Archives of “personal life” tag

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The importance of emotion in trading.

  
  Education
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Anxious:  Am I prepared?  Can I afford to lose what I am risking?  Am I breaking my rules?  Did I drink too much caffeine?

Anger:  Have I not moved from the last trade?  Am I tired?  Is there conflict in my personal life?

Happiness:  Are psychological gains more important than monetary gain?  Am I overconfident?

Indifference:  Do I care?  Is something more important?

It is natural to feel emotion but in an appropriate and proportional way.

Anxious:

To this day, the first trade always produces a little anxiety.  That little tingle in your stomach and shallow breathing.  The same is true when I a trade I have been waiting for sets up.  Above that, I know there is something wrong.

Anger and Happiness:

I am angry after a negative outcome and happy after a positive outcome but in order to adapt more quickly I have to remove emotion from the outcome as soon as possible.  It is more important to focus on what happened and less how I feel about it. Prolonged feelings of anger or happiness causes risk blindness and impedes my learning.  Misjudging risk will prevent me from taking a trade or taking too much risk. (more…)

The Goldman Sachs Careers Page

  
  Education
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 gs-carrers
 

Look, I help my readers out. Here’s the Goldman Sachs “Careers” part of their website.

Be sure to tell them that you read this blog religiously — and you’ll be so in.

One more thing, here are the Do’s and Don’ts for your Goldman internship:

No matter where your summer experience takes you, you can benefit from these useful tips and hints. They may seem simple, but your colleagues will notice if you aren’t acting on them.The Do’s
* Be eager for a challenge
* Be yourself
* Be open-minded
* Be on time
* Know the dress code
* Observe and ask thoughtful questions
* Treat everyone you meet with respect and professionalism
* Understand that everyone makes mistakes
* Carry a notebook with you at all times
* Pay attention to the details
* Be proactive
* Show energy and interest
* Set goals for yourself
The Don’ts

* Let a bad day get you down
* Take on more than you can handle
* Pretend to know something you don’t
* Have nothing to do
* Ask everyone the same questions
* Take yourself too seriously
* Talk negatively about co-workers
* Focus all of your attention on senior management
* Bring your personal life into the office
* Surf the web all day (BWAHAHAHAHA – Eddy)
* Spend working hours on social networking sites or texting friends

My Checklist :During and After the Trade

  
  Education
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checklist-1. What’s your game plan if it goes against you and threatens your survival?

2. Will you be able to get out? Did you take that into account in your workout?

3. More typically, what will you do if it goes way against you and then meanders back to give you a breakeven? Or if it immediately goes for you or aginst you?

4. Would you be willing to take a ½% profit if you get it in the first 10 minutes?

5. Did you test whether taking small opportunistic profits turns a winning system into a bad one?

6. How will unexpected cardinal events affect you like the “regrettably,” or the pre-annnouncement of something you expected for the next open? And what happens if you’re trading an individual stock and the market goes up or down a few percent during the day, or what’s the impact of a related move in oil or interest rates?

7. Are you sure that you have to monitor the trade during the day? If you’re using stops, then you probably don’t have to but then your position size would have to be reduced so much that your chances of a reasonable profit taking account of vig are close to zero. If you’re using 10% of your capital on a trade, they you’ll have to monitor it for survival. But, but, but. Are you sure you won’t be called away by phone calls, or the others? (more…)

Quote from Victor Sperandeo

  
  Education
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Trader Vic- Methods of a Wall Street Master

In his book Trader Vic: Methods of a Wall Street Master, Victor Sperandeo mentioned:

As an aside, I want to point out that although this period of intensive study helped me immeasurably in my ability to call the markets, it cost me substantially in my personal life. My daughter, Jennifer, was at a crucial formative age (3 to 5), and I spent almost no time with her. I would get home from the office, eat, and go straight back to work in my study. When she came into my office, I would shoo her away impatiently, totally ignoring the fact that she needed her father’s attention and love. It was a bad mistake that both of us are paying for today. If I had to do again, I would draw out the study period and give Jennifer more time.

After reading this paragraph, I have been doing a lot of thinking. I’m not sure if this is a common mistake among traders, I, sometimes, make the similar mistake. We know this business requires a lot of time, effort, attention, but our loved ones require more.

Just being a little bit emotional. Anyway, this book is really a good read. If you haven’t done so, go and get one.

Ten Trading Terms Used By Technical Analysts -Sound Like Sex Acts

  
Education, Humour
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In no particular order….

  • Blowoff Top
  • Bottom Bounce
  • Shorting Against The Box
  • The Piledriver 
  • Inverse Hammer
  • Kissing The Trendline
  • Rolling A Position Forward
  • Getting “Cramered”
  • Churning
  • Spread Trading

Above Terms u had Read many times written by Technical Analysts & Blue Channels Anchors + Analysts

The Purpose of Living Life Purposefully

  
  Education
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Here are some good self-assessment questions:
*  How purposeful are you in getting the sleep you need to function at your best?
*  How purposeful are you in getting the exercise you need to function with maximum energy?
*  How purposeful are you in eating the right foods to sustain your health and well-being?
*  How purposeful are you in organizing your time so that you’re spending your highest quality time on your most important priorities?
*  How purposeful are you in cultivating the quality of time with the people who matter most in your life?
*  How purposeful are you in ensuring that, each day, you are accomplishing something meaningful in your life?
Can we really expect to achieve our life’s purposes if we are not living our days purposefully?
Can we trade with intention and discipline if we don’t live the rest of our lives intentionally?
Everything in life can be approached with intention and purpose or it can be approached mindlessly and routinely.  In carrying out daily activities with self-direction, we strengthen our ability to stay mindful and purposeful for life’s greater goals.   
Life is one great gymnasium, but we only develop if we recognize the equipment and conduct our workouts.

Trading Difficulties -One Liners

  
  Education
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Trading Difficulties

  • Cut winning trades short even though you know your trade setup is solid.
  • Failed to pull the trigger on a perfectly good trade because of fear of loss.
  • Let losing trades run hoping for a return to breakeven.
  • Added to a losing position in the hope that the market would turn around.
  • Made profi ts in the morning but gave them back in the afternoon.
  • Became more aggressive after losing money.
  • Took unplanned trades when the market suddenly moved.
  • Stopped trading or reduced position size after a loss.
  • Traded greater position size than prudent money management practice would advise.
  • Held trades longer than they should have been held looking for a “home run.”
  • Failed to take a perfectly sound setup because the last two trades were losers.
  • After a day of big profits, your confidence soared and your trading suffered.
  • Consistently made small money but have been unable to elevate your trading performance.

These trading difficulties hurt. They not only hurt your account, but they also cause mental and emotional suffering. No other profession tests your psychology as does trading. These difficulties and unskilled trading behaviors arise from the underlying mental and emotional challenges traders face.

M. de la Rochefoucauld’s 15 maxims -written 400 years ago

  
Education, Life
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  1. “It is a kind of happiness to know how unhappy we must be.”
  2. “In their first passion, women love their lovers; in all the others, they love love.”
  3. “In jealousy there is more of self-love than love.”
  4. “One is never so happy or so unhappy as one fancies.”
  5. “Neither the sun nor death can be looked at steadily.”
  6.  “Good advice is something a man gives when he is too old to set a bad example.”
  7. “Everyone blames his memory; no one blames his judgment.”
  8. “There are very few people who are not ashamed of having been in love when they no longer love each other.”
  9. “It is almost always a fault of one who loves not to realize when he ceases to be loved.”
  10. “When a man is in love, he doubts, very often, what he most firmly believes.”
  11. “There is only one kind of love, but there are a thousand imitations.”
  12. “If we resist our passions it is more from their weakness than from our strength.”
  13. “We are more interested in making others believe we are happy than in trying to be happy ourselves.”
  14. “Absence diminishes little passions and increases great ones, as the wind extinguishes candles and fans a fire.”
  15. “When a man must force himself to be faithful in his love, this is hardly better than unfaithfulness.”
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