I don’t like being wrong.

I especially don’t like being wrong when it involves money. When I see a sea of red on my screen, it makes me just the teensiest bit tetchy.  I’ve gotten a whole lot better – it used to make me nauseous.

And when I’m wrong, I beat myself up. Horrible, bitchy alter-ego Jessica starts taunting me – “These positions are all gonna hit their stops at once. Your equity level is going to suck.” And, “Typical. As soon as you enter, everything goes to shite.”

The funny thing is, I can’t stand people like that.  You know the type – the “Poor me, nothing ever goes my way” characters.  They whinge and whine and would rather complain than fix their problem, simply because their problems get them sympathy and attention.  They always have problems, and they worry and fret and complain to anyone who will listen.  And they never change anything.

So, in the interests of not becoming a total loser with no friends, I’ve decided to grow up.  Again.  It seems to be a decision that needs making quite regularly.

…And Takes Responsibility.

Trading is for adults.  There is no room for childish tantrums when things don’t pan out, because every interaction we have with the markets originates with ourselves and no-one else.   Even if we follow someone elses idea or recommendation, it is our decision to do so.

You’ve only got yourself to blame.

To Achieve Peace and Flow in Trading, You Need to Worry.

I’m reading a very cool book at the moment that was recommended to me by a friend on Twitter.  It’s called “The New Psycho-Cybernetics”, and while the title seems quite intimidating it’s actually quite an easy (and very interesting) read.

This passage in particular stood out to me earlier this week. It’s talking about roulette, but is just as applicable to trading.

“Do your worrying before you place your bet, not after the wheel starts turning.”

This is the key to slaying the evil alter-ego once and for all.

If we can do all our worrying before-hand, once the trade is placed we can sit back, relax and let it happen because we know it will be okay.

Worrying first means that all our contingencies will be accounted for.  Our best and worst case scenarios will be planned for and because we have done our worrying before placing our trades, there can be no surprises.  Suddenly, because there is nothing to fret about anymore, we can trade in a state of peace and flow that we possibly never quite mastered before.

Some things to worry about before you trade -

• Worry about how much you’ll lose if your trade goes pear-shaped.
• Worry how much you’ll lose if ALL your trades go pear-shaped at once.  It happens – be prepared like a good boy scout.
• Worry about what your partner will say if it all goes pear-shaped at once.
• Worry about how you’ll react if your trade works.
• Worry about what will happen if you take profits but trade motors along without you.
• Worry about what will happen if your provider runs for the hills with all your money.
• Worry about how you’re going to sleep with that much risk on the table.
• Worry about if there might be something you’ve missed in your analysis.
• Worry about what you’ll do if Europe goes belly up.

And then – once you’ve thought of everything that can possibly happen and have put your worries to bed – don’t worry!!

You can make your decision (and that decision includes not taking the trade at all, incidentally), kick back and just let it all happen.