Identifying the Problems
Everyone sees life through different eyes. Individual roadblocks and issues occur, based on each person’s unique track record and life experiences. Our expectations vary widely. Our past informs our future.
What are problems? Actually they are the sum total of each person’s perceptions. Each roadblock you encounter, says more about where you’ve been than where you’re going. Just as our problems are “self-inflicted”, our solutions are “self-directed.”
There are a variety of parallels between the trading worlds and “real life.” If you are trying to achieve success at trading (or anything in life for that matter) a more holistic approach to evolving the right mindset, is required.
If you force a situation, to make it fit your “wants” rather than take a situation, carefully molding it to fit your “needs,” added stress and brand new problems will develop. In my experience, problems are often the result of the short term gratiﬁcation impulse. It can really be addictive to grab a small success, at the sacrifice of long-term profit. Actually, instant gratification can be a very real roadblock to the effective trader.
Another so-called problem is the people pleasing or “I’ll show you” approach. In order to avoid disappointing other people, and maybe to impress them, we are making decisions based on what someone else wants or thinks. Committing to an expensive monthly car payment, because you just need to have that Tesla…… or promising what you can’t deliver, to your boss, are both self-inflicted problems. Don’t be too impulsive, impatient or driven by status symbols. You are building a business. Trading is not a get-rich-quick scheme.
Whether you are working within a company or an independent day trader, don’t get too far ahead of yourself.
We’re all guilty of creating similar scenarios, which result in our own problems.
Change Your Mindset
Most of us viewed successful trading as reserved for the mathematical elite, where the super analytic nerd, is able to out-guess the market. If you aren’t careful, you may end up – with multiple charts with countless indicators, trying to use 5 monitors at once and watching trades go “tick-by-tick”, as your heart rate increases, and you risk too much money. If you try too hard to anticipate the next big trade in every time frame known to man, switching strategy every time you lose, you will ultimately become wildly inconsistent!
After all, “that’s what traders do right?” Wrong! It’s easy to over-complicate trading. The truth is trading is easy, perhaps a little too easy. Trading is no different than any other developed skill-set.
Don’t get me wrong, I’m not advocating giving up trading, far from it. I am advocating giving those old ideas and those unrealistic goals. I am suggesting you give yourself permission to stop trying to force situations. Start spending more time letting things happen and less time depleting your time, money and energy trying to make them happen.
You are changing your mindset and your perceptions. By letting go of the stereotype of what a trader looks like (the nerdy genius) and what he does (the adrenaline infused million dollar trading deals), you’ll be surprised at how many of your “problems” suddenly vanish!!
You can’t change your past, but you can change your perception. The successful trader is patient, steady, and especially intuitive. The gambler’s mentality does not win in this particular arena. Attitude is everything and yours must be calm, not desperate if you want to succeed.