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The Market Mistress is Stalking You

Have you ever had to deal with a stalker? It could just as easily be the Market Mistress.
And to understand the market mistress we must better understand each of the
following:
Common Stalker Characteristics
   – Jealous
   – Manipulative
   – Narcissistic
   – Deceptive
   – Obsessive and compulsive
   – Falls instantly in love
   – Socially awkward or uncomfortable
   – Needs to be in control
   – Depends on others for sense of self
   – Unable to cope with rejection
   – Sense of entitlement (you owe me!)
   – Unable to take NO for an answer
   – Does not take responsibility for own feelings or actions.

Kiev, Hedge Fund Masters

I took notes on Kiev’s book when I first read it, and I’m going to select four self-therapeutic passages from them for this post. I suspect that most of my notes are quotations, but I don’t think it’s important to check their accuracy, though I will provide page references.

* * *

By establishing a vision, you have promised to achieve something. The promise means you are giving yourself permission to begin to act in the realm of the impossible, to create all kinds of openings. In that one promise, you begin to abandon self-doubt and the need for approval. This way of being in the world lets loose huge reserves of energy and creates enormous possibilities. Yet none of this can happen until you take the first step forward in pursuit of a goal with no guarantee of outcome. (p. 218)

Living in the gap makes you vulnerable. Once you’re out there, on the cutting edge, you’ll suffer breakdowns as well as breakthroughs. Although it will not always be comfortable, living in the gap between where you are and where you want to be will make your days far more interesting and action packed than if you traded with the intention of avoiding pain and discomfort. (p. 229)

It is useful to note when an activity becomes tedious, dull, and routine and leads to withdrawal and avoidance. This is the time to consider whether you are facing obstacles and are retreating behind your survival needs or whether these feelings signify that you have reached your goal and now need to raise the stakes. (p. 236)

The development of mastery is, in a sense, an existential and experiential methodology, directed at what is and what can be. You invent your own future through commitment to a goal, identifying what is necessary to produce specific results, and learning how to handle the unknown. (p. 247)

How Trader Personality Affects Trading

A recent pilot study addresses the interesting topic of how a trader’s personality affects his or her trading performance. The researchers focused on six personality traits and their impact upon trading:
Locus of control – The degree to which a trader believes that the ability to be successful is within his or her control;
Maximizing tendency – The degree to which individuals seek optimum outcomes from their decisions, not just outcomes that meet or exceed expectations;
Regret susceptibility – The tendency to look back on outcomes of decisions and focus on negative aspects, creating regret;
Self-monitoring – People’s tendency to track and control their own thoughts, feelings, and behaviors;
Sensation seeking – The degree to which people seek varied and stimulating experience;
Type A behavior – The degree to which individuals are driven to achieve.  (more…)

Great lines from :Ed Seykota

“In The Trading Tribe, Ed extends his paradoxical insights about trading and life. ‘We need to experience our feelings. If we resist them, we wind up creating dramas in our lives and in our trading so that we have to experience them.'”

“Everyone knows traders who violate their rules, second guess their systems, give up on winners, stick with losers, and swear they won’t do it again…. Rather than counseling strength, steely discipline, or automation, Ed again turns apparent common sense on its head,. He encourages traders to embrace and celebrate their feelings, especially the ones they are unwilling to feel.”“‘Win or lose, everybody gets what they want from the market. Some people like to lose, so they win by losing money….'”

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