There are many in the academic community who firmly believe in the efficient market theory. Basically, it means they support the idea there is literally no way to beat the general market averages. Since the same people make fortunes year after year trading the various market venues, the efficient market theory is a fallacy. The reason these same elite traders do so well, is because market-wise, they think and act much differently than the other 90 to 95% of all stock market and futures market participants. They implement successful trading rules, and most importantly, understand the psychological part of trading.

The average trader, whether it is the stock market, or the futures market, usually does not trade with favorable odds. He or she will be listening to so-called hot tips, and will be making trading decisions based more on emotions, instead of objective analysis. The average trader also does not implement proper money management. These are some of the main reasons why the average trader almost always loses in the long run.

The best traders take a statistical approach when making their trading decisions. They know the probabilities or odds are in their favor, on each and every trade they make. This, combined with solid money management, and proper trading psychology, is the recipe for their great trading results. This is how fortunes are made in the stock market, and the futures market.

Many of the world’s most successful traders utilize technical analysis. I find it amazing when some market participants refuse to even consider analyzing a chart, before making a trading decision. Richard Dennis is one of the greatest traders ever. He has made hundreds of millions throughout his trading career. Dennis is a technical trader. He reads charts, and looks for specific price breakouts. You can not argue with his amazing trading results. Technical analysis, when implemented properly, even by itself, can make you a fortune.

In summary. If you use a successful trading method. Practice solid money management, and implement proper trading psychology, you are well on your way to making a fortune. This is a recipe for unlimited wealth.