Tag Archives: Investor Profile

Stock Ideas I Learned From ForexKong

What I learned from ForexKongThere’s a lot of stock ideas to be learned from other investors and traders. So in the spirit of sharing the wealth, I want to point your attention to one, ForexKong.

But maybe you’re wondering…

Who Is ForexKong?

And that’s a good question. Kong (as his friends call him) is a Canadian expat living somewhere on the Yucatan peninsula. He has been making his living for the last 5 years aggressively trading ForEx full time…

I think that qualifies as living the dream, right?

Enviable trading lifestyles aside: ForexKong totes an astounding record. He’s up something like 200% in the last 18 months. And a trading record like that isn’t anything to sneeze at. When you see someone knocking it out of the park so consistently, you should know it’s worth listening.

And even though you might not trade ForEx (I don’t), you can still learn a lot about markets and trading psychology from ForexKong. Here are a few of my favorite lessons…

What ForexKong Taught Me About Stock Trading:

Stock Trading Doesn’t Exist in a Vacuum: It’s cute to think that technical analysis and forward P/E ratios are the only thing dictating the price of your favorite stock. But Kong has opened my eyes to the idea that stock markets are predicated on other markets – notably, currencies. And if you don’t consider these implications in your equity (or debt) investments, you are missing an entire dimension to trading. One that might end up costing you.

MacroEconomics Don’t Matter (Until They Do): ForexKong has an unparalleled grip on the macro view. And unlike a lot of the big picture analysts banging blindly on their jungle drums, Kong is quick to explain how the macro view can take a very long time to materialize (and then matter more than you imagined, all at once). But that doesn’t mean you should shed your conviction when things don’t go your way. I seriously advise you to check out Kong’s posts about Macro-economics and trading to zoom out your perspective a little.

Your Trading Perspective is Biased: This lesson from Kong is particularly useful for those of us enjoying the North American way of life. We are quick to think that we have a completely unfiltered view of the way things are. When in reality, the media-industrial complex of the Western World is framing the discussion and shaping our perceptions without us even noticing it! Kong regularly searches out the opposing view and is quick to question ingrained assumptions and lurking variables that skew our perspective (even if you don’t think they are).

One Timeframe is Never Enough: Here’s another thing I admire. Kong is very good at reconciling indicators and market signals across multiple time frames. He seems incredibly capable of waiting patiently in the trees for the proper entry, even when the short term trend is decidedly (and often vigorously) against his thesis. The other corollary here is that Kong is great at distinguishing between an investment and a trade. This is an important skill a lot of traders would be wise to absorb.

So those are a few lessons I learned from ForexKong. It’s pretty convincing stuff, right? And that’s just the tip of the iceberg…

ForexKong is incredibly patient with readers and very helpful clarifying his musings for commenters on his site. This kind of dedication to education isn’t something you see from most traders these days, so it’s really a breath of fresh air. I’ve personally come to appreciate his understanding and expertise in helping clarify follow-up questions for readers.

Kong is also good about updating his blog/twitter stream intra-day. He is especially active when there s a possible risk event. I always appreciate his perspective ahead of the next FOMC announcement. So what more could you ask for?

Well, there’s just one more thing…

Follow ForexKong on Twitter to keep up with his great trading ideas!

If you find yourself short on stock ideas, sign up for email updates below to get exclusive trading ideas available only through email.

Stock Ideas I Learned From The Rhino

The Rhino - Investor ProfileInevitably… some of your best stock ideas, will come from others.

Great artists steal, right? So…

In the spirit of sharing stock picks, here are the top stock ideas I learned from The Rhino.

But you might be wondering…

Who Exactly Is “The Rhino”?

And it’s a good question. The reason I wanted to write about The Rhino is because I like successful investors who have personality, and a story to tell. The Rhino fits into that category perfectly.

For example…

Before The Rhino was a daily source of stock ideas, he was a paratrooper with the 82nd Airborne (an experience he writes about in incredibly interesting detail). Amazing.

He survived two tours of duty in Iraq and now seems to spend most of his time trading securities (and blogging about trading securities, for the iBC Cartel).

So Where Can You Find The Rhino After Normal Stock Market Hours?

Well, when Rhino isn’t crushing shorts or derelicts on the streets of San Franicisco, you can best believe he will be throwing egregious amounts of metal around at the gym, or basking in his nordic heritage.

You get the picture, right?

This man has values. And he stands for them. Plus, anyone who puts this much effort into everything he or she does has got to be a good source of stock picks, if you ask me.

So…

Now that you’re familiar with iBankCoin’s resident rhinoceros, you probably want to know what stock ideas and trading philosophies I’ve learned from him…

Top Three Stock Ideas I Learned From The Rhino:

  1. Have Courage In Your Conviction – A good stock idea is not good enough. You need to have the fortitude to pull the trigger and follow through on your investment idea. The Rhino is very clear on why he holds all of his positions. And this helps him maintain conviction in his investments, even if a trade might be going against him. It’s the same reason I am so diligent about establishing criteria for evaluating stock picks ahead of time.
  2. Stock Ideas Do Not Exist in a Vacuum -People are quick to say how you can make money investing by paying attention to local businesses around you. But Rhino is one of those rare traders who actually does translate these observations into profitable stock picks. His recent bearish position on $LULU is only one of many “finger on the pulse” stock ideas. This is an area I’m trying to learn more about, from Rhino. You can imagine why, given the ripe opportunity for investment income to be generated.
  3. Work Hard – If you aren’t willing to put in the long nights of research looking for new ideas, the days of disciplined patience stalking the ideal entry point and hours of analysis pouring over your portfolio… well, find another gig pal. Or maybe don’t. Because life is going to be tough for you. At least, according to Rhino (and me).

So there you have it. And by the way pal, these are only a few of the timeless trading lessons The Rhino has imbued me with.

Not bad, right?

Personally, I should disclose that most of The Rhinos trades are a bit too speculative for my comfort level, so in the past I haven’t often acted on his direct trade ideas. But I really love his ethic and his style (which is more important than any individual stock idea). He is opportunistic and makes money where there is money to be had, long or short.

If you shut and listen you might just learn something too!

You wake up, you read Rhino, and you can’t help but feel motivated.

So even if you don’t follow his every trade, you can still learn a ton from his stock picks, trading ideas and sensible approach to investing. Plus, just look at the amount of research he does on a daily basis.

And now that I shared one my stock idea sources, who do you like to steal your stock picks from?

Oh yeah…

Follow The Rhino On Twitter to Learn His Stock Ideas Yourself!

Update: You can now follow the Rhino at his new blog, Rhino Capital Management.