TAILIEUCHUNG - Trading in the Zone Master the Market with Confidence Discipline and a Winning Attitude_9

Tham khảo tài liệu 'trading in the zone master the market with confidence discipline and a winning attitude_9', kinh doanh - tiếp thị, quản trị kinh doanh phục vụ nhu cầu học tập, nghiên cứu và làm việc hiệu quả | CHAPTER 11 THINKING LIKE A TRADER If you asked me to distill trading down to its simplest form I would say that it is a pattern recognition numbers game. We use market analysis to identify the patterns define the risk and determine when to take profits. The trade either works or it doesn t. In any case we go on to die next trade. It s that simple but it s certainly not easy. In fact trading is probably the hardest thing you ll ever attempt to be successful at. That s not because it requires intellect quite the contrary But because the more you think you know the less successful you ll be. Trading is hard because you have to operate in a state of not having to know even though your analysis may turn out at times to be perfectly correct. To operate in a state of not having to know you have to properly manage your expectations. To properly manage your expectations you must realign your mental environment so that you believe without a shadow of a doubt in the five fundamental truths. In this chapter I am going to give you a trading exercise that will integrate these truths about the market at a functional level in your mental environment. In the process I ll take you through the three stages of development of a trader. The first stage is the mechanical stage. In this stage you 1. Build the self-trust necessary to operate in an unlimited environment. 2. Learn to flawlessly execute a trading system. 3. Train your mind to think in probabilities the five fundamental truths . 4. Create a strong unshakeable belief in your consistency as a trader. Once you have completed this first stage you can then advance to the subjective stage of trading. In this stage you use anything you have ever learned about the nature of market movement to do whatever it is you want to do. There s a lot of freedom in this stage so you will have to learn how to monitor your susceptibility to make the kind of trading errors that are the result of any unresolved selfvaluation issues I referred to in .

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