The Truth About Stock Trading And Chat Rooms by Josh DiPietro
Look Before You Leap
If you think that joining a trading or chat room will show you how to trade like traders on Wall Street, think again. Hereís what you should really be doing.
In 1998, I lit up my first trading screens. I began online trading in the comfort of my home in sunny San Diego. Soon after that, I was eagerly searching for online trading rooms and stock chat rooms. I was seeking a knowledge center where I could absorb stock-picking information from experienced, professional daytraders.
I didnít know a lot back then, but I was certain of one thing: the holy grail for any greenhorn would be live video and a real-time order execution feed to an expert stock trading floor. Later on I learned that was naive, sometimes fatally so. And it was also typical. Novice traders are understandably driven to seek guidance, even though they have not forged their own successful trading systems. I wasnít the first beginner to search for live trading rooms, desperately hoping for some much-needed magic. In this article, Iím going to demonstrate how those trading rooms either donít exist, or in the cases where they do, how they are seriously misleading. In some cases, they are even illegal.
THE EARLY YEARS
In my early trading days, I didnít know any better. After reading through a library of trading books and attending some pricey seminars, I still didnít know what I was doing.