Whether they realize it or not, traders love illusions. And they adore the illusion of market complexity. How else can you explain the reams of paper written every day on market analysis, market forecasts and traders’ opinions?
At some level even many experienced traders are convinced that the markets are complex. True, it takes time to understand cycles and trade correctly according to your cycle analysis. I use Elliott wave a lot in my trading and have to confess that it took me about seven years to fully understand cycles and how to use them in my trading. I won’t go into the countles hours spent on trading psychology.
These days I am fully aware that my difficulties in understanding trading and learning trade sets ups that worked for my trading psychology were underpinned by a strong belief that trading is difficult and that market mechanisms are not so easy to understand. At the time I was unaware just how much these beliefs, which were always running in the background, interfered with my ability to learn quickly and develop the trading confidence necessary to trade well.
Our trading results reflect our beliefs, most of which are subconscious, and not what we say we believe. Become aware of this fact and it will assist you to develop trading mastery.
Trading really is quite easy, but it is not simple.
We, the traders are the ones who make it comlicated. Ironically it is this belief that destroys your confidence and throws many a spanner in your trading psychology.
Before we go deeper, I would like to invite you to consider the following:
- You are always as good as you can be as a trader in this moment
- Any trading issues you are facing are also repeating in other areas of your life
- You can begin to change bad trading behaviors in an instant, like NOW
Some of the above statements may be rather challenging for some of you. This is good. Challenge engages all our senses and you are still reading this article. This shows, if nothing else, that you are open to receiving new ideas and willing to go the extra mile to attain trading mastery. If you were a coaching client I would give you big marks just for the willingness to be open to new ideas. Fact is that many traders are unable to go that far and instead keep repeating the same old thoughts and behaviours in the hope of achieving different trading results at some point.
So, let us look at the above points in a little more detail:
1) One of our biggest issues is your untrained trading mind. We are used to allowing the mind to project into the past and derive conclusion from past reference points which are then projected into the future. Wrong on both counts: First, the past never equals the future.
Second, neither past, nor future have any relevance to creating the trading results you desire. There is only one thing and that is the now. All creation, manifestation of so called future results happens in the now. It can’t happen yesterday, or tomorrow. If you can integrate this truth your trading mind set will begin to shift to more positive feelings about your trading skills.
2) You probably think that any issue you have in your trading is simply that: A trading issue. Not so. Just like the charts are fractals of fractals of different cycles in human behavior, in other words patterns, your life also evolves in patterns, or cycles. These patterns are often hidden from plain view, because we have not been taught how to look for them. If you can recognise these patterns your trading psychology will shift into a much more confident place.
You might like to ask yourself: “In which areas of my life am I repeating this behavior pattern?” Once you identify how you are running a bad trading behavior in other areas of your life, and I guarantee you that you are doing this, you will gain valuable insights into overcoming limiting trading behaviors just by acknoledging that they exist.
3) And finally: Know that you have power. Many traders are convinced that they are stuck with their perceived limitations. The belief that you are at the mercy of your thoughts, feelings and emotions is a total misconception. Yes, you should become aware of your limiting, over critical thoughts. But don’t criticise yourself for having them.
Instead view every limiting thought as a liberating experience, because you can only change something you are aware of. Know that it is easy to do. It will change your trading psychology.
Your willingness to step into your personal power, identify and delete old limiting thought patterns is your key to the successful trading kingdom and much joy and happiness to boot. Know that you create your reality through your beliefs and learn to choose empowering beliefs.
Taking control and acknowledging your own power is the biggest gift you can give yourself. And remember the markets are only as compex as you want them to be.
