Four Multi-Millionaire Traders Share Their Thoughts On Trading

“The key is consistency and discipline,” says Richard Dennis who grew $400 into $200,000,000.

"The key is consistency and discipline.  I don't think anybody winds up making money in this business because they started out lucky."

For legendary trader Richard Dennis, the importance of being consistent isn't just theory.  In 1984, on a bet, Dennis trained 23 individuals off the street to religiously follow a set of trading rules.  His point was to provide that discipline was the key to trading success.  All but 3 of those beginner traders made over 100% return their very first year of trading and Dennis won his $1,000,000 bet.  Consistent discipline is also what is taught in the "Futures in Motion" advisory service.

“It's perseverance” declares Tom Baldwin who started with $25,000 and made untold millions trading upwards of $2 billion dollars a day in T-Bond futures.

"It's perseverance.  You don't need any education at all to do it … because it is like any job.  If you stand there long enough, you have to pick it up."

By most accounts, Tom Baldwin may be the single largest individual trader in the T-Bond pit and Tom attributes his success to perseverance.  This is a principle on which "Futures in Motion" is based.  According to Tom, you need no special education to become a super trader.  Ken agrees and believes that if you just follow him every day, eventually you have to pick it up.

"It is a happy circumstance that when nature gives us true burning desires, she also gives us the means to satisfy them. Those who want to win and lack skill can get someone with skill to help them."

“Always use stops” recommends Michael Marcus who turned $30,000 into $80,000,000.

"Always use stops.  I mean actually put them in, because that commits you to get out at a certain point … to be a competent trader and make money is a skill you can learn."

“Get someone with skill to help” advises Ed Seykota who turned $5,000 into $15,000,000 trading commodities.

Ed Seykota lives on Lake Tahoe and trades from his office overlooking a view of incredible beauty.  Ed's living his life exactly as he wants and the gentle philosopher within him wishes you to enjoy the same privilege.  To Ed, it's a simple matter; if you have a true burning desire, get someone with skill to help you.  Ken Seehusen and the "Futures in Motion" advisory service fits the ticket.

“Your Passport to Professional Advice”

"MarketClub" is your passport into the exciting and sometimes super profitable world of trading, where turning a small bankroll into a huge fortune is not an impossible dream.

Notice that none of these incredibly accomplished traders attribute their success to some secret formula.  The methodologies of Schwager's 17 super-traders varied greatly, but they all had one thing in common. Through experience they developed the method and the discipline to act decisively time after time.

This is great advice from some very successful traders.

Adam Hewison


Co-founder, MarketClub

The Cheetah & The Trader

Today we've asked Michael Bellafiore from SMB Training, to give us some advice for frustrated traders. Enjoy.


I had an interesting conversation with a young trader from another firm today. This young trader pops into my office from time to time and talks trading. He is a very bright and competitive young man. And he is struggling. He killed it in October, but over the past two months he has dug himself a huge P&L hole. I have been hearing a lot of stories like this lately.

A trading friend of SMB Capital told us that one of the best ten traders we know gave back his whole year last month. While I was getting breakfast today a few nervous young traders from another firm stopped me to ask how our guys were doing lately. They relayed that many in their firm were "decidedly negative". I have heard that a few Tier I day trading firms recently restricted trader losses going forward. I was at an awesome holiday party recently, with incredible views of the NYC skyline, and one of the best traders on the Street was practically crying to me about how badly he has been trading.  I felt bad for the guy.  I spoke with two energy traders this week at the Reebok Club who offered that they were probably going to be fired.  The reason for their likely termination: failure to cease losing great amounts of money. I know that for SMB, last month presented a challenge to some of our traders.

Personally, I don’t have a bad month. I have traded through enough markets that I have developed a trading system for myself that allows me to profit no matter what the market. Last month I was positive. And, I will share what I said to that young trader who was worried about his future. You need more experience. You need to see some more markets. You need to make some adjustments. You need to go back to the basics.

One of our bright new traders, a graduate of the best undergraduate business school in the country, who has been struggling, made a list of plays that he will focus on this month. Great work here… But there were a few plays on his list that I didn’t even understand. They were technical plays that I did not use. And I will share what I told him. Trading is about finding weak stocks and getting short at levels that offer an excellent risk/reward. Trading is about finding strong stocks and getting long at levels that offer an excellent risk/reward. Do not make things so complicated.

Continue reading "The Cheetah and the Trader" HERE