Anyone else notice how much your moods and attitude seem to have an effect on the results of your trading. Two great examples from this week. Yesterday I was certain I would have a great day. I was so excited for the open I could barely sleep the night before. As it turns out I had my 4th best day of the year yesterday. I was in a great mood all day and very pleasant to everyone. Today is the exact opposite. In fact, the first thing out of my mouth this morning when Toni asked me to turn off the alarm was to tell her to piss off, she could do it herself. Ive generally just been an ass, and my trading has sucked too. Anyway, I just think its kinda interesting how our moods effect our results. Back to the pitty pot. Brandon
For me a lot less then say 4 or 5 years ago. When I first started if the day was up ($$ wise for me) it was a wonderful day no matter what. If the day was down ($$ wise for me) no matter what else occured it was horrible. Now I can make or lose pretty much any amount and that does not effect me much, I think I have just become accostomed to it and don't get excited. Now it seems to me that the biggest thing effecting me (for wide swings) is extreme emotions coming into the day. Most of the time I can maintain myself at a pretty even keel and produce decent results..but every now and then Im manic and see that in my trading too. Brandon
i know exactly what you mean. when i wake up in a foul mood, rare, but it happens--i don't trade. i do something else, anything ! best, surfer
As a discretionary trader my mood going into the day has a direct effect on my results. When I look back at my P/L, my drawdowns almost always coincide with an external event such as a breakup or some other source of stress.
agree all One of my rules is when occasionally some event has happened pre or post mkt which is extremely stressful, I will make sure no computer or CNBC is turned on. I generally work on other things so I am not in the house. The times I have stayed home during these moods I have paid the price. Awhile back my car was not working and my wife had the other car every day. Being stuck home and not being able to go anywhere without a car is not good for trading. Sometimes my rules dictate no further trades for the day based on the mkt, or I'm tired or aggravated and no trades are allowed, or I'm in a trade which my rule has dictated it either hits the stop or gets closed out at 4:00. Its much easier to let the stop be hit or close at 4 if I don't get home till 3:50. Just a few of my ways of protecting myself against that jerk that screws up decent trades.
I don't trade if I'm stressed out or tired. If my mind isn't 100% focused on the market. I don't trade. I've had my worst days when there are events in my life that get me emotional.
Brandon, I agree with you 100%. Moods affect my trading. If I get up and am in a good mood, my profits reflect it.:eek: