are there any actual psychologists or psychiatrists here who practice or practiced in the past?
I wanted to discuss this in relation to trading success
What i noticed based on my limited data and my own experience is that trading success relies alot on one's ability or inability to adapt to changes and how fast they are able to do so
And being able to tailor your trading style to your "adaptability"
Take for example scalpers, they have to be able to adapt to new market conditions instantly and not hold on to "what seemed to work" 5 minutes ago
While long term investors need to be able to not break during the daily fluctuations of the stocks they hold for years.
what i noticed in myself is in general i adapt slow, i hold on to shitty relationships that are not working, i hold on to beliefs that dont work, i hold on to all the trash that does not work anymore naturally
And also hold on to shitstocks that were bad investments and i should have sold long ago at a small loss
But i can weather long term hodl without problems or stress.
And when learning to day trade naturally i have to let go of old patterns and reset my mindset faster than i naturally can. So i end up consistently overstaying my welcome in stocks that i was supposed to day trade and not hold.
What im trying to see if theres a way to change your mindset from being a slow adapter to fastee adapter that will suit me better for short term trading
First of all, I and someone else (can't remember the user name) listed several areas that you should research (e.g. buy books, online research) involving
Behaviour Finance and
Cognitive Decision Making Process to you in a prior thread.
- I did mention that you should see a psycho-therapist if you need professional help in changing how you view trading/money.
It's a great place to start if the trader psychologist sponsor that Elitetrader.com use to have is no longer here.
With that said, I'll give you a great example of a trader that lacks "adaptability"...it involves most traders.
Pretend you
love trading Bitcoins but there are other trading assets you know about...Treasury Futures, Emini Futures, and Stocks. Yet, you hate EuroFX nor do you follow it... it's boring to you.
You then backtest and simulate trade your trade method on
all the above...you discover that EuroFX is the most profitable trading instrument when you apply your trade method and that trading Bitcoins is consistently losing when you apply your trade method.
A trader that lacks adaptability will continue trading Bitcoins in an effort that they believe their trade method needs to be re-designed to get it to work on Bitcoins...so much that they're willing to go broke in doing it...
Yet, you never took a look at EuroFX. Thus, they forgot that the name of the game is to make money.
You'll be surprised by how many markets are out there to trade and most will not be suitable for you to trade while a few are suitable for you to trade. That's why there's that old saying in investment/trading...don't fall in love with a trading instrument.
Another common issue of a trader that lacks adaptability is a trader that's consistently profitable in the morning trading session but then consistently loses most of their profits in the afternoon trading session... completing the trading day at a loss.
The trader then refuses to stop trading in the afternoon trading session because they're focused on trying to fix their trade method or trading problems in the afternoon trading session that they keep trading the afternoon trading session.
wrbtrader
