Quote from milktruck:
ranger - would you mind expounding on your personal transformation a bit? I feel like my temperment is good for trading, but I'm interested in how your minset has evolved.
I keep scrupulous records of my trading. Every loss will teach you something very valuable. If you can accurately determine what your trade history is telling you, you can be successful. I think it is crucial learn what type of trading fits you, right now. I say this, because it can change rapidly. Your losses will tell you what doesn't work.. .that's pretty good intel. In my case, the styles of trading that fit me best were the opposite of what everyone was telling me was best.
Personally, I view trading as a lifestyle, not just a profession. A couple years ago, when I had tanked my second account, I sought professional counseling to see if I couldn't learn what issues I may have and how to better myself as a person. I believe any emotional or psychological flaws will show up in your trading. I took leave from trading for one year while in counseling and focused personal development. The results were worth the effort. My marriage has improved dramatically, my job performance and also my personal relationships were much better. Only when I was truly happy NOT trading did I start trading again.
Basically, I just had to learn for myself everything that I had read in the first year.
-Then I knew that psychology was 99% of successful trading... Now, I actually believe it.
-Then I knew that most trading systems could make money in the hands of the right trader and lose money in the hands of an amateur... Now, I actually believe it.
It seems like there is a cycle that most traders have to complete before they can succeed. I'm particularly stubborn, so it took me awhile (Fortunately, I'm also tenacious).
One of those steps that I got stuck in for a long time was the "if only" pattern:
"If only I had the right broker, then I'd be successful". "If only I had the right system... if only I had the right indicators... if only I had more trading capital...tighter spreads...faster data... better news.... if only... if only ... if only"
For most, including me, this was merely an extension of my view of life in general: "If only I made more money, then I'd be happy... If only I could find the right woman... if only I had that new car... if only I had a better job... if only I could be my own boss" You get the idea. I think this may be a huge problem with traders as a whole as this is basically the mindset that is fed by all of the e-book, system and signal peddlers out there. It boils down to not accepting 100% responsibility.
OK, now I'm feeling soos serious... time to get the laser pointer out and f--k with the cat
Have a Happy New Year, everyone!
Oh, and killthesunshine, you are so right on the mark. If only (there's that phrase again) trading publications and courses were peer reviewed to the extent that medical journals are... that would be a nice change.
