ASIA PACIFIC’S PREEMINENT TRADING MAGAZINE
The TRADERS
www.traders-jou ournal
Interview with
: J. Welles Wilder
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the Noise
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seminars in Asia, Australia, Canada, USA,
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more traders using Mr. Wilder's systems and a
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lie)Part 1: Who is J. Welles Wilder ?
Please provide a background of yourself? What
were youdoing before youbecomea trader? When
and how did you get into trading?
‘ejust so happens that I have had several carcers. Between
high school and collage, I wasan automobile mechanic and
joined the Navy and became an airplane mechanic. After
the Navy, I went to North Carolina State Collage (On the
G.L bill) and graduated with a degree in Mechanical Engi-
neering. After seven years of engineering (and building a
large Mobile Home Park on the weekends) I left enginees-
jing and got into Real Estate and Land development.
Two other people and I built 1,035 apartments in five
sities in North Carolina and Virginia. I bought an air-
plane, learned how to fly it, and made the rounds of the
five projests about every day. When the apartments were
almost finished my two partners wanted to buy my third
of the projects.
Jn the mean time, I had become interested in trading come
modities because they are even more highly leveraged chen
like Real Estate. My parmers and I agreed on a fair price
and suddenly, at 38 years old, Ihad all the money I needed
and nothing to do, So, I started to study the art of Com-
modiry Trading.
‘T:What was It like when you first started?
I made a lot of money in Silver because I had reason to
believe that Silver was going to increase in price. I can
remember buying a contrast of Silver at $1.38an ounce. I
think that was as low as it got.
‘Us: How have you evolvedas a trader?
1 began to trade other commodities and 1 soon learned
that one can also lose money trading commodities. So T
stopped ding and began to get into technical analysis,
This was in the early to mid seventies. The only book I
could find in the library about trading was written by a
‘man named Gold. Then [learned about a man in Wiyset-
ta, Minnesota who had collected about everything in print
on Technical Trading. For a small price, he would send
you several of his writings at a time and allowed one to
copy them before sending them back.
‘U: How long did it take before you considered
yourself successful ? And how would you define
success?
“My frst real success in the Commodities Industey was in
1978 whea I wrote and self published my first book, MEW
CONCEPTS IN TECHNICAL TRADING SYSTEMS.
‘Before I wrote that book, there were just ewe basic totally
automatic trading systems to my knowledge. One was the
MOVING AVERAGE and the other was Richard Donchi-
ans WEEKLY RULE.
In the New Concepts book, I introduced four new au-
tomatic trading systems. They were, The Parabolic Time!
Price Systern, The Volatility System (which introduces Av-
‘rage Truc Range) The Directional Movement System, and
the Swing Index System. The book also includes the first
momentum oscillator to put all commodities and Stocks
enone scale, That was called The Relative Strength Index
or berterknown as the RSI. Over the years. we have sold
more than 25,000 copies worldwide, At $65.00 ie was also
‘one of the highest priced boots on trading.
Upon completing the book I ran a full page ad and an
artide on the RSI in the June 1978 issue of what was
then called Commodities Magazine. This was just at the
time that small computers were becoming available and
it seemed every trader in the world was looking for some-
thingto program, Wesold thousands of copies of the New
‘Concepts book to these people all over the world.
‘The result of this is that I suddenly became well known in
about every country that has commodity and Stock trad-
ers. In che meanwhile, I developed an (automatic) visual
trading system called The Reverse Point Wave system. It
‘worked equally well on stocks and commodities. To make
a long story short, I put on seminars and taught this sys-
tem to traders in about 10 different countries.
Probably, what contributed the most fo my success over
the years was my ability to write advertising copy: That is
quite unusual for a Mechanical Enginees! I suppose that
it was about this time that I considered myself successful
in my third career
So how would I define success? I would says by setting
oneself a difficult goal and then achieving it.
‘Te: What Is the largest contributor to your succoss?
Determination, and being one of the best ad copywriters
in the industry,
Tk What do you trade?
Turade the 35 major US commodities primasily,and next;
Gold and Silver stocks and options.
‘Th What was your first trade like?
“My Bint trade was in Silver and it was very profitable.
‘Ts: What was your besttrade?
The one I remember the most-was in che early seventies
when I bought $10,000
VOLUME ISSUE A Th 18
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