Learning to catch High Probability Breakouts
- Thread starter amitrandive
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A very valid point. Mentally preparing for a loosing trade will not let your gambling instinct come into play.
In trading, you donot have control over the outcome. Yet we can control two things. One is adhering to stop loss. Second is waiting patiently until target is hit.
In my personal experience, whenever stop loss is hit, i used to stamp on the ground with bitterness. It is a guess what would have been my trading results thereafter. Its repeated again and again until I found a way out.
When I put on a trade, I invite the price to hit my stop loss. Instead of negative emotions spurting up, i manipulate consciously a positive emotion to spring up as the price moves to hit my stop loss as i am mentally prepared to give up that amount. I am always prepared for 10 stop losses in a row and the spells of such losses spread into atleast 3 swings. When stop loss is hit finally I jump with joy. I have a reason for this ..... the price obeyed my wish to hit stop loss at the least.
This process is repeated for several trades until i have become comfortable with stop loss hits. The movement I started guarding against bad trades with stop losses, the other side is opened up ie profits.
This is called rewiring your brain to act in tune with trading.
In trading, you donot have control over the outcome. Yet we can control two things. One is adhering to stop loss. Second is waiting patiently until target is hit.
In my personal experience, whenever stop loss is hit, i used to stamp on the ground with bitterness. It is a guess what would have been my trading results thereafter. Its repeated again and again until I found a way out.
When I put on a trade, I invite the price to hit my stop loss. Instead of negative emotions spurting up, i manipulate consciously a positive emotion to spring up as the price moves to hit my stop loss as i am mentally prepared to give up that amount. I am always prepared for 10 stop losses in a row and the spells of such losses spread into atleast 3 swings. When stop loss is hit finally I jump with joy. I have a reason for this ..... the price obeyed my wish to hit stop loss at the least.
This process is repeated for several trades until i have become comfortable with stop loss hits. The movement I started guarding against bad trades with stop losses, the other side is opened up ie profits.This is called rewiring your brain to act in tune with trading.
:clapping::clapping::clapping:
It is repeated again and again.......
Donot anticipate the signals. If you tend to anticipate the signals, you are second guessing your system. If you donot have complete faith in the system, avoid trading it altogether.
Once you find a system which can be trusted, be disciplined to follow the system. There are two things in following a system. Firstly, accurate entry. If you master this with extreme disciplined approach, 50% of the problems are gone. Secondly, correct exists. Avoid premature ejections.
Follow the sequence religiously.
1. Waiting for signal patiently.
2. Make accurate entries.
3. Once in trade, punch in Stop Order.
4. Then punch in target order.
It is very difficult to find a system which is 50-60% winning. Any mistake in the above sequence will ruin the edge of the system.
I have had very bad experiences by dumping the above sequence. Remember adhering to the sequence demands high discipline, patience and finally trust in the system. The price moves hypnotise you to do things which are detrimental to your results. Trading demands more discipline than Army which is considered as highly disciplined service.
Good luck and happy trading.
Donot anticipate the signals. If you tend to anticipate the signals, you are second guessing your system. If you donot have complete faith in the system, avoid trading it altogether.
Once you find a system which can be trusted, be disciplined to follow the system. There are two things in following a system. Firstly, accurate entry. If you master this with extreme disciplined approach, 50% of the problems are gone. Secondly, correct exists. Avoid premature ejections.
Follow the sequence religiously.
1. Waiting for signal patiently.
2. Make accurate entries.
3. Once in trade, punch in Stop Order.
4. Then punch in target order.
It is very difficult to find a system which is 50-60% winning. Any mistake in the above sequence will ruin the edge of the system.
I have had very bad experiences by dumping the above sequence. Remember adhering to the sequence demands high discipline, patience and finally trust in the system. The price moves hypnotise you to do things which are detrimental to your results. Trading demands more discipline than Army which is considered as highly disciplined service.
Good luck and happy trading.
- Status
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| F | Learning to Fish | Technical Analysis | 10 |
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