Playing the Game One Trade at a Time

Today I want to talk a little bit about the mental side of trading.  A few recent events triggered my memory of a trader I used to train.  For the first few months he looked like he had very promising future.  He could scalp quickly, he showed up early/stayed late, studied hard, managed his risk, didn't speculate and was consistently profitable for his first three months.


Then the frist day of month four... WACK!  His first real big down day. In the red for over 10k... and the market just opened.  He priced some options incorrectly in the morning and paid a really high vol for some worthless options.  Instead of collecting himself and getting right back in to his ryhthm, he rapidly begins to lose control and starts bleeding money.

E:60 Evan Longoria and Mental Training

Great video on mental training.  This is very important for traders. 

Here are a couple great quotes: 

"The ability to be in the present moment"

"Being comfortable while being uncomfortable"

"Failure is unavoidable so don't dwell on it"