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10 Points -Why Traders Lose Their Discipline

  • Environmental distractions and boredom cause a lack of focus – All of us have limits to our attention span and these are easily taxed during quiet times in the market;
  • Fatigue and mental overload create a loss of concentration – The demands of watching the screen hour after hour make it difficult to be sharp, creating fatigue effects that are well-known to pilots, car drivers, and soldiers;
  • Overconfidence follows a string of successes – It is common for traders to attribute success to skill and failure to situational, external factors.  As a result, a string of even random wins can lead traders to become overconfident and veer from trading plans–especially by trading too frequently and/or trading excessive size;
  • Unwillingness to accept losses – This leads traders to alter their trade plans after trades have gone into the red, turning what were meant to be short-term trades into longer-term holds and transforming trades with small size into large trades by adding to losers; (more…)

Traders needs High level of Catecholamines, acetylcholine, and vasopressin

Catecholamines, acetylcholine, and vasopressin, are three [among many] of the beneficial hormones and other helpful neuropeptides that are produced in specific brain frequencies. Studies have shown that acetylcholine is vital for long term memory. They have also found that when acetylcholine production [in the brain] is high, we experience boosts in our long-term memory. Individuals who have lower levels of acetylcholine usually struggle with tasks involving learning and memory. At the end of your day listening to Traders Mindset produces the neuropeptide vasopressin – a neuropeptide which improves reaction time, ability to learn, and ability to remember. 
It is not only our production of neuropeptides that allows us to learn more effectively we experience decreased blood pressure, heart rate, and our entire body feels relaxed. This boosts the overall oxygen level in our brains and maximizes blood flow to our cortex. This naturally boosts our attention span and level of alertness. Boosted attention and alertness makes it much easier to memorize and learn new things.

Why Traders Lose Their Discipline

  • Environmental distractions and boredom cause a lack of focus – All of us have limits to our attention span and these are easily taxed during quiet times in the market;
  • Fatigue and mental overload create a loss of concentration – The demands of watching the screen hour after hour make it difficult to be sharp, creating fatigue effects that are well-known to pilots, car drivers, and soldiers;
  • Overconfidence follows a string of successes – It is common for traders to attribute success to skill and failure to situational, external factors.  As a result, a string of even random wins can lead traders to become overconfident and veer from trading plans–especially by trading too frequently and/or trading excessive size; (more…)

Why Traders Lose Their Discipline

  • Environmental distractions and boredom cause a lack of focus – All of us have limits to our attention span and these are easily taxed during quiet times in the market;
  • Fatigue and mental overload create a loss of concentration – The demands of watching the screen hour after hour make it difficult to be sharp, creating fatigue effects that are well-known to pilots, car drivers, and soldiers;
  • Overconfidence follows a string of successes – It is common for traders to attribute success to skill and failure to situational, external factors.  As a result, a string of even random wins can lead traders to become overconfident and veer from trading plans–especially by trading too frequently and/or trading excessive size;
  • Unwillingness to accept losses – This leads traders to alter their trade plans after trades have gone into the red, turning what were meant to be short-term trades into longer-term holds and transforming trades with small size into large trades by adding to losers; (more…)