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Old 12-15-2007, 01:10 PM
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Re: Trading Mind Software

You should just read Mark Douglas Trading in the Zone. I think more traders respect him and his books are very valued. He does a great job breaking down why new traders have such a hard time trading and the difference between successful traders.

New traders aren't accustomed to a place with no rules or structures. They feel like they have to know what's next and they have high expectations. These thoughts set themselves up for failure before they even open an account. Most traders feel pain when they are in a trade and it goes against them. Theres no reason to feel any sort of emotion when the market goes against you, the market generates neutral information it's not positive or negative in anyway. New traders expect the market to go their way, and when it doesn't they associate being wrong with pain due to the way we were all brought up.

Successful traders embrace uncertainty, they realize they don't need to know what will happen next. Basically they are rigid in their rules and flexible with their expectations.

One of my biggest problems is paralysis of analysis, I have the hardest time making a trade because I feel like I need to analyze everything to death. The more I start to believe that I don't need to know what will happen next, and I'm certain that the markets are random and can be influenced by just one trader somewhere, then that paralysis slowly fades. I have to train myself to follow my rules laid out by my plan and take full responsibility of my risk. If I'm wrong it just means I'm wrong, I don't expect to be right or wrong, which is why it's so important to define your risk before you enter a trade.

Review here

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