Whenever someone’s perception departs from their expectations, their heart rate inevitably rises – some people handle deviations better than others, but everyone ultimately has a breaking point. We have always stressed that Trading is doing the same thing again and again , deliberate practice and repetition enables you to work on your trading flaws and determine what works and what doesn’t in your trades. By Managing your expectation with your perception Ultimately, this can lead you to consistently profitable trades.
But once you are comfortable with a tried-and-tested strategy, you might want to consider trading outside your comfort zone to reach to next level in your trading. Trades are just like Entrepreneurs, they will always be looking for growth. Reliance started as an Textile company and they evolved themselves by working on Perto chemicals where they got there next growth and now moved to JIO. Same is the case with Apple moved from Ipod Ipad and Iphones.
As a trader, you must also be familiar with different kinds of trading methods. The point of the exercise is to expand your knowledge and challenge your existing trading skills and look for the move to next big jump in your trading career.
Trading outside your comfort zone also opens you to more trading opportunities (and possibly more money). And if done carefully and successfully, the exercise can even increase your confidence and emotional resilience.
How to Trade Outside Your Comfort Zone
1. Try getting adapted into your new strategies slowly.
Change does not need to be fast and furious. Once you are comfortable with existing strategies, take part of your profit and try to trade new strategies from your profit in small quantity . It could be as simple as increasing your average position sizes 0.5% at a time. Goal here is not to make money but getting our mind adapted to the new strategy without losing money and not emotionally stressed.
2.Managing Expectations
A trader’s expectations need to be set up to an extent and if one diverts up and down; this invariably implies a certain level of risk. When traders step out of the comfort zone of their trading strategies, they’ll inevitably start to feel nervous. Peter Brandt, a veteran trader with more than 5 decades’ worth of experience under his belt, famously stated that a trader’s first challenge in the financial markets is to learn “how to lose properly.”
3. Experience Counts and , Consistency is the key
Most experienced traders routinely go outside their comfort zones. They often have test accounts where they experiment new trading strategies and methods. Sometimes they’re profitable, sometimes they aren’t, but profitability doesn’t really matter to them. What’s important is that they’re learning.
Remember, when you take on any new action–whether it’s just testing a trading method or finding a different way of analyzing the market–your values and ideas will be challenged. If you remain humble and open, you may see things you didn’t see before, new ideas may pop-up, and you will be forced to grow.
Truth be told, going outside your comfort zone is not easy. You’ll most likely be unsuccessful at first due to the emotional stress or lack of knowledge, but given enough time, you’ll be able to learn, so don’t just try it once or twice. Consistently challenge yourself to try new things. As always, consistency is key.