Hi
I have this article for quit a long time. Some times I go and read some articles from my archive and as I am in a process of learning every day, I realize, that I justice some of my information in my archive in a different way, then I did it when I first time read it. I do not know, if this happens to you. If you never tried, save some post or decide to read some threads in a half a year again and analyze your thoughts on certain object.
This post will give some thoughts about your personality. How do we handle our self's when it comes to Greed and Fear. I wish, it brings you one little steep forward in being or becoming a successful trader. If you are interested in more information about the written post, you may try this : marketfocusing . com
Here it goes :
Gene showed that the people who were successful cases all shared a certain skill: the capacity to think WITH their gut feelings.
Now, you can’t be in sync with the market if you’re not in sync with yourself. That’s when you enter trades not because you have a green light but out
of compulsion, or get out not because of a red light but out of fear.
We all have both tendencies in ourselves. We all have a pushy part and a cautious part. This is not bad at all, we need them both. Without the pushy
part, we’d never be able to pull the trigger. And without the cautious part we’d never keep out of trouble. The problem is when we are taken over by
one of them. That’s when our motivation degenerates into GREED, and our caution into FEAR.
It’s as if inside every trader, there is both an overconfident trader AND a trader suffering from loss of confidence. All traders have bumped into
these two sides of themselves. So, how do we avoid merging with them, becoming them?
The first thing to do is to become better acquainted with them. Take one at a time. And ask yourself: What’s this part of me like? What am I like when
I’m merged with it? You might say: I already know it very well! I wish I’d know it LESS well! But the truth is that you can’t wish it away. What you
want is to engage its cooperation.
The trick here, the important thing, is to take an attitude of interested curiosity. See yourself as a scientist, who’s interested in what he’s observing, trying to find out what it’s like, what it feels like in your body.
And it’s a friendly scientist. A scientist who feels empathy with what he’s studying knowing he doesn’t have to do what it wants.
Say you take the fearful one first. Can you be friendly to it? Acknowledge and welcome it? Say hello to it, as if it was another person, an old friend.
Acknowledging is the first step to neutralize the reactivity. If you try to push it away, it will come back through the back door and guide your behavior.
These parts of you that you think you’re not supposed to have as a trader – you can’t eliminate them by self-talk. Often people who are suffering from
a loss of confidence beat themselves up for it. This becomes self-reinforcing, and this is of course a dead-end.
At the moment you say hello to it, you’ve disidentified with it: you’re no longer IT. Then just let it be there if it wants to. The reactive parts of
us are not PRESENT, they are doing their own stuff, acting out, instead of being in the NOW, interacting with what’s going on out there. Whatever in
you lacks presence, PRESENCE is what it needs – and you, as the observer, can give it by being present to IT!
Then take the other side and do the same.
Now see how it’s possible to just be aware of both of these sides of yourself at the same time. Without identifying with either. You’re the interested
observer! Observing the greedy, overconfident trader and the fearful one who lacks confidence. If you do this correctly, you’ll see how they lose their
grip on you. One of them shows up, you say “hello” to it. It might then go away, or just become less intense. If it’s still there, use this as a chance
to observe it with interested curiosity and find out more about it! Once you listen to it, the other one is likely to show up, too. Once you have both,
they can begin to cooperate.
Fallibility is a key concept. Soros calls his operating principle “The Belief in Fallibility”. The possibility of being wrong makes most people anxious.
We don’t like to consider it. Soros, in contrast, is interested in how he’s going to be wrong. He knows every hypothesis is flawed, every trade will
degenerate. When he has a “green light”, he puts on a trade. But as long as he can only see the positive side, he worries. This worry guides him into
searching for the flaw. Once he finds it, then he feels at ease. He’s prepared for it, ahead of the curve. Knowing THAT he’ll be wrong and constantly
searching for WHERE and HOW he’ll go wrong gave him a huge edge.
Take care
DanPickUp
I have this article for quit a long time. Some times I go and read some articles from my archive and as I am in a process of learning every day, I realize, that I justice some of my information in my archive in a different way, then I did it when I first time read it. I do not know, if this happens to you. If you never tried, save some post or decide to read some threads in a half a year again and analyze your thoughts on certain object.
This post will give some thoughts about your personality. How do we handle our self's when it comes to Greed and Fear. I wish, it brings you one little steep forward in being or becoming a successful trader. If you are interested in more information about the written post, you may try this : marketfocusing . com
Here it goes :
Gene showed that the people who were successful cases all shared a certain skill: the capacity to think WITH their gut feelings.
Now, you can’t be in sync with the market if you’re not in sync with yourself. That’s when you enter trades not because you have a green light but out
of compulsion, or get out not because of a red light but out of fear.
We all have both tendencies in ourselves. We all have a pushy part and a cautious part. This is not bad at all, we need them both. Without the pushy
part, we’d never be able to pull the trigger. And without the cautious part we’d never keep out of trouble. The problem is when we are taken over by
one of them. That’s when our motivation degenerates into GREED, and our caution into FEAR.
It’s as if inside every trader, there is both an overconfident trader AND a trader suffering from loss of confidence. All traders have bumped into
these two sides of themselves. So, how do we avoid merging with them, becoming them?
The first thing to do is to become better acquainted with them. Take one at a time. And ask yourself: What’s this part of me like? What am I like when
I’m merged with it? You might say: I already know it very well! I wish I’d know it LESS well! But the truth is that you can’t wish it away. What you
want is to engage its cooperation.
The trick here, the important thing, is to take an attitude of interested curiosity. See yourself as a scientist, who’s interested in what he’s observing, trying to find out what it’s like, what it feels like in your body.
And it’s a friendly scientist. A scientist who feels empathy with what he’s studying knowing he doesn’t have to do what it wants.
Say you take the fearful one first. Can you be friendly to it? Acknowledge and welcome it? Say hello to it, as if it was another person, an old friend.
Acknowledging is the first step to neutralize the reactivity. If you try to push it away, it will come back through the back door and guide your behavior.
These parts of you that you think you’re not supposed to have as a trader – you can’t eliminate them by self-talk. Often people who are suffering from
a loss of confidence beat themselves up for it. This becomes self-reinforcing, and this is of course a dead-end.
At the moment you say hello to it, you’ve disidentified with it: you’re no longer IT. Then just let it be there if it wants to. The reactive parts of
us are not PRESENT, they are doing their own stuff, acting out, instead of being in the NOW, interacting with what’s going on out there. Whatever in
you lacks presence, PRESENCE is what it needs – and you, as the observer, can give it by being present to IT!
Then take the other side and do the same.
Now see how it’s possible to just be aware of both of these sides of yourself at the same time. Without identifying with either. You’re the interested
observer! Observing the greedy, overconfident trader and the fearful one who lacks confidence. If you do this correctly, you’ll see how they lose their
grip on you. One of them shows up, you say “hello” to it. It might then go away, or just become less intense. If it’s still there, use this as a chance
to observe it with interested curiosity and find out more about it! Once you listen to it, the other one is likely to show up, too. Once you have both,
they can begin to cooperate.
Fallibility is a key concept. Soros calls his operating principle “The Belief in Fallibility”. The possibility of being wrong makes most people anxious.
We don’t like to consider it. Soros, in contrast, is interested in how he’s going to be wrong. He knows every hypothesis is flawed, every trade will
degenerate. When he has a “green light”, he puts on a trade. But as long as he can only see the positive side, he worries. This worry guides him into
searching for the flaw. Once he finds it, then he feels at ease. He’s prepared for it, ahead of the curve. Knowing THAT he’ll be wrong and constantly
searching for WHERE and HOW he’ll go wrong gave him a huge edge.
Take care
DanPickUp
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