Here are my top tweets you might have missed this month.
[Tweet “Top Tweets For Traders #5”]
A great trader is someone who:
• Understands his own biases. Knows how not to let them sway his decisions
• Can spot a high probability opportunity
• Understands that high probability doesn't mean certainty
• Manages his risk at all times
• Doesn't care about being right— Trading Composure (@TradingComposur) November 1, 2018
“Don’t be a hero. Don’t have an ego. Always question yourself and your ability. Don’t ever feel that you are very good. The second you do, you are dead."
~ Paul Tudor Jones
— Trading Composure (@TradingComposur) November 15, 2018
The more you stay in the game, the more you'll realize that there are no real 'Pros' in this field. We're all just perpetual students of the market.
— Trading Composure (@TradingComposur) November 1, 2018
The trades you place are just experiments, awaiting feedback from the market.
— Trading Composure (@TradingComposur) November 2, 2018
Expectations create problems.
Whatever comes, whatever goes, accept, but don't expect.— Trading Composure (@TradingComposur) November 2, 2018
Trading is a meticulous process of:
– Spotting asymmetric opportunities
– Managing risk
– Thinking clearly/applying common sense
– Accepting that outcomes are ultimately out of your handsWhen that process becomes well established in one's mind, it becomes a way of life.
— Trading Composure (@TradingComposur) November 2, 2018
If you constantly put yourself in a position where you're training yourself to think in probabilities and to embrace uncertainty, you will actually start to see and experience things differently.
— Trading Composure (@TradingComposur) November 5, 2018
To excel in a field like trading, you need to unlearn a lot of what society has taught you about failure, happiness, perfection, and the meaning of hard work.
— Trading Composure (@TradingComposur) November 5, 2018
What your trade needs:
• Time
• Patience
• Acceptance
• Impartiality
• Discipline
• Flexibility
• Consistency
• Proper recordWhat your trade does NOT need:
• Impatience
• Gluttony
• Fear/ anxiety
• Boredom
• High expectations
• Stubbornness
• Poor record— Trading Composure (@TradingComposur) November 6, 2018
Trading is a game of mathematical trade-offs. You can't have everything. You have to sacrifice some things to achieve others.
Ex:
– Want a high win%? You'll have to settle for small profits & bigger losses.
– Want big profits & small losses? You'll have to settle for a low win%.— Trading Composure (@TradingComposur) November 6, 2018
If we placed 100 traders in a room and had them trade a profitable strategy, the majority would still lose. And you know why? At the most basic level, trading is just a mind game —you are up against your insecurities, impulses, and biases.
— Trading Composure (@TradingComposur) November 6, 2018
Not everyone will be able to trade a good system profitably, just like not everyone will be able to follow a strict diet, or go to the gym on a consistent basis, or even quit smoking.
It’s sad but it’s reality.
— Trading Composure (@TradingComposur) November 7, 2018
Discipline is doing what needs to be done even if you don't feel like it.
That's how you:
▪️ Become consistently profitable
▪️ Get healthy
▪️ Increase I.Q and E.Q
▪️ Get over fears and limitations
▪️ Take control of your life.— Trading Composure (@TradingComposur) November 7, 2018
"To others, being wrong is a source of shame; to me, recognizing my mistakes is a source of pride. Once we realize that imperfect understanding is the human condition, there is no shame in being wrong, only in failing to correct our mistakes."
~ George Soros
— Trading Composure (@TradingComposur) November 8, 2018
Teach your kids trading/investing from an early age. Help them understand concepts like:
• Risk to reward
• Compounding
• Risk management
• Strategic maneuveringAnd help them practice and refine such knowledge.
They'll thank you later.— Trading Composure (@TradingComposur) November 8, 2018
In my opinion, the best way to come out ahead as a discretionary trader is to be rigorously selective and to trade less often.
As a systematic trader, the opposite is true: The more you trade, the better.
— Trading Composure (@TradingComposur) November 10, 2018
Bad losers:
– Can't deal with their own discomforts
– Complain
– Feel depressed
– Revenge trade
– Develop fear-based responsesGood losers:
– Accept losses with grace
– Investigate the causes
– Open to lessons
– Understand probabilities
– Vow to focus on following their plan— Trading Composure (@TradingComposur) November 10, 2018
It takes real effort to learn how to handle (emotionally) the game of trading.
Don't give your time only to chart patterns, systems, indicators…
— Trading Composure (@TradingComposur) November 10, 2018
"Never discourage anyone who is continually making progress, no matter how slow."
~ Plato
— Trading Composure (@TradingComposur) November 11, 2018
“My philosophy is: It’s none of my business what people say of me and think of me. I am what I am and I do what I do. I expect nothing and accept everything. And it makes life so much easier.”
~ Anthony Hopkins
— Trading Composure (@TradingComposur) November 13, 2018
There is no guarantee in trading. When probability is involved, even the very best strategy can have a string of poor outcomes by chance alone.
— Trading Composure (@TradingComposur) November 12, 2018
"The stock market is a device for transferring money from the impatient to the patient."
~ Warren Buffet
— Trading Composure (@TradingComposur) November 13, 2018
Trading is a tale of struggle, more struggle, and, eventually, adaptation. Often, you'll make the same mistakes again and again, so much so that it'll make you lose confidence in yourself.
Perseverance, patience and staying-power are key elements on this journey.
— Trading Composure (@TradingComposur) November 15, 2018
If you want trading to be a truly fulfilling experience, instead of being something that plays with your moods and consistently wears you down, you have to begin implementing mindset management techniques into your everyday routine.
This is key!
— Trading Composure (@TradingComposur) November 16, 2018
Your life is just a collection of habits.
Change your habits, change your life.
— Trading Composure (@TradingComposur) November 16, 2018
When you trade, do it on a scale where failure is survivable. So that you can keep learning and keep trying.
— Trading Composure (@TradingComposur) November 17, 2018
In trading, the hardest thing of all is to learn to love the process, instead of being so overly focused on the trade-by-trade outcomes. Yet, that change in approach is critical.
— Trading Composure (@TradingComposur) November 19, 2018
Newbies are often busy trying to avoid being wrong.
Experienced traders understand that being wrong is inevitable, hence they prepare for it.— Trading Composure (@TradingComposur) November 19, 2018
When the market hands you profits, accept it with humility. When it hands you losses, accept it with grace.
— Trading Composure (@TradingComposur) November 19, 2018
Rule of thumb:
Whenever there is conflict between your rules and your feelings, always choose your rules. Feelings are always changing and therefore unreliable, but rules are consistent.
— Trading Composure (@TradingComposur) November 20, 2018
Trading cannot be taught exclusively via books or courses; it must be learned via direct experience.
So absorb information, yes, but then practice it. Let it sink into your bones.
— Trading Composure (@TradingComposur) November 21, 2018
People are very bad at taking losses. They take it as a blow to their ego when, in fact, they should view it as a learning experience.
— Trading Composure (@TradingComposur) November 21, 2018
You can't control the market. You can only:
1. Identify high-probability opportunities
2. Manage risk
3. Train your mind to accept the outcomes of probability-based decisions.— Trading Composure (@TradingComposur) November 21, 2018
If you do not reflect on your mistakes by way of journaling, the process of learning will be that much harder.
Writing forces your mind to connect the dots.
— Trading Composure (@TradingComposur) November 21, 2018
"If you are not willing to learn, no one can help you. If you are determined to learn, no one can stop you."
~ Zig Ziglar
— Trading Composure (@TradingComposur) November 21, 2018
Become more aware of your thoughts. Whenever you catch yourself following some unproductive line of thinking or chain of reasoning, gently bring your attention back to the present.
This habit will make you a more conscious human being.
— Trading Composure (@TradingComposur) November 22, 2018
Reap a profit?
Accept, let go, and move on.Reap a loss?
Accept, let go, and move on.— Trading Composure (@TradingComposur) November 22, 2018
Accept small losses.
Protect yourself from the big ones.Keep exposing yourself to the market.
The profits will take care of themselves.— Trading Composure (@TradingComposur) November 22, 2018
"If you don't find a way to make money while you sleep, you will work until you die."
~ Warren Buffett
— Trading Composure (@TradingComposur) November 22, 2018
Choose the pain of discipline over the pain of regret.
— Trading Composure (@TradingComposur) November 23, 2018
Let go of the get-rich-quick mentality. Tone down your impatience. Put in the work. Then see what happens.
— Trading Composure (@TradingComposur) November 24, 2018
Be obsessed with quality, process, and risk management. NOT with outcome.
— Trading Composure (@TradingComposur) November 24, 2018
“Take up one idea. Make that one idea your life – think of it, dream of it, live on that idea. Let the brain, muscles, nerves, every part of your body, be full of that idea, and just leave every other idea alone. This is the way to success.”
~ Swami Vivekananda
— Trading Composure (@TradingComposur) November 26, 2018
Adjustments in sleep schedule, diet, and exercise (physical and mental) can have a great impact on your decision making process and your ability to see things clearly.
Trading is a game of inches. Don't ignore the little stuff.
— Trading Composure (@TradingComposur) November 27, 2018
As a trader, you will miss a few life-time opportunities. For whatever reason, it will happen. Don't sweat it. Keep trading; keep taking your chances. Eventually you'll catch one of them.
— Trading Composure (@TradingComposur) November 27, 2018
The thing we love to do most when we place a trade is to fantasize about the profits.
And when things don't happen according to our fantasies, it inevitably upsets us.The better approach is to imagine how that trade might result in a loss and, consequently, prepare for it.
— Trading Composure (@TradingComposur) November 27, 2018
Trading mastery begins when you finally develop the confidence to FACE instead of running away.
– Face your trade opportunities.
– Face your losses.
– Face your failures.
– Face your successes.
– Face your fears.
– Face your discomforts.— Trading Composure (@TradingComposur) November 28, 2018