Maintaining the trading equation is difficult because it requires balancing risk, reward, discipline, and emotional control. Traders often face challenges in managing their emotions, sticking to their strategy, and adapting to market volatility. External factors like news events and sudden market shifts can also disrupt plans. Consistently applying a trading strategy while avoiding impulsive decisions makes it a constant mental and emotional challenge.
I find a common issue for "traders" is over trading. They have to make a certain amount of money per day or per week etc. If they fall behind, they break their own rules (If they have any) and make trades without the typical parameters of risk/reward they look for. When I traded full time, I lived by "if there is nothing worth doing, do nothing". During the summer, after 11am when it got slow, I would go for a walk on the west side of NYC or go to a movie. Then come back for the end of the day when there is more order flow.
and since 92% of Futures Trading and nearly 100% of stock trading is all algorithms robots I guess we are doomed
Simply stop maintaining the trading equation. Just use + and - (for counting money) and that should suffice. When the equation is complex (or the market is complex), stay away. Trade when the market is simple. Simply your trade plan. Do mind exercise every hour to center your mind. amitabha, ooooohhhmmmmmmmm K.I.S.S.
You're absolutely right—overtrading often stems from emotional pressure or boredom. Sticking to "quality over quantity" and waiting for high-probability setups is crucial. Taking breaks, like your NYC walks, helps reset focus and avoid forcing trades. Discipline to follow a solid plan ultimately leads to consistent, sustainable profitability.
To avoid such events and sudden and increased volatility in the market, you can use an economic calendar that publishes the release time of important fundamental news every day and not trade during these times.
What an useless advise. When there is economic data release, mostly the market wouldn't move. Mostly the market moves without economic data release. The market must move decisively for traders to earn money
Yes, the market moves even without economic data being released. But sharp and strong volatility occurs mostly when such data is released, that's what I meant. You should take a closer look at the time of such news releases, such as the central bank interest rate decision, Non-Farm Payrolls and others, and how the price "does not move" when such news is published))). And how often such news breaks any indicators and strategies, providing a sharp loss to those who decided to try their luck when trading on such news.