Yukoner: Good job following the plan. Baseline discipline is necessary for us to move forward. Continue with the existing plan for Friday (tomorrow). Incorporate what follows from Monday -- this is the step of incorporating awareness. So far, we have been using the words emotions and thoughts almost interchangeably. For this post (and only for this post ), I am going to uses those two words precisely. The easiest way to define these two words is by understanding the workings of the mind-body complex. Roughly this is how this complex works (as applicable to trading): (a) We see a visual though our eyes; (b) The electrical signals are intercepted by our mental models; (c) The mental models generate a mental state; (d) The metal state generates (i) physiological reaction (emotion -- e-motion -- energy in motion!); and, (ii) thought; (e) The physiological reaction strengthens the thought; (f) The strengthened though starts chaining. (g) Chained thought produces more physiological reaction, and the cycle (e)-(g) continues. With respect to thought, (a)-(f) occurs in our sub-conscious mind. By the time we are conscious of our thought we are most likely well into chaining it. Now you can see the difficulty of becoming aware of one's thought. By the time we realize our thought we are way too deep into it and our emotions are super high. What we would ideally like to do is to get to the thought in our sub-conscious (step d). Actually, ideally we would like to be aware of our mental state (step c) -- especially our negative mental state and our positive mental state -- so that we can stop the thoughts from being generated in the first place. When we trade, we don't want to be in either mental states. We want to be in a neutral mental state. However, becoming aware of one's mental state requires a lot of practice and hard work. An easier alternative for you is to become aware of the physiological reaction that occurs in our body. Since physiological reaction reaches the consciousness much faster than thought, this is a good place to start. Pay attention to your body at all times, and as soon as you detect any of the following (only this nothing more): the slightest change your heartbeat rate; shallow or fast breathing; tightness in chest; queasy feeling in stomach; or uncalled for smile or joyous mood take note. Write it down. 1-4 accompany negative mental states; 5 with positive mental state. Dealing with positive mental state is much more difficult than negative mental state. But we will work on it at the appropriate time. Once you have noted down the result of your body's physiological reaction, ask the question "why is my <result of physiological reaction>". E.g. ask, "why is my heart beating fast?". Write down the first answer that comes to mind. Don't dwell on the answer or try to get the "correct" answer. Just write down the first answer that comes to mind. There are two types of answer you will get. An illustration will help us discuss this a little more clearly. Lets say, you ask the question, "why is my heart beating fast". One possible answer (lets call this answer P-One) could be: "because I thought my stop was going to be hit". Another possible answer (lets call this answer P-Two) could be: "because I saw price reverse". When your answer is P-One, you are extracting the thought from your sub-conscious before the thought bubbles into your consciousness and starts chaining. When your answer is P-Two, you have stopped the thought even before it is well formed in your sub-conscious mind. This is the power of becoming aware of your physiological change. Both answers are powerful and equally good. By doing this we have achieved our sub-goal: stop chaining of thoughts, which will help us stop escalating our emotions. Incorporate: (a) becoming aware of your physiological change; (b) writing it down; (c) asking the question; and, (d) writing down the first answer that comes to mind; as part of Step 1 and Step 3 in your process. We will talk about a tool to tackle and diffuse the recognized emotion after you have had an opportunity to pay attention to your body for a week. Now you have two tools: a tool to redirect your mind back to its task when distracted; and a tool to stop chaining of thoughts and stop emotions from escalating. Once you have the third tool: tool to diffuse and neutralize the recognized emotions, you will have in your possession the tool set required to acquire the trader's mindset you seek -- practice alone will help you reach it. There is no need to analyze your thoughts. Note: Paying attention to your body's physiological change can be done anywhere -- when someone cuts you off on the road, when some one flips the bird, when you enter into an argument, etc. Whenever you feel that feeling in your body, pay attention to it. This is a useful tool, and so practice it whenever you get a change. All the best. Rooting for you. Regards, Monoid.
Yukoner, Or..., and..., especially when the ex shows up History's shown she has a knack for pushing your buttons =========== Mo, One question Sir - where the heck were you when I needed this Good.... Stuff.... Sir..... ============== Yukoner, To MO's first point - we've got to get through tomorrow - the right way Rest tonight..., clear / center the ole noggin Tomorrow be here before long - and it back to making widgets we go RN
I am glad that every system I have built, I take high percentage of contracts to make $100, like in ES 95% is taken off at $100, in Gold it is 85%, Crude it 80% cause my daily GOAL is $200-300 per in all markets, once I make this daily goal, total contract size is hugely reduced so I made my "nut" and not concerned on having a negative day. Long ago trading one lots, when I made the daily Goal, I quit, let the account grew. And breakeven is not getting out where I got in, those fees add up and I want lunch out the deal too. There will always be trades that tempt us, but your Trading Plan says that's it, walk away.
Every trade can be a winner and every trader a loser, like the Gramblers Song of Kenny Rogers and you simple don't know, how you manage the trade is all you can control. My job is easier now, just churn out entries, don't think, what I see, I know the answer, one to the next one.
was trying to understand, thru' practice, what that scantily clad guy living in the forest was really talking about So many wrong-turns, so much misinterpretation, but in the end .... at least Yukoner has access to fruits of experience from multiple sources. I would have died to be in his position. I really hope he uses it to the fullest! There is a lot of gems here in this thread. Thanks to you, @Redneck, and @Handle123. Regards, Monoid.
Believe me, I am grateful!! And I take all of this very seriously. This is real life.... this is my brain we are "tweaking" with all of this.
If ever I felt predisposed to claim to be an expert at anything trading related - it would be an expert at what doesn't work Beat my head against a (cement block) wall so many times - I still have dents Did a number on the wall too - LOL If it out there and didn't work - I found it..., even made a few up Me also..., bitch is I asked many times / and many so called experts for help - they either wanted to charge..., or worse made me feel stupid because I wasn't "seeing / getting it" Reason I still have a hard on for this industry (not trading - the industry)..., and the vermin that infest it Made my self a promise that if ever I got in the position to help - I would - and damn if it don't make my heart feel good Go figure I think he will..., and is - just takes time to assimilate the 9 gazillion moving pieces into a functioning trader And we'd be remiss to not include@Monoid for the gems..., and pearls RN
The most precious thing we'll ever possess Yukoner - never allow anyone to fuck with it (like the ex..., or the mkt) Know we will be gentle..., and respectful..., yet admittedly stern at times - but realize we each know precisely how precious it really is Sir It what separates us as traders..., It what allows us to make widgets Be kind to it - it has been getting one a hellofa workout lately RN
And yourself Yukoner Amen!!!!!! ========================= ======================== Am I fit to trade Will EOD be day six..., or day one - your performance will determine =========================== Familiarity breeds lackadaisicalness Keep your head down - and do things differently - else the loop not altered ================================= Today; This is Your Job Description / This is Your Making Widgets =================================== (1) Take the first trade as per the trading plan; (2) Note the PnL (or ticks). Immediately do a "go/no-go" analysis and disregard the PnL/Ticks -- "go" if your daily stop limit is not hit/surpassed. (2.a) If "go" goto step (3). (2.b) If "no-go", shutdown the computer, and do something else. (3) When you get the signal for the next trade. Skip the trade. Instead, write the trade down in your notebook. Just sit back and observe the trade as it progresses (this is very important). Document (in audio/book) all your thoughts -- the urges to trade, all the self-talk you have, your feelings etc. (4) After the trade in (3) is complete, go back to Step(1) and start all over again. Notes: (1) For any reason, when in step (1), you enter a trade not in plan, close the trade, write it down. Shutdown the computer, and walk away. (2) Do not review the documented emotions as part of step (3) at the end of the day. Instead, review them the following Sunday morning. ================================ Today simply another new day I am the same - You must keep doing things differently No matter what happens / we think / we feel / mkt does We work through it / we set it aside / we move on We do our job Screw the results ======================== Absolutely nothing within you has / will change - unless..., and until - you do it differently ??? day(s) does not a habit - or change make - it must be from this day forward Ain't nothin but a thang RN