FAQ Answers
General
1. What kind of classes are offered? We offer professional education in all trading instruments and some derivatives – Equities, Exchange Traded Funds (ETF’s), Foreign Currency Exchange (FOREX), Futures Contracts (Both Index and Commodity trading), Options, Active Investing and Real Estate Equity Trading. We also offer support classes for all of the above – Technical Analysis, Broad Market Analysis, Extended Learning Track (XLT). If it is a financial product – ask us, we probably already teach it!
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2. Where are the Online Trading Academy offices located? Please visit our locations page to view the most current list of open training centers, which are open throughout the US, plus some cities in Europe, the Middle East, and Southeast Asia. Many of our classes are available via CDs so students can learn from the comfort of their home or office.
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3. What type of people do you find attending an Online Trading Academy class? You find a wide variety of people, some retired and some just out of college. There are different styles of trading and thus a wide range of people and personalities. Many are looking for financial and employment independence.
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4. Do I need to know a lot about computers? No. Our software uses simple Windows applications. Those who are not familiar with Windows applications are invited to visit our office to take a look at what we offer. If time permits, we will be happy to show you how to become familiar with the software prior to your attending class.
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5. What are the pre-requisites to enter your courses? To enroll in a Professional Trader Stock Course, Forex, E-Mini Futures, Options or Commodity Course, there are no requirements. We do offer some Advanced Content Classes that do require a certain level of understanding to fully benefit from the class. Please contact us for further details regarding pre-requisites for our specialty and advanced classes.
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6. What do I need to get started in trading? First and foremost, you need a willingness to learn about a new world – not the one you believe in right now. You have to have a passion for the Market Place. After that, a reasonably new PC computer and a strong internet connection – like Cable Modem or DSL – is all that is needed to “start”. Call your local Online Trading Academy center for specific computer requirements as they change over time.
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7. Is there any special experience needed before becoming a trader? No, but any experience in the market would be advantageous. Familiarity with any kind of trading is helpful. The better your background, the easier it will be to get started. We offer free market primers on our website as well as simple tests to indicate to you where you are at.
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8. What styles of trading do you teach? Most trading instruments lend themselves to all styles of trading. In our courses we go to great lengths to show you the spectrum of how this is done professionally. Thus, we teach each student Momentum (Short Term based on Supply/Demand data and intraday Charting), Swing trading (Intermediate Term based on Technical Analysis) and Position Trading (long term – based on overall sentiment, Technical Analysis and Fundamental data).
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9. Why do I need to Learn so many styles? Beginning Traders need to know a little about all styles. You find out quickly that you have to be able to take advantage of what the Markets offer you. If the Markets are choppy and have low volatility, then Swing trading and Position Trading become far more difficult and less profitable, thus, you need to know a little about shorter term trading to make a living. Most important here is accurately identifying the “kind of Market” you are in – you can then decide to participate or stand aside.
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10. How much money do I need to get started? A larger account leads to a higher buying power. The higher buying power opens the door to more opportunity such as higher priced stocks or opening multiple positions. Higher priced stocks have more potential for volatility and opening multiple positions could allow you to increase profitability when a market trend is evident. Many successful traders started with small accounts, $30,000 or less, however their risk management skills must be very good to avoid large losses. Most Broker Dealers will require a minimum of $5,000 to do investing. Depending on your appetite for risk and activity level, the SEC and your Broker may require you to have substantially more equity to participate in active trading.
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11. How much money can I expect to make? You can make as much as your education, determination and skill set allows. While we cannot guarantee your success, we do offer a proven method of training to give you the highest probability of success – but you have to do the work. The Market does not pay easily, it requires training, practice and skill. We will show you how and support you along the way.
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Self-study Area
12. How much does it cost? The cost of each class is listed on the page describing the class. The The tuition for all in-center and Extended Learning Track courses may be rebated from qualified brokers. Please call one of our locations if you have any questions.
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13. How and where is the tuition reimbursed? The tuition is returned to you in the form of discounts on trading commissions and fees if you trade at qualified brokers or FCMs. Please call the closest location to you if you have any questions.
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14. Where can I trade after I graduate? This depends on several factors. First of which is, are you qualified? Each company has distinct requirements that must be met for an individual to have an account with their firms. Secondly, do you wish to use your reimbursed tuition? If you do, you must open an account at participating broker/dealer or FCM mentioned above.
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15. What can trading do for me? Having the ability to react immediately to price fluctuations in the market is crucial in any style of trading. Trading gives you the independence and timing necessary to pinpoint your entry and exit points. If you would rather participate in Modern Direct Access Trading which allows you to electronically reach the trading floors instead of sitting on the sidelines waiting for a retail stockbroker to call you with an undesirable execution, then this may be for you!
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16. How does trading work? In direct access trading, individual orders receive almost the same visibility as market maker orders. By utilizing the state-of-the-art systems provided by various Broker/Dealers, traders may have their orders executed in a fraction of a second. The ability to Buy at the Bid (wholesale pricing) and Offer for Sale at the Ask (Retail Selling)a re no longer the sole domain of the Market Makers. That means that the active trader, by monitoring real-time dynamic quotes, has the ability to buy, sell, bid, and offer within the spread, thus creating the opportunity to realize small profits – from 1 penny to perhaps 25 or even 50 cents within a few minutes. The average experienced trader may execute anywhere from 20-90 trades in one day. Instant access to the market also helps minimize trading risk and gives a trader more control and the ability to “bail out” of bad trade with minimal damage. For more information, please click here for a full description of Direct Access Trading and a Level II window.
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17. What free material is available online? We offer a range of online courses, newsletters and even a quiz:
• Lessons from the Pros Weekly Trading Newsletter
• Lessons from the Pros Archives
• Webcasts
• Financial Education Center
• 7 Pillars of Trading
• Technical Analysis Webinar
• Trading Quiz
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18. Can you learn anything about this from published material or books on the subject? There is good resource material available, with more being published every day. For instance, we've published our "Electronic Trading Guide to Nasdaq Level 2", now available from our online store. Some other examples are “Trading in the Zone by Mark Douglas, “Trading for a Living” by Dr. elder and New Market Wizards” by Jack Schwager. See our Traders Library bookstore for more information about how to purchase these books. Book knowledge is good, but is no comparison to the “hands on”, Live Trading training, which is the focus of our classes.
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19. What are the risks involved in trading? Trading involves substantial risk. If you plan on trading with borrowed money or money you can't afford to lose, trading is not for you. There are no guarantees in the Market for profitability. Special attention must be paid to the risk management techniques offered by our instructors. Disregarding these money management techniques may result in significant losses of capital.
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20. What are the commissions on trades? Commissions vary from company to company. Please consult the company's web site you are interested in, or call your closest Online Trading Academy Center for information.
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21. Are there any other fees associated with trading? There are several other fees associated with trading, often imposed by those institutions that are administering the trade. These fees include ECN fees, Live Data fees, SEC fees, etc. These fees are minimal, but can add up with high volume trading. back to top
If you did not find your answer in the list above our elsewhere on our web site, please click here to submit a question via our contact form. |
