Wednesday, July 13, 2005
Just let you know
Bunnygirl has been confirmed as a presenter at our planned seminar :) (see last post for details)
Anyway, yesterday i took 2 trades on hilda for +30 and +80 so +120 overall and grail came in at +75 tho its not up on the month yet
bit of a training thing for you now - this will confirm to you that im a loonie :)
Getting The Mind Right
I thought i would share with you the technique i use daily to make sure im ready for trading.
This is based on a short term psychological change that you can make in your brain and is based on NLP principles.
After reading this im sure you will have a picture of me in your mind and what im doing in a morning. Youll probarbly think that i really am as nuts as i sound and laugh out loud - but this works for me.
You will find that if you do this - day in and day out, that it will begin to help you in your trading.
I think anyone that has been trading for more than a year realises that 90% of the trading is dependent on the mind and you emotional state. This a a mental preparation technique taught to me by a very good friend who helped to turn my trading around and it can do the same for you.
make sure you have a good source of 'feelgood' music on your computer and a set of headphones or good quality speakers that you can have loud enough at that time of the day
the music MUST be feelgood - rock music, anything with derogatory lyrics or a depressing tempo must be banned from this session. Preferably it will be music that maybe takes you back to a time when you felt great and powerful.
Every day i choose 4 songs from my feelgood collection to play.
I then stick on the headphones and start the playlist.
During song number 1 and 2 i close my eyes and get immersed in the music - i sing out loud if its not going to disturb anyone. The first two songs should get you into a state of well being - by the time they are coming to the end you should have goosebumps from listening to the music and should be feeling great as the dopamine enters your brain.
when record number three starts i keep this happy feeling and look at my screen. Before i started the music i opened a document that fills the screen with these words - i read them as i enjoy the music and i read it twice as the third song dances between my ears.
I am a professional trader. I wait for my signals to setup, when my signals setup i act decisively and trade. if the trade wins i have no more emotions than if it is going against me.when there is no trade setup i am not tempted to trade. when there is no trade setup i feel happy that im out of the market as my system works.
I am respected by my peers who look to me for sound advice. when i give advice i give it in a good spirit.i am a professional trader with a good attitude. i stick to my trading plan and do not deviate from it. when i am tempted to trade outside my system i remind myself that good things come to those who wait.i do not give my profits back to the market because i wait for my trading setups. when my trading setups appear more often than not they are good signals. i take the losing trades with the same steely attitude as i take the winners.
when i am in a winning trade i am not under any pressure to close them early. when in a winning trade i move my stop according to my system to capture maximum profit from the trade. i am happy to trade one position a day if the market only offers that. i am happy if there is no trade at all during the day secure in the knowledge that a trade will come along soon. i do not get tense about placing a trade as my system works.
i recognise that the greatest trading mistake is to lose patience and enter early or without a signal. i recognise that professional traders are set aside by two things - discipline and attitude. I have the discipline to only take trades when my system gives a clear signal that my chances of a good trade are favorable. when my chances are not favorable i simply sit back and wait until they are favorable.
When my trade is going against me i do not hold onto the hope that it will turn around. I never move my stop in an unfavorable direction and know that even if this one is a loss maker that overall i will come out positive. I am comfortable with losing trades as much as winning ones. I am a professional trader.
I listen and take note of others but do not allow their thoughts to change my system. i can learn from all my peers even if they are beginners as sometimes they see the obvious. my trading style is good and makes money. I am happy to be a trader. I am a professional trader with a professional attitude and i feel great!
For the fourth song i now close my eyes again and as it plays I imagine myself in front of my trading screen. I am dressed as a city trader and i am bright and alert whilst at the same time being calm inside.
I see myself watching the charts as the price does its dance and i see myself not taking a trade as my system isnt in place - i see myself relaxed and happy not to trade. I am an onlooker floating around the trading room.
halfway through the song i see a trading opportunity and i see myself act without emotion and placing the trade. The trade moves against me and i have no emotions as i have my stop in place. the trade moves in my favor and i look upon it as with any other trade as it draws to its conclusion.
As the music fades im smiling - feeling good and calm for whatever the day brings.
You should change the words in the above text so that it can attack any particular problem that you have identified as needing help - those are the ones i need to concentrate upon.
If you use this day in and day out it will become ingrained into your trading. You should notice results immediately although the more you do it the stronger it becomes.
Its a good idea 10 - 20 minutes before you do this to eat some fruit and have a drink to get your system working.
I hope this is of use to you and wish you all the best in your trading