During this year’s edition of FxCuffs one of the spokesmen will be Michael Madden, Irish investor who specialize in Elliott Wave theory and works as analyst in Elliott Wave International. Thanks to his knowledge in construction industry, he understands that solid foundations are a base of success, so he started his adventures with investing from proper education. During FxCuffs he will talk about using Elliott Waves on Forex market.
You started your career in construction industry in Ireland, why did you decide to leave that industry?
I moved to the U.S. in 2008 and that happened to be in the middle of a downturn in the construction Industry. It’s a long story but I ended up meeting and trader who was then working for a trading education company (The Online Trading Academy), I enrolled initially in a stock trading course and the rest they say is history!
What was your first investing experience?
Other than property, it wasn’t until I started with the trading education that I began to trade in the financial markets, mostly ETF’s at first.
When did you know that you could become a professional investor?
After a few hours into my initial stock trading course I knew I had found something that I was going to pursue and possibly one day become a professional analyst/ investor. Coming from an engineering background I picked up technical analysis quite quickly and I soon developed a passion for it. I didn’t have huge trading account to start with so I knew education was going to play a big part if I was going to be successful. I am still learning and I am a big proponent of continuous education.
Why do you use Elliott Wave analysis?
[pullquote align=”left” cite=”” link=”” color=”” class=”” size=””]You can join FxCuffs conference as a B2B partner over here![/pullquote]When I eventually studied the Wave Principle I was able to see that it incorporated a lot of other technical analysis studies I had come across. This probably helped me pick it up a little easier and it was not long before I realized its potential. The two best things about the Wave Principle for me is: A) the context it gives me to analyse an market on any time frame, and B) I know exactly when and where my analysis / trading decision is wrong (which of course is most important for survival within this game in my opinion).
You worked a lot with Irish investors to help them understand Elliot Wave theory. Have you enjoyed this experience?
I have worked with a few investors and analysts in Ireland but most of my work has been with international clients. Ireland is still way behind when it comes to technical analysis, but this too I am helping to change after recently setting up a Dublin chapter of the Market Technicians Association (www.MTA.org). I really enjoy teaching and sharing my understanding and application of the Wave Principle and technical analysis in general.
How did you begin working with Elliott Wave International?
My own website ElliottWaveIreland was affiliated with Elliott Wave International (www.elliottwave.com) and I too was an affiliated course instructor with the company. When an analyst position became available I decided to leave what I was doing and go working with them full-time, of which I really enjoy. It is a great honour to be working closely with some of the best Elliott Wave analysts in the world and of course with Bob Prechter himself.
Forex market have a bad reputation in the society because of many people losing their savings over there. Are these opinions unjustified?
I would have to say yes. There is no easy way to make money and why people expect to make a fortune in the financial markets without educating / protecting themselves is beyond me. You could say the same about property or any other investment decision. Socionomics gives a great explanation as to why society takes such views on certain industries at various times in a market cycle. The time will come again where people will love and praise the forex / financial markets, when it becomes popular to do so.
What can we do to make people think better about Forex market?
Educate them about the financial markets and trading vehicles at an early stage.
You will speak at the upcoming FxCuffs in Kracow, Poland next March. Have you ever done seminars in Poland? Or ever visited Poland?
I have never done a seminar in Poland but I have visited the country a few times on business and a wedding. Always had a good time.
What do you plan to talk about during your FxCuffs seminar?
I will taking out the Forex markets we cover on a regular basis and will also give a talk about the application of the Wave Principle in real time with regard to the FX markets.
If you could go back in time and speak with 20-years old self, what would you tell him?
I wouldn’t have changed a lot as I am a believer of “what is for you won’t pass you”. But if I did have to say one thing I would get me to buy as much gold as possible at around 253.00 and tell me to sell it at 1923.7 in 2011!
