I hate to break the bad news to you, I really do, but seriously, that ‘Trading Psychology’ book won’t fix your problems.
You’ll get temporary results at best, because the ‘tricks’ are just bubble gum and bandages.
They are only going to give you short-lived relief, and you’re likely to be back in this spot again before long.
They usually approach the topic from a ‘psychological’ perspective and ignore the practical and more tangible causes of the problems underlying the problems.
How can I say such a thing and why is it so?
You already know the answer to that question, but I’ll spell it out here to remind you.
Trading is a business, a skilled, self-employed occupation, and a profession.
For ANY business to be successful and consistently profitable over time, there are THREE critical matters to attend to.
Without all three, your odds of making it are slim to none.
And without all three, you WILL have “psychological” issues because you won’t have everything you need to DO all that you need to do as a self-directed independent trader.
At the very least, you won’t be able to do everything well and properly.
If you’re not getting the results from your trading that you want and your trading is NOT calm and relaxed, these are sure signs that you’re missing something.
The first critical matter is getting your operation organized.
How can anyone expect consistent profits from a business that is NOT properly organized?
There are SO many traders that jump from one system to another or from one strategy to another and on a frequent basis…
Other aspects of their trading operations are fluid and changing often too.
This creates so much WASTE.
So, how do you properly organize your business?
By laying out a business plan, that PLAN that lays out the steps to take your trading business from where it is now to where you want it to be.
You see, when you are trying to build a business with NO plan, it is going to be stressful and filled with anxiety – because you really don’t know what to expect, both on a small scale and a large scale.
Then when the emotions start hammering you, you get caught up in all sorts of non-productive activities – which only add to the stress.
Directly related to that is the fact that to have a successful business, you have to know what NOT to do along with knowing what you should be doing. This is where having a plan makes all the difference.
It clarifies things by providing structure and focus.
So you can stop wasting time on unproductive matters and stay focused on productive ones – which reduces stress, which improves performance, which improves results.
There is a specific process to creating an effective, functional and USEFUL business plan for trading.
I emphasize ‘useful’ because I’ve seen a whole bunch of ‘business plans’ on the internet for traders and I hate to be critical, but what I’ve seen aren’t even business plans. They’re just spreadsheets of numbers and really doing a dis-service to anyone wanting to make a real one.
For YOUR trading, do things right, properly prepare and equip yourself and your psychological issues will go away on their own.