When Money goes on Auto

What does “doing well” mean for you?

Making money – does that mean you are doing well?

Not necessarily.

You could be making money, but in the bargain, your life could be out of balance.

In my world, that’s already a fail.

Ideally, I like to keep the market in my pocket, and be in some sort of balance, such that a feeling of well-being is generated.

What am I feeling happy about?

Firstly, about defining my market scope. I have outlined how I wish to interact with the market. I’ve not allowed the market to define me. That makes me happy.

Secondly, I’ve stuck to my strategy. Before that, I found my strategy. Phew!

Now you try it out.

The market shouldn’t bother you after you’re done with it. See to it. Programme yourself in such a manner. Once you’re done with the market, you can then utilise your time for other vitally important things in life. If the market were bothering you with its constant nag, you would not be able to do these things properly.

Congratulations, your life is now rounded off, and not mono-faceted.

Sticking to a winning strategy when things are not going your way is going to see you through.

I know, the urge to call it off and look for a new strategy is huge when your current one seems to be going South. However, you’ve tried and back-tested your strategy. It should hold and then some. Now, have the confidence to stick to a plan.

Notice something?

I’ve not spoken about money.

Why?

Because, mostly, money goes on auto, when these basics are standing strong.

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Dealing with the Nag

Sadly, one’s spouse is the butt of many jokes in life. 

However, at the outset, I wish to make it very clear, that this piece is not about a joke at the cost of my beloved spouse, who, by the way doesn’t even fall under the N-word category. 

Having gotten that out of the way, what kind of nag are we talking about. 

This one’s almost a constant, and starts off as soon as your money goes on the line. 

At first it’s a tug. 

What are the markets doing?

How is your holding faring?

Let’s have a look. 

Come on, come on…

The tug is very compelling. 

You have a look. 

You see that your holding is taking a hit. 

There is disappointment. 

You shut your terminal in disgust. 

You’re trying to do other stuff, to divert your mind, but your mind keeps flowing back to the status of your holding. 

The tug has become a nag. 

This is the nag we’re talking about. 

We wish to outline a strategy which takes the nag out of your way. 

So, how does one deal with the nag?

It will be there. However it won’t be in your way. How do we create this condition?

If you can manage by ignoring, that’s just great. This might not work though. Nag-value mostly defeats ignoring power. 

Enter small each time. You will take away greatly from the nag-factor. It won’t hit you as much. You will me waiting to enter again, small of course, in the event that your holding has fallen. This is long-term investing we’re talking about. You’ve done your due diligence, and are not afraid to repurchase umpteen times as long as you’re getting margin of safety. Re-entry upon a fall in price of the underlying does not work while trading. In fact, re-entry upon a fall while trading is a strict no-no. You exit your trade if the fall goes through your stop-loss. You don’t re-enter. However, the small entry quantum during long-term investing goes a long way in reducing the nag factor. 

How do we wash away what’s left of the factor?

Do many market activities, as in, play multiple markets. After you’re done with one market, forget about it and move on to another. Mind will genuinely be distracted. Nag value will be further reduced, and greatly. However, it will still be there, minutely. 

Once you are done with all your markets, close your connection to them for the rest of the day, and only open the connection during the next market session, and that too upon requirement only. Meanwhile, you’re doing other stuff. Life has so much to offer. All remnant nag will be washed under the rug. 

You need to now just hold it together and resist the lure of a nudge in your mind to see how the markets closed, or any similar urge. You’re done for the day, and don’t you forget it. Don’t fall back into the trap, or the rest of your day (and perhaps your night too) would be ruined. Ask yourself if that would be worth it. No? Then move on. Enjoy the rest of your day doing other stuff.

You’re done already!

🙂