Three things to make trading less hard.

Trading is not easy but it also isn’t as hard as we make it.  Here are three things that will help it be less hard.

Trading Plan

Have a plan already.  You are just guessing and putting yourself through unnecessary stress if you don’t.  You are taking a test without studying.

Fall in love with the L’s

You have to live with the idea of loss and learning.  They are connected.  They are always fighting each other. Losses makes you want to ignore the learning and not losing makes you think you don’t need it.

Perspective

When you lose your optimism shrinks, when you win it expands.  Chances are you have only accepted winning. One trade does not make a trend, either direction.  But it is easy to connect the losses.  Step back and see it for what it really is.

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  • so simply put, but such a huge part of the game. the details arent even that important, its actually getting yourself to do these things. 

    so many call themselves traders (sure, they have a few million under mgmt) but have no plan and ignore/dont think about the “L’s”Not pointing fingers either. I had this issue for a LONG time and still working on it everyday. I went from no plan, to a sorta plan, to a detailed plan for every day and every trade. Also loved to just ignore losing days and excuse myself from writing in my journal those days – so easy to do that. but how will that help me get better? excuse my rant, like to just repeat these things all the time. ingrains it in my head

    • Crazy to think anyone trades without a plan but have met far too many.  Rants are acceptable. 

  • Do you think that these lessons in trading relate to lessons in non-trading decision making?

    I am doing some research on the topic – there seems to be little research on the topic…
    http://www.surveymonkey.com/s/DF65MM6

    • I think stress makes you more of who you really are so there are parallels in the decision making process but not always the same.  Risk in life and risk in trading are different.  Risk in trading is opportunity to me.  Risk in life is losing some thing I can’t get back.  

4 Responses to Three things to make trading less hard.

  1. Tarhini_smb says:

    so simply put, but such a huge part of the game. the details arent even that important, its actually getting yourself to do these things. 

    so many call themselves traders (sure, they have a few million under mgmt) but have no plan and ignore/dont think about the “L’s”Not pointing fingers either. I had this issue for a LONG time and still working on it everyday. I went from no plan, to a sorta plan, to a detailed plan for every day and every trade. Also loved to just ignore losing days and excuse myself from writing in my journal those days – so easy to do that. but how will that help me get better? excuse my rant, like to just repeat these things all the time. ingrains it in my head

  2. Joshua Maher says:

    Do you think that these lessons in trading relate to lessons in non-trading decision making?

    I am doing some research on the topic – there seems to be little research on the topic…
    http://www.surveymonkey.com/s/DF65MM6

    • Eradke says:

      I think stress makes you more of who you really are so there are parallels in the decision making process but not always the same.  Risk in life and risk in trading are different.  Risk in trading is opportunity to me.  Risk in life is losing some thing I can’t get back.  

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