1. Acknowledge that you have lost objectivity. Now that you are aware of the problem, you can begin to deal with it.

2. Remove yourself from the day-to-day noise and write down what your original thesis was. Clearing off your mirrors will tell you what direction you are moving.

3. Begin to Think Backwards by creating three columns with the following headings (Support, Do Not Support, Undecided). This will force you to Objectively lay out and evaluate the situation.

4. Talk to yourself: “Based on the data points I wrote down in each column, if I did not have a position on, what would I do?” Asking yourself this question forces you re-evaluate the trade from an unbiased perspective.

5. Compare your response with your original position/thesis to create a WIN-WIN

WIN#1 is if there is a discrepancy, you can be proactive in creating a new game plan which may involve taking some or all of the risk off or even reversing the position.

WIN#2 is if there is no discrepancy, you have instilled deeper conviction in your original thesis and can then hold or even add to the position.

In closing, losing your way is not nearly as important as how long it takes you to get back on course. We all get lost from time to time and the skill of Thinking Backwards can serve as your map to Re-Gaining Objectivity in your trades.

Keep your eye on the ball and your head in the game!