Which personality traits make it easier for people to see through the essence of trading and quickly grasp the nature of trading?
Brother Ming wants to answer this question from the opposite side, that is, what kind of personality traits will hinder you from completing a good deal?
The first is those who are unwilling to admit their mistakes. Traders who are unwilling to admit their mistakes will hold on to their orders, and it is very easy for their positions to be liquidated. If you stay in the market for a long time, you will always encounter a market situation that will take you away in one go.
The second is serious emotionality. Emotions can affect a person's actions. Losses can easily lead to emotional outbursts, and then reckless operations. The more unstable the emotions, the higher the possibility of reckless operations.
Then there are those who don’t have an empty cup mentality. People who don’t have an empty cup mentality often form habitual thinking patterns and cannot accommodate new ideas. A trader told Brother Ming that he “knows everything, but he understands it as soon as he sees it, and makes mistakes as soon as he does it.” Brother Ming wants to say: It may be better if you feel that you don’t understand it. This is what you say from your conscience.
Maintaining an empty cup mentality can help us abandon prejudice and stubbornness. Only by constantly clearing our pride and complacency can we accept other people's different views and suggestions with an open mind, taking the essence and removing the dross, so as to continuously become better.
In addition, it is difficult to trade well if you lack patience. Trading is a waiting game. You must wait patiently for the entry signal and the exit signal. If you are impatient, you will often not be able to hold on to profitable orders. If you take the profits too early, it will easily lead to profits that cannot cover losses. If you lack patience, you will be eager for quick success and instant benefits, but haste makes waste.
You want a result too much, so you are not happy. You just come to water the flower once, but you hope that the flower will bloom forever for you. How can that be possible?
Then, in turn, it is clear what qualities you need to have to do a good job in trading:
When the market proves that your position is wrong and your floating losses continue to increase, you need to learn to admit your mistakes and not hold on to your losses.
You need to have the patience to hold on to your floating profit orders, and not run away after making a profit. You need to wait patiently for entry signals and exit signals.
You need to avoid making repeated mistakes. Some traders will fall into the same pit countless times, while some traders can learn lessons and summarize their experience after falling into the pit once to avoid making the same mistake again next time.
At the same time, you also need some independent thinking ability, don’t have too many conspiracy theories, don’t keep trying to predict market trends, to do a good job of trading, the point is not whether the prediction is right or wrong, the point is to make as much money as possible when it is right, and lose as little as possible when it is wrong.
Regarding emotions, in fact, most people are not born with unstable emotions. However, if they keep losing money, no one will have a good mentality.
This requires a trading system with positive expected value to help traders master clear entry and exit rules and risk control rules. It needs to be verified with more than 1,000 transactions and the retracement is well controlled. If you don’t have a trading system, you can also refer to Mingge’s.
For the same principle, some people can understand it in a few days and see the truth behind it, but some people need many years to come to their senses. Many people may think that this is related to understanding, and it is indeed related to understanding, but understanding is not the decisive factor.
Sometimes, things are not explained step by step in a simple and easy-to-understand manner, and the logic is not clear and rigorous enough, so people are confused. This is actually an opportunity. If Sun Wukong had gone to Tang Seng to learn skills instead of Patriarch Bodhi, he would not have been able to learn well. A good master can be found by chance but not by force.
Like and follow, everyone is welcome to chat with Brother Ming about the problems encountered in trading. I wish you smooth trading and a speedy success.
