If You're So F#$%ing Smart, Why Aren't You Just Trading the System?

“Today I went shopping, and talk is still cheap” – Lil Wayne

One of the main questions that I ask myself anytime I read a trading blog/website/book is “If this guy(gal) is so f#$&ing smart, then why are they even bothering writing about their system and not just trading it full time to make money?” 

I can think of only 3 reasons why someone would disclose their “system”:

1.  THE “I KNOW I AM AN IDIOT” GROUP - They know they are a complete fraud and the system is not robust or a winner. 

Sadly, this is probably the case most of the time.  If the website/book spends most of its time talking about all the winners it has our blindly promoting its monthly “premium” service, you can safely stay the hell away from it. If we are to believe that 90% of traders ultimately lose money in the markets, then the corollary is that 90% of trading and content is probably bullshit. 

2.  THE “I DON’T KNOW I AM AN IDIOT” GROUP - They are unaware or dumb enough not to know that their content is all crap.

This is the flip side to #1 above, but just as bad.  It seems that some people just don’t know what they don’t know.  They are a great “promoter” and a shitty trader.  Stay away.

3.  THE “IT HELPS ME MORE THAN IT HELPS YOU” GROUP - Publishing the content helps to align the writer’s thoughts and benefits the writer just as much (or more) as the reader.

This is arguably the only group that can benefit the new trader.  Some content out there is only published because it helps the writer at least as much or not more than it helps the reader.  If this is the case, drink it in people.  A good tell is that the book/website does not promote “premium” services or talk about how much money he/she has made in the past day/week/month.  There is generally not a headline like “Triple your profits by adding this little known indicator.”  The content talks less about entries/setups and more about exits and risk management.  There are responses to critiques of the system in the comments section.  The writer doesn’t get pissy when someone offers a criticism of the content.  Enough data is out there that you can backtest the example system and get similar results. 

Good content is out there.  Part of your job is to find it, test it and determine for yourself if you should adopt it.