I will first post my trades for the day in the S&P emini futures (July 6th, 2011 ) and get into a lesson we can all benefit from below.
Mental struggles facing traders has been going on since day one. Keeping our minds sharp and objective is key. Not seeing what we want from the markets, but only the reality of what is happening before us. Your mind needs to be sharp and alert to accomplish that. Always keeping your emotions in check is essential. Greed will wreck your day, if you let it. Revenge trading is just as bad. Most traders who have been at this, know exactly what I mean.
Seeing your trading as you wish it be is a start. You need to get a vision of the perfect day in your mind and allow yourself to exercise it to make it become reality. If you have fear on your mind of not wanting to make a mistake, you are going to knot yourself up to the point you will loose the edge. Our mindset is key to our success and those who are willing to challenge themselves to change and get in sync with the market are the ones who overcome.The mental struggles facing traders are real and overcoming them is where real victory is found.
Rehearsing your trades over and over again in your mind is a good exercise. See yourself entering at your low risk entry point, what ever that is for you, and take what your method is calling for. I prefer many times short term trades, as there are many of those in each session to choose from. If you miss one, another is coming. If you want the home-run trades, be willing to wait and sit through a lot of market data for that to come together, as they come much less frequently.
As traders we are drawn to the markets for what it can offer, financial freedom, but what about time freedom. That to is often mentioned but those that site that as a major benefit, usually don’t take advantage of it as they are on there journey. Time is something you never get back and for me is a high ranking value that I cherish. With it, I can do the things that have and bring true meaning to my life. Things that can make a difference in the lives of others and so on. That only happens when you have a clear vision of what you see and want your life and trading career to be. That is why I prefer short term trading as I mentioned, because it allows me to spend a limited amount of time in front of the screen and get my bread so to speak for the day. This is done by design and it can happen for you as well.
Again, see the perfect trading day. You wait for your method setup to come together, you enter, you wait and you exit as the market dictates. If enough profit is reached, you walk away. If the trade is modest, you wait and wait, enter, wait- then exit. At that point, you can be done for the session and enjoy the time freedom you dreamed of when trading for living was given birth.
To sit and try and trade all day, everyday, you will become tired and make mistakes. Your patients will slow and you will see things that are not there to try and line up with what you want. Trading for a living is not about being right all day long. You only need be right for a trade, two or three and that’s it. If you are trading for income, then you need to trade like you are trading for income, not to feed your ego. There are other things you can do to satisfy that if you feel the need, but over-trading should not be one of them.
If you don’t know, I am speaking to myself just as much as speaking to those who follow me. That is one of the benefits I receive while writing my blogs. To help hold myself accountable is a very good thing. Which reminds me, all traders should have a trading journal to help hold themselves accountable for there trades. If you go outside your method, you will have to account for why you did that. If you don’t like the pain of having to write about that, then wait and only take the trades you understand.
Don’t be afraid of missing a trade. Notice I said, afraid. That word has its roots in the word, “Fear”. Fear can make you do some crazy things. Fear of loss is just as powerful as the desire for more, greed. Don’t be afraid of waiting, as many times the trade will come together a little better, but when its time to pull the trigger, just do it.
Another fear can creep in, fear of loosing and that will hold you back from entering at all. By the time you get the courage to enter the market after having missed many trades already, you will be setting yourself up for a loss and that is no way to trade.
Hope all of this helped someone out there. Trading for living is very possible, but you need the right mind set to allow yourself to bring it about. It all starts with a vision, do you have yours?





