“Toyo Keizai ONLINE column now available” Focus on quality rather than the number of trades

Good morning, this is Matsushita.

The other day, on Sunday 3/4,

we held the Live School FX Investing Skills Development Course and

the Trading Study Group.

The FX Investing Skills Development Course has reached its final day,

and the participating students have graduated.

Over the course of about two months, meeting roughly every week,

the students who attended in four sessions

graduated, and with no classes left,

they said, "a little lonely."

Most of the students who come to my school

learn something new each time and grow steadily,

so they come to feel that investing and taking classes are enjoyable.

When such enjoyable classes and time with teachers and peers

are gone,

it is natural to feel a little sad.

Investors are lonely, after all.

In the study group, six members participate,

and there are presentations on past verifications and real trades,

reflections, and future plans.

One of them, Mr. T, who joined in January,

has participated in four study group sessions (four days in total),

and said he felt he could grow as much in four years all at once.

Compared with the school lessons, the content of the study group

is far more advanced and practical, and it is natural to feel that way,

so there is no surprise.

To be frank, the level is different,

and that dense time is the study group’s essence.

Mr. T's trade rules formulation and construction

are just beginning.

Among this, I advised Mr. T that

“There is no need to secure a certain number of trades;

carefully select and narrow down the number of trades,

and tilt the profit/loss ratio toward profit.”

As a tendency of beginner individual investors,

there are many unnecessary trades, and losses occur on their own,

which is a common pattern among beginners.

They can make profits, but

losses are even larger,

which is a common tendency among beginner investors.

If you prune and narrow these losses at once,

just that can improve the profit-to-loss ratio,

and profits can begin to rise.

Originally, true opportunities are rare,

and therefore the number of trades should be small.

Beginner investors should make about five trades per month,

and about 60 trades a year is plenty.

Of course, this is all based on a daily chart,

checking it once a day,

a simple, easy trading style.

With such easy, daily-investing that you can approach comfortably,

if you limit and carefully select your trades,

the results will naturally change.

First, “limit and reduce the number of trades.”

Please try to keep this in mind.

That alone will start to reveal something.

Opportunities are scarce.