Read on Twitter
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's coming up), and this message really hit home. So I'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'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 'normal' 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 'normal' career like the rest of society etc.)
Those traits got you IN the door, but now that u'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'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'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's why most traders break their rules constantly & cant explain why
So no, u're not retarded. no, trading is not inherently "hard". u're just too competitive, too impatient, & too rebellious. THAT'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
