Quote from oilfxpro:
Try not to be judgemental , I opened this topic and other related topics to learn and have dialogue , dialogue which will help me understand the psychology affecting trading.
So far there has has been positive knowledge gained . including information on nlp.
http://www.nlpschool.com/resources/nlp-books/167/how-to-coach-with-nlp-by-robbie-steinhouse/
http://www.claybrooknlp.com/nlp_practitioner_training_course_prac_content.htm
I have just ordered a few books on this subject.
Those books look like books on how to learn and run training courses in NLP.
What if you were to consider your personal mental problems and how to overcome the trap you are in presently.
Trap means being in a place you can't get out of to be able to get to where you think you want to be.
Personal mental problems means being in a place where you do not know how learning works nor do you know how the mind works.
Any person who has stated he has these two problems must consider whether to continue to solve his problems (or to continue to try to solve his problems).
I do not deal in probabilities; trading success is a binary consideration as is pregnancy.
It is not difficult toexplain the psychology associated with trading for each of the cases: success and failure.
Each has a measuring yardstick associated with the two trading contexts. One is anxiety, fear and anger; the other is comfort, support and confidence.
the sydromes which prevail are well knwn and well tested: the Bohr Effect and the Lizard Syndrome.
A successful trader uses the occurance of one set to tell him he has some work to do to solve a defined problem which he is capable of journalling and then resolving.
The basic question in trading is: "Do you know that you know?"
If you do not, then you must not be in the market. The task when this occurs is to leave the market AND not reenter unless you know that you know.
One step in this process is a style of trading called enter/exit trading. Maybe you have found out that there are two divisions of people regarding this: Those that do it and those that do not. Small traders do it and large traders do not do it.
It may appear that large traders are doing entry/exit but they actually exit to get into a better opportunity so it turns out they are always in the market and mostly they follow a regime that to them says that they always know that they know.
I don't do entry/exit. I know all the trades and holds and I know when to do any trade or hold. So I reverse/hold as my trading style.
Maybe risk management and money management has occurred to you as something else to read about or get books on those subjects.
I am all in all the time so my risk and money management are well taken care of. I have only one job. That is, to always stay on the correct side of the market. Knowing that I know the correct side of the market is also binary. My mental state is supported, comfortable and I am confident. Since I am always in the market I do not have emotional shifts.
People who do entry/exit can self judge their mental state for the binary conditions they experience for being "in" or "out" of the market.
You experience anxiety, fear and anger when you are "taking the chance" of doing a trade. You do probabilities and I do binary.
All the time, you keep asking yourself did I do the correct thing or is this a mistake? This is the source of your non brain related emotional condition.
All of your emotions do not come from a mental reasoning process. I could guess that you belief trading has percentages assigned to emotions of trading and non emotiions of trading. I would guess, for you one is vastly larger than the other. The same is true for me but we have opposite opinons on which is which.
the Bohr Effect and Lizard Syndrome which you experience is there because you do not know if you know. your genes and heritage are in control and you are just fighting for survival.
In my judgement you will turn out like all humans. While in the market you are fearful, anxious and angry. Most humans simply bet on their trades using John Boyd's well known OODA.
For me, I used Science to deduce a HS and MS for a market paradigm. I followed paradigm theory (Keynes) and logic theory (Carnap). For Friday, a week ago, I showed x trades for 81 5-min bars on ES and a net of y points per contract. X and y are both mid two-digit numbers.
As guests of RC in Chi (at that time floors 10 through 12 of the Chi BOT building) a few years back we demo'ed 10 trades during a morning and had a one tick loss on one trade. We had to change sides of the market during a hold once, so a wash trade occurred. We also suggested a plan to carry out to return the RC accounts to neutral from a mid eight digit day's deficit; they were too skilled to take our suggestions.
In my judgement, you have to deal with two insurmountable problems (because of your mind set) and the consequence will be that you will not be successful. Stop reading books and begin to find out how learning works and how the mind may be built but not erased. Your biggest problem is surrounding stuff now in your mind and which is not useful.
