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Tag: feedback

“There is a man I think you should meet…”

Posted on by Michael Covel

Feedback in:

Michael, I play most of your podcast episodes and the one with Susan Peirce Thompson was the first one that I remember that showed your spiritual side. I was impressed. You may agree or not that it was spiritual it doesn’t really matter.

There is a man I think you should meet. His name is Vishen Lakhiani and he has written a book The Code Of The Extraordinary Mind and he has a company called Mind Valley. You might enjoy reading his book and finding out about Mind Valley. A lot of this is available on YouTube. I can see each of you interviewing each other separately.

Let me know what you think
[Name]

Thanks [Name]!

I appreciate all of your support over the years!

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As Ed Seykota Noted: “Everyone gets what they want…”

Posted on by Michael Covel
Inside the Mind of FX Day Traders
Inside the Mind of FX Day Traders

Feedback in:

Hey Michael,

Came across this scheme from a friend. Claimed to return 20% per month! Through forex trading.

I think it’s too good to be true! Unless you have seen it done before.

Regards,
Michael

As Ed Seykota said, “Everyone gets what they want.” And I would add, “Even if fantasy.”

How can you move forward immediately to Trend Following profits? My books and my Flagship Course and Systems are trusted options by clients in 70+ countries.

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Trend Following is for beginners, students and pros in all countries. This is not day trading 5-minute bars, prediction or analyzing fundamentals–it’s Trend Following.

“Thanks for the invaluable content you put out there…”

Posted on by Michael Covel

Feedback in:

Hi Michael,

First off, thanks for the invaluable content you put out there. I got your email from your podcast. I’m not sure if you read these emails or have an automated response for all the people that email you. So in case you do, here it goes;

I’m in my mid 20’s living in San Diego and will be transferring to finish my degree in Economics/Finance at a top 30 school this fall. I’ve had no family support and will rely on savings (been working full time to go to school) and some student loans. I have educated myself about the basics in value investing and other investment strategies for the last couple years but I wanted to trade. So I got into technical analysis and started position trading with about $5,000, holding about 3 trades at a time for several months and using stop losses, making money and losing money on small and mid caps in tech, retail and energy, using sentiment and moving averages. So I reverted to value investing and read some more before gambling away more money, until I came across your works.

I am not risk averse, but don’t have the stomach for draw-downs of more than 50%, plus I am a curious individual and like to be involved, hence why trend following sounds more appealing to me. I could have a value and momentum combined portfolio, but sounds like the average yearly return (back tested until 1967) is an alpha of 16% with beta of 18%. I am not expecting to become rich overnight (although that should be every capitalist’s goal) but to make enough to a decent income and enough time to focus on finishing school and learn more and more about the markets.

I understand this takes time and education and in fact have been digesting a lot of books and have be wondering what your take is if you were in my shoes.

Thank you for all you do,
[Name]

Some starting points here and here.

How can you move forward immediately to Trend Following profits? My books and my Flagship Course and Systems are trusted options by clients in 70+ countries.

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Trend Following is for beginners, students and pros in all countries. This is not day trading 5-minute bars, prediction or analyzing fundamentals–it’s Trend Following.

Should You Jump or Not? Some Good Thinking

Posted on by Michael Covel

Feedback in:

Hey Mike:

I’ve been trading on and off for about 20 years but I finally have created a fully back tested system that I’m really happy with. I’m thinking of becoming a full-time trader and quitting my job to be fully focused on getting consistently competent. As my system only works on daily price I only really need about 30 minutes a day to execute my scan and trade. I’m thinking of getting a part-time but I’m worried that this will take from my focus. Before I had my current job for the past year I was self employed in retail and hospitality for 15 years so I have an understanding of being an entrepreneur however I feel that having these businesses and trading at the same time is the reason I haven’t been able to get it right.

Would love your thoughts.

Cheers
[Name]

Asking if you should jump or not?

Read:

Or this by me:

Enjoy!

How can you move forward immediately to Trend Following profits? My books and my Flagship Course and Systems are trusted options by clients in 70+ countries.

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Trend Following is for beginners, students and pros in all countries. This is not day trading 5-minute bars, prediction or analyzing fundamentals–it’s Trend Following.

Jim O’Shaughnessy: Successful Active Stock Investing is Hard

Posted on by Michael Covel

Feedback in:

Mike,

I know this is outside your strategy space, but the psychology behind this post from Jim O’Shaughnessy is fantastic.

Hope you enjoy,
[Name]

Thanks!

How can you move forward immediately to Trend Following profits? My books and my Flagship Course and Systems are trusted options by clients in 70+ countries.

Also jump in:

• Trend Following Podcast Guests
• Frequently Asked Questions
• Performance
• Research
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Trend Following is for beginners, students and pros in all countries. This is not day trading 5-minute bars, prediction or analyzing fundamentals–it’s Trend Following.

Famous Last Words: “No One Saw it Coming!”

Posted on by Michael Covel

Feedback in:

Michael,

I just wanted to take a moment to thank you for your work. I have read most of your books and they are exactly what I needed.

You see I am a veteran of the brokerage business (30 Years) and I have always known intuitively that something about the entire business was, and is, a lie. Analysts have no skin in the game, management doesn’t care if you make money, it’s all about assets under management that’s why they will never say sell. “Just buy more.”

You see I used to look at CFA’s as the smartest people in the room. Now I know that they are really just financial weathermen trying to predict the future. Something that can’t be done.

I have adopted for my clients a simple trend following rules based strategy, and it amazes me how hard it is to change minds. It is so simple they somehow think it can’t work. But I will keep plugging away and I know you will to.

The business needs to change even the other brokers in my office look at me like a freak when I tell them to stop listening to analyst’s and “stop buying stocks that are going down.” Old habits die very,very hard.

Just wanted to say thanks.

[Name]

The same listener wrote back the other day, almost a year later:

Michael,

As you can see we have corresponded before. I just wanted to drop you a line to tell you just how bad it is out here. As I mentioned previously I have 30 years under my belt in the brokerage business, but only in the last four or five have embraced rules based trend following.

Happily my clients that will listen with an open mind almost always say the method makes perfect sense. The problem lies with the people I work with, when I talk about having rules, following them, and being completely agnostic about what you own just make sure that what you own is going up they look at me like I have two heads. Like it is a cute parlor trick but could never work long term. Then I prove to them how much better off they and their clients would be if they would only have rules to sell what is going against them they shake their heads, agree, and forget everything I said.

My point is keep pushing these concepts when it hits the fan one of these days people are going to be destroyed because they won’t sell anything. And all my peers will be sitting with clients apologizing for not protecting the down side and saying, “No one saw it coming.” To which I will respond, “It wouldn’t matter if you had rules for selling.”

Keep it up, these ideas can change lives.

[Name]

Thanks!

How can you move forward immediately to Trend Following profits? My books and my Flagship Course and Systems are trusted options by clients in 70+ countries.

Also jump in:

• Trend Following Podcast Guests
• Frequently Asked Questions
• Performance
• Research
• Markets to Trade
• Crisis Times
• Trading Technology
• About Us

Trend Following is for beginners, students and pros in all countries. This is not day trading 5-minute bars, prediction or analyzing fundamentals–it’s Trend Following.

“Sound capital management best practices…”

Posted on by Michael Covel

Feedback in:

Michael,

Before stating this, I’ll say that I’m a person who has always been buy and hold, and does NOT mind drawdowns. I lived through Black Monday, the Internet bubble, and the financial crisis, and generally just bought more when I thought things were getting near their lows (kind of a trend strategy in itself). I never sold and was happy that things were finally getting cheaper. The market has rebounded every time, and I’ve been fortunate to make what I lost and more.

Having said that, today I placed my first trend-based (price only, systematic decision) orders today with lot sizes based upon a defined and more than acceptable risk, and with trailing stops based upon volatility. There was something quite comforting about having a defined maximum risk, I must say. Also, I placed trailing stops on several other positions in my account as a function of volatility as well. All thanks to techniques I picked up from your show.

I think it was James Rohrbach (episode 17) who first caught my attention with a simple question when talking about the market. He mentioned, with respect to buy and hold, something to the effect that after a large drawdown, the market may very well come back. As true as that may be, he asked, “Is sitting through that drawdown the smart thing to do?”

Some of the trend stuff, such as intelligent bet sizing, risk management, etc., is more than just trend following. It just makes sense as sound capital management best practices. Thanks for spreading the word.

Cheers,
[Name]

Thanks!

How can you move forward immediately to Trend Following profits? My books and my Flagship Course and Systems are trusted options by clients in 70+ countries.

Also jump in:

• Trend Following Podcast Guests
• Frequently Asked Questions
• Performance
• Research
• Markets to Trade
• Crisis Times
• Trading Technology
• About Us

Trend Following is for beginners, students and pros in all countries. This is not day trading 5-minute bars, prediction or analyzing fundamentals–it’s Trend Following.