It's all about Amelioration

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So, you want to trade?

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I cannot imagine that a book on Forex would teach me life lessons. But that is essentially what trading is all about and why I have became so fixated or passionate about it. It used to be solely for the money, but that will lead to greed, which translates into failure.

I was put backed into perspective by a certain person close to me about doing it because of the passion and not being so myopic about earning quick money. Trading is all about achieving financial freedom. That’s the target. Hard work, discipline and focus are the means. It’s all about creating a profitable system and having the discipline to stick to it.  So here’s the plan for the next 6 months,

1) Acknowledging unconscious incompetence
2) Translate it into conscious incompetence
3) Make a change to conscious competence
4) Repeating it till I arrive at unconscious competence

In achieving that, I have purged myself of my bad habits and replaced them with productive, automatic good habits that allow me to perform successful actions without thinking about them.

Failure is like cancer, and you don’t treat cancer by cutting it out, cos by then, it will most probably be too late. You treat cancer by preventing it and you treat success by creating good habits from the beginning. This way, you are preventing failure. As you trade, you will need to get into the habit of thinking through all the details potentially involved in that trade. You will need a checklist. You will need to get into the habit of creating a trading plan and maintaining the discipline. That habit forces you to think before you act. This where unconscious competence comes in, avoiding impulsive, emotional actions that generate unsuccessful trades. Ignorance will be the death of traders.

And yes, I got this idea from a Forex book. Real applicable to life if you ask me..

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Written by Nabs

May 20, 2009 at 4:24 pm

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