Funny, I can accept loses without it bothering me. But missing a big move on a stock I'm following eats me up. It usually happens becuse I usually buy on pull backs and have trouble hitting the buy when a stock is running up . Curious to hear what others have trouble accepting.
I used to have a problem with this. It often led to selling/ buying bottoms and tops. Now I am happy to see a big move because I know Im going to get a piece of it most of the time. I am pretty much resigned to just getting small pieces here and there.
That is a natural reaction is based in greed (not a bad thing). You will have to accept missing a move as much as you have to accept taking a loss. Your very next trade has a random outcome and that includes missing it. It is important to just stay focused on what is happening rather than getting upset by what has already happened because it is rare that a big move only has ONE push. Think of the first move as your "shot across the bow" so that you can get in on the second move or retracements.
Look at missing a big move from a more objective perspective. If you have missed a big move and were never in the position in the first place, you haven't made anything nor lost anything - neutral. What has happened, however, is that your abilities to see large moves setting up might be getting better. That is a good thing and will only build confidence. I suffered through about 2 years of missing moves and enough "shoulda, coulda, if only" to make me rich if I had a buck for every one. What I did do was change my perspective to more of a "What does this tell me about my abilities to analyze the markets/positions?" attitude. That has made the biggest difference in my P/L going forward. Confidence in yourself is what you will slowly be gaining and that is worth more than all the riches that will follow. If you know how to take a loss and keep it small, the next step is confidence. Once you have the ability to open more positions and keep them under control through your discipline and confidence, you are on your way. Also once you do this your gains on each move will be larger. Many of the traders that take many small gains are usually only one step away from unlocking gains they never thought possible, but their lack of confidence in themselves is hobbling them. I'd say there are many more good traders that lack confidence than there are just plain bad traders. Good Luck!
"Most difficult things to accept" Judging from the postings on ET, it would appear to be the shift from fantasy into reality. Try not to read any negative connotations into this observation. There are none.
The fact is many or most do not have the temperament (and the savvy or neither) to come into trading.Hence this 'difficult things to accept' syndrome.First the noob comes in with his own set of presumptions and ignorance followed by stumbling about for help ending in never reaching an understanding of what to do and HOW to do it to trade successfully.No offence is intended but it is an endless procession on ET as most usernames as contributors disappear sooner or later, usually sooner.
Well I know that when I quit posting 5 years ago it was because like many, I originally thought joining a board would improve my trading knowledge. But came to realize I was mostly wasting time just "chatting" about trading. Now, I'm not as serious about trading, trade with a much smaller account, and I feel like chatting about trading again.
Emotions drive me (and every trader) crazy. There are ways to deal with those emotions without costing yourself money. Denise Shull did a great presentation at the CME Group yesterday... if it's not on the cme.com website yet, I'm sure it will be. Her website is traderpsyches.com. High quality stuff.
most difficult thing for me is accepting monetary losses which I didn't make from trading. if I start with 100g's I made elsewhere n loose it in the market I'd be super super pissed, if that 100g loss was original made frm the market anyway I'd be like.. Meh. lol