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Linda Swope wrote:
> Wish I were one of those women! I am happy to say I've gotten over
> that need for action. But even with my own psychology degree, I can't
> get rid of that emotional self-sabotaging that threatens to wreck a
> good system. I have a methodology I'm really happy with, on paper
> anyway. But when I trade it I chicken out and grab an 1/8th or a
> 1/4th. The trade can easily run for a point before the signal closes,
> but I'm out holding my crummy 1/8th and watching it keep on ticking. I
> believe there is good fear and bad fear. The good fear makes me honor
> my stops and bail when I should. But the bad fear makes me panic and
> grab the first sign of a profit. I don't believe the old adage that
> you can't go broke taking profits. You can if they are too small.
>
> Linda,
> Yes, you can go broke trading for too small of profits or taking
> profits too quickly. The solutoin is to understand how the human brain
> works. Analyzing and executing are two different parts of the brain
> and never the twain shall meet. You must have your trading plan all
> written out in advance. You are not allowed to make any major market
> decisions during market hours. These decisions should be all layed out
> in advance, i.e. if A then B or if C then D. You must then accept
> that you are not allowed to think during market hours and must only
> follow the written directions put in front of you. If you can follow
> directions then you can follow your own trading plan. It is also
> somewhat easier to anticipate different scenarios if your time horizon
> is greater than intra-day. Then you can enter your orders for the day
> or week before the market opens and then pursue a socially redeeming
> avenue. <G>
> One more tip, if you find yourself so nervous that you have to get out
> of a trade prematurely, then chances are you are over trading.
> Overtrading is when you trade more than your account, financial
> situation, or nerves can handle. Cut your size in half and see how you
> do. Keep doing this until you are so comfortable you are bored. To
> paraphrase Woody Allen's famous "sex is dirty if it is done right",
> "trading is boring if it is done right". Once you get relaxed about
> trading, either have your Astrological chart done by a competent
> professional Astrologer or study Astrology so you can do it yourself.
> W.D. Gann's #1 rule is "Know Thyself".
>
> Cheers,
>
> Norman
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