It's both interesting and comforting to know that as you approach the struggle ahead that others already in the den are struggling to overcome the demons that are associated with trading on the betting exchanges.
They make a trade that goes against them, and then close their position for a loss, only to see the trend reverse and start to move the way they thought it would move. Damn - if only they had stayed with that trade! Then in the very next trade, they unfortunately enter on the wrong side again, and it starts to go against them again, only this time, they hold, no way will they make the same mistake twice. But this time, the trend holds, and goes further and further away from them, and now they are already 8-10 ticks to the bad.
Emotion takes hold. Why them? Why has it gone against them again? They then decide not to take the loss and to let this one go in play, to let it ride, surely fate wont be cruel and let this one now massive liability win. Surely it wont win? It wont will it?, It will, They know it will! But still they let it run and yes it wins, and now in the space of 5 mins, their mood changes dramatically, they are cursed, it's happened again, why oh why does it always happen to them? What harm did they ever do to anybody?
The computer screen clears as the race is settled, and then the depression sets in, a deep hurt, a real deep hurt, and one that holds for the rest of the day.
So why do I find this comforting? Do I revel in other traders pain? Do I enjoy seeing other traders fail? - No. I find it comforting because I remember the pain vividly from last time, and that what happened to me happens to many other traders at different times in their trading life, and they, like me have to learn to not emotionally react to a number of trades going bad.
Discipline, my friend, discipline.
1 week ago