Master process or there won't be any profits.
Resources for Improving Mental Resilience and Discipline?
- Thread starter Goldlover
- Start date
Many people are not fit for active trading psychologically. Strategy helps but if you are unfit not much you can do! Same as with elite forces, there is a cut-off and many will be sent home from basic training.
In addition, your age and financial situation is a factor. Changing these factors is HARD, if not impossible!
Any hint of anxiety, OCD, mood disorder, depression, etc. that many people are diagnosed with and even more undiagnosed - who self-medicate - should refrain from trading. Anyone who Drinks too much smokes pot, does drugs, or does pain medication also, - just put your money dollar cost average and do not touch it!
I have no solution, or I would be rich and famous; all I can say is KNOW YOURSELF!
In addition, your age and financial situation is a factor. Changing these factors is HARD, if not impossible!
Any hint of anxiety, OCD, mood disorder, depression, etc. that many people are diagnosed with and even more undiagnosed - who self-medicate - should refrain from trading. Anyone who Drinks too much smokes pot, does drugs, or does pain medication also, - just put your money dollar cost average and do not touch it!
I have no solution, or I would be rich and famous; all I can say is KNOW YOURSELF!
I’ll add the following to my previous post.
In other threads, you look for FX bot. Even the best algo/bot traders make small returns and have huge drawdowns.
I’d suggest that you drop your search for FX bots, start with leaning to draw simple horizonal support/resistance (works OK on FX). Create a basic trading plan. It doesn’t matter if the plan will have positive expectancy (edge). Just any basic plan based on support/resiatence will do to get you started on the road of improvement (you need to start somehow)
Start demo trading it, and START KEEP TRADING JOURNAL, LEARN FROM THE JOURNAL, DO THE JOURNAL EXERCISES I’ll LIST BELLOW AND WORK ON CONSTANT AND NEVER ENDING IMPROVEMENT.
Here are few basic exercises that for journalling to get you started:
Ensure you have journalled all the week's trades (including screenshots for context)
Ask yourself:
What worked well this week?
What didn't?
Some questions to consider when answering the above:
Was there a type of trade that did/didn't work well?
Was there a particular market that you did/didn't trade well?
Was there a particular day/time that you did/didn't trade well?
Did you enter trades too soon?
Did you enter trades too late?
Did you take profit too soon?
Did you take profit too late?
Were your stops too tight?
Did you take poor/risk reward trades?
Did you risk too much?
Did you risk too little?
Did you miss any trades?
Did you deviate from your plan? If so, why? What was the outcome?
Key question:
Are your answers above familiar? E.g., They're recurring in your trading, and you haven't taken action to do more of what works and less/the opposite of what doesn't.
For recurring problems:
Ask: 1. What is the problem? 2. Why do I have this problem? 3. What is the solution? 4. How can I action it?
For recurring positives: How could you do more of what worked?
Tasks:
Study the biggest move of the week across the market(s) you trade. Can you see anything that would have caused you to catch it?
Every week set a mini-goal for next week to work on, for example not to take breakout trades and to take only retest of support/ resistance, or trade only if XYZ lines up, or whatever you need to work on to improve.
These exercises are just a sample to get you started with journaling (you need to start with some basic structured approach and routines), and your journal is how you learn about yourself (and the market), and then you can add psychological exercises once you have some framework to follow.
(Sorry about my typos, I’m on strong painkillers, and lack of sleep)
So true !!!!
I'm currently waiting for surgery and on Tramadol and CBD oil, and I have to remind this myself every day. Knowing yourself is the key, we're the biggest risk, not the market.
Nope, your mind has to be trained as well, but you need some knowledge of the market you are trading.
Zen positions and incense sticks won't help that much, you have to know what you are doing.
The video as posted in WSB is excellent.100% this. Trading on a downward P/L slope is unavoidably depressing. Solution: Start making money.
No offense intended to the OP, but this is necessary but not sufficient. It is like saying you can compete in a professional sport and winning with the right attitude.
Yes you must have discipline, but you need the basic nuts and bolts, a Strat, an implementation, funding, time to execute.
Here is the rub that many simply do not understand. Going through the process of getting all the mechanics, and not freaking out easily, IS HOW you get disciplined.
It is the process of doing all the hard, tedious, detailed, basic work, for years-decades, that provides the opportunity to become disciplined.
So return to work on developing the basics and in 2-3 years you will have solid progress, or will have just wasted time. Be mindful it is how you do it, matters as much as what you do, as it is in all aspects of life.
That being said many have posted stuff that is useful in assessing where you are at, and to measure progress. I agree, monitoring your heart-breath is an eye opener for many.
this is nearly impossible because mental resilience and mental discipline cannot be defined, measured, or monitored. Something that cannot be measured cannot be understood nor can improvements or progress be monitored.