🎯 Inside the Mind of Edward Shek: Mastering Profitable Trading

If you’ve ever tuned into an ITPM webinar, especially one led by Edward Shek, you know the drill: real talk, sharp insights, and zero sugarcoating.

In his recent session, Shek took the audience on a deep dive into essential aspects of trading. He focused on market timing, position sizing, and what it really takes to trade like a pro. Right out of the gate, he said it how it is:

“There’s no crisis, but that doesn’t mean there’s nothing to do.”

That mindset perfectly sums up the ITPM approach: Don’t chase drama. Instead, focus on what the market is telling you. Build scenarios, and wait for setups that give you the edge.

🧭 Navigating a Slow, Uncertain Market

This isn’t a fast-paced, high-volatility market—yet. Shek described the current environment as “unusual, uncertain, and slow.” But that doesn’t mean it’s dead. Here are some salient points:

• The VIX is low, suggesting complacency.

• Tariffs and macro news are hanging in the air but not triggering selloffs.

• Traders are either winning big around earnings or sitting on their hands.

  
  

That’s where process kicks in—the core principle of ITPM's trading methodology.

“You don’t need fireworks. You need clarity. You need patience. And when it’s time—you need to go big.”

The Importance of Trading Processes

Process-oriented trading allows you to make informed decisions. When uncertainty prevails, following a structured approach can save you from emotional decision-making. The ITPM methodology teaches traders to rely on their strategies and instincts.

🧠 Edward Shek’s Core Trading Principles (ITPM Style)

Let’s break down some of the practical, proven strategies Shek laid out during the session.

🔵 1. Start Small—Scale When It’s Right

Shek encourages starting with half positions when the market is murky. Once you’ve got confirmation—be it news, earnings, or price action—scale up.

“If your base case hasn’t kicked in, why are you full-size?”

This isn't playing scared; it’s strategic. It keeps you in the game without unnecessarily burning capital.

🔴 2. Cut and Repair: Don’t Let Ego Trade

One of the standout lessons Edward Shek emphasized is cutting trades early if they’re not working. He suggests cutting at around a 50% loss and being willing to repair the position later.

“Your research might be great. But if you lose 70%, you’ve got no ammo left to repair.”

This is textbook ITPM: It’s not about always being right. It’s about managing downside while staying mentally and financially flexible.

🟡 3. Focus on Risk-Adjusted Returns

Don’t just chase ideas—chase trades that offer 3-to-1 potential with measurable downside. That’s where you build real returns. Here’s how Shek structures it:

• Build “mullet” portfolios: Solid core trades in front, high-volatility plays in the back.

• Diversify your volatility exposure: Don't just chase memes or AI—balance them with staples or pairs.

• Prepare for different market speeds: Fast markets require action, while slow markets demand patience.

  
  

📊 Edward Shek on Tariffs, Macro Noise & Trader Psychology

The webinar touched on macro topics too—particularly tariffs and the broader market’s indifference to them. Key points include:

• The market’s pricing in ~10% tariffs—not 30%.

• No geopolitical event has triggered a panic yet (see: VIX and credit markets).

• Consumer slowdown is the real risk, not headline noise.

  
  

“This market might be complacent, but it’s probably right to be. For now.”

Shek isn’t bearish or bullish—he’s neutral, process-driven, and focused on playing what’s in front of him, not what might happen three news cycles from now.

⚒️ Structuring Trades Like an ITPM Pro

Here are a few tactical gems from Shek that serious traders will love:

✅ Replace Weak Ideas with Stronger Ones

Don’t be loyal to a mediocre position. If you spot a better opportunity, swap it in. It's that simple.

✅ Always Ask “Why Now?”

Why enter this trade at this moment? Timing and conviction are everything. If you can’t answer that clearly—you’re probably forcing it.

✅ Prepare for Earnings Like a Sniper

Don’t blindly hold through earnings. If you're up, consider taking half off. If you want exposure, structure it through out-of-the-money calls or a vertical spread.

“If your position’s already moved before the catalyst, book the win and reset. That’s how you compound.”

💬 What Makes Edward Shek’s Teaching Stand Out?

While other educators focus on theory, Edward Shek and ITPM bring an institutional mindset to retail traders. Trading is not about chasing the next hot stock; it's about managing your portfolio like a business.

What Shek teaches includes:

• Trade setups aren’t enough—structure and timing turn ideas into profits.

• You’re not in the market to be entertained—you’re here to win.

• Risk management isn’t a backup plan—it’s the plan.

  
  

🚀 Final Thoughts: Stay Ready, Stay Disciplined

Edward Shek’s message is crystal clear: Patience is not inaction—it’s preparation.

“You don’t win by trading more. You win by trading better.”

Whether you’re one of Shek’s mentees at ITPM or an independent trader seeking clarity, these strategies work. Structure matters. Timing matters. Sizing matters.

So plot your setups, refine your watchlist, and when the market shifts—you’ll be ready to pull the trigger with precision.

Make sure you become a member of theinstitutetrader.com for more insights like this. Don't overlook trading primary concepts such as timing and patience.

🙋‍♂️ Frequently Asked Questions

Q: Who is Edward Shek?

A: Edward Shek is a senior mentor at ITPM (Institute of Trading and Portfolio Management) with a background in institutional equity trading. He teaches traders how to manage risk, structure trades, and think like pros.

Q: What is ITPM?

A: The Institute of Trading and Portfolio Management is a global education platform that trains retail traders using institutional principles. Mentors include former Goldman Sachs, J.P. Morgan, and hedge fund professionals.

Q: What is a “cut and repair” strategy?

A: When a position loses around 50%, you cut it. If the setup still holds later, you re-enter with better structure—this is a “repair.”

Q: Should I be trading actively right now?

A: Not unless you’ve got a high-conviction setup. Shek recommends staying nimble, preparing ideas, and waiting for a market window to act aggressively.

Q: What if my trade is up before earnings?

A: Sell part of it to lock in profit, and manage the rest through options. Don’t blindly hold into a binary event without a plan.

🔗 Useful Links:

• Edward Shek’s Profile – ITPM

• ITPM Official Website

  
  

Disclaimer:

The information contained in this article is provided for general informational and educational purposes only and does not constitute financial, investment, or other professional advice. The content reflects the personal opinions of the author based on publicly available information at the time of writing and should not be relied upon as the basis for any investment decisions. Earnings reviews may contain forward-looking statements that are inherently uncertain and subject to change.

Readers are strongly encouraged to conduct their own research and due diligence, and to consult with a qualified financial advisor or licensed professional before making any investment or trading decisions. The author and publisher make no representations or warranties, express or implied, as to the accuracy, completeness, or reliability of the information provided and accept no liability for any loss or damage arising directly or indirectly from the use of or reliance on the information herein.