There are many different ways of learning trading, including trading books, seminars, online courses, and individual instruction and mentoring.
Trading books are one of the most popular methods because they are usually the lowest cost, but learning trading from books can be one of the least effective methods (because a lot of trading instruction books are complete rubbish). Trading seminars can be an effective method of learning trading, but only if the seminar is being given by a professional trader. Unfortunately, many trading seminars are given by a professional seminar host (or seminar company) instead. Online courses usually cost less than a live seminar, and can provide quality instruction (assuming that they are designed by a professional trader), but they are limited in that they are not usually personalised for the student. Individual instruction and mentoring is the most effective method of learning trading, and is the most likely method to lead to a successful trading career.
Trading Instruction
Individual trading instruction and mentoring is where a new (or just less experienced) trader learns trading directly from a professional trader. Learning trading from a professional trader in a single student environment is a very efficient and flexible way of learning trading, and has many advantages over any other methods.
Trading instruction can be tailored specifically to meet the needs of the student. For example, a course for a new trader might last two to four weeks, and cover all of the basics of trading. Whereas a course for a somewhat experienced trader (i.e. a trader that already knows the basics of trading) might only last a few days.
Trading instruction can be provided by a professional trader whose trading style is compatible with the student's trading style (or perceived trading style). For example, a student that prefers scalping the currency markets can learn from a professional forex scalper, but a student that prefers swing trading the stock markets can learn from a professional stock trader.
Individual trading instruction and mentoring can be provided both in person and online. If the student and the professional trader are both located in the same region then in person instruction would be the best choice, as the student would be able to learn every aspect of the professional's trading. If in person instruction is not feasible, then online instruction is a very good alternative. Video conferencing and/or chat services such as Skype or Stickam can be used, and the instruction will almost be the equivalent of in person instruction.
Trading Mentoring
Where trading instruction provides the information about trading, trading mentoring provides assistance and oversight after the instruction. In other words, a trading instruction course might last two weeks, with a furter two weeks of trading mentoring, where the professional trader keeps track of the student's trading, and provides assistance if necessary.
Trading mentoring can take various different forms, including continued contact between the student and the professional (e.g. email), or perhaps trading together (either in person or online) with the professional making sure that the student is trading correctly.
Trading mentoring may or may not be necessary depending upon the student. For students that require additional assistance, mentoring can be provided for as long as necessary. For students that do not need as much further assistance, mentoring can be provided for a fixed amount of time as part of the initial trading instruction.
Trading mentoring as a follow up to trading instruction allows the professional to monitor the student's trading while the student makes their own trading decisions, and can be a valuable part of learning trading from a professional trader.
Whom is Instruction and Mentoring Suitable For?
Individual trading instruction and mentoring is most suitable for new traders because they will be most adaptable to the instruction (i.e. they will not have any bad habits to break). Experienced traders can also benefit greatly from individual trading instruction and mentoring, but they need to be willing to abandon anything that they may have already learned. For example, expecting a professional trader to teach you how to make your own trading system profitable is unrealistic (this would be trading system design rather than trading instruction). If this is the student's goal, then individual trading and mentoring is not likely to be successful. However, a trader that already knows the basics of trading (e.g. markets, order types, etc.) but has not yet chosen a trading system, is a suitable candidate for individual instruction and mentoring.
The professional trader will most likely discuss the students trading experience and their expectations with them prior to commencing any instruction or mentoring, and will use this information to decide if the student is suitable for their instruction and mentoring.
The Cost of Trading Instruction and Mentoring
Individual trading instruction and mentoring costs vary dramatically depending upon the amount of time that the professional trader expects to devote to the student. In general, I would expect individual trading instruction to cost approximately the same as a seminar (e.g. anywhere from $1,000 to $5,000), but with the obvious additional benefits.
For new traders (i.e. those that understand the concept of trading, but do not yet know any of the basics), I would recommend two weeks of trading instruction followed by two weeks of mentoring, and I would expect this to cost from $4,000 to $6,000 (or € or £). For somewhat experienced traders (i.e. those that know the basics of trading, but have perhaps not yet traded live), I would recommend one to two weeks of trading instruction followed by one to two weeks of mentoring, and I would expect this to cost from $2,000 to $4,000 (or € or £).
