Trader suffer The need to be right in trading decisions

Fear of Not Being Right
Too many market timers care too much about being proven right in their analysis on each trade, as opposed to looking at timing as a probability game in which they will be both right and wrong on individual trades.
 
I have come to understand that traders with losing attitudes place the wrong trades regardless of how much they familiar with the markets. But you have to have the attitude that if a trade loses, you can handle it hitch free and come back to do the next trade without negative emotions.
 
Herbert said:
I have come to understand that traders with losing attitudes place the wrong trades regardless of how much they familiar with the markets. But you have to have the attitude that if a trade loses, you can handle it hitch free and come back to do the next trade without negative emotions.
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You are right about this point , I had a losing trader who wanted to trade at specific times , when entry was not there , but only traded because he had to trade early to prove his worth , early to go to bed early, he used to close trades and open trades several times .

A loser's beliefs in his head were hurtimg him
 
lylec305 said:
How many traders do you know that would hold on to their long position when they're up 100% or 50%? As you know hind sight is 20/20 ...
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They will bank the money early and fast .When they get certainty of profit , they take fast , and not wait for profits tat may not happen.


Most humans can not do this , it is phsychological , because they rather take profits , to make up for their other losses .Even a small profit , is doing the right thing , in their need to be right.

https://www.elitetrader.com/et/thre...need-to-be-right-in-trading-decisions.304141/

http://www.businessinsider.com/colin-camerer-wins-genius-grant-2013-9?IR=T
 
Cognitive Dissonance (CG)CG comes in several forms when it comes to trading. One of the most prevalent examples we hear about , is when traders openly discuss and justify losing positions for the sake of being right and NOT what is in their own best interest and in the rules of their money management strategy. I speak with many traders that have been struggling and/or losing for multiple years; when we ask these traders why they continue, they justify their behavior by saying “I’m still in the “learning phase” of my career””. The biggest “trading sin”, the “cardinal sin” is when a trader justifies breaking their own rules and making poor trading decisions and entries. All of this “lying to yourself” to be right in your own mind is absolute insanity and it will only destroy your trading account. Day trading isn’t about being right, it’s about being consistent, profitable, and managing risk in my humble opinion.
 
lawrence-lugar said:
I agree too,
Trading Education Buyer sure talks alot -- the more someone talks...the more I just think they are full of stuff.
Kind of like that old adage: ....those who can do...Do -- those who can't...Teach/write/speak o_O:confused:
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He talks alot, and I ain't dingin' the guy, but I have no idea what he says. He likes pictures of monkeys though.
To each their own. You go TEB.
 
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