I listened to your podcast recently about value and decided to email you.
I read a few of your books years ago, but recently started thinking about trend following and trading again. I always used to think if you own a quality name like Nike or Oracle you could buy a bunch and never look again until retirement. Maybe even pass them on to your kids and grandkids. Your podcast definitely woke me up to the reality that happens with individual stocks. If we give up and just ‘buy the index’ we get paltry returns. My estimate is that the index tends to about keep up with the M2 money supply. So inflation.
I know you have several books but I don’t know where to start. What are some good ‘how to’ ideas for someone like me?
I know psychology is a big component so I recently purchased and read a few books from Van Tharp. They were very beneficial.
You see the screenshots. The P&L curves. The “lifestyle” shots of some guy in a rented villa, claiming he’s cracked the code with a secret indicator.
It’s all noise.
Worse than noise. It’s a trap for your psychology.
If you are checking your X feed to see what the “sentiment” is, you’ve already lost. If you are looking for validation from strangers on whether your long position is “right,” you aren’t a trader. You’re a seeker. And seekers get slaughtered.
The Feedback Loop of Nothing
Social media is designed to make you feel like you are missing out. It feeds the exact human impulses that trend following is designed to kill:
The need to be right.
The need to be first.
The need for a story.
Trend following doesn’t care about your story. It doesn’t care about your “likes” or how many followers agree with your macro thesis.
The market is the only reality.
Price is the only truth.
The Ghost of 2021
Remember the endless GameStop screenshots?
The forums were a digital cathedral of “diamond hands” and rocket emojis. People posted gains every hour.
The mania had nothing to do with math. It had everything to do with belonging.
Then the trend broke.
The screenshots stopped. The “community” vanished.
The people who tied their happiness to that digital crowd didn’t just lose money. They lost their identity. They were trading for status, not for equity. When the status evaporated, they were left with nothing but a broken account and a bitter taste.
All that social media chatter? It didn’t save a single soul when the price turned.
Systems Over Status
Trend following is a tool for freedom.
It is a systematic approach to extract profit from human behavior. It is not a social club.
The best traders I know? You can’t find them. They aren’t posting “alpha.” They are out living. They have systems that run. They follow the rules. They take the signals.
Then they go for a walk. They travel. They spend time with people who don’t know what a moving average is.
If your happiness depends on the next tick, you cannot trade objectively. You become a slave to the screen.
Don’t get it twisted.
Validation online is a dopamine hit that lasts five seconds. A systematic edge lasts a lifetime.
If you want to win, stop looking for consensus. Stop scrolling for “conviction.”
The market is not your identity. If the Wi-Fi goes down and you panic, you don’t have a system.
My guest today is Nelson Dellis. He is a memory athlete and consultant. Nelson is a six-time USA Memory Champion, holding the record for most wins of the national memory champion title. Nelson also runs Climb 4 Memory, a nonprofit which aims to raise funds and awareness for Alzheimer’s disease research through mountain climbs around the world.
The topic is his book Everyday Genius: Hacks to Boost Your Memory, Focus, Problem-Solving, and Much More.
In this episode of Trend Following Radio we discuss:
Memory techniques as systems and frameworks
Pygmalion effect and belief shaping performance
Memory as foundation for faster learning and creativity
Training the brain like a muscle and preventing cognitive decline
Name memorization using visualization and association
I recently purchased Trend Following Masters Volume 1 and Volume 2, and I truly enjoy your insights and perspective on trend following.
I noticed the message in the book about receiving the free interactive Trend Following presentation. I would be very grateful if you could share it with me. If needed, I would be happy to send you a photo of my purchase receipt as proof.
Thank you very much for your time and for writing such valuable books.
Thanks a ton for your constant motivation and guidance, man. Your words and trading wisdom keep me grounded and hungry for more.
I’m putting in the work every single day and I promise you this: I will be a millionaire trader by 2030. And when that happens, I’m coming to meet you in person to express my gratitude and have coffee with you.
Until then, I’ll keep hustling and staying disciplined.
Just wanted to send this message to you and to thank you for the passionate amazing work that you’ve have done over the years with your books and your informative and decisive podcasts. You continue to drive home with incredible inspiration and passion what trend following is all about. Your podcasts get better all the time!! Please continue to drive home you’re knowledge and message with the same intensity as you’ve always done. Those that choose to listen will benefit in a big way and profit without a doubt, those that don’t will continue to live in their mommy’s basement in their tighty whities lol.
Again a BIG SHOUT OUT to you for the incredible work over the years. Please keep it going!!!