don't have enough else to do. So that's one of the good things about trading for a living is you've got lots of time. And that gave me the opportunity to do this and figure out how to grow a business as well, which is kind of fun. I like that. And I get to employ great people. We've got coaches and a community manager. We've got a team in the Philippines. Join us on the call here. And I think that's a really powerful thing. Right. And then finally, legacy. If I don't get all of this stuff out of my head and share it on YouTube, in my courses, on my website, it's going to die with me. And that just sucks. So that's another reason why I'm here as well. So can we agree that elephant one, why are you doing this? I've got some okay reasons to do that. Right? Does that make sense? Nice. Okay, cool. Let's Talk about Elephant 2. Are you going to try and sell me something? I'm not going to lie. I have a program to sell and it is the best program you will ever come across. Right? So yeah, I'm going to offer it to you, but I'm not a hard sell sort of person. So let me tell you what this is all about. I'm going to get it right up front so that you know and then we'll just get on with the content. The Ultimate Trader Success Bundle is the best and most effective program we offer, we've ever offered. It's a. It's a program for analytical professionals to fully diversify and automate your portfolio of stock trading within just six months. Our guarantee, if you join the Ultimate Trader Success Bundle is that you will be up and running with your first system within six weeks and you'll have a portfolio of three or more fully automated trading systems that you're confident in within six months. Or we will work with you for free for another six months to make it happen. Make sense? So this is powerful. We stand behind it and we know it works. Now this is not for everyone, okay? It's only for you. If you're an analytical person. This is numerous numbers based. There's a bit of, you know, formulas and analysis that you've got to do. If you're a completely qualitative person, this is going to be really tough. It's only for you if you've got around $50,000 or more to invest. Because we need the ability to diversify effectively to get the most out of your investment. You need to be comfortable with computers, specifically Windows. There is no good trading software for Mac. Unfortunately, if you're on a Mac, it's not insurmountable. But you need to be willing to use Windows. You need to be willing to ask questions and you need to want to learn fast and save years of pain. If that sounds like you, I can definitely help you. Now here's the catch. You cannot buy this program. So it is not for sale on this call. If you like the sound of it, if you've liked what I got to say, you can apply for the program. I'll give you a link. You can apply, we'll have a one on one chat. Okay. I don't let everyone in because I want you to be the right person. So now that you know, I'm not going to hard sell you. Now that I know that I may not even let you into the program, you've got to be the right person. Can we get on with the content and I'll share with you, with you some really useful things that you can apply. Is that good? Great. Okay, let's get rolling. Alrighty. In the chat, what I want you to do is think of three words. Three words and describe your that describe your trading. Now any three words that describe your trading.

I can see Beginner. That's great, Ray. Thank you. Beginner. No knowledge. Very nice, Steve. Getting started. Nice. Starting system. Curious. Cautious. Nice, David. I like that. Losing. No rules. Good. Thank you. Peter. Too much knowledge. Ah, too much knowledge. Absolutely, Jim. I get that one. Fear. I sidelined. Mispricing. Beginner with some knowledge. Systematic experience. Expanding. Nice, Lucas. Good going. Okay. Haphazard and inconsistent. Stunted. Erratic. Inconsistent. Intermediate. Challenging. Not much money. Nice. Very good. Thank you. So we're going to Take that situation, and we're going to leapfrog you forward on your journey. Okay, so let's get started. There's 25 challenges that most traders face, and I'm not going to go through all of these challenges, but I want you to do is skim down this list. Just have a look at the words in bold and just kind of count real quick, how many of those do you think you've struggled with? And just pop that number in the chat. Let me know. I'll give you 30 seconds to do that, because these are all challenges that we all face as traders. And I'll give you one solution that wipes out all of them. How many of you got.

10 seconds to go? Just a rough estimate. Most of them. Thank you. Peter. Good. All of them. Owen, Nice. David? Fifteen. All right, great. So, look, you're in the right place because this journey will address those challenges, all of them. So how do we do that? Let me tell you about my journey, and this will give you some. Shed some light on it. I started trading a long time ago. And when I started, I did what most people do. I tried what I thought was logical in the markets because, you know, I'm a smart guy. I thought I could figure it out. And I knew some good companies, so I bought shares in some good companies and they went down. And then I tried getting some analyst reports from the investment banks and buying the stocks that they recommended, and that didn't work. And I tried following some tip sheets, some newsletters, and that didn't work. I did all sorts of things. And to be honest, it was taking me hours and hours every day to read and research and try and figure out what stocks I should invest in or trade. I hadn't even decided if I was a trader or investor. And it was super frustrating, super slow, and really, really tiring. And I was frankly pretty disillusioned at the beginning because nothing was working. I tried lots of different approaches. I'm sure you have, too, right? You know, you've probably tried several different approaches before you made it to here. And, you know, eventually I discovered charting and technical analysis and looking at the share price on charts and indicators. And I thought at that point I thought I'd found the answer, right? Because all of a sudden, there's the share price. And I could see how that was moving. And I had these. These calculations that told me if it was moving up or moving down or whether I should buy or whether I should sell. And that was brilliant because all of a sudden I had a framework which appealed to my analytical mind. You know, the indicators and the calculations and the math of it all just really kind of resonated with me. And I loved it. But the trouble is, before long I found that I was drowning in indicators. And I didn't really know what, what to do because some indicators would say buy, some would say sell. And you know, there'd be all of these different calculations that would just add to the confusion. And I was spending four to five hours a night in on my little computer. Actually it was a cathode. You know, I had one of those big old screens before, kind of flat screens as old cathode array tube and squawky Internet downloading. And I was doing that every night and four or five hours I'd print the charts and I draw my trend lines, I'd look at the indicators and I'd write my notes about what I was going to do the next day.

And I still couldn't get profitable. I had some good trades, I had some bad trades, but mostly it was just a bloody frustrating experience. And so eventually I got to the point where I realized I either had to quit with this idea of trading because it was just soaking up all of my time and energy outside my job, or I had to finally just double down and figure it out. I didn't like to quit, so I doubled down and I read over 200 books on trading and I decided I was going to figure it out. And I did. I discovered the idea of systematic trading in a set of books called the Market Wizards, which you might have heard of. And as a result of that, I, I developed my first quite rudimentary system. It was a trend following system for Australian stocks. And I put this into play in the markets and I had the trade that changed everything. This trade was a small mining stock. It was Mincore Resources. MCR was the code. And I bought this at about 29 cents. And a couple of months later I sold it at about $0.76 I think it was. And it was game changing because all of a sudden I had a method that worked. I could say holy crap, I didn't even know what this company did. I got a buy signal from my sick in my system. I bought it, I sized the position right. It went to, you know, not quite to the moon, but it went, it went up a long way. And I, I took the profit when I was supposed to and it worked. I was like, huh. I found my thing, systematic trading. I was hooked forever since then. And I followed this system and I was making Money, it was pretty volatile. I hadn't figured everything out yet. But then I got to a point where something happened. I got 27 losing trades in a row. At that point, I was like, holy crap, I did not know that could happen.

And how many of you have ever got to a point in your trading where thought, oh, I didn't think that could happen. Anyone? Yeah, I see you, I see you. And yeah, that's what it was like for me. I was like, oh, I didn't actually lose that much money. That wasn't the problem. Because I'm very conservative. I size my trades pretty small, so I wasn't at risk of blowing up. But trade after trade after trade, hitting my stop loss. And I was, I was struggling psychologically and I realized that I hadn't done the right amount of testing and confidence building in my strategy. That's one thing. Second thing, I realized that I only had one strategy that made money in a very particular set of market conditions. And so I came back to my trading and I realized I had to do some work on both of those things. And when I really doubled down and did that work, I developed the backtesting process that I now teach. And I also developed a philosophy on diversification for multiple strategies that I now teach. And when I put in place a portfolio of strategies covering different, different, different types of strategies, different markets and different time frames, all of a sudden I was much more stable as a trader. And the losses from one system didn't matter anymore because I had other systems that were probably making money at the same time. Now. That was fantastic. Right? But the problem is all of a sudden I had all of these systems that I was running. And so, you know, fully diversified, trading, multiple markets. But that's a lot of trades to take manually. And so I found myself exhausted. And you know, when, when, when I was doing this manually, you know, I'd have to sometimes wait up late at night for the US market to open because there are particular things that I had to do that I couldn't do in advance at the time. I've since changed all of that. And I really realized that it was starting to impact on my lifestyle again. I didn't like to have to be there to place trades for several different market opening times during the day. And that's when I automated. And automation has honestly been life changing. And just looking to Stephanie to nod wildly in the camera about how life changing it's been for our family, not just for me, because for me it's so much easier, but our Family now doesn't have to worry about dad doing his trading. Like, we can go on road trips and we don't have to stop and find Internet reception at the time I'm supposed to do my trading because it just happens in the cloud automatically, which is just fantastic. And I'll talk more about automation tomorrow. But this is the thing. So this is my journey, and I hope to shortcut and save you most of the challenges that I found on my journey by going through what we've got in the launchpad in the Market Mastery Bootcamp program. So what I want to know from you now is how would you like your trading to feel? What's one word that describes what you would like it to feel? Feel like. Maybe it's confident, maybe it's inspiring, maybe it's fun, maybe it's relaxed, serene. I don't know. Tell me what it is for you. Okay. Yeah. I can see relaxed. I can see confident. I can see boring. That's a good one, Greg. Actually, I like that. Easy, profitable, liberating. Good. These are all the right things. Right now. We don't need excitement from our trading. We just need it to be a consistent way of making money that doesn't stress us out and fits in with our lifestyle. Right? Not stressful, Steve. Absolutely right. So this is what we want and this is the path to get there at the enlightened stock trader journey. Let's go through the five stages of the enlightened stock trader journey. Now, stage one. Launch. Launch is where you are finally empowered to go live with your first trading system. You know, the one strategy that you can get started with, where you can follow a process and have your decisions made on a consistent basis. And finally, at that point, you experience the relief of having a process that, you know actually works. You start treating it like a business. The launch phase is absolutely a breath of fresh air. If you've been struggling in different, with different methods of trading to get. Get something working. After launch comes stabilize. Now, stabilize is where traders become more confident in their rules. They're empowered with the methods of backtesting and analysis to really validate that they've got an edge and build confidence and answer your own questions. And this is actually something that you can do much earlier in your trading career than probably most people think. As soon as you can really understand how to back test and evaluate your strategies, your systems, you're in a position of control. Because when you can answer your own questions through analysis, you don't need to rely on some guru. You don't need to hope that you've got the answer. You can actually test to see if you've got the answer. Does that make sense? Does that sound good? Yeah. Okay, good. I can see a few smiles now. Once you've stabilized, you realize that actually I need to diversify because, you know, one of the, one of the, you know, blunt truths about the market is no single strategy will work all the time. You know, there's strategies that work when the market's going up, the strategies that work when it's going sideways, the strategies that work when it's going down. But you need more than one strategy to make sure that you can build your wealth consistently. So diversifying is where you might be trading two to four systems live. You're probably still doing it manually and it probably takes about 20 to 30 minutes a day to run that portfolio. But you're combining multiple systems that.

Work together effectively to smooth your returns over time. Once you've diversified, just like in my journey, automation is the next step. This is where you can calmly sit back, let the computer do the work. And you monitor the computer, placing the trades and managing your portfolio to make sure that everything is running smoothly. This takes somewhere between five and 20 minutes a day to do the monitoring and allows you to diversify much more broadly than you could if you were trading manually, which is a really powerful thing because one of the reasons people don't diversify very broadly is because it's too much work. Yeah, but if the computer is doing all of the trading for you, then you can monitor a lot more, a lot more strategies than you would if you were doing it manually. And then finally, stage five is mastery. Mastery is where you're really in flow with managing your portfolio. You can build your own systems, you can, you understand and can use all of the advanced backtesting techniques, and you can continuously improve your portfolio by plugging gaps, by refining systems. And basically, at this point, trading is really part of you, part of your identity, part of your life. And it's a really, really profitable passion. Right. It's a hobby that can turn into something far more, far more lucrative than the typical hobby. You know, it's not like having boats as a hobby where you constantly pour money into the water. Trading can pour money into your pocket, which is kind of cool. I've had a hobby that makes me money for a long time, which I think is the best way to do it. Alright, so that's the journey and this is the path we're going to show you. I'm going to Step you through every stage of this journey over today and tomorrow's Market Mastery bootcamp session. So in the chat, I want to know, what stage do you think you're in now? Now, if you haven't started, I'm going to say you're in stage one, but maybe you're somewhere else on this journey. So let me know in the chat, what stage are you up to? I can see stage one. Stage zero. Stage one. Stage one. Stage three. Brilliant. Okay, great. Now, the good news is, if you're at the beginning of this journey and you're here, congratulations, because you are going to save so much time.

Years off your journey, because you'll know exactly what to do. And if you're partway down the path, then we're going to speed you up even further and tie all those ends together, which is going to be really useful as well. Now, next question is, what stage do you want to be six months from now? I mean, we're at the end of August. Six months of us takes us six months from now takes us into the new year. What stage do you want to be at by then?

I can see 3, 4, 5.

Nice. The good news is, if we end up working together, which might be for some of you, it might not be for some of you, but if we end up working together in six months time, we can absolutely get you to mastery. We can get you to the point where you're fully diversified, a portfolio of strategies that you're 100% confident, you'll know how to back test. You know how to test your own ideas and hypotheses and you know how to put them into the market. So it's a really, really fast journey when you've got the right guide.

Okay, so let's dig into launch. I want to introduce you to Craig. Craig came to me much like where I was at the beginning of my journey. He tried lots of different methods, fundamental analysis, technical analysis, tip sheets, newsletters, broker recommendations, all these things. And when he came to me, he didn't have any clear path or direction for his trading. He was searching for something that would give him a positive edge. And he just discovered back testing, which led him to systematic trading, which led him to enlightened stock trading in me. And now, just a little while later, I can confidently say Craig has mastered backtesting. He's mastered system performance evaluation. He can confident. He confidently trades a fully automated portfolio. He trades Australia, us, Canada and Crypto and fully automated across all of those, all of those markets. And he says that some automation oh, sorry. Backtesting method. Having the rigorous back testing methods and full automation has been a total game changer for him. And it could be for you too. So my question is, how many of you would like to trade like Craig, go from all of that mess where you're trying lots of different methods to fully automated rigorous backtesting. If that's for you, then you're in the right place.

But maybe you feel like this as a trader. Anyone? Give me a wave.

Lots of different information, lots of different ideas, lots of to do's, lots of headaches, just not sure what action to take. And here's the first lesson that is really, really powerful. The reason trading is hard is that we try when we're at the beginning of our journey to take multiple inputs. We look at news, we look at price movements, we look at analyst recommendations, we look, we look at tips, we look at what's happening in our portfolio, we look at what's happening in our personal life. We read the Economist, we read the newspaper, we talk to our friends, we try and make our trading decisions based on all of that. And the trouble is we take all that information into our brains and we process it through all of the existing beliefs and cognitive biases and everything that's going on in our head before we came to the world of trading. And I don't know about you, but most people, you know, we've got a lot of pre existing beliefs that may not be very helpful. Yeah. Now we may not realize it but I guarantee you we all do because we're human. And what happens when you take a whole bunch of random bits of information and you put them in your brain, you process them through a bunch of pre existing beliefs that are nothing to do with making money in the market. And then we take action. What happens is we generate inconsistent results, inconsistent actions and we end up losing money, end up being volatile, end up being stressed. Now the reason is there's actually dozens and dozens of psychological biases that affect the way we make decisions in the market. Now I've got a little.

Paragraph description on all of these. I'm obviously not going to go through it now, but every one of these and more have the potential to impact the way you make your trading decisions. That is just really challenging to get past. Naturally, humans don't make good traders. So if you've been struggling, it's not your fault. It's just humans are not good at this inherently because our brain is not wired to make good financial decisions. So what's the solution? The solution Is, well, there's two solutions. First, the slow, hard way. The slow, hard way is for you to do years of psychological work to identify your beliefs, to clean out the unhelpful beliefs, and to start learning how you can make consistent decisions by having a clear psychology. And this will cost you a ton of money with clearing and psychology work. And it'll take a lot of time, but eventually you might get there in five or 10 years if you work hard at it. But the quicker and easier way is to bypass the psychology problems by systemizing your trading. Now, systemizing your trading means you take the price data and you overlay objective rules on top of it. If A and B and C is true, you buy. If D or E is true, you sell. They're rules that are not debatable. You don't have to think about it. Is this a buy signal? Is this, should I buy here? Should I sell here? You don't have to do that. It's absolute rules that are objective. And by having absolute rules, get your psychology out of the way. And by getting your psychology out of the way, it allows you to be consistent. And consistent results is what we need. We can have these rules. We can test them to make sure they've got a positive edge. We can apply them to the market and generate a positive return. Now, you'll notice that I use the word system, strategy, algo, whatever, fairly interchangeably. They're more or less the same thing. There's some subtle differences between what is a system, what is a strategy, what is an algo. But just think, all of them are rules that you use to guide your trading. Make sense. Now, if we can put that in place, then we can become consistent much more quickly.

So what does the process look like? Now, I want to show you the way most people trade and the way your trading could look like in the very near future. Here's the way most people trade. The old way is, first of all, you update your data on your computer, and then you run your scans to look for your favorite setups on your stocks. Maybe you look for stocks that are breaking out, or stocks that have high volume, or stocks, stocks that are doing the whoopty doo pattern, whatever it is. And then once you've got your favorite setups, then you look at the charts, you check all of the charts one by one by hand, and you look for support and resistance, and you draw trend lines, and then you whack your indicators on there and you start analyzing, deciding what to do. Now, I know this because this is what I Did. I was taking four to five hours a night to do this every single day at the beginning, before I went systematic. And once you've done your support and your resistance, your trend lines, then you look for confirming indicators to make sure you're making the right decisions. So you put on your moving averages and your Bollinger bands and your RSI's and your stochastics and your MACD's and your moving averages again. And then you put on the different type of moving average, all of these things. But not only that, you also want to look at the news and the announcements and the analyst reports and the recommendations to make sure you're not making a bad decision. You've got to confirm everything, right? So that we get the highest probability of having a winning trade. And then you decide on your entry price and your stop losses, because you've got to make sure that you set your stop at exactly the right place, because you don't want the market makers to take you out because they hunt stops. You got to look out for that. I know this because this is what I was doing. And then you place your stops and. Or you figure out where you're going to place your stops. And then you calculate your position, sizing not just based on the chart, but also based on how you feel and what the market's doing. And is the market going up? And is general economic mood good? Are you scared? Did you make money last week? You decide how much money you're going to put onto this trade, right? And then once you've done that, then you watch the live market. You go open your screen and you look at the lower time frame. You got to make sure you time your trade exactly, otherwise you might lose money, your stop might get hit accidentally or. And that'd be bad because you'd end up, you know, with a losing trade, and you wouldn't want to have a losing trade. And then you enter the trade and that's when the stress really starts, right? Because then you watch it intraday. You got to make sure that you don't miss an exit. You review the chart every night, you look for exits, and you watch it the next morning to make sure the price action is right. And you can still be comfortable. You stay in the trade and then you check the news and the announcements and you wait for negative indicators. And what? Because you don't want to have. You don't want to be blindsided by a bad news announcement. And then finally you exit the trade and you go, oh, my God, trading is exhausting. Right? Freaking hell. Of course it's exhausting because we've got this process, this old process that A, doesn't work, B, sends you bonkers and C takes hours. Let me show you the new way and this is what I want. I just want to calm your trading down because it doesn't need to be like this. The new way is you update your data so you've got all of the historical data on your computer. Then you run a backtest which automatically generates your buy and sell, signals and sizes the trades and tells you exactly what trade you have to take the next day. And then you place the trade.

And that's it.

Or if you want to get really advanced, you can automate it and have the computer do all of that for you. Now, obviously you're not going to get to that point right away. There's some steps you've got to go through. You need to have some systems that you're confident in. You need to understand how those systems work. You need to have implemented the tech solutions to do that. But would you agree that the new way sounds much less tiring, much less stressful, much more reproducible than the old way? Give me a thumbs up if you would agree. Nice. And yet, most people who come to the market who are new, I've had this conversation thousands of times, I reckon. New traders, oh, systematic training. Sounds amazing. I'll come and do your course. I'll come and learn from you once I've done some technical analysis and once I've got profitable and once I've figured it out, you know, doing some discretionary trading. I'm like, wait, what? I just showed you the fastest path to get consistent and confident and now you want to go and do the old dumb way, you know, that takes so much time and is not reproducible and is not consistent. That, that's. That doesn't make sense. Okay, we don't need to learn all of the other methods to make this work. This is the cool thing. We can cut straight to the chase.

And that's going to save you years. Yeah. Okay, so I want to introduce you to another student named Nico. I would love to have these guys here in person, but we just don't have the time in this event. Nico lives in Singapore. And when he came to me again, he was feeling overwhelmed by too much information. He was looking at all these different information sources. He was making discretionary trading decisions every day. And his big problem was that he was selling too early. You know, he was nervous about the trades and he would often cut his winning trades to bank a profit and he'd often cut his losses short too quickly. And he was really driven by emotions in his trading decisions. And fast forward a little, just a bit, little know a few months. And Niko was actively systematic trading. Now he's a full master of systematic trading. He develops his own systems. He shares them in our System Builders Club meetings. And he trades again. Fully automated, with a portfolio covering asx, us, Hong Kong, Canada and cryptocurrencies. Fully confident and in control of all aspects of his trading. Nico and I now have a little chat going. He messaged me saying, hey, you're free, I got to show you some something. And so we jump on a quick call and he shows me this cool thing that I haven't thought of or I haven't tested. And we share ideas and this is how we roll.

Nico is a regular contributor to our System Builders Club, which is part of our mentoring program. And what he says is with System Builders Club, Adrian has set up a true community of like minded systematic traders. I enjoy every session. How many of you would like a community where you can hang out with like minded people doing the same thing and enjoy every session talking about trading concepts that move you further ahead? Does that sound good?

Yeah, Seeing some thumbs up. Nice work. Okay, so how do we do this in 10 minutes a day? This is the thing. We've got to get a process in place that is quick and repeatable so that we can start working on our trading rather than frantically working on, on finding trades. Okay, so the process to generate our trades, we can shrink that to just 10 minutes. This is how, step one, eliminate all discretionary decisions. This is important because if we're spending time agonizing, looking at charts, manually making decisions about where our entry should be, where our stop loss should be, is this a buy? Should I take this trade or that trade? That takes time and like it or not, those decisions are not consistent. They would vary depending on how you feel about the market, about yourself, about your trading profit performance so far, about what happened in your account yesterday, about how many signals you generated today. Discretionary decisions are very, very inconsistent. Even if we think we're a good trading robot, we're not. Because we're human. Yeah. So we have to first eliminate our discretionary trading decisions. Then we buy or build a trading system that works. And this is one of the biggest barriers in people's mind because when you're a beginner, say, well, I don't know how to build my own trading system and that's right. It's tough. Building a trading system is actually a very advanced topic. And that's why for my beginners, I don't make them build their own trading system. I actually give you a complete portfolio of systems. And actually, just by registering for this event, you're getting an example of one of those. In fact, I'm going to show you two examples, one today, one tomorrow of complete systems that I actually use. And having a complete trading system that works allows you to start making those decisions consistently. Once you've done that, you want to use portfolio backtesting Software. I use Amibroker or RealTest and RealTest, there's other softwares as well and use historical data to test those rules and build confidence in it.

Step four is to use that software to find your signals. But just by backtesting, basically what happens is the system has the rules. Sorry, the software has the rules for your trading system in it. And you update your data, you press the backtest button, it runs the test and shows you all of the trades you would have taken in the past and the trades you're going to take next. Then you replicate that in your own account.

And so the software is doing the work for you of finding the trades, of sizing the trades, of managing the risk, all of that because the rules are predefined. And with predefined rules, that means we can be consistent because the rules are making the decision. It's not our flawed human psychology making the decision. This is why this is so powerful.

And after. So after you've generated your trades, your signals, you place your trades with your broker, or you can automate the entire process as well, like I said earlier. So this only takes about 10 minutes a day. And even can be even less on some days, because many days you won't actually have trades to place many days do nothing is the right thing to do. You might have some flurry of activity and then your account gets fully loaded and then you don't have to do anything for a couple of weeks and then you come back and you exit some trades for some profits, you cut some trades at a loss, whatever, but it doesn't have to be super busy, which means you can fit it in with your life. And with 10 minutes a day, I think everyone can find 10 minutes a day. When I first started trading systematically, I had a consulting job. I was managing projects in three different cities. So I was flying between those three cities every week. And I still found time to do this work. I would download my data before I left the hotel room in the morning and I'd crack open my computer in the cab on the way to the client's office and do the analysis and place the trades and so on. It would be like that. You just got to find the 10 minutes or whatever it is where you can. But everyone can do this. Everyone can fit this in. So that's how to fit it in. 10 minutes a day. Now, what is a trading system and what does it involve? Basically, a trading system defines every action that you're going to take in the market. Every action. It has the setup, the conditions under which you would consider placing the trade. It has the entry, which is the precise moment that you're going to get in. It has the placement of the initial stop. Where exactly is your stop going to be? It has the exit rules that get you out later on with a profit or protects you from losing too much. It also has wrapped around all of that, the portfolio, the risk management and the position sizing rules, which include how many trades should you take, how much leverage should you take, how big is each trade, all of those decisions that typically traders make kind of subjectively based on how they feel. The system defines all of that. And by defining all of that, again, it helps us be consistent. Because if you're really confident one day because you've made a ton of money yesterday and you get some signals like, yeah, I'm doing really well, I'm feeling good, I'm in sync with the market, what are you going to do with your position size? Typically, you push it up because you're confident, but often that's the worst thing you can do. And what happens if you take a loss yesterday and you're feeling pretty bad, you're feeling a bit beaten up and you get a signal, what do you do to your position size? Typically, you shrink it a little bit because you took a beating yesterday and you don't really want that to happen again. That hurt. That was embarrassing. You don't want to have to admit that to your partner or your friends or yourself. So you size down. But those two things actually sometimes the worst that you can do. So what we do instead is have those system rules define everything, so the emotion is no longer part of the decision.

So the system defines all aspects. There's no subjectivity, no judgment in a complete system. So I want to give you an example of a complete system. Now, this might, if you're brand new, this might feel like a lot. If you're really experienced, you might look this and go, is that it and yeah, the answer is yeah, that's it. It's not that complicated. The one I'm going to share with you tomorrow is even simpler and better. So here's an example of a complete system. This is a mean reversion trading system and it works on the Canadian stock market. So first is, first thing is we've got a trend filter. This might be a little bit small, hopefully you can read it. We've got a. Actually give me a wave in the camera. If you can read it, give me a wave. Okay, cool. Thank you. So the first rule is a trend filter and it's simply the close is above the 200 day exponential moving average. We won't buy a stock where the close is below the 200 day moving average because above the 200 day moving average is probably moving up. And that's a good thing. The second rule is volatility. We have a volatility filter that says only buy if this is a volatile stock and we define that by saying the average true range is more than 8% of the share price. So we want some fairly significant movements in this stock. Because this is a mean reversion system, it's very short term, we need the stock to move a lot.

The third rule is a liquidity rule because we don't want to buy stocks that are very illiquid because we need to be able to get in and get out without too much slippage. So this is trading stocks that trade over a million dollars per day on average. The entry trigger, the precise moment we're going to get in is when the three period RSI crosses below five. That's quite an oversold set of conditions. It doesn't happen all that often.

The RSI is the relative strength index. It's just a, it's a pre canned indicator. In case you haven't heard of that before. The first sell rule is that if we're going to sell, if the close crosses above the three day exponential moving average, which is just a little tick up, right? So we're going to enter on some panic and we're going to exit after a little tick up. And in case that doesn't happen, if the stock keeps going down and crosses below the 200 day moving average, we're going to sell because that's then in a downtrend and we don't want to be holding a stock in a downtrend. So these are the basic rules. Then we pull it all together by saying we're going to buy when all of those buy rules are True. And we're going to sell when either one of those sell rules are true. Now that doesn't define everything. We also need a to rank our trades because if we get 20 signals in one day, we don't have enough capital to take 20 signals. Which couple of signals are the best ones, the most important ones for us to take first? And so we rank the system ranks the trades and actually gives them to you in priority order. So you don't even have to make the decision about which trade you should take. The system will tell you. And then we need stop, loss and position sizing. So this has a 40% disaster. Stop and position sizing is 10% of your allocation goes into each trade. So there's 10 equally sized trades in this system.

Now if you've been trading for a little while and that looks pretty simple, give me a nod.

Yeah. Okay, good. So there's not much to it, right? There's a few rules, there's some nuance to it, but when you backtest it, it works.

So here's the result. And when you've got a complete system like this, you can take the rules, you can put them into your backtesting software, either amibroker or Real Test or Wealth Lab Works. There's a bunch of bad trading software that I won't talk about, but those three are pretty good and they work. You can evaluate the performance of the system. This is how your portfolio would have performed over the last 30 odd years had you followed this system religiously. And these are the returns you get. Now again, this is a little bit small, but you can see here the annual return says 6.39%. And you're like, hang on a minute, Adrian, 6.39% is not very much. I can't live on that. I'm not going to be able to build wealth on that. What are you doing? Don't you have something that makes more money? But the catch is, or the trick is this system is only in the market 1.3 of the time. So the vast majority of the time this system doesn't even use its money, which means you can take that money and apply it to other systems as well. So you can diversify systems very efficiently by having systems that don't use their money all the time, you can combine them together into a really efficient wealth building portfolio. And in the, in the ultimate Trader Success bundle, the Trader Success system that I showed you earlier, I've got a whole section, a whole course on portfolio construction which shows you exactly how to combine systems and do this. We don't need to get rich from one strategy, actually. What we need is a portfolio of strategies. And again, I'll talk to you more about that tomorrow. You can see it makes 6.3% or 6.4% return in backtesting, but the risk adjusted return, which is the compound return divided by the exposure, which is 1.7%, is really, really high. Because for the units of time that it's in the market, it makes money very, very quickly. But it's just so selective that it doesn't do that all the time. And the max drawdown from this strategy was only 7.8%. So again, you're making 6% and your drawdown risk is only about, you know, it's about the same, about 7%. And it's not in the market most of the time. So it's actually a pretty good strategy.

So here is the steps that you need to know how to do or you need to implement in order to pass or graduate from the launch stage. And the cool thing about this presentation is I'm going to give you the steps that you need to know or you need to do for each of these five stages so that you know exactly what you have to do. And you can ignore most other things. So you need to understand why systems. Why trading systems are the best trading strategy. Basically because it eliminates the emotion, calms things down, makes it consistent, and makes it testable. You need to have a broker, a data provider and trading software in place. You need to understand the core trading strategy, which people usually learn first, which is trend trading and mean reversion. You need to start trading using a profitable system. You need to understand risk management. So trade risk, exposure, catastrophic risk. You need to be able to calculate position, size and manage risk. Need to be able to generate signals from a trading system. You need to know how to launch a trading system. And you need to have a clear daily trading process and maintain a trading journal and trading log. If you can do all 10 of those things, then you're in really good shape and you can start to move along the journey. If you can't yet do all of those things, those are the first things that you want to focus on so that you can intentionally move along the path to trading mastery. So what I want you to do now is have a look at those 10 and give yourself a score and do it in the chat so I know where you're at. How do those 10, how many of those have you already got covered? Maybe it's none, because you're just getting started. Maybe it's 10 because you're partway down the journey. Either of those is great. Just let me know.

Adrian, can you scroll? Zoom in a little bit? People are finding it a little bit hard to read.

Let me. Hold on.

Just temporarily.

Is that better?

Great.

Okay, I can see.

10. 10. 3, 8, 05. 10 ish. Great. 3, 5. 75% there. 7, 2, 5 to 8. Approximately. Brilliant. That's great. Now again, it doesn't matter whether you're at the very beginning, you've got none of that, or whether you've already mastered that and you're ready for the next step. This journey is a continuum and you just need to find where you are and the right next step for you to take. Take.

Let me put this back into presentation mode. Here we go. Okay, so what are the main lessons from day one? I've intentionally kept day one a little short because I want to make sure we have lots of time for questions. I noticed we had a bunch of questions in the chat. Stephanie's nodding wildly and also got a bunch of questions via email. So I want to make sure I answer those. So the main lessons from day one, these are the things you need to write down and take away and make sure you're completely clear on. First one, there's five stages in the journey to mastery. And if you can follow this path today and tomorrow, I'm going to lay out all of the steps of the path and exactly what you have to do in each step. Just like you saw for launch just now. If you can follow that path, you will drastically reduce the amount of time you waste, the amount of time it takes, and increase your levels of confidence and increase your momentum on your trading journey. So follow this path. It is the fastest way to consistent, confident trading trading. Second major lesson is that human decision making is flawed. We have so many cognitive biases that affect the way we make our decisions. We need a system with a proven edge to remove the psychology from the equation. If we can just follow objective rules, psychology doesn't hurt us nearly as much. And we can build the confidence that we have a consistent, profitable income edge. Third lesson is most daily. Most traders use a daily process which is broken, takes too long, it's too subjective, and systemizing your decisions will save hours. It can easily be done in 10 minutes a day. And I can tell you, when I went from the old way, the subjective way, to systemized trading overnight, the amount of time my trading took shrunk from four to five hours I was doing every night after dinner, before I collapsed to SL sleep to 10 to 20 minutes a day. And that is just, that's life changing. Even if that's all you do, systemize those decisions because then all of a sudden you can do it consistently. Because I'm pretty sure most people, if they really put their minds to it, can find 10 to 20 minutes to do this.

And then finally, great systems are elegant and simple. I showed you one example.

We want to eliminate the complexity. We don't need 500 rules. We don't need 50,000 indicators that confirm each other and.

Lead to our confusion. We just need simple, elegant rules that we've tested to show that they work. Now I'm going to talk a lot more about the backtesting and the diversification aspects of this tomorrow. I've got a set of lessons on each of the five stages. On day one, I just want to cover launch because it's the most important foundation. Okay, so these are the four lessons from day one. Good trading is simple but not easy. It's not easy because we've got to forget about all the stuff that we think we know and we have to find a set of rules that work. We have to commit to following it and follow that daily trading process despite of the psychology, things that are going on our mind, trying to sabotage us. That's why it's not easy. But it is simple because those rules are not complicated. And in fact, none of my trading systems are complicated. You know, I've got 50, 50, 57 odd systems that I'm tracking and whatever at the moment. I don't trade all 57, but I did trade many of them and none of them are complicated. They're all elegant, they're not simplistic. It's not like a moving average crossover, which is a nice idea. Was my first idea when I was in uni actually. I remember sitting with, with some of my, my uni friends talking about trading for the first time and they were just getting into it and I was like, oh, look at this moving average. If, if you just buy when this one crosses that one and if you just sell when this one crosses, when it crosses below that one, look, you'd make money and you'd be rich. I was thinking, man, this is gold. I can't wait to learn more about how to do this. And unfortunately that was a little bit simplistic. That approach doesn't really work, but you just need to be a little bit more elegant than that and it does work. So that's the key for today. Now here's what I want you to do next. The first thing is, if you're watching this on YouTube, Facebook or LinkedIn and you haven't yet registered, I want you to go to the link that's somewhere around this video. It's probably in the comments or the description. Click on that link and register, because otherwise you're not going to get access to day two. Only day one is broadcast live. And when you register, you also get access to five great bonuses, one of which is a complete trading system that I actually use. So click on the link and register if you have not registered already. Second one is, I want you to complete the Trader quiz. To test your knowledge. I put together this quiz on the website. Here's the link and Stephanie is going to put it in the chat now. So click on this link and open it up on your browser. Don't do it now because we're going to go into Q and A time and I want you focused on what we're talking about. But after the session is finished, I'd love for you to do that quiz. And then if you've got any questions based on the content of that quiz, post them in the comments on that page and I'll answer them there. Now, I did actually forget to mention right at the beginning, and I don't know if I missed a reminder or something, but I forgot to mention that we have a lucky door prize. Well, not a lucky door prize, actually, a participation prize. And so now because you're all here live, you've, you know, we're testing you because this was, you know, the, the team was going to judge who should, who, who earned or who deserved the. The lucky door prize. And the lucky door prize is I have an introductory program called System Trader Launchpad, which is just super good at getting you started. It's the first. It basically covers the launch phase and it's part of the Trader Success system, but it's also a standalone. I can deliver it as a standalone thing. It's an online course. And so the participation prize is free access to System Trader LaunchPad and a $500 credit off the Ultimate Trader Success bundle if you decide to join it. So either way, you win. And does the team have a member? Stephanie, who is the. Who's the lucky winner? I'm excited. There's been so much in the background.

The team has been voting.

Oh, okay, that's exciting. I wasn't even part of this.

And the lucky door prize goes to.

Ah, very nice. Great job. And I actually received a bunch of Emails from Ujwell this week as well. So that's great. Well done. I'm pleased about that. So we'll, we'll email you later on with details of how to get access to that. And as I say, Launchpad System Trader. Launchpad is a really great introduction to systematic trading. I don't, I don't actually sell it anymore separately. It is part of the Trader Success system. But it's a really great intro to this journey. Alrighty, so what are we going to do next? What I also like you to do is reflect on day one. Now, this is all about raising your awareness and generating some questions that you can ask. And so here's some questions I've got for you to reflect on. How is this different than what you've done so far? The systematic approach, having absolute rules that tell you exactly when to get in, exactly when to get out and do all of that for you. Having the computer test those so that you can be confident they're profitable and having the computer generate the trades for you so you don't have to spend hours analyzing. How is that different? You don't have to answer me now. This is just for your reflection. Can you see, and I'd love to get some engagement in the cameras on this one. Can you see how systematic trading could save you hours of time each day? Can you give me a thumbs up if you can? Beautiful. Can you see how this approach could shorten your learning curve dramatically? Because all you need to find is profitable systems and learn how to apply them and follow them and all of a sudden you can be a consistent trader. Can you see how that will be the case? Yep. Seeing some nods. Good. Can you see how using a trading system would make you more consistent because we bypass all of those psychological issues? Yeah. And can you see how having a proven edge could make you more confident?

Yeah. Nice. Okay, what I want to do now is go into questions. After this, you're going to get ready for day two. In day two, we're going to discuss and demonstrate another complete system that I actually do use. We're going to cover the remaining four stages of the enlightened trader journey. I've got some really powerful lessons for each of those four stages. Make sure that you do your next steps, particularly that quiz. And I'm going to ask you about your results tomorrow.

Ask any questions you've got now in the Q and A session and later on when you're doing the quiz, you can comment on the post and I'll answer them there as well. And if you're watching on Facebook, YouTube or LinkedIn, that date is wrong. That should say 24th of.

August. Let me just resolve that. Here we go.

If you're watching on Facebook, YouTube or LinkedIn after 24th of August, you're going to have to register to get access to the day two recordings. So you can do that by clicking the link below this video. Alrighty, let's jump into questions. We've got a bunch of time now and I know we've got a bunch of questions, so, Stephanie, do you want to guide us through? Just feed me the questions in whatever order you think is sensible.

I'll start with the questions that were in the chat. I know we had a lot of questions emailed in.

Sure.

But given that most of the people who ask questions are still here.

Nice. And by the way, if you've got questions, please put them in the chat now and we'll do our best to answer them as well.

I'm not interested in all day trading. Can I trade off hours for anyone? 1 to 2 hours every evening or when the market is closed?

Oh, yeah. I'm not interested in all day trading either. 100%. And actually what we do, what I do is not all day trading. I'm not a day trader. I don't sit and look at the screens, I don't look at the live market as it's trading and watch the charts as they unfold. In fact, with this systematic approach, I trade end of day, which means all of my trading decisions are made after hours, when the market is closed. And what we do is when the market is closed, you download the data. My computer does this for me automatically, but you download the data so you've got today's share price movements and then you run the backtest using your system on the updated data that tells you what trades you've got to take tomorrow. You place those trades for tomorrow and then the job's done. So this is not even a matter of choosing an hour or something during the day and watching charts and trading in and out, in and out during that hour. That's not what we do because that's stressful. I mean, I would still call that day trading. And it's actually a really tough game to win. Psychological. Psychologically very difficult. Emotionally very challenging. High degree of burnout. But end of day systematic trading is. Is way easier, way easier to fit in with your life. Way easier to fit in with your psychology because it's much calmer. You download the data, run the back test that tells you what trades to take you place the trades. Job done.

So yes, you can fit this in without staring at the screen all day.

Great.

We would love to hear what your top three books out of your 200 odd. There's actually more than 200. Let me tell you a test to that. But what are your top three books?

Yeah, actually there was a time where I was ordering boxes of books, trading books from Amazon and it was like Christmas every other day at my house. I would get like a box because I was just looking for answers. And I go, I bought everything that I could find on technical analysis on systematic trading, on trading strategies. And these are. Sorry, these ones are some of the ones that I deemed worth keeping. There was a lot that ended up in the trash or in the recycling. So a couple that were really powerful on my journey. There's several books in the Market Wizards series by Jack Swager and they are interviews with pro traders. And I learned a lot about what I didn't want to do because there's many different ways to make money in the markets. And I looked at some of those interviews and I thought there is no way I would ever trade like that because that person never sleeps. There's one story about a guy that had charts in his bathroom, trading screens in his bathroom, trading screens in his. In his bedroom, like all through the house. Because he always had to be not monitoring what was going on. It's like, forget that. That's like no way I want to run my life like that. And so the reason was so powerful is because I use it to eliminate a whole bunch of methods that just don't fit with normal people's lives. You know, the people interviewed are not normal. Like they are the unicorns. Right. But it allowed me to find systematic trading and that then allowed me to dive deep on systematic trading. So I'd say the Market Wizards books are good.

Way of the Turtle by Curtis Faith is a really powerful book on systematic trading. Curtis was one of the original turtles. He was one of the most successful. Unfortunately, later in life he made some very bad decisions and I don't think he's doing so well now, but I'm not sure. But that book is very well written, very clear and really powerful. Van Tharp, Trade your Way to Financial Freedom was instrumental in my informing my views on risk management and position sizing. I can say that that book kept me alive in the financial markets and prevented me from blowing up and losing everything. So that was really powerful.

That was three. Okay, well actually, because. Because.

Market Wizards is like, I think there's like four or five books. Four books in the series. They're all good. So, yeah, I have other books. There's a. If you go to enlightenedstocktrading.com trading-books, I list 40 there which are worth reading. But let me tell you, that's the slow way. Just so you know, they are worth reading. But if you want to try and figure it out for yourself, it will take years. It's just the fact of the matter. Okay, next question.

When you were telling your story.

Mentioned.

All the losing trades in a row.

The question was, didn't you lose all your money?

Oh, good question. Yeah, no, I didn't actually. And the reason I didn't is because I am very. I'm quite conservative. And I knew that this. I knew that the stop loss would get hit quite often with this, the system I was trading at the time, I just didn't realize quite how often. And I think if I recall correctly, I was only risking 0.25% of my money on each trade. So they were really small positions. And this is key to staying alive right in the markets, to not destroying your account. You want every loss to be insignificant because if you, if you feel it, if it hurts when you have a losing trade, then it's going to be hard to take a losing trade. And as a trader, for us to be successful, we really need to be able to take losing trades because when the system tells us to get out, we have to get out. Otherwise bad things happen.

Okay, next one.

If you've got a 50% win rate, you'll go a thousand trades average 10.

Losses in a row.

Yeah, absolutely. And I hadn't done that work. So this is why I got to the point where I was like, oh, I didn't know that could happen. And actually the system that I was trading at the time had a 30% win rate. So it's even worse, which is why I got 27 losing trades in a row. And I shouldn't have been surprised by that. But I just hadn't done the work. I hadn't tested it as thoroughly as I should have. Now, you can make a ton of money being wrong 70% of the time, as long as when you're right, they're really big winners, and when you're wrong, they're really small losers. So the math of trading is not about being right more often, it's about being right big and being wrong small, because then you combine them together and you can actually make money mathematically. So the system was profitable. That wasn't the problem. The problem was I wasn't prepared for what I would have to go through to follow that system. But now having a better understanding of backtesting and system evaluation, I know what to test for, so I know what to prepare for. So when it happens, I'm not shocked. And that's, that's actually a lot of the battle. Yes, have a profitable strategy, but even more important is know what to expect from that strategy. Yeah.

Nice. Good one, good questions.

What size of account do you think is necessary to be a full time systematic trader? Systematic Portfolio Trader. 200k, 500k? 1 million or more?

Yeah, good question. I mean, it's a bit of a how long is a piece of string question, unfortunately, because it depends on your expenses, it depends on your level of confidence, and it depends on the level of returns that you can make. I've actually got an article on my website called the Trading for a Living Calculator. So you can go have a Look at that. EnlightenedStockTraining.com trading-4A living.

So you can put some numbers in and play around with that.

The reality is, oh, hello. Hello, can everyone hear me? Everyone else can hear me. Stephanie, can you hear me? Okay.

The unfortunate reality is you need a fair bit of money to trade full time for a living. But it will be dependent on your cost of living and it will be dependent on your level of consistency of returns. The more volatile your trading account, the more money you need. Because if you have a big dip in your account, you need to be able to recover from that and still take out money to eat, right? So the first priority is to get consistent and build wealth. Trading for a living will come once you've built your account sufficiently high. So I would say focus on becoming a good trader, getting systems in place, diversifying, automating it, all of that. Focus on that first the money will come and as you build confidence, you will find money that you can put into your account and then you'll be able to grow it more quickly.

Now, if you live in a low cost environment, in a low tax environment, you have some advantages. If you live in a high cost environment, high tax environment, you know you have some disadvantages. So the number could be from a couple hundred thousand to a million or more depending on, you know, what your situation is. But everyone can build wealth doing this. Whether you just do this on the side and it just kind of takes some of the pressure off your day job or whether you quit your day job and you do this full time, like we did you know that? That's, that's something you can decide along the journey. But everyone can build wealth doing this. I think that's, that's the first focus.

Great.

How do you withdraw money from your own trading account?

How do I. Or like, how does one. Alright, let me talk about it. Okay, so what happens is.

I have a margin account. Margin account means you can use leverage if you want. I don't use a lot of leverage. I think in general, traders use way too much leverage. If you have a margin account, what that means is you can withdraw cash without closing trades. So if I'm fully invested, let's say just keep the math simple. Imagine I've got $100,000 in my account, and the margin account means I could trade up to $150,000 without getting a margin call. If I've got only $100,000 worth of stock in my account, that means I've got quite a lot of extra margin capacity where I can withdraw cash and not have a margin call and not have to close a trade. So by having a margin account and trading systematically, what you can do is just take out a little bit of money to pay your bills if you need to as you go along without closing your positions. And as long as your account grows more quickly than you withdraw money, you can stay ahead and keep building your account. Now, I want to emphasize this, and this is really, really important if you want to be successful, if you want to really build wealth, if you want to really do well and change your life and your family's life, do not withdraw money from your account.

Just most traders try and take an income from their trading way too early. Let the account grow. And once you get the account to the point of no return, where it grows faster than you would take than you need, you take money out to live, then you can harvest the account. But most people, if you got a $20,000 account, you got no business taking money out of that account. Because if you're taking out 500 bucks here or there to go out or to. If you're taking money out to buy a new car or whatever, you're just killing your future. Compounding when the account is small, your job as a trader is to inject funds into it and to trade well. So you improve your returns, you improve your consistency, and you grow your capital through profits and through savings. If you do that, you accelerate the process to getting to the point of no return. That is when you can start to think about harvesting, taking an income and so on. But most new Traders come to the markets and think, okay, Well I got $5,000, I want to learn to trade so I can supplement my income. It's not really what the market is about. You know, if you try to get a really small account, you're trying to supplement your income, you're in for a really tough journey and you won't really get ahead. You've got to let your account grow and you know, in the grand scheme of things it's, it's your, your future self is really going to thank you. You know, it's several 5, 10 years, 15 years from now. If you learn to do this well and you actually implement it, it's life changing. But if you start with a small account and you keep taking money out and to pay some bills and whatever, you, you'll never get to that life changing sort of amount of money. So you've got to remember the power of compounding.

There is a question around what type.

Of business structure you use for trading. Yeah, good question.

I can't advise on exactly what structure you should use because I can't give personal advice. I don't know your situation.

Depending on the country it's different. Right. So what I know is in some places it's best to trade in your own name if it's tax advantaged. In some places it's best to trade under a company and in some places in situations it's best to trade in a trust. It's going to depend very much on your situation.

So I don't really want to go too much more into that in public forum. It's definitely a financial advisor type question question. Once you understand the trading thing then you can go to the accountant or financial advisor, say okay, this is what I'm doing in my situation. What is the best structure for me to use? So that's how I would approach it. I wouldn't go oh, to the accountant, I'm going to trade. What's the best structure for me to trade in at the beginning? Because you actually don't know enough to answer the accountant's questions so that he can give you the right, he or she can give you the right advice. Make sense? So do the trading learning first figure out, you know, learn what we're sharing here and what I talk about in the trader success system and then you'll be in a good position to have an informed discussion with the financial advisors in your life to get that sorted. Yeah. But I will say it really makes a difference, you know, what structure you choose. That's an important Choice that you do need to understand and research.

When talking about the ultimate trader success bundle within six months guarantee. Does that mean we will be able to design our own systems too?

Yeah, look, in six months, look, the course definitely has the material to teach you to design your own systems. I would say most people after six months are starting to get to that point. But I can't guarantee that you will be able to design your own good systems after six months. When you join, you actually get access to 27 different systems that myself and the team has developed. And they're all fully developed, tested, coded, ready for you to use. So we can show you how to test them, how to build confidence in them, how to automate them and we can get you there in six months. Absolutely. No question. If you're the right person. Yeah. With how long you take to get to the point where you are capable of, you know, designing, back testing, building your own systems from scratch, that might be quicker than that, it might be slower than that. It'll just depend on the person. Yeah. But if I, you know, if we have a one on one chat after the Market Mastery bootcamp, we can talk about your skills and I can give some better guidance about how that might look for you.

What about if you want to get there at the six months?

Well, that's going to be a matter of skill and time and dedication and focus. Now, I mean, I've had people get their way quicker, Right. So I've had people up and running automated within a month. Yeah, but you know, I don't, I don't know everyone here yet. I don't know if that's going to be possible for you. But for the person with the right sort of analytical skills and who has the time to devote to it and is willing to ask questions, it can be remarkably quick. But make no mistake, there's a lot to learn here. This is.

You know, it's not as complex as brain surgery, but there's some things to learn. You know, you're not just going to go and do brain surgery after reading one book. Right. You're going to actually have to go to medical school, study, specialized, years of study, years of mentoring, all of that. And we actually have a brain surgeon in the room with us today. So I'm looking for confirmation that's actually true without giving away who that is.

And trading is kind of similar. Right. You're learning a skill which will build wealth for you for a lifetime. Don't expect that knowledge to be found on the back of an envelope. You know, there's actually a lot to learn, and I'm not going to apologize for that. It's important. And when you get into the Trader Success System, the course that you get as part of the ultimate trader success bundle, there's a lot there and you get access to it for life because it's a journey. And some people will get through that very quickly and some people will take some more time. But in that program, I've put everything that you need to get to mastery. And I think this is really important because one of the biggest scams in the trading industry is come do my $47 course and you'll learn how to be a trader. And you get to the $47 course and you'll learn some fluff. And they say all you need to do is come to the $500 course and learn how to be a trader. We'll give you the secrets. Then you go to the $500 course, and they say all you have to do is come to the $10,000 course because that's where the real secrets are. And then you do the $10,000 mentoring program. And then they say, oh, now you're almost there. But the real secrets are in the $50,000 mentoring program. All you have to do is join that. And that's where the real mastery is. That is just criminal. It leads people on, it scams people at their money, and it's just, you know, fraudulent. So we're not like that. The Trader Success System has everything that you need. My view is it's the last, the last stock trading course you'll ever need because it has everything from launch to mastery. And if you study that course, you go through the material, you'll know how to develop and back test systems, you'll know how to implement systems, you'll know how to design them for yourself. You know how to do all the advanced analysis. It's all there. So there is stuff to learn, but I'm not going to hide it from you and hold it back. I give a lot free publicly. The course has even more.

We're at 1:30, but there are quite a few more questions.

I'm happy to keep going. How's everyone feeling? Do you want me to keep going or let me stop? Okay, I've got a few thumbs up. Let's keep going.

If I'm getting started, how much time will I have to spend every day to learn?

Yeah, good question. Consistency is key here. If you spend a little bit of time today and then next weekend you do a little bit and Then you get busy with work and three weeks later you come back and you try and do a little bit. You're not going to make much progress just being completely open. You don't need to spend hours every day, but if you could consistently spend a few hours a week, you can definitely make progress. Yeah, if someone, you know, a lot of my students who make the best progress just put in their calendar of an evening or of a morning before work or whatever, it is a block of time where they spend 45 minutes or an hour watching the content, asking questions, doing the work and just do that several times a week. And you can make progress. Yeah, you can do this with a full time job. Most of my students work, most of my students work full time. So you can definitely do that and progress. You just need to be consistent, which means you need to decide this is important to you because there's probably some things that might have to give. You know, maybe we don't binge as much Netflix. Maybe we, you know, wake up a little bit earlier. Maybe we don't collapse on lounge telling ourselves how exhausted we are. And we earned that, you know, that relaxed time. Maybe we just spend a little of that on our trading. And the good thing is it pays off, right? It this learning journey can be very quick if you do it right.

And let's say in six months you're up and running, fully automated with a portfolio of systems that you are 100% confident in that investment of time and energy to get that running that will help you build wealth for decades.

So we really have to keep this in perspective. A little effort now on a consistent basis for a matter of months will change our life for decades. And most people don't sort of look ahead, they just go, oh, I'm too busy now, I don't really have the energy. Maybe next week. Right. But if you'll carve out that time, you can do it. And in 10 years time, your future self will thank you. No question.

If you have a stop loss, can you miss an exit?

If you have a stop loss, can you miss an exit? If your stop loss is in the market, then theoretically you'll never miss an exit. Yeah, not every strategy has a stop loss. Not every strategy should have a stop loss. That might be a little bit of really Adrian just said that. But yeah, like some systems work better without a stop loss, but they do have fail safe exits that will get you out.

So the trick is you should just never miss an exit. Whether that means you've got a stop loss in the market or whether that means you've got. You've got. You check your rules for exit signals every day. If you've got a stop loss in the market, that's great. But what about your way up in profit and the stock starts moving against you? You need an exit rule that will get you out with some profit. Right. So we don't just want to wait till our stop loss gets hit because you know that stock's going to go to the moon. We actually need exit rules that will get us out as well as the stop loss. And a well designed system will have both. It'll have the fail safe exits like the stop loss to get you out and protect your capital. And it will have the exits to get you out with some level of profit if the trade goes in your favor.

Great. How often do you need to recalibrate the automation when you get to that stage?

Ah, good question. We'll talk more about the detail of this tomorrow. It's not so much about the recalibrating your automation, it's the trading rules. So the buy and sell rules particularly, I think this is probably what it's referring to. And that's going to depend on the system. Very short term strategies would need to be recalibrated or adjusted more often in general than longer term strategies. But what I would say is we monitor our strategies on a very consistent basis. Weekly or monthly we check are they doing what they're supposed to do because we're looking for warning signs. You don't necessarily have to recalibrate your system every six months or every 12 months or every five years. You're just looking for warning signs that the market behavior has kind of shifted or drifted. And then you might recalibrate or re optimise the system. But in general, a good system, it doesn't have to be very often. You're certainly not doing it every week. It's more likely once a year you might have a good look at it. Or once every six months you might have a good look at it. If it's a short term system.

These are really good questions, guys. Keep them coming.

When you talk about the old way and the new way, that was the context. Don't you need a good understanding of the old process in order to automate and trade programming?

Oh, such a good question.

No.

No you don't. Because.

Okay, let me approach it this way. So the question is, do I need to understand the old way and how to do all the technical analysis and draw the trend lines and indicators and everything and do all that manually before going systematic and automating. And the answer is no. Because if I could explain to you the precise rules about exactly when to get in and exactly when to get out, and I could show you how to put those rules into the backtesting software to generate your signals on a daily basis, then you can do that process. And that is a repeatable, teachable, learnable process. Now, you're going to have some questions like in those rules, I might say, the closing price has to be above the 200 day moving average. The average true range divided by the closing price has to be less than 0.088% or greater than 0.088% according to the system I gave you today. Right. And there's several other rules in there. You'll need to understand those rules, but that doesn't mean you have to spend months or years doing discretionary technical analysis, drawing lines on charts and, you know, trading the hard way. All it means is you have to look at those rules, ask questions, understand them, so you can then follow the process. And in fact, you know, you don't. I've had many students who have never traded before, but the right person goes, oh, I see the appeal and the benefit of systemizing. I'll do that first and then implement. And then they skip that whole hard journey. And it shortens the learning curve by truly years. And I've seen it many, many times. You're just gonna have to ask questions. If you don't know what a moving average is, if you don't know what a Bollinger band is, if you don't know what a average true range is, that's fine. That's just the lingo of the industry. You just have to be brave enough to put your hand up and say, hey, what's that? What's that mean? You don't have to go back to first principles and learn all this other garbage first. That's just wasting time that we don't have. And it's costing your future self money because it's going to take you longer to get to the point where you can compound and grow your wealth. I hope that helps. I don't want to be too blunt, but, you know, I think the world would be better off if less traders did the old way and just started systematic at the beginning.

Would it be reasonable to implement systematic weekly systems?

Oh, you can totally do that. Yeah, I have many. I trade daily and weekly systems and I've got an intraday one, it uses daily bars, but. And many students Also just go straight for weekly because they don't want to do much work. You know, if you only want to do 20, 30 minutes on the weekend to do your analysis, to find your trades, you can totally do that. So that's a good way to start. If you're, particularly if you're very busy or if you just don't want to do much work, you've got to monitor those every week, you've got to be disciplined and so on. For me, I found it easier to have the discipline if I was doing it daily, just because if it was once a week at the beginning, I tended to forget to be honest. So I always had daily systems. But I know weekly works better for a lot of people. I've even had students who went straight for a monthly system. Yeah, I taught a system this week to my mentoring students that is a once every two month system. And it's great. It's a really good system. And I know many of them will just want to trade something like that. So you don't have to do this all the time. You know, you can opt for a very low level of activity system and do that first.

Do you implement a systematic system trading in a specific stock or an index? Does the automatic system scan the whole list of stocks to identify which ones to go with, or do you set a track on a few of these stocks?

Oh, solid question. There's several different ways to do this. So there's what I call single instrument systems and there's portfolio systems. A single instrument system is where you have one ticker and you put the rules on that one ticker and you buy and sell that one ticker. Maybe you have a system that trades the SPY or the qqq. A portfolio system is a system that scans the entire market, finds all the stocks that meet the buy criteria and assembles a portfolio of stocks and manages that portfolio of stocks according to the buy and sell rules. So you can do either of those. I have both. And what we don't do is say, oh, I like Apple, let's take this system that Adrian gave me and apply it to Apple. We don't do that because that system wasn't. You may not have been designed to just trade that one stock. This is not a recommendation to trade Apple stock, by the way.

We don't have to make a subjective decision about what ticker to apply the system to. The system comes built in with the universe of stocks as part of its rules.

So I've got system in the trader success system. You know, I said there's 27 systems that you get access to. Right. Some of those trade all stocks on the Australian market, all stocks on the US market. Some of them trade just the TQQQ or just the SPY. Some of them trade just the stocks in the NASDAQ 100. Some of them trade just the stocks in the S&P 500. Make sense. So the universe that you trade is system dependent. The system is designed to work on that universe. And we don't go mucking around trying to, you know, we don't apply it to our favorite stock because that's where the subjectivity comes in and it kills it.

When Adrian said you need to spend just 10 minutes every day with just that much investment of time, can I really be able to quit my job and make enough through trading?

The 10 minutes a day is the execution time. If you're trading a single system. Yeah. So it doesn't take very long to run a single system because all you're doing, downloading the data, running the backtest to generate the signals, placing those trades.

So that doesn't take very long. You need to learn the system, you need to build the confidence in it. You need to be able to do all. So the learning phase will take more than 10 minutes a day. Okay. But the ongoing execution doesn't take very much effort. This is a work up front, so effort now, easier later situation. The old way, the discretionary technical analysis approach is effort constantly because you've always got to do lots of work to find every trade. The fundamental analysis way is effort always because you've got to do the work to find the undervalued stocks, all the stocks that are going to grow. You got to do that always. With systematic trading, we learn how to trade with systems. We build confidence in a system and then we implement the system. The work effort is in the upfront, ongoing is much simpler. So you've got to devote the time now to learn, but you're learning a life changing skill that will work, will help you for decades. This is like a whole new career that doesn't. You can just run on the side if you want. It doesn't take hours and hours. Everyone, almost everyone can fit this in on the side.

So hope that sort of helps. I don't want you to be under the delusion that you can walk out of here and just in 10 minutes a day you can quit your job. You know, there's work to be done, people. But yeah, the execution is pretty quick and easy.

Does back testing take into account the brokerage cost?

It should, yeah. If it doesn't, then you're being lied to or you're lying to yourself. Yeah. And the sad reality is many systems that you see or many strategies that you see published on the Internet don't have brokerage costs, commissions and whatever included in them. And so they look really good, but as soon as you include a little bit of slippage and commission, they fall apart or they don't look anywhere near as attractive. So yes, you definitely want to take that into account. And all of my strategies have.

Brokerage cost and slippage built in so you can see, you know, more a more real world sort of.

Result from the backtest.

What PC specs work for trading? I'm a Mac user, so I have to get a PC. Is there an optimal minimum set up to run trading backtesting software?

Yeah, good question. Not really. You need basically the more RAM the better because the back testing is a little bit memory hungry but you don't need a supercomputer. And I certainly, if you want to learn this, you know, let's, let's have a conversation first before you go rush out and say, oh, I have to buy a new computer because I want to be a trader. Because if you're going to go all the way down the automation path, a new computer might actually not be the answer. A vps, a virtual private server in the cloud, might be a better answer because I actually don't run my trading day to day on my home computer. It runs on a computer in the cloud and that's better for lots of reasons. I can talk a bit more about that tomorrow. So yeah, I'm cautious to say you need this because I don't want people to feel like they have to run out and buy it. But more memory, if you're going to buy one anyway, focus on ram. That's probably the most important thing. More memory than anything else. But you don't. There's no minimum spec. It's just the more you have, the faster the computer, the quicker your back tests are going to run and the less frustrating it's going to be. Yeah, but remembering we make our decisions after hours, so when we're making our decisions, it's not time critical. The market, the market closes like let's say four or five o' clock in the afternoon, depending on where you are, depending on what market it is, then it doesn't open until the next morning. You've got hours to make to do your analysis. So it doesn't matter if the computer takes a little while to Back test. It's in the upfront backtesting and system development and building confidence where you want it to be a bit quicker.

How frequently do you revisit your rules? Sorry? How frequently do you revisit your system.

Or amend the rules? Yeah, good question. We sort of covered that earlier when on the question about how often do you re fine tune? And the answer was it depends on the strategy. Shorter term strategies are more often. I monitor frequently so I look at the performance of the systems weekly and monthly to make sure they're doing what they're supposed to do and if they're not, then I do a deep dive to investigate. And then if I investigate and find they need to be tuned up, then I will change it. But mostly 6 to 12 months.

Is frequently enough to.

Revisit your system and often you won't even have to do that. Like I've got systems I've traded for years that I've never. I haven't changed.

What if you have low capital to invest? Can it work? Can we set up systems for both long term and short term investing? What profit percentage can you expect?

Yes, it can work with low capital. The less capital you've got, the more careful you have to be about which strategies you trade. The system, which I'm going to share tomorrow to everyone who's registered, can be traded with quite low capital, which is great, which is the reason why I'm sharing it because it's low barrier to entry. But the more you have, the more you can diversify. So look, I started with 7, $5,000 and when I started trading you had to pay $40 to buy and $40 to sell. $40 was the minimum commission. And let me tell you, that's a high hurdle to overcome. When you got a small account now it's much cheaper.

But very small stocks on the Australian market. So very small accounts on the Australian market can be tough because in Australia we've got a minimum $500 trade size and the lowest commissions you have to pay is about six bucks. And so that math is a little challenging for a 5 or $10,000 account. The US market is a bit easier in that respect because minimum Commission is about $1 or 4 free if you're in the US and you can trade smaller positions. So yes, you can do it with small money. Just know that, you know, it might be a little bit of a longer journey or more difficult. You've got to be more selective about which strategies you trade. But you know, that's fine. It's definitely doable.

There are definitely intraday systems. I'm not an intraday trader. I'm going to be completely upfront. I like end of day because I just don't want the pressure of having to monitor my trades intraday. When I started trading, way back when I was working, I traded because I wanted to have freedom and I had a job and I had trading on the side. When I no longer had a job, I didn't see any reason to take up my entire life by expanding the amount of time my trading took. Because there's actually very limited value in spending more time trading. You know, if you've got good strategies that are end of day, you can do your 10, 20, 30 minutes a day to run your portfolio strategies and that's all you need to do. Spending three hours looking at it is probably destructive. So.

Yeah, I don't, I'm not a huge fan of intraday systems. There are ones that work. There's definitely short term algorithms that work, but it's, it's tough because there's a lot of competition at the short term end of the market. There's a lot of hedge funds and CTAs and whatever that have supercomputers and lots of quants and PhDs in math doing trading at the very short term end and frankly that's tough to compete with. But if you go longer term, there's less competition. You know, the swing trading, trend trading sort of durations, you know, holding for weeks to months is much lower competition than trading. You know, five minute charts, for example.

Once we have the system, can it be migrated to another analysis program Beyond Charts, for instance?

Good question.

Beyond Charts is a little limited from a systematic trading perspective.

It doesn't have the backtesting capabilities that amibroker or realchest have. It can do the signal generation, for example, it can do the charting, it can show you the rules on the chart, it can do the scans, but it's not, it's a discretionary traders tool, it's not a systematic traders tool.

So yeah, but if you've got Beyond Charts, you've, you've already seen some of the, you've probably seen some of the code, some of the indicators, all of that. But when you see what I teach, you'll see that you need something that has some more power than that. But the migration won't be that challenging. I've had plenty of students that started that had beyond charts when they came to me because they were using discretionary approaches, and then they came to systematic trading, jumped straight into our software and found the learning curve pretty straightforward. Plus I've done all the coding for you anyway. So to get started at the beginning, you don't have to worry about learning all of the stuff, syntax and all of that is done. You just need to learn how to read it and ask questions to understand.

We're at 10 to 2.

Let's, let's, let's do two more because I'm seeing a few people drop off and stuff. So choose two great questions and then we'll wrap up and we'll hold the rest over for tomorrow and I'll stay as long as you need us to stay tomorrow.

If the system just engages capital 1.3% of the time, how many systems do we need to have in place in order to deploy all or most of our capital?

Yeah, that's a really insightful question. That system that I showed today is highly selective. I have other systems that might be in the market almost 100% of the time and they're just always choosing the best stocks and always quite fully invested. So you might have, just for example, at the beginning you might have two or three systems, one that is very heavily invested and then one like I showed you today, which just goes in and out of the market every now and then for a quick trade. And those would combine quite neatly together so you don't need tons of systems. You wouldn't have 30 of those type of systems I showed you today, all crammed into a portfolio because they'd end up being quite highly correlated because by their nature, that's a mean reversion strategy I showed you today. And you don't want all mean reversion in your portfolio, that would be a bad thing. You need different strategies. So trend following, for example, where you buy stocks that are going up and you hold them until they stop going up and start going down, you might have 20 or 30 trades, sorry, 20 trades in your trend trading systems portfolio and be fully invested for months and then you just take a mean reverse trade here and there and that would be a, that could be a pretty good starting portfolio. So yeah, I mean, couple of systems is enough. But as you grow and as you learn more, you'll find that you'll probably want more, more systems in your portfolio.

I'll ask this question because I know it comes up a lot. Does Daniel disclose his PMs?

Ah, no, I don't. Good question.

I don't for a bunch of reasons. I mean, my life is not your life. My situation is not your situation.

I've been Trading a long time and the less admin I have to do, the better. And so I don't have a public portfolio. I don't feel the need to prove myself by doing that. If you're not sure that you can believe me after watching all of the free stuff that I put out there, then good luck to you. But I put so much useful, valuable content out and I'm happy to talk to everyone who is interested in learning from me and you can ask me questions to prove that I can help you. I don't feel the need to publish my, my portfolios in public domain to share that, to prove that I can do this. You know, I've been trading a long time and I just don't want that extra overhead. So frankly, no is the answer.

There's people that do, you know, I don't even. I think it helps to some extent, but also hurts to another extent. I think it's of limited value. You know, what you need to do is find someone that you can relate to who will answer your questions and who you connect with. So I don't think that that extra detail really helps all that much. Plus, to be honest, I just don't want to do the work.

Let's go, one more question.

Last one. Okay.

In addition to crypto, did you say you're also trading derivatives, futures, options, etc?

I don't. I have traded futures in the past, I haven't for a long time. So I trade stocks, ETFs and crypto. @ the moment. I do see in my future having a automated futures portfolio, so I think that's a good thing. But right now, stocks is my main focus. I trade what I teach and I teach what I trade. I, I think that's good practice because everyone, you know gets the benefit of the research that I'm doing. So. Yeah.

Okay. Alrighty. That's day one. Thanks, team. Great questions. If you have more questions, you can save them for tomorrow. You can email them to us and we'll get them and we'll add them to the list for tomorrow. Or you can ask them at the bottom of the trader quiz. Don't forget to do your quiz. That'll ask you a bunch of questions and test out where you're at and that'll be really useful. And I'll see you tomorrow where we're going to cover the last four steps of the inline trader journey. So thanks so much for spending your time with me. Hope it was helpful and I can't wait to see you tomorrow. Bye for now.