Ken Wolff - MTrader Founder
I have spent most of my adult life working for myself. Having owned several businesses, I have grown to love the freedom and sense of personal satisfaction that self-employment affords. Over the years however, as it became increasingly difficult in this economy to hold a small business above water, I found myself searching for other avenues of income that require a relatively small investment, low over-head, and provide steady yields. I needed a way to provide for my family while retaining my freedom and independence.
My interest in the Stock Market began in the 70's, while working as a Systems Analyst for a large computer manufacturer. I began actively trading stocks though about fifteen years ago when I invested $6000 in a Canadian oil company. The company was drilling in Nigeria, where I knew there were successful oil fields nearby, and I thought they had a good chance of hitting. They did hit and I sold for a total return of $10,000 in two days. I was instantly hooked on trading stocks.
I wanted to make a living trading, but only had a small amount of money to begin with, so I knew I could only invest when it appeared to be a sure thing. I had to keep my losses at a minimum and my profits at a maximum. I needed fantastic percentage returns to be able to trade full-time. I read all the books and articles I could get my hands on about stocks, the market and trading. Everyday I watched, studied, and charted how stocks moved. Gradually I found patterns and began developing investment methods that consistently provided profits, allowing me to sell my business and become a full-time stock trader.
I was thrilled to find others that were also daytrading the stock market in AOL chatrooms. I thought what a great idea it was to combine forces to help each other concentrate on quick breaking news plays and other potential momentum stocks. However, I quickly found that very few had any real discipline or solid methods of daytrading. Instead, many were taking wild guesses or trying to apply long term investment techniques to daytrading, which does not mix well. I also found that the newer members of the daytrading community were being preyed upon by the more experienced traders. Experienced scalpers would buy low volume stocks with mediocre news, then go into several chats and hype the stock as much as possible, getting gullible traders to create some momentum so they could exit with quick profits.
As I began to point out why these stocks were risky and not worthy of attention, and shared how I expected a stock to move, giving specific trading targets, my popularity grew. I then decided to get my own room together and teach daytrading to a few. I thought we could then band together and help each other look for predictable trades with method and discipline. I decided to charge my first students $1K each to compensate for my time and efforts, which I thought would take about a month to accomplish. It actually took two months and I found it was a stressful ordeal putting my neck on the line daily, telling them when to buy and sell. We did extremely well, with many increasing their portfolios by 80% while they were learning, but after two months I decided it was time to return to my trading.
In our newly-formed chatroom everyone was encouraged to share as they considered their trades. What I quickly found however, was that without my direct leadership the traders would not trade. Many were simply too meek to act without the nudge of a leader, or they would quickly fall back to their old bad habits. What I found out was that each trader must believe in themselves as well as the leader and method used. And that takes time and coaching. So with the help from some students, I decided to begin a teaching career.
Through the years that teaching career has been incredibly fulfilling on so many levels. It is an amazing priviledge to be able to help so many people develop careers that allow them to stay at home with their families. The satisfaction I feel at sharing in their successes and new-found independence is indescribable. I consider it a triumph for the struggling middle-class families of America. My sincere hope is that by sharing these methods with you, you will also find the sense of freedom, accomplishment, and security that financial independence can bring.