Quote from innovest_11:
How to practice super solid discipline?
Eg: after winning some profit, my rule said need to stop trading at this time, ok, i agree, but somehow, i wander around house, then came back to the trading desk, saw some lousy setup, and i trade the setup, how to prevent such trading from happening, any advice?
How to stick to the rules no matter what??
First of all you need to have a high level of self awareness and to recognize what makes you break your rules? Is it greed, is it impatience. Once you can define the characteristic then you can begin to work on it. For me beating those down was a matter of recognizing the moment of impact(when i was about to over trade, or trade out of greed/fear) and then STOP myself from do it. Live it that moment of feeling what you are feeling, then you can better recognize it when it comes up the next time. And slowly you get to the point instead of trying to push it down by some mantra you UNDERSTAND those feelings and thus how to deal with them.
Again this is what worked for me and I understand if it wouldn't work for you we are all different
So if it is impatience
it is simple(on paper but you must work to view it like this)
Impatience = lack of discipline
lack of discipline = bad mistakes
bad mistakes = I am HURTING myself and my trading
So why Hurt yourself?? If you poke yourself with a knife you know it hurts, so you don't do it.
This is the same thing. You must recognize when you feel impatient and OWN that feeling. Sit in it. Then say I know this feeling leads me to make mistakes so I will NOT trade. Each time you can do this it gets easier not to trade b/c of this feeling you know what is at the end of the road. This may take you 6 months this may take you 6 years to improve on. It's a slow battle that begins with that first time you say I will NOT trade b/c I feel impatient.
It is always very easy to be patience when there are either no consequences for a lack of patience, or when the consequences are relatively mild. So impatience is something we need to work on in the face of real consequences.
I think we often think if we ignore or feelings that they will go away or not effect us. Instead you encounter the feeling head on and know how to deal with it. Recognizing it and acknowledgment is what I try to do. Not just with trading but with my life as well.
all the best!
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