To rapidly improve your trading mindset you need to start journaling! Yet most don't do it right so here's how to do it correctly...
When journaling your thoughts and emotions, it's essential to cultivate the habit of asking "Why."
Merely stating your observations may create some awareness, but to truly overcome challenges, delving into the "Why" behind your behaviors is crucial.
For instance, let's consider the following entries:
a. Constantly watching the trade.
b. Overthinking after entering a trade.
These statements capture your behaviors, but they don't provide the necessary insights for improvement.
To unlock a deeper understanding, ask yourself:
a. Why am I constantly watching the trade?
b. Why am I overthinking after entering a trade?
By posing these "Why" questions, you open your mind to uncovering the underlying motivations and triggers for these actions.
Once you comprehend the "Why" behind your actions, you can move on to the next step – understanding the "How" to overcome these challenges.
When you understand the root causes, you can develop actionable strategies to manage them better.
Remember, journaling is not just about documenting your experiences; it's about gaining self-awareness and leveraging that awareness to enhance your trading performance.