Training isn't what it used to be. In the old days, it was hands on and think better after taking your lumps.
Now with simulators, airplane pilots, soldiers and truck drivers can learn or sharpen skills without crashing planes, shooting wildly, or jackknifing semitrailers.
MarketSmith's Chart Arcade is similar. Investors can experience lifelike situations, and master proper techniques without painful losses.
What is Chart Arcade and how does it work
Chart Arcade is an online stock market game that lets investors or would-be investors learn by buying and selling historical stock charts that date to the 1900s.
This is an especially good way to learn the IBD style of investing.
Because the historical charts in Chart Arcade can advance one day at a time, showing the price and change, investors can test their skills in an atmosphere similar to real trading.
Real trading, of course, has different pressures. Money on the line can work on the mind. Thorough training, however, can give an investor calm detachment.
The goal is to train repeatedly until the proper reaction becomes a habit. Much of proper investing is counterintuitive. For the untrained investors, the right action will feel wrong. Only training and experience can correct that bias.
Training also can take much of the emotion and nervousness out of stock trading.
The well-trained investor is focused on the proper techniques, not simply the outcome.
So, how does Chart Arcade work? To begin playing the simulation (which doesn't involve real money), the player clicks on either the Advance One Day or Advance One Week buttons on the chart. After your selection, a one-minute timer begins and when time is up, the chart advances one day.
Use the pause button to interrupt the flow.
At any time, you can choose to buy, sell or sell short. The player can also hit Skip to Next Chart.
Whether you're a rookie or an experienced investor, simulations can be useful.
And if you are new to IBD-style investing, this can shorten the learning curve.