Discussion in 'Psychology' started by rollsafe, Jul 21, 2007.
From the Kirk Report on Golf and Trading.
Trading and cooking http://tyrotrader.blogspot.com/search?updated-max=2007-07-21T10:33:00-07:00
Where I usually go for quotes.
etc. at the search box.
'trading' is here:
I forgot who said it now, but I like this one:
"Once you know, and you know that you know,
confidence replaces fear."
Cracks me up, there are all these sites like "bored dot com" and "dumb dot com" time wasters when you don't know what or where you feel like doing on the net. google "masters and millionaires" great inspirational get up and go stories on how to do anything.
The original poster wanted "Motivational Quotes
for Traders". (I just re-read that.) Technically my
post wasn't motivational. One or more others
posted some trading rules.
One thing that can knock the wind out of one's
sails is a big loss in a single day. Maybe a good idea
is to set the maximum loss that one would be comfortable
with for the trading day, ahead of time. This would depend
on the trader's own account size and personal
psychology. Once this loss for the day is hit, stop
trading for the day. Period. Saying, 'Well the next trade
could be a big winner.' is not logical. Something is obviously
off or you wouldn't be down so much to begin with.
I'd say it's hard to get motivated for another trading
day after taking an uncomfortable size loss. If one finds
oneself extremely motivated after taking a large loss
one has to be careful not to play catch-up, with the
altered state of mind associated with that.
I like various quotes but if you don't know what the sh*t you're doing nothing else will assist you in trading.
Reading most posts at ET or just any random post at ET there is a constant: almost all are in various stages of not really knowing what the sh*t they are doing.
The lure remains though: you can take away daily a sh*tload of money from whatever it is, where you've become a master of how to play - ES, YM, CL, etc.
Get drunk and piss into a strong wind.....come inside, catch a shower and get back to trading......oh....remember the piss thing when you put that order in to trade agains't the trend
best one i ever heard.....
"the market is a fickle bitch and her name is lady luck"
forget who said that but every time i think of it, it cracks me up.
While you are destroying your mind watching the worthless, brain-rotting drivel on TV, we on the Internet are exchanging, freely and openly, the most uninhibited, intimate and, yes, shocking details about TIMMAY.
Very true. I think this tendency is in all traders after a losing streak. Wanting to make it back too quick. To quote Mark Douglas, "Believe that each trade is a unique event with an uncertain outcome and random in relationship to any other trade made in the past;" (although it may seem like you know what will happen next because you've seen the same pattern in the past repeat itself several times, in reality you don't know for sure). We must learn to think in probabilities. It is the single most important concept in trading IMHO. Because once we do everything else will follow, we will have discipline to cut our losses because we know that it may never come back and that anything can happen.
It is simple a number's game. I like how Douglas used the analogy of the Casino. The casino owner has a 4.5% Edge over the player. That means for every $1 risked, the Casino is expected to take 4.5 cents in the long haul (it might not seem much). However, with a turnover of $100 million that equates to $4.5 million. In the same manner in trading, if we have whatever small edge it may be (by definintion edge means a higher probability of one thing happening over another), if we use that edge in the long run we should come out profitable.
Just my two cents worth
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