Ability to adapt as a personal trait

Discussion in 'Psychology' started by mute9003, Mar 12, 2022.

  1. mute9003

    mute9003

    are there any actual psychologists or psychiatrists here who practice or practiced in the past?
    I wanted to discuss this in relation to trading success

    What i noticed based on my limited data and my own experience is that trading success relies alot on one's ability or inability to adapt to changes and how fast they are able to do so

    And being able to tailor your trading style to your "adaptability"
    Take for example scalpers, they have to be able to adapt to new market conditions instantly and not hold on to "what seemed to work" 5 minutes ago
    While long term investors need to be able to not break during the daily fluctuations of the stocks they hold for years.

    what i noticed in myself is in general i adapt slow, i hold on to shitty relationships that are not working, i hold on to beliefs that dont work, i hold on to all the trash that does not work anymore naturally
    And also hold on to shitstocks that were bad investments and i should have sold long ago at a small loss
    But i can weather long term hodl without problems or stress.
    And when learning to day trade naturally i have to let go of old patterns and reset my mindset faster than i naturally can. So i end up consistently overstaying my welcome in stocks that i was supposed to day trade and not hold.

    What im trying to see if theres a way to change your mindset from being a slow adapter to fastee adapter that will suit me better for short term trading
     
    wrbtrader and newwurldmn like this.
  2. mikeriley

    mikeriley

    The ability to adapt is also a condition that can be developed
    with a structured cognitive behavior transformation
    program, like NLP or meditation.
     
  3. SunTrader

    SunTrader

    Set rules and follow them. Nothing to do with adapting. Actually you could say, in a certain sense, it is the opposite.
     
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  4. mikeriley

    mikeriley

    What if a trader sets rules and consistently breaks his
    own rules? Would it be of any benefit to try something
    that might help him to change?

    Is consistent profits just a matter of setting rules
    and then making sure we keep our rules?

    I think that may be true for a small minority,
    but there's apt to be many traders that
    are not born with Military-like-discipline.

    The term adapt simply means the ability
    to change. I've never met a consistently profitable
    trader that did not adapt or change something.

    For more evidence just read any of Jack Schwagers books.
    Every one of those investors/traders found success after
    going through a lengthy process where change
    was the only true constant.

    In my understanding every one starts at level #1
    I'm not sure how anyone can expect to reach
    level #4 as posted below without learning
    to adapt.


    Level #1 Ignorance or Unconscious incompetence
    Level #2 Awareness or Conscious incompetence
    Level #3 Learning or Conscious competence
    Level #4 Mastery or Unconscious competence

    Level #0 Blown account now selling courses on Youtube.
     
    Last edited: Mar 12, 2022
  5. MACD

    MACD

    From the Genius of Mark Douglas:
    "I AM A CONSISTENT WINNER BECAUSE: 1. I objectively identify my edges. 2. I predefine the risk of every trade. 3. I completely accept the risk or I am willing to let go of the trade. 4. I act on my edges without reservation or hesitation. 5. I pay myself as the market makes money available to me. 6. I continually monitor my susceptibility for making errors. 7. I understand the absolute necessity of these principles of consistent success and, therefore, I never violate them.”
     
    comagnum and stochastix like this.
  6. Yep, I would say you don't need to be adaptive, you need to be open minded to being wrong and not getting emotionally wrapped up in being wrong.
     
  7. schizo

    schizo

    Humans are creatures of habit. Habits are recognizable patterns that are unconsciously repeated over and over. These patterns don't necessarily need to be scrapped altogether, they just need to be reorganized.
     
  8. Collagen

    Collagen

    i believe what You mentioned is a key for success in trading. It’s not easy though change habits and beliefs. Personally i have noted that these changes happens in relation to painful situations. In other words changes are necessary and often take place from failures, personal loss etc. i see it an evolutionary process.
     
    mikeriley likes this.
  9. Ninja

    Ninja

    Focusing on your last paragraph, the question for me is how old you are?

    Neuroplasticity decreases with age, starting at about 25. Factors like lifestyle, nutrition, sleep quality, stress, etc. have an impact on neuroplasticity as well.

    Between the age of 14 and about 23, there happens a process called pruning in the human brain. This basically means that unused connections are cut and we specialize based on what is needed in order to survive or to be successful in our environment. After this your personality is to some extent hardwired. This includes the question of being fast paced vs slower paced.

    So while you can certainly still improve in certain areas of your psychology after that, depending on the desired change, it can require a lot of time, focus, and commitment. And it can still be a frustrating and painful process.

    The most important thing to keep in mind with regards to neuroplasticity after the age of 25 is that you can only improve, i.e. weaken you weaknesses and strengthen your strengths. You will never be able to turn a weakness into a strength.

    People are successful when they can utilize their strengths, not when they are operating in an area of improvement.
     
    Last edited: Mar 13, 2022
    sridhga, mikeriley and themickey like this.
  10. Handle123

    Handle123

    I think different as I started making paper charts back in 1978, I learned the old fashion way of charting. To me adaptings' definition is reading the speed of price relative to where price is of a swing and memorization of patterns.

    Memorization of patterns, knowing Instantly if a pattern is supposed to be there in relationship to an average swing. Memorizing to the left of current structures that may negate a signal.

    In other words, adapting is memorizing good patterns that developed early and in middle of a trend for trend trading. Adapting can also mean not taking a trend trade when an extreme might be developing or coming upon long term trend lines. One's own rules, if price is beyond the nature of rules, adaption can mean to stop trading if volatility is not a friend.

    We all born with gifts of awareness and developed between ages 2-3, some are slow and others are geniuses. But regardless, you learn what makes sense to you, backtest and do stats to prove your ideas work first.
     
    #10     Mar 13, 2022