I am Sharing a Case Study on One of My Student during our 1×1 Coaching How we undestood his problem and Helped him to Improve his Trading. I decided to highlight these specifically, as I’ve found there are a number of common themes amongst struggling traders who I’ve worked with. Hopefully, by detailing their challenges and offering some action points, you too can take something away from this article to help to improve your Own trading.
Rahul has been trading since a year and a half, mainly the Bank Nifty in the short-term five-minute chart.
He is Disciplined Trader and manages to follow His Gann Trading System over many days, sometimes even weeks, During this time there is Swing in His Trading account but he knows that this is normal, because not every trade can be a winner on his account.
There are phases when things just seem to be going perfectly. A win- Trade follows the next. At such moments he notices that he is tempted to drastically increase your position size. But he
resist this urge.
The loss situations are totally different from its winning phases suddenly and there is one Losing trade after that another one other, he is literally struggling with the market loses his profits and part of his capital also
He only wants one thing – he wants from his Money back from the Market.
The more often he gets stopped, the more profits he wants to make back from the Market.
To Compensate from His Losses He Start taking Higher Risk and Higher Leverage, he no longer Focus
- Risk per trade,He originally planned, He will not risk more than1 percent of his trading account, but after string of losses he is risking 2.5 or in some trader 10 percent. of his trading account.
Most of time as he is now carrying Higher Risk and wanting to make money His thought process is “THIS TRADE HAS TO WORK NOW !” Many Readers would have gone to similar phase.
During our 1×1 coaching it becomes clear that his focus is on Trading is governed by only single thought: “I want my money back! ”
During our Coaching Rahul used to say
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“I have the feeling that the market is then against me. Market want me to lose and has rejected me. And I can’t stand that. I know this is nonsense is. The market doesn’t mean me personally, but I still feel it that way. During such phase eventually all the gains made over weeks/month are gone and it feels terrible. I feel like a little child who has lost everything. I just can’t explain why this is and what I can do about it. “
This struggle with the market happens again and again. Professionals are too not protected from it. During our Studies we have found reason for such Behaviour are due to our Childhood experiences.
Childhood is a very formative time in our lives. The science assumes that the first three years of life are influenced by our parents and relatives by about 70 to 80 percent. That means that all actions in the present are from the earliest experiences are shaped. These childhood imprints by mother, father or others are close Relatives affect our later health, Relationship skills and stress resistance.
In coaching with Rahul it became clear that with successive trading losses he no longer thought
“I have lost”, but rather: “I am a loser!”
The difference is serious. Because Rahul had the feeling that as a person he is a loser and that his entire person is rejected.
In the emotional world of a person this is to be equated with: “You are not lovable” or also “You are not needed in this life. You are worthless”
It is understandable that nobody wants to feel something like that and then reacts to it emotionally accordingly.
In the following conversation it turned out that Rahul’s father had repeatedly insulted him as “stupid”, “stubborn”, “stupid” or as a “failure”. As a child and adolescent, it always hurt him deeply.
His reaction to this was anger and anger, emotions that he mostly lived out in his younger sister. Sometimes he willfully destroy other people’s things too. Afterwards he felt somewhat liberated, but also worse. Because through his behavior he indirectly confirmed his father’s accusations.
Since Rahl had never worked on this topic, even today, as an adult, it unconsciously triggered the same reaction again and again. He did not experience criticism as a factual criticism, but as a rejection of his personality as a whole. It is important to break down such emotional and behavioral patterns so as not to let them affect future trading.
The Solution:
First of all, it is important to identify and be aware of the abusive behavior In this way, it is possible to see what exactly is the “good reason” behind the fear for such trading actions.
Otherwise there is a risk that this unconscious reaction pattern will repeatedly take the lead in trading situations. clearly in front of your eyes.
Next, it is very important to understand that statements made by other people, especially family members, only reflect their own personal opinion. It is not about THE truth, but only about the truth of this single person!
If, like Rahul , you have found a blocking core sentence like “You are stupid … stupid … stubborn … a failure”, you can change it into a positive, motivating sentence in the next step.
For example, the sentence: “The way I am, I am good and lovable. I don’t care what others think of me. I go on my own way!
You can use this phrase very well in self-hypnosis to memorize it. Or use the following means to make yourself aware of this sentence again and again: Stick notes on your computer, in your wallet or on the mirror and say it to yourself in silence in the queue at the supermarket checkout.
Make sure that this phrase is present to you as often as possible. The more present, the more you will internalize the positive intention it contains.
Work with it for a few months. You will experience what all this beautiful will trigger in you! It is particularly beneficial to incorporate such a motivation phrase in a personal hypnosis coaching program and to visualize the corresponding picture in a supportive way.
It is a mistake to believe that as an adult you have an unbiased approach to trading. Exactly the opposite is the case. The older we are, the more convictions we have formed from which we implement trading.
The time of imprinting begins early in our life. Even before birth, the fetus is receptive to the influences of others. Neuroscience has shown that the brain is most busy making connections between brain cells in the first months and years of life. This means that early childhood events at any point in our lives can also have an impact on our trading behavior.
So By Analyzing the past we were able to Undestand Rahul’s problem and able to guide him to come out of that unconscious reaction pattern and helped him in improving his trading.
Brilliant sir a very good solution but their is one thing more we can do I realized this while learning in this market and that is the main solution to this problem is programing our subconsious mind I have developed that technic and have applied it on myself with very good results tell your student to look for that it helps in a strange but very effective manner
thanks for sharing