Since my most recent Eureka moment I've started to feel nostalgic.And
I'm not sure why.Everything in my past as a trader is mostly composed
of sad moments of anger,anguish,some despair even.Fear.Oh the fear.I've
traded with fear for so long that the idea of trading without it seems
almost inconceivable.
I havent had the time to approach
the markets with my new found vision with the depth required to
acknowledge new mistakes to be made.I really dont know what to
expect.But it seems as everytime I had an eureka moment I was able to
find some kind of balance in the way I trade.It seems everytime I
realise something,in that moment when it really sinks in,something
clicks in my brain and it starts to become easier and easier to trade.It
was like that when I finally started to implement bank management.It
was like that when I realized how important it is to define my risk.It
was like that when I discovered the wonders of having ground rules.But
what they all have in common is that they all were followed by a
downward spiral of red screens and anguish after a brief period of
extreme success.I guess the success is becoming greater and greater as
the failure keeps getting smaller everytime.I dont bust banks anymore.I
dont loose composure as I did.I dont chase anymore.My struggle now has
been with keeping the profit a constant.Consistency.Thats the holy grail
of trading.
So why am I feeling nostalgic?I know for
sure that there will be errors in my way wich Im not prepared to
face.New challenges.Why am I feeling like none of that suffering is
coming back and that I finally found the holy grail?Do I have every
skill it takes to be successful?Only time will tell.But there is one
thing I can tell you:I know FOR SURE Im a far better trader now than a
year ago,a month ago,even a week ago.I know I have evolved since
yesterday.Is this THE eureka moment?
The thing about "Eureka Moments" is that it takes more than one for most people to become proficient at trading. I think too often, a trader has what they deem to be the defining moment of their trading apprenticeship and that everything will be an easy downhill run to consistent profit after that.
ResponderEliminarUnfortunately, that doesn't happen and when the reds continue, it leaves the trader feeling even worse because they thought they had cracked it. So they feel as though they are a better trader (and they are in terms of overall knowledge) but results don't reflect that.
The truth is that you will have many Eureka moments and it's only once you have all of them together running cohesively, that you will become consistently profitable. In other words, there is no Eureka moment - it's just the learning curve of trading. As you learn new stuff, you gradually climb that curve but what most don't realise is that the learning never ends. You will always have moments where you find out something that improves your trading. Even after 5 years, I still find them and that's because I'm always seeking to improve. The moment you stop trying because you think you've already had your Eureka moment, is the moment when your trading will go backwards.
Nice blog by the way :)