How to learn to IGNORE the failure in trading.
- Thread starter Jamie J.
- Start date
Failure is such a strong word. It evokes images in my head of getting knocked down and not getting back up again.
I think a better word would be mistakes or unforced errors; within the context of going outside your overall trading plan or game plan for the day/week.
You shouldn't ignore those, be aware of them, embrace them and use that knowledge to improve your process. That's part of the beauty of being a trader, continually refining your process and improving inch by inch.
A loss isn't a failure, or even a mistake, its just a loss - if within the context of your trading plan. It's a mistake if it isn't.
As for how I felt after a huge loss that was a mistake, relief. I was no longer lying to myself and the emotional hijacking was over.
I think a better word would be mistakes or unforced errors; within the context of going outside your overall trading plan or game plan for the day/week.
You shouldn't ignore those, be aware of them, embrace them and use that knowledge to improve your process. That's part of the beauty of being a trader, continually refining your process and improving inch by inch.
A loss isn't a failure, or even a mistake, its just a loss - if within the context of your trading plan. It's a mistake if it isn't.
As for how I felt after a huge loss that was a mistake, relief. I was no longer lying to myself and the emotional hijacking was over.
You can reset you demo account.
It's a great way to ignore failure.
However, please, do stay in Sim.
Or you can ask your broker,
To delete the losing trades.
He might not agree but ..
It's worth the try =P
Or you can move on.
Forget all about trading.
Do what you're perfect at.
How to forget half the seeds are dead ?
How to forget that you won't have a great harvest ?
Lol ... Alchool can make you forget. But you gotta make it.
Not forget about it. Feed your family. Don't forget bad lucks,
But find a solution for your family, relatives, and you to eat enough.
You miss the problem... We move on by solving problems. Not fleeing them.
Otherwise your next thread will be :
How to forget the failure to forget the failures ?
How to forget the failure to forget the failure to forget the failures ?
... Then once you forget ? Then what ? You're still not successful.
It's a great way to ignore failure.
However, please, do stay in Sim.
Or you can ask your broker,
To delete the losing trades.
He might not agree but ..
It's worth the try =P
Or you can move on.
Forget all about trading.
Do what you're perfect at.
How to forget half the seeds are dead ?
How to forget that you won't have a great harvest ?
Lol ... Alchool can make you forget. But you gotta make it.
Not forget about it. Feed your family. Don't forget bad lucks,
But find a solution for your family, relatives, and you to eat enough.
You miss the problem... We move on by solving problems. Not fleeing them.
Otherwise your next thread will be :
How to forget the failure to forget the failures ?
How to forget the failure to forget the failure to forget the failures ?
... Then once you forget ? Then what ? You're still not successful.
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Failure is most definitely a strong word, as Wingz has stated. The power of words should not be ignored, because they set in place the path we end up following. So, in place of Failure, we can use, an error in judgment.
An error in judgment has caused me to except a negative return on my last trade.
Also, there is no such thing as luck in successful trading! Lack, of information causes negative returns.
An error in judgment has caused me to except a negative return on my last trade.
Also, there is no such thing as luck in successful trading! Lack, of information causes negative returns.
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Yes go ahead and coddle yourself to avoid hurting your own psyche. That should help you trade better. /sarcasm off.
Seriously, if your psyche is so easily bruised that admitting to yourself that a particular trade was a complete and utter failure, then trading is probably not for you. Playing down failed trades in your own mind will not prevent you from making the same mistake again.
Seriously, if your psyche is so easily bruised that admitting to yourself that a particular trade was a complete and utter failure, then trading is probably not for you. Playing down failed trades in your own mind will not prevent you from making the same mistake again.
Anger, hostility and sarcasm towards one-self, does not help a trader become more successful. There is no coddle in admitting to an error in ones judgment. Emotion, has no place in a traders approach. cheers!
I did not say to get angry or hostile. There is a huge difference between being honest with yourself that a trade was a failure then doing root cause analysis as to why it failed; and being in denial, playing it down as just a little boo boo, minor error, etc. If it was a failure, then it was. Admit that, and figure out why and try to not do it again.
EDIT: Case in point: There is another thread here on ET right now where someone lost 27% of their account in one day (around $12,000 loss) and their response was "lol". That is what I am talking about.
Ok, got it. But to me, a loss is a an error in judgment. We use judgment, when we enter a trade. We view the variables and make a judgment call on what direction we think the trade will go. If it doesn't go our way, than we encounter a temporary setback, and that my friend, is an error in judgment.
That 27% account loss in one day is not that bad
...I mean, assuming they have much greater % gains on up days. It's all relative, and about managing trades.
