Coaching and Trading

BarroMetrics Views: Coaching and Trading

I was watching a rejuvenated Roger Federer defeat Murray last night. And it struck me that Roger, Andy and Novak all had more thing  in common in 2014. They all have hired new coaches. The top tennis players all have coaches, and most of them have had a coach since they began hitting a tennis ball.

Trading is at least as difficult to master as tennis; yet how many budding traders give coaching a passing thought, let alone serious consideration?

Ericson’s Deliberative Practice model presupposes the availability of a coach to provide accountability and feedback. For me, it’s the latter that is most important. The lack of informative feedback means we miss the knowledge that provides the information for improvement. And, this means, we are remain stuck at our present level for our results.

Barriers to engaging a coach include:

  • our failure to recognise the need for  coach
  • the lack of competent coaches in our area
  • the cost

The new format I am launching for a trading course in March may provide a solution to the barriers – we’ll just have to see. Certainly the test results have been positive.

In the meantime, provide your own feedback. At the end of each trade, ask questions like:

  • do I follow my plan?
  • what were the conditions which influenced my behaviour?
  • (if I want to repeat behaviour) what are the essential conditions that motivated the behaviour?
  • (if I want to avoid the behaviour) what are the essential conditions I can change so as not to repeat the behaviour?


Essentially, you are looking to repeat behaviour that works for you (i.e. helps you maintain your process) and change behaviour that does not work (i.e. is a barrier to your execution of your process). Notice that I said ‘process’ not profits. If you consistently execute your process, then if you aren’t making money, you know you have to change your process. But, if your execution is inconsistent, or if you aren’t even aware of your process, then you don’t even know where to begin to change.

Is your process that needs changing? Or, is it your execution?

Answer, you don’t know because you have not executed consistently………

8 thoughts on “Coaching and Trading”

  1. Hi Paul

    Since you have not articulated your assumptions, I can only say that I think I disagree you.

    The comment seems to imply that licensing ensures competence. If I am correct, then I have a different opinion.

    Licensing does not ensure competence.

    The fact is, whether or not, there is a licensing scheme, users need to do some due diligence.

    No guarantees, of course. But, you can usually tell the trainers who are the genuine article from those who teach because they can’t make money trading.

  2. waiting for detail of your March course that can solve these 3 problems. I am very keen in your March course. Is in Singapore right?

  3. Hi Caleb

    Thank you for your interest. I greatly appreciate it.

    Yes in Singapore.

    If you are a newsletter suscbriber, details will go out on Feb 9, provided there are still seats.

    I can make room for only 21 because of the mentoring aspect; first option is going to previous students.

    That said, I do expect to have one to three seats available.

  4. Licensing does not ensure competence
    – But at least we know that
    1. They are being trained as coaches

    2. They meet the authority’s minimum requirements to be coaches 🙂

    Teachers in Singapore teaching at government primary and secondary schools (including Junior Colleges) must attain a Diploma in Education (Dip.Ed) or a Post Graduate Diploma in Education (PGDE).

  5. Hi Paul

    We’ll just have to agree to disagree.

    The fact that a teacher holds formal qualifications does not mean he can teach; the fact that he doesn’t does not mean he can’t.

    Let me give you a personal example……

    I taught English (part time) when I first came to HK (after ‘retiring’).

    In the two years I was at the school, my charges’ exam results showed remarkable improvement when compared to previous years. So, you could say I had an impact

    Yet, I did not (and still do not hold official teaching qualifications). That fact that I did not, however, did not prevent me from making a difference.

    That’s the problem with licensing…..

    It lulls us into a false of security – absolves us for not making the necessary due diligences we need to make.

    Another personal example….. in Australia I sat for, and passed the licensing requirements to manage funds.

    Did the exams have anything to do with trading?

    No. They focused on being able to comply with Government regulations. Regs are important for legal and accounting reasons. And, I hired accountants and lawyers to ensure that I met them.

    But here’s the point – the licensing did not provide even a minimum requirement I could provide a profit for my clients.

    I agree that the trading teaching industry needs radical improvement. But, I doubt that any form of licensing will achieve that.

  6. Hi Ray,
    Singapore current Minister of Education says that “every school is a good school”!

    So, it should implies every teacher is a good teacher?! lol …

    May be, what he means is that, every teacher have good pedagogy knowledge.

    To me, a wise man would not think that knowledge is power.

    Wisdom is power.

    Wisdom to know when to trade breakout, when to do reversal trade ….

    Wisdom to know who to learned from! 🙂

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