Which of the following market behaviours are you struggling to overcome?

[Sharky]

A poll that seeks to determine which market behaviours prevent most traders from achieving the results they desire in the marketplace.

Can you identify with some of the behaviours listed, and if so, to what extent?

Have you managed to overcome these traits, and if so, how?

 

[BBB]

Good thread, although the potential answers are almost infinite I guess.

I chose the closest answer - I dont really have a 'system' as such - not in the mechanical sense. My losers come from taking 'half signals'. This is usually due to boredom. A discipline issue I guess.

 

[Salty Gibbon]

Indecision is my greatest weakness.

Shall I or shan't I ?

 

[JJL3142]

..

Probably all of the in some way or another ...

Currently its not using/sticking to my trading plan - (trying to amended it to fit the trade I want to take !)

I am very good in taking losses - treating it as a pure business expense - a training course as it were !

Pervaz

 

[BBB]

Salty - I know how you feel - I was going to vote 'indecisive' but I wasn't that sure to be honest (groan)

 

[pdoogan]

I used to be ambivalent, but now I'm not sure......

 

[TheBramble]

Currently, with 'Loss of Focus', 'Hesitation', and 'Not adhering to own trading system' being the front-runners and all somewhat linked - it really does argue that many traders would be better off with as fully an automated system as possible.

Or psychological training to get rid of these negative traits.

 

[BBB]

Interesting point. I just dont have the discipline to take an automated signal regardless of the circumstances and market conditions.

 

[TheBramble]

That's the whole point of an automated system - you don't have to take any decision - it does!

Of course, you'd only want to be automating a system that (a) works (b) has risk:reward factored in and (c) has money management as an integral part of it's makeup.

If all that was already in place in your manually handled system it's just the technical challenge of getting it automated.

Having said that, if your system had all those attributes, why the hell would anyone hesitate, lose focus or not adhere to it?

 

[BBB]

Exactly. Thats why I dont see how people can expect to make money by executing an equation. If only it were that simple....

Do the best trading operations in the world employ traders, or simply Physics and Maths Phd's and a mainframe?

Sorry I'm digressing.

 

[Chimaera]

.

 

[axthree]

Interesting question.
If the setup of a good trade is identical in appearance to the setup of a bad one, if we are to make the decision to trade the crystal ball is where its at.
Surely, every time we trade, except when fully automated, we are exercising our own judjement as to the final outcome.
I was guilty of procrastination (or was it simple disbelief in my own omnipotence) only today.
I looked at the history, had already checked the economic diary and said to myself "It will either go up by about eighty points or it will go down".
I thought it would go up but chickened out.
On checking forty minutes later, it had gone up by ninety one points, then fallen back a bit.
So my prediction was good for numbers but I had reckoned on a much longer time frame so hadn't backed it.
This has happened to me more times than I am happy with.
I'm no ace trader. I've been at it for less than a year and spread bet. In my defence for the past few weeks I have been pulling 80pts per day, using no more than two trades per day, with a pot of under £1000.
Is this an encouraging sign of actually beginning to get the act in gear? Will my skills go up or down?
I will not speculate with skills I can't afford to lose.
Rather a rambling post I'm afraid but it may stir a few memories among the more experienced and skilled speculators among us 🙂

 

[rog1111]

Personally my difficulties lie in the area of deciding when to take profits. Although I have a mechanical system (helps with discipline), I like to allow myself some discretion on exits if (and only if) showing a good profit ie if I see what I perceive as a negative sign then I'll close some or all of the position. Historically a fully mechanical approach has done better, in terms of raw profit, albeit with greater drawdown. My solution is to try to define the trading rules more exactly, without becoming over complicated.

I would imagine that the nature of each of our individual difficulties could be predicted with some accuracy by the results obtained from the Jung personality type poll.

rog1111

 

[wasp]

Personally my difficulties lie in the area of deciding when to take profits. Although I have a mechanical system (helps with discipline), I like to allow myself some discretion on exits if (and only if) showing a good profit ie if I see what I perceive as a negative sign then I'll close some or all of the position. Historically a fully mechanical approach has done better, in terms of raw profit, albeit with greater drawdown. My solution is to try to define the trading rules more exactly, without becoming over complicated.

Having just that issue meself... Did you finally suss it out with an acceptable outcome. I know my rules always work better but when in a position I see weakness or something and take profits to just watch it continue on.... 🙁