Most traders realize that trading involves a lot of psychology. And most traders readily admit that a significant portion of their trading losses, or lack of performance, is due to “psychology”. Although the term ‘psychology’ isn’t always mentioned as an explanation, you can see it easily enough in the following statements ”I froze just as… Read More »
Winning traders are courageous. They show courage when they risk their money, and face the possibility of losing it. They show courage when they follow their convictions, and possibly let their pride and ego get hurt. But courageous trading is a little more complicated than it appears at first glance. Courageous trading is not merely… Read More »
Dr. M. Woodruff Johnson One of the best article in recent times Rahul did it again, another big loss day, another day where he did not follow his trading plan. Rahul had taken trading courses from some very so called trading gurus. He had a trade plan, which covered minute details and was quiet comprehensive.… Read More »
Source Looking at Mirror One day all the employees reached the office and they saw a big advice on the door on which it was written: “Yesterday the person who has been hindering your growth in this company passed away. We invite you to join the funeral in the room that has been prepared in… Read More »
When we speak of “The Trader’s Mindset” what are we really talking about? Many of my students often ask me this question and we talk about it a lot during our Mentoring Session. When we trade the markets we approach the markets each and every day with a psychological mindset or set of beliefs and… Read More »
When I was in Taiwan for a year, I decided to learn a form of the martial art Kung fu. I saw it everywhere in movies.Fighters using Kung fu twirled, kicked, jumped and punched with grace and skill through every life threatening challenge, including dragons, sorcerers, assassins and armies. So advanced were their skills that… Read More »
One of the most frustrating things a trader can experience is being dead on right about a trade, taking it, BUT.. still losing money! How can this be? This can happen in five different ways, each of the first four contain a lesson for better planning the fifth way to lose money in this list… Read More »
As a Trader it totally amazes me to see how we are almost “hard-wired” to do all the wrong things. It’s almost as if we were put on this planet to determine how many ways we can mess up our trading. How do you respond to a loss? How you respond to losing trade. During… Read More »
FORGIVENESS A Seth ji gave three lakh rupees to his younger brother for business. His business settled very well, but he did not return the money to the elder brother. The internal relationship between hatred and malice became very deep. Seth ji, all the time started criticizing his younger brother in front of every relative.… Read More »
In trading, like in several other disciplines, the most consistent person wins. If you keep adjusting your trading strategy, you’ll probably never get to see consistent trading results. Consistency comes first in your actions and (fairly) consistent results from the market come second. That is not to say that you have to stick to the… Read More »