By Adrienne Toghraie, Trader’s Success Coach
Traders are influenced by what happens in their environment. Ideally, your trading plan should have your criteria for how you recognize opportunity. While that is essential, it is also important for you to notice everything that influences your trading decisions on any given day. For example,
1. Did you get a good night’s sleep and wake up in the morning refreshed?
2. Has your family set a good mood for your day?
3. Are you influenced by the news and who is saying what?
4. How much do your colleagues influence you?
5. What choices do you make in food and drink that influence how much energy you have?
6. During what time frames do you peak with energy and what time frames are you dragging?
7. What time of day are you most likely not to follow your rules?
8. What are the thoughts and pictures that you create in your head that influence good and bad choices?
9. How do your emails and texts and any other reading material influence your day?
10. How do teachers, mentors and friends you speak to during the day influence you?
11. How do memories of losses and past negative issues in your life have an influence on your trading decisions?
If you are not following your predetermined rules, it is most likely that one or more of these influences has taken you off track.
The bouncing bundle that was a profit grabber.
Jerry was a consistently good trader until his wife announced that she was pregnant. It was an unplanned pregnancy. While Jerry eventually wanted children, he did not want the added pressure in his life at this time because he was a new trader who was just starting to earn a profit. His wife was supporting him and their comfortable lifestyle. He was afraid that without her income he would not be able to meet their expenses.
While Jerry tried to act enthusiastic about the news, his wife felt his tension. As a result of her tension, he felt additional stress. From that point on, his trading took a downward spiral. It took some time before he was able to get back on track. It would have been better for him to have temporarily stopped trading and not have had to incur the losses and stress. When traders are going through any type of change, even a happy one, it’s best to take some time off from trading.
The Family Visit from hell
Sayeed’s family was not able to attend his wedding because of visa problems. For this reason they planned to visit when they had the proper documents. Sayeed was already a good trader, but found the preparations for his wedding were a distraction from his trading. He was back on track when his family decided to visit. While his family said that they did not want to interfere with his life, they did nothing but interfere.
Sayeed’s wife, Kala, was a lawyer. Her hours were irregular and difficult to manage for social activities. This was not a problem for Sayeed until his family visited. They had the guilt trip down to perfection. It was for this reason Sayeed had to again stop his trading until they left.
Blind to the roller coaster ride
Anyone from the outside looking in on Greg’s trading patterns would see that he had a pattern of earning money in the morning and giving it back in the afternoon. When Greg’s wife pointed out this pattern, he was not willing to accept it. It took a professional coach to point out this same obvious issue for Greg to change. When he traded only morning hours, he made a consistent profit and started to regain the passion he had lost.
The big move
Dan was finally, after years of trading, consistent in his profits. He and his wife had lived frugally and struggled financially for 10 years but were now ready to move. However, as they began the process, Dan started becoming inconsistent in his trading. When they finally moved, Dan experienced an anxiety attack that made it difficult for him to make any trading decisions. His problem was that he linked his success to the environment of his small apartment. The other problem was Dan now felt he had to earn a consistent income to keep up with his new lifestyle. This new pressure made him question himself and his strategy.
Conclusion
If and when your results begin to change for the worse or you suddenly become inconsistent, question what is happening in your life, when your problem began and specifically what time in the day or week that you have this problem. If it is not apparent to you what is going on, then get help. If it is, but you do not know how to handle it yourself, get help. If it is a temporary issue, stop trading or lighten up on your risk.
Learn more at: www.TradingOnTarget.com
