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The Mastery Of Self
We do everything for a reason. The reason behind any act is, for the most part, unconscious. If we want to change a behaviour we need to identify the reason, the underlying objective, and examine it. We need to examine it to determine whether this objective, this assumption, supports us in what we want to do now.
When it comes to trading, most of what we have learnt to date and the beliefs that we have formed about success are inappropriate.
When we are trading we need to be:
· Quick to cut a loss
What are we taught about success?
· Not to be a quitter
It is not difficult to see that what we believe about success in all other areas of life will work against us as traders. Lets look at some particular behaviours in trading.
Not cutting losses, what is the likely thinking that would result in this behaviour?
· Losing is bad (If I lose then I am a loser)
Fear of losing what we have (losing is bad again)
If I have an unshakeable belief that I am good, then I would not look to the market for approval; we only look for something we think we don't have. To resolve this problem we need to simultaneously work on and build the belief that we are already perfect and we need to shift our neediness away from the market and seek affirmation from another source.
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