Can't Pull the Trigger

[thepoliteone]

Has anyone read "Feal the Fear and do it Anyway" (Susan Jeffers)?

Yes I have the book - a good read, and has helped me in a personal situation (I'm only just moving into real trading so not been able to apply it to trading usefully yet)

Let me know if anyone wants quotes or an indepth review (will have to go re-read the book)

-TPO.

 

[chump]

Interesting title..but I hope when it says "Do it anyway" that it makes the person in question the point of reference in determining just how "they do it anyway".

Just as someone might have a comfort zone ill matched to the task in hand which might need adjustment for fit ,just have a think about the tale of Livermore and Niederhoffer ..now there are possible good examples of how some people develop comfort zones that are too big to serve theirown interests ..it's not just an issue that people who are perhaps a tad 'gunshy' might have..it can work in the other direction too.
I'm saying there is a big difference between learning how to control fear and the situation where you have dispensed with it altogether ...fear as a use.

 

[rols]

I'm sure most everybody has had times where they found it hard to 'pull the trigger'. But I am currently at the point where I find it almost impossible. I watch many of my desired setups take place and come out favorably, yet I can't take action. If I do get in, I can't relax and bail at the first sign of trouble.

I've been doing light trading for about 2 and half years and admit to doing some pretty dumb stuff in the beginning, but now I do know how to protect myself and when I paper trade I almost always do well. I did have a recent string of consecutive losses which shook my confidence and now I just don't want to get hurt again. How do you get over this?

My buddy that I trade with has all but given up on me. We basically follow the same plan. I even watch him do well and still I can't get in the game. What can I do to unload this mental baggage?

I want to perform mechanically and un-emotionally but can't get there.

Thanks.

Try this. It works for me...

In MS Word create a new doc. using one of the planners/checklists templates.
Now, whatever your strategy, create your own criteria for entry and exit. I use different colours to highlight the LONG, SHORT, and EXIT headers. Make sure all the answers to the questions have to have a positive (a tick) answer. For example, "Is the CCI above X on the X min chart?"

When you are about to go live with a trade and the emotions start running consult the checklist and make sure you physically tick all the boxes before entering. Then do the same for the exits.

Simple but surprisingly effective...

 

[samtron]

Try this. It works for me...

In MS Word create a new doc. using one of the planners/checklists templates.
Now, whatever your strategy, create your own criteria for entry and exit. I use different colours to highlight the LONG, SHORT, and EXIT headers. Make sure all the answers to the questions have to have a positive (a tick) answer. For example, "Is the CCI above X on the X min chart?"

When you are about to go live with a trade and the emotions start running consult the checklist and make sure you physically tick all the boxes before entering. Then do the same for the exits.

Simple but surprisingly effective...

Great idea rols, beats my system of reminder notes stuck all around my pc monitor.

 

[rols]

Great idea rols, beats my system of reminder notes stuck all around my pc monitor.

I got the idea from a friend of mine when he was flat hunting. On arrival at the first property he produced a checklist doc and said "I'm not buying anything unless I can tick all these boxes."

The other thing that I find useful is drawing your own charts in real time, then projecting trends etc. Like the checklist idea it is very grounding and also gives one a feel for the market dynamic.

IMO there are two things about computers which can be a disadvantage to the trader.
1. They can lead you to think you are much cleverer than you are.
2. Sometimes images on TV and on monitors may be subconsciously dismissed as not real as the representations have no actual real physical presence. Or, this can lead to a feeling of a lack of control and cause emotions to run, and thus increase the chance of bad judgements.

 

[SOCRATES]

There is nothing to beat the idea of keeping charts by hand. In the very early seventies I kept two assidioulsy maintained point and figure chart books on squared paper that I have lying around somewhere to this day. It involved a lot of effort. To persist in drawing charts by hand is a vey valuable excercise for any trader. it eventually gives a "grip" that computer generated charts cannot match.

 

[ZDO]

There is nothing to beat the idea of keeping charts by hand. In the very early seventies I kept two assidioulsy maintained point and figure chart books on squared paper that I have lying around somewhere to this day. It involved a lot of effort. To persist in drawing charts by hand is a vey valuable excercise for any trader. it eventually gives a "grip" that computer generated charts cannot match.

Good point. Actually any sustained activity that increases relevant multi-modality sensory processing will move one closer to the 'flow'. Also, computer generated charts can create a quite maladaptive, narrow "grip".

Have a good weekend.

zdo

__________

To the degree that one can unhook from autonomic 'prediction and control' maneuvers
is the degree to which one can 'pull the trigger'.

 

[philhackett]

You are not alone. All the best traders experience fear of trading art some time in their careers.

Try a Paul McKenna course. He will quickly change your phobia into success. It worked for a relative of mine.http://www.paulmckenna.com/file/32/professional-training.html

I suggest that you arrange with your broker to trade a minimum amount of $1 a pip. Do not try to make money. Concentrate on the methods below to stay in and exit when signals tell you to.

Then set up your charts so that you do not have to think too much, just react. If you have more than one screen, so much the better; otherwise have displays which you can switch between easily.

Having set up your charts, leave them alone. It is a mistake to keep adjusting the indicators; you will still have the problem. I suggest that three displays will be enough.

You will find it easier to trade Heikin Ashi candles. I colour mine blue up and red down. Dealbook and eSignal have them.

To establish when a trend is in place learn how to use Ichimoku which Cornelius Luca explains very well here on T2W.
http://www.trade2win.com/knowledge/...rrency-trading-with-ichimoku-kinkou-hyo/page1

Write a précis of his instructions and keep them by you. Ichimoku is a superb trading system and will take you in safely to a trading market if used in conjunction with a Keltner Channel. You need Ichimoku on your charts not below to get the full benefit of them.

Try also trading indicators and not candlesticks. Use 3 x EMA’s set at 3; 9; 15 if trading FX and simply trade the crossovers after you have been taken in by Ichimoku. It is explained here but with wider settings for general trading.
http://www.tradertalk.com/tutorial/3x13x39.html
Make the lines very thick to dominate the chart so that you react to the crossover not the candles.

Also use Joe DiNapolis Macd and Slow stochastic system which is very easy for anyone of varying experience to learn. You do not need years of experience as he says. You will find it well explained here;
http://www.esignallearning.com/education/marketmaster/jdinapoli/default.asp

Finally, be as mechanical as possible. Try closing your eyes and imagining the feeling of success you will have when you have made a modest amount of money. Keep your trades at $1 a pip until you have achieved a target of say $250-$500. Then, and only then increase your stake.

I hope this helps.

Phil

QUOTE=dugan51]I'm sure most everybody has had times where they found it hard to 'pull the trigger'. But I am currently at the point where I find it almost impossible. I watch many of my desired setups take place and come out favorably, yet I can't take action. If I do get in, I can't relax and bail at the first sign of trouble.

I've been doing light trading for about 2 and half years and admit to doing some pretty dumb stuff in the beginning, but now I do know how to protect myself and when I paper trade I almost always do well. I did have a recent string of consecutive losses which shook my confidence and now I just don't want to get hurt again. How do you get over this?

My buddy that I trade with has all but given up on me. We basically follow the same plan. I even watch him do well and still I can't get in the game. What can I do to unload this mental baggage?

I want to perform mechanically and un-emotionally but can't get there.

Thanks.[/QUOTE]