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Decided to start off the day by answering DMs in the morning instead of in the afternoon/evening as usual (b/c i most likely wont have time to do it once I enter this Turkey induced food coma that& #39;s coming up), and this message really hit home. So I& #39;ll devote a small thread to it
First off, yes, there is such a thing as "a personality for trading". But it is very tricky because as I pointed out before, the personality traits that attracts most of us to trading are the exact opposite of what you need to survive ONCE you& #39;re in. What do I mean by that?
For example. Most of us came to trading because:
1) we are ultra competitive
2) we wanted to get rich quick
3) we were rebels who hated following rules (ie: having to listen to a boss, or getting a & #39;normal& #39; career like the rest of society etc.)
1) we are ultra competitive
2) we wanted to get rich quick
3) we were rebels who hated following rules (ie: having to listen to a boss, or getting a & #39;normal& #39; career like the rest of society etc.)
Those traits got you IN the door, but now that u& #39;re in, they must go. why?
1) ultra competitive:
This will make u treat every trade as a "fight" against the market or against the stock. or a PNL battle with other traders. This leads to revenge trading & constant rule breaking.
1) ultra competitive:
This will make u treat every trade as a "fight" against the market or against the stock. or a PNL battle with other traders. This leads to revenge trading & constant rule breaking.
2) wanting to get rich quick:
Profitability comes from hundreds of trades. Wanting to get rich quick will make u overcommit to individual trades hoping to nail "that one big trade". U& #39;ll oversize & get emotionally attached, instead of treating every trade as "just another trade"
Profitability comes from hundreds of trades. Wanting to get rich quick will make u overcommit to individual trades hoping to nail "that one big trade". U& #39;ll oversize & get emotionally attached, instead of treating every trade as "just another trade"
3) Being a rebel:
Yes, that character trait is great for breaking barriers, plowing thru obstacles, & saying fuck u to society and those who say "u cant do it", but it is HORRIBLE for trading. B/c trading is 99% risk management, and managing risk is about OBEYING ur damn rules!!
Yes, that character trait is great for breaking barriers, plowing thru obstacles, & saying fuck u to society and those who say "u cant do it", but it is HORRIBLE for trading. B/c trading is 99% risk management, and managing risk is about OBEYING ur damn rules!!
So in conclusion, this is why trading is such a tough psychological challenge for many. The psychology u need to be ATTRACTED to trading, is the same psychology that will fuck u sideways once u START trading. THAT& #39;s why most traders break their rules constantly & cant explain why
So no, u& #39;re not retarded. no, trading is not inherently "hard". u& #39;re just too competitive, too impatient, & too rebellious. THAT& #39;S what makes trading "hard". YOUR personality. UR obession with wanting to be "right". UR desire to compare urself to others. YOUR emotinal instability
Anyway hope that helps. As i always say, know thyself, identify your demons, and purge them. How do u expect to win a war if you dont even know who the enemy is? (yourself).
#BearTipOfTheDay
#BearTipOfTheDay
