Trading Obstacles

How To Overcome Trading Obstacles

How to overcome trading obstacles is something that has plagued traders around the world, but there are things easily overlooked that we have control over, if implemented, can change your results.

Much of the problem is found in one’s thinking. Day trading is very much a mind game as it is a technical game, so it pays to be aware of the things that you are unaware of and again, that is your thoughts and thinking at any give time while following the markets.

Words have power, and when you think on those words, you breath life into those words which has the power to build up or to destroy, as in your trading account.

I looked up this very simple word, “obstacles” and it means “something that blocks your way so that movement or progress is prevented or made …”. Pretty straight forward, but give this too some thought. The path to trading success, does not come easily, so giving time and attention to the things most overlook can pay off in improved results.

What is it that is blocking your way in becoming the day trader you envision? What is preventing you from making progress? Give this some thought and then write down the solutions as you see them, but start with your thinking first.

Before you can put on a trade, you have to think it through to know if it is a good trade or not. What if your thinking is biased to only one direction? Well, I can tell you that you will instantly become blind to the reality of a good trade in the opposite direction. Only after the trade is over and sometimes even the trading session, can you see clearly as you say to yourself, “what was I thinking in buying there”.

This is something that happens far more often than traders even realize, but if unwilling to do the uncomfortable to change, you will only just do it again. It is a strange thing, but many know that I am right.

So, how does one break this negative pattern and remain objective about every trade you take on. First, if you do this one simple thing in asking yourself, “Is this a good method trade”? Sounds simple, but even that does not get done on every trade a trader takes.

To often, you can talk yourself into a position that is biased to your existing opinion even when the conditions clearly change to something different. You then begin to force trades in your desired direction with little regard for healthy trade objectivity.

Do this exercise to help see yourself becoming the trader you envision and to break negative patterns you might have created. Write down on paper what you want from your trading, but write it 10 times. Then do it again for 10 days in a row. Let me give you an example, as this is going to be different for everyone.

1) I see myself trading for 1-2 hours a day picking up my daily goal with little struggle2) I see myself patiently waiting for my method setups to come to me as I remain calm and at peace
3) I see my trading as a job to help me do those other things in life I value that are in line with my life purpose              

4) I see myself walking away from the computer when my session is done, content with gains, unmoved with a loss.

This again is just an example as this is how you see yourself performing and thinking during your trading session. Don’t just have random thoughts. Take every thought captive and filter it through to see if it is consistent with a wining mindset and your overall greater purpose.

Let go of your need to be right. This is a big one as much of this is driven by our ego’s and if left unchecked will lead you down a path you don’t want to go. This is what I mean by “take every thought captive”. These are the things that you do have control over, if you bring it to the front of your mind.

Many will read this and think that it sounds good, but most will not take the time to implement things like this into there trading as this takes mental energy. This kind of energy takes a lot more from you at first to expel than does physical energy as many have bought into the notion that physical activity is what they need most. If every trade first starts in your mind, doesn’t it stand to reason that is the most important place to start and also to work on.

You can talk yourself into a trade and out of one, but what you need is trade objectivity to make sure you are being fair on both sides. Then time to let the price action confirm, but execute without fear or fear of loss.

I hope this helps some of you to consider other factors as you pursue your trading goals and dreams. More to come in my next post tomorrow.                                                                                                                                                                                    —————————————————————————–

In today’s trading I took three trades and picked up +5 points on my last which covered my first two. Of all things, I had a computer virus and again could not trade the opening hour, but fixed that and still had a good day.  I guess that too was a lesson on how to overcome trading obstacles.