Last Updated on September 17, 2023
Rayner Teo is a Singaporean trader, blogger, and YouTuber. He has written two books on stock and forex trading (Price Action Trading Secrets and The Pullback Stock Trading System).
As of 2022, his net worth is estimated at between $2 to $5 million.
Rayner Teo is said to be the most-followed trader in Singapore. He specializes in studying research from people more qualified than him and applying the gathered insights to test out what works and what doesn’t. After that, he teaches what he has learned to his followers so that they can constantly make money.
His book “Price Action Trading Secrets” explains how to read the market so that you can better time your entries and exits. His other book, “Pullback Stock Trading System,” contains a unique trading system that has reportedly generated 2315.63% since 2000 —with almost a 70% winning rate.
If you want to learn from Rayner Teo’s success story, you’re in the right place. This article provides insights into his career, life, and net worth.
Rayner Teo’s Personal Life
Rayner Teo is a self-taught trader, influencer, YouTuber, blogger, and founder of TradingwithRayner, born in Singapore.
Not much is known about his personal life and family background. However, before rising to fame in the trading field, Rayner Teo led an ordinary everyday life.
In Singapore, when a man reaches the age of 18, he must spend at least two years in the army. Teo acknowledged in an interview that his time in the military was instrumental in helping him become disciplined.
In addition, he said his stint in the army gave him ample time to think about his life and goals. The stock market was a hot topic at that time because of the 2008 – 2009 financial crisis. It caught Rayner’s attention and inspired him to develop an interest in the subject.
He began researching financial markets and eventually earned a degree in banking and finance from the University of London.
While still a student, he participated in a trading competition carried out on a demo account. Although he lost everything, he gained his first foray into trading.
Rayner Teo’s Career
After graduating in 2012, he applied for several trading positions, but at first, he encountered a lot of rejection. He soon realized that becoming an independent trader was more appealing than moving up the corporate ladder.
However, if he was to support himself, he needed skills; hence why he spent two years working for a company as a prop trader.
This experience helped him learn the fundamentals of trading and develop essential skills. However, since he had to spend countless hours monitoring the market, he didn’t feel this was the ideal work-life balance. Feeling that he needed more time for family and personal matters, he began trading independently.
He started with a small amount of money. It took him about four years to become a consistently profitable trader.
Rayner Teo’s Net Worth
There are plenty of speculations about Rayner Teo’s net worth. Despite having a stellar work history that has brought him fame on a global scale, Rayner acknowledges that he is not a millionaire.
According to iwealthyfox, as of 2022, Teo’s net worth is approximately $2 to $5 million.
Rayner Teo’s Trading Strategy
“Perhaps the most important aspect of my trading is that I trade many markets. I trade forex, indices, bonds, soft and hard commodities like metals, and so on. Five sectors with ten markets each.”
Rayner Teo uses a trading strategy called ‘systematic trend,’ a common strategy among trend traders.
His strategy mostly centers on 200-day breakouts, and it works as follows:
- As soon as he notices the first signs of a breakout, he enters immediately and sets a stop-loss.
- If the market moves in the right direction, he gradually pulls the stop loss up.
- If the breakout is false and the market reverses course and returns, he exits on the stop.
The fundamental tenet of this approach is that it’s hard to predict how far the market will move. Since nobody can tell how far the price will go, Teo advises that all we need to do is enter on the breakout and trail our stop.
Rayner Teo focuses on price action to understand market fluctuations.
The market isn’t static, and volatility frequently fluctuates. Low volatility does not last forever. Sooner or later, volatility increases, and the market explodes. That’s the event traders should wait for.
When a market trades in a range for an extended period, volatility declines. Therefore, if there is a sudden dramatic movement, there is a significant probability that the market will continue moving in the same direction.
Rayner Teo trades in various market sectors and strives to follow trends wherever they are present.
Well, Teo ensures that he monitors the markets daily and also employs a unique tool that is programmed to take orders.
The Trend Is Our Friend
Rayner Teo acknowledges that not all trends are created equal. He classifies them into three groups:
- Strong trends – he prefers to trade strong trends because they are a sure thing. A strong trend means the market is steadily increasing or decreasing. Pullbacks are shallow, and the price seldom goes above the 20-day Moving Average.
- Healthy trends – the so-called healthy trend features deeper pullbacks in which the price reaches approximately the 50-day MA.
- Weak trends – in the event of a weak trend, the market reverses much more sharply, reaching MAs (100) and (200) and occasionally even going back to earlier support or resistance levels.
Rayner Teo emphasizes the importance of conducting research and deciding what kinds of trends you want to use in your trade.
Systematic Approach
Rayner Teo’s approach to trading is mainly based on technical analysis and price action, which is a method of analyzing and interpreting price behavior.
He uses a combination of chart patterns, trendlines, and other technical indicators to identify potential opportunities. He places major emphasis on price action, analyzing price behavior to make trading decisions.
However, he also adheres to the systematic trend approach, which is based on a set of clearly defined rules and processes. He emphasizes the importance of having a well-defined trading plan that includes rules for when to enter and exit trades, as well as a money management plan.
Here is how Rayner Teo explains his approach. For instance, if the channel breaks out on multiple indices at once – Dow, S&P 500, Nasdaq – he will open on all three.
If he receives 30 signals, he will open 30 trades.
He says that during the backtests, he didn’t take into account correlations and discretion in any way. In his research, he started from bare numbers only, so he followed the same approach when trading. Hence, he does not pick any of the most attractive setups for inputs. Everything is traded systematically, he explains.
A systematic approach typically involves using a computer program or algorithm to automatically analyze market data and execute trades based on predefined rules. However, using a systematic approach doesn’t mean that you don’t use any fundamental or technical analysis. It means that the decisions are based on a set of rules and processes, often stemming from mathematics, statistics, and machine learning.
To Conclude
Rayner Teo is a Singaporean independent trader, blogger, and Youtuber. He has over 1.6 million YouTube subscribers and is among the most popular traders on Twitter. Over 200,000 traders read his blog monthly. His TradingwithRayner website boasts an audience of over 30,000 traders.
