Last night I was watching the Friday morning episode of IBD Live, like I do most nights if I’m unable to watch it live. Abruptly, about 84 minutes in, came the shocking announcement that Mike Webster (he’s the one on the left) is leaving Investor’s Business Daily. This was followed by the completely un-shocking announcement that a handful of wealthy individuals had offered him the opportunity to manage a boatload of money. Hard to believe it took this long.
For those who don’t know Investor’s Business Daily, Mike Webster is among the best traders of our time, and inarguably the hardest-working (now that Jim Cramer appears to occasionally sleep and even take days off). He’s the type of guy who can look at a stock chart and say something like, “This looks just like that time in early May of 1934 when the Dow was breaking out above $2100.” I include Mike on the short-list of greatest influences on me and my trading, along with Jim Cramer and Van Tharp, author of Super Trader.
I hope you read this, Mike. I hope you understand how genuinely loved and appreciated you are by so many people that you don’t even know, people like me. We are so thankful for all that you have done over the years, for your heart, and for your humor and humility.
Mike then announced that he would be mentoring new PMs. If you do read this Mike, I believe you were talking to me. I may not fit the “younger” description of what you were looking for, but I believe I retain a youthful mindset despite my 45 years. I will let other people characterize whether I’m a good person or not, but I started this blog because I love to help people and I believe that almost anyone can be taught to be a great trader. I am honest. All the statements I’ve made about my trading performance are available for verification. I am a very hard worker, also a highly efficient worker. Working with good people is very important to me.
I’ve combined some aspects of Jim Cramer, of what you’ve taught at IBD, and of my self-studied options trading methods to become an excellent trader. I’ve tripled my account in just over 8 months. I lost very little during the Covid Crash and was safely back in (with a small position) on the gap up of March 24th, using the bottom of that day as a stop. I limit risk effectively while trading aggressively at the same time. Despite making many of my trades at stop lights while delivering sandwiches, I believe I am really close to being elite. I would jump for joy at the opportunity for you to mentor me to get there, and help make the roads safe for other motorists.
I also believe I would be a useful asset to you. I’m teachable and ready to willingly admit to the many mistakes I make and have made and will make in the future. That’s how we get better.
I also like to think outside the box. I’m experienced and talented at taking a successful system (like a poker strategy, a fast-food franchise system, or the IBD system) and changing two or three things about it to immediately make it much more powerful. I know you’ve done the same thing with IBD, although I imagine you’ve been held back quite a bit by the constraints of that system.
For the past week, I’ve been meaning to do a blog post asking you about why IBD continues to use arithmetic scaling as opposed to the logarithmic scale. It seemed to me that you had to know that the logarithmic makes for better trendlines and a more realistic view of the situation, especially on daily charts of fast-moving stocks like the ones IBD follows.
I also wanted to ask why you haven’t adopted the trendline below for the QQQ, instead of (or in addition to) the one you use off the bottom.
This reality, that we’ve jumped out of the old channel into a new, higher channel, fits perfectly with your Power Trend concept. Look at how perfectly it reacts to this trendline on the daily chart:
Anyways, those were my questions for you. I’d still love to know what you think, but my bigger question now is, “Will you please consider me for mentee?”
Either way, thank you for all that you’ve done, Mike! The future is bright; may God continue to bless you and your family abundantly.