Archives of “marathon” tag

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Be Imperfect

  
  Education
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As a trader – or an investor – you will not be right all of the time. If you can accept your imperfection, and work within it, you will be much more successful:

If you have a perfectionist mentality when trading, you are setting yourself up for failure, because it is a “given” that you will experience losses along the way. You must begin to think of trading as a game of probability. Your losses ( that you hope will return to breakeven) will kill you. If you cannot take a loss when it is small ( because of the need to be perfect), then you will watch that small loss grow into a larger loss and so on into a vicious cycle of more and more pain for the perfectionist. Trading on hope does not work. The markets can remain irrational for a lot longer than you can remain solvent.

The object should be excellence in trading, not perfection. Moreover, it is essential to strive for excellence over a sustained period, as opposed to judging that each trade must be excellent. This is a marathon…not a sprint.

The greatest traders know how to take cut losses and let winning positions run. Perfectionists often do exactly the opposite. They get in at the wrong time, stay in too long and then get out the wrong time. Perfectionists are always striving and never arriving. The market will find the flaw in a perfectionistic trader and exploit it day after day.

Trading Nuggets

  
  Education
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…to be right or wrong in a trade is NOT a decision. It is what happens. To STAY right or wrong IS a decision..we all trade what we believe happens next. Since NOBODY knows what happens next, we learn to think purely in probabilities. Does not matter what happens next. It is what you DO when you find out what happens next that separates winning traders from losing traders.

—it is a marathon, not a sprint. Your job ONE as a trader is to protect trading equity. Most traders look at what they can make in a trade. NOT what they could lose.

—Trade markets on YOUR terms…as the saying goes…much rather be in cash wishing I was in the market than being in the market wishing I was in cash.

Good Habits

  
  Education
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When a new trader comes to me for advice, quite often they have suffered initial losses from their trading activities (sometimes heavy ones) and have not really had a focussed overall trading plan set out, or if they have, they’ve not followed it.

Even if you start trading with limited capital, it is important that you start ingraining good habits as early as you can. Principal amongst these is ensuring that you do not trade too large positions relative to your overall equity. 

Depending on your chosen method of trading, transaction costs can also eat into a small account, and the trading vehicle you choose to use should be carefully considered.

However, it is a well known maxim that the vast majority of new traders blow up their accounts within 6 months. This is not necessarily as a result of their method of choosing their entries and exits (although that undoubtedly helps) but more as a result of risking way too much on each trade, or in extreme cases having a complete disregard for risk.

Trading is a marathon not a sprint, and to stay in the game you need to exhibit strong risk control right from the off. The sooner you can ingrain that in your method and your mind, the better. Even the best did not necessarily get a grip on risk control early in their careers – in Market Wizards Paul Tudor Jones talks about losing 70% of his equity on a single trade relatively early in his career. It was only after that experience did he go away and implement rigorous risk control.

From having risk under control, unemotional trading decisions can be taken, improving your mindset and allowing you to follow your system with no risk of self-sabotage. Allied to a proven method for selecting entry and exit points, you will be well on the journey to trading success.

Be Imperfect

  
  Education
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imperfectAs a trader – or an investor – you will not be right all of the time. If you can accept your imperfection, and work within it, you will be much more successful:

 

If you have a perfectionist mentality when trading, you are setting yourself up for failure, because it is a “given” that you will experience losses along the way. You must begin to think of trading as a game of probability. Your losses ( that you hope will return to breakeven) will kill you. If you cannot take a loss when it is small ( because of the need to be perfect), then you will watch that small loss grow into a larger loss and so on into a vicious cycle of more and more pain for the perfectionist. Trading on hope does not work. The markets can remain irrational for a lot longer than you can remain solvent.

The object should be excellence in trading, not perfection. Moreover, it is essential to strive for excellence over a sustained period, as opposed to judging that each trade must be excellent. This is a marathon…not a sprint.

The greatest traders know how to take cut losses and let winning positions run. Perfectionists often do exactly the opposite. They get in at the wrong time, stay in too long and then get out the wrong time. Perfectionists are always striving and never arriving. The market will find the flaw in a perfectionistic trader and exploit it day after day.

The Marathon Monks

  
Education, Life
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The Tendai monks believe that enlightenment can be achieved during your current life, but only through extreme self–denial.

For the Tendai, the ultimate act of self–denial — and the route to enlightenment — is a physical challenge known as the Kaihogyo. Because of this challenge, the Tendai are often called the “Marathon Monks.”

But the Kaihogyo is much more than a marathon.

 The Kaihogyo

The Kaihogyo is a 1,000 day challenge that takes place over seven years.

If a monk chooses to undertake this challenge, this is what awaits him…

During Year 1, the monk must run 30 km per day (about 18 miles) for 100 straight days.

During Year 2, the monk must again run 30 km per day for 100 straight days.

During Year 3, the monk must once more run 30 km per day for 100 straight days.

During Year 4, the monk must run 30 km per day. This time for 200 straight days.

During Year 5, the monk must again run 30 km per day for 200 straight days. After completing the fifth year of running, the monk must go 9 consecutive days without food, water, or rest. Two monks stand beside him at all times to ensure that he does not fall asleep.

During Year 6, the monk must run 60 km (about 37 miles) per day for 100 straight days.

During Year 7, the monk must run 84 km (about 52 miles) per day for 100 straight days. (52 miles per day!) And then, he must run 30 km per day for the final 100 days.

The sheer volume of running is incredible, of course, but there is one final challenge that makes The Kaihogyo unlike any other feat… (more…)

10 Secrets To Success

  
  Education
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SUCCESS-1) How You Think Is Everything – Always be positive. Think success, not failure. Beware of a negative environment.

2) Decide Upon Your True Dreams & Goals – Write down your specific goals and develop a plan to reach them.

3) Take Action – Goals are nothing without action. Don’t be afraid to get started. Just do it.

4) Never Stop Learning – Go back to school or read books. Get training and acquire skills.

5) Be Persistent & Work Hard – Success is a marathon, not a sprint. Never give up.

6) Learn To Analyze Details – Get all the facts, all the input. Learn from your
mistakes.

10 KEYS TO SUCCESS

  
  Education
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1.  How you think is everything – always be positive.  Think success, not failure.  Beware of a negative environment.

2.  Decide upon your true dreams and goals.  Write down your specific goals and develop a plan to reach them.

3.  Take action.  Goals are nothing without action.  Don’t be afraid to get started.  Just do it.

4. Never stop learning.  Go back to school or read books.  Get training and acquire skills.

5.  Be persistent and work hard.  Success is a marathon, not a sprint.  Never give up.

6. Learn to analyze details.  Get all the facts, all the input.  Learn from your mistakes.

7. Focus your time and money.  Don’t let other people or things distract you.

8.  Don’t be afraid to innovate.  Be different.  Following the herd is a sure way to mediocrity.

9.  Deal and communicate with people effectively.  No person is an islan.  Learn to understand and motivate others.

10.  Be honest and dependable.  Take responsibility.  Otherwise, nos. 1-9 won’t matter.

Be Imperfect

  
  Education
#  #  #  #  #  #  #  #  #  #  #  #

As a trader – or an investor – you will not be right all of the time. If you can accept your imperfection, and work within it, you will be much more successful:

If you have a perfectionist mentality when trading, you are setting yourself up for failure, because it is a “given” that you will experience losses along the way. You must begin to think of trading as a game of probability. Your losses ( that you hope will return to breakeven) will kill you. If you cannot take a loss when it is small ( because of the need to be perfect), then you will watch that small loss grow into a larger loss and so on into a vicious cycle of more and more pain for the perfectionist. Trading on hope does not work. The markets can remain irrational for a lot longer than you can remain solvent.

The object should be excellence in trading, not perfection. Moreover, it is essential to strive for excellence over a sustained period, as opposed to judging that each trade must be excellent. This is a marathon…not a sprint.

The greatest traders know how to take cut losses and let winning positions run. Perfectionists often do exactly the opposite. They get in at the wrong time, stay in too long and then get out the wrong time. Perfectionists are always striving and never arriving. The market will find the flaw in a perfectionistic trader and exploit it day after day.

10 KEYS TO SUCCESS

  
  Education
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1.  How you think is everything – always be positive.  Think success, not failure.  Beware of a negative environment.

Click here to find out more!

2.  Decide upon your true dreams and goals.  Write down your specific goals and develop a plan to reach them.

3.  Take action.  Goals are nothing without action.  Don’t be afraid to get started.  Just do it.

4. Never stop learning.  Go back to school or read books.  Get training and acquire skills.

5.  Be persistent and work hard.  Success is a marathon, not a sprint.  Never give up.

6. Learn to analyze details.  Get all the facts, all the input.  Learn from your mistakes.

7. Focus your time and money.  Don’t let other people or things distract you.

8.  Don’t be afraid to innovate.  Be different.  Following the herd is a sure way to mediocrity.

9.  Deal and communicate with people effectively.  No person is an islan.  Learn to understand and motivate others.

10.  Be honest and dependable.  Take responsibility.  Otherwise, nos. 1-9 won’t matter.

Trading Wisdom

  
  Education
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…to be right or wrong in a trade is NOT a decision. It is what happens. To STAY right or wrong IS a decision..we all trade what we believe happens next. Since NOBODY knows what happens next, we learn to think purely in probabilities. Does not matter what happens next. It is what you DO when you find out what happens next that separates winning traders from losing traders.

—

It is a marathon, not a sprint. Your job ONE as a trader is to protect trading equity. Most traders look at what they can make in a trade. NOT what they could lose.

—

Trade markets on YOUR terms…as the saying goes…much rather be in cash wishing I was in the market than being in the market wishing I was in cash.

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