The trader’s biggest enemy is…
…his or her own mind.
The good news is, that one’s mind can be trained … to become one’s friend.
Between these two sentences lies a path.
Some never make it.
For some, this path is arduous.
Other, more disciplined ones make it through.
However, that’s not the end.
Once there, one needs to stay there.
Emotions get in the way.
Fear. Greed. Hubris. Hope. Impatience. Insecurity. Despair …
… you got the drift.
Knock them out, people. Once in the market, stamp all emotion out of your (market) life.
Listen to your system. First make your system.
It doesn’t matter if it’s a technical one, or a fundamental one, or whether it is techno-fundamental, or for that matter funda-technological.
It is your system.
You have spent time putting it together.
You have lost money recognizing its pitfalls, and have tweaked these pitfalls away after they were recognized by you.
Since it has reaped you rewards, you have begun to trust it.
Stay with the trust. Don’t let your mind play tricks on you. It likes to.
Once your trusted system identifies a setup, take it. Period.
Your mind will suddenly switch on. What if this, and what if that?
Only use the mind’s intellect portion to perfect your system. That’s the friendly part for you. Together with it, you construct a system that is capable of identifying setup after setup, from one properly executable trade to another.
You see a setup, and you take it. No ifs, no buts, no what-ifs.
Similary, when your system identifies a stop or a target, and when this is hit, you are out of the trade. Period.
No procrastination. No waiting. No fear. No hoping. No greed.
No mind …
… from entry to trade management to exit.
Switch your mind back on when you have wound up your market activities for the day.
Switch your mind on amidst family. It’ll be fresh.
That’s the path between the two sentences at the top.
Here’s wishing that it’s an easy one for you.