2007-07-10 17:07:02 - By Dave Manuel
My Experience with Waxie and Trendfund (Trendfund.com)
Back when I joined Trendfund.com, the market was totally careening out of control. The Nasdaq was rising on a daily basis, and it seemed that every few months, the Nasdaq would add another 1000 points. Daytrading chat rooms were extra hot at the time, with Tokyo Joe, Anthony Elgindy and Michael Parness operating three of the most influential chat rooms on the Internet. Elgindy focused on the short side, Tokyo Joe focused on scalping stocks that he had already bought, and Parness seemed to be more into swing trading. Parness's style was the most like my own, so I joined up. I mean, he had run $33,000 into millions in a short period of time, so I had to check it out.
The chat room was organized chaos. There were hundreds of people in the room, all waiting for Waxie to announce his next trade. When he would announce the trade, everyone would clamor in after him, and the stocks that he recommended would always get a boost. It would usually be impossible to get in at the same price as Waxie, as he would buy first and then announce the trade. By the time you got around to buying, the stock had normally risen at least a few % already.
Waxie was quite the character. He was definitely into self-promotion, constantly announcing how rich he was and saying that Adam Sandler would be starring in the movie based on his life. If a chat room subscriber had the audacity to question one of his trades, Waxie would unleash a tirade and ban the user from the chat room. It was quite comical to watch; I mean, here we were, paying hundreds of dollars per month, and he was banning people left right and center. It was hilarious.
I will say this about Waxie; at the time, he made a great prediction on the Nasdaq. When everyone was saying that it was just going to keep going up and up, he said that it would be trading at a fraction of what it is in a few years. He was right, as the bubble deflated. Presumably, he made a lot of money on the way down, as he was constantly shorting the big-cap tech stocks. Not all days were profitable though; I remember when Greenspan shocked the markets with a surprise rate cut, tech stocks flew and Waxie took a beating on the day, as he couldn't cover his short positions in time.
For me, the main problem was following someone blindly. I liked to know why I was getting into a stock and what the exit strategy was; blindly following someone is a sure recipe for disaster. I can't speak for anyone else, but my time at Trendfund.com was short because I didn't find much value in it. How do others feel about it? I am sure that opinions are mixed, but I would be interested in seeing the company's monthly churn rate.
If you are thinking about signing up, you may want to ask around a little bit and see what other people's opinions are. Do a search on message boards such as Elite Trader or Silicon Investor to get an idea of the general opinion of Trendfund.com. Like I said, it didn't work for me, but you all might be different.
Filed under: Company Reviews
10 COMMENTS - What Say You?
Comment by Glenn on November 03, 2008 @ 12:35 pm
What trading services do you find worth the money, if any?
Comment by Joseph Kaye on February 02, 2009 @ 3:18 pm
I had a positive run with trendfund until the January time Grenspan came in and announced a rte cut and the market soared, while the short positions I had triggered the stop loss orders but the masive amount of orders locked up the servers and they were not executed until the end of the day when the market was at its peak.
THe chat room was run by TIny (a big guy who is the opposite of Tiny). Waxie (aka Michael Parness) rarely came into the room. He did bring in his trade info, after he got in, and usually he got out and then would report back, sometimes hourrs later, and so if someone got burned he'd put them down as dopes, they should have got out and take care of their trades.
Yes, though he also would puch for people to follow the trades suggested, and psoed as proper given his analysis.
I am sugestign that if you are in such a group you limit risks, usse tight stops, and dont b,indly follow without sdoing your own analysis with another means such as a separate system.
Comment by Mike on February 20, 2009 @ 1:53 am
I am a happy Trendfund customer. Waxie ALWAYS uses stops, and ALWAYS tells you what your stop policy should be with his trades. If you follow instructions, the risk is definitely limited.
Comment by Charles on December 12, 2009 @ 8:12 pm
Itraded with information given me
by the trendfund course ,maybe 15
I picked my own stocks With, what i learne on trendfund.
i made money on every trade.
This was before the big spike with
The Waxman is myman,keep it going
Everyone study for yourself.
Comment by Al on October 14, 2011 @ 11:11 pm
I am laughing at this review of Waxie. Reason why, this person is "dead on the money". I remember almost every scenario he says in the review. Total chaos in the chatroom, Waxie front-running trades, everyone who lost money was an idiot, etc. Kind of funny to see how someone can front-run trades and have others blindly follow them for as long as he has. The one thing I loved about Waxie was when he was wrong and would go into panic mode.
Comment by Judy on January 30, 2012 @ 8:33 pm
I followed Waxie and Tiny for quite a while. Had some good runs, but I will never forget when Waxie lambasted me for wanting to get into Apple when it was in the 7's back in 2003! Should have trusted my own DD!! Obviously I no longer trade lol
Comment by jj on March 10, 2012 @ 10:26 pm
boy are those comments right on the money...
this guy is the biggest front runner there is. what a deal he created for himself. no matter if it was stocks or options he would enter a trade, then put out an alert. all the lemmings (myself included) would pile in spiking the price. of course as this is happening we are all buying what he is selling. amazing he can get away with it for as long as he has. a better strategy would have been to buy puts on his long calls..
anyway.. everything from the front running to the total chaos.. banning people...belittling people who challenge (while paying hundreds) are all my experience..
it's a factory.. they don't care when you leave because 5 more suckers are waiting to enter...
Comment by JL on March 29, 2012 @ 3:11 pm
comments are right on ... i made a lot of money with him in the past and unfortunately in recent times lost a lot of money .... scott is too technical and needs to mix a little more big picture view into his picks ...... definitely can't follow blindly but trendfund provides a great deal of information at a reasonable price to use when doing your own due diligence........
Comment by vince on May 17, 2012 @ 12:38 pm
hate to tell you these picks are either wrong more then they r right and i noticed it more in the fall of 2011.i traded opposite of there suggestion and made a lot of money.and i constantly have sent in trading ideas i am doing myself as trades unravel in my favor and they ignore them for garbage trades.self promoter thats in love with himself-you will get more from cnbc then at trendfund and its free.they also charged me for things i never signed up for-they still cant show me where i signed up for something
Comment by Otto on August 07, 2012 @ 3:41 pm
I requested the free trendfund booklet on option trades back in 2006. Following this I was contacted by someone from "Waxie's" office to subscribe - $2,000 for 6 months of online options training. Wouldn't you want to be trained by a pro like Tiger Woods? In hindsight that reference seems appropriate. Upon qualifying the intro call, I spoke to another salesman who insulted me saying are you going to stay weak and fearful, why are you so afraid of success? In any event he managed to pursuade me to give my credit card #. My bank called me after saying it was over the $1000 limit and was fortunately rejected. The training btw consisted of once a week 1 hour training followed by paper trades you do by yourself. Ya like really worth $2,000. Think about it, you are assuming 100% of the risk since it's your money, not Waxie's on the line. I realize from that I'm not cut out for daytrading or investing in stocks having been burned too often in the past. I only regret I didn't stand up to this clown and just HANG UP!
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