Monday, February 26, 2018

Collaborative Learning: A Totally Different Trading Edge

What if the success rate among traders is low, not simply because of the complexity of markets, but because the learning methods traders employ are not suited to complexity?

What if the greatest edge we could achieve in markets comes, not from another indicator or software tool, but from revolutionary ways of learning and understanding markets?

Considerable research suggests that active learning methods are superior to passive ones, with particular benefits associated with team-based learning, including greater engagement of students and greater depth of learning in such fields as medicine and psychology.

As I note in the latest Forbes article, structuring mentoring and coaching within trading teams has greatly increased the success of training traders.  The technique of the daily report card, in which traders review key aspects of their trading daily and share their grades and observations with mentors, coaches, and peer traders, has meaningfully accelerated the learning curves of many traders who have adopted this framework.

If you have not achieved the trading results you desire, I encourage you to consider the possibility that the problem may not lie with your psychology or with your use of any particular set of trading tools.  Rather, you may be honing your skills in entirely the wrong way.  You would never learn and master basketball, chess, or surgery in a classroom or through videos, followed by solo experimentation.  Why would the performance domain of trading be any different?

I encourage you to reflect upon the daily report card framework and how turning learning into an active and interactive enterprise could accelerate your learning curve.