Well, it.....is.....on! Man, do we have a lot of work to do. 6 week course, 1 down & 5 to go. The amount of homework we have to do is crazy. Well, I surely don't have much time to be typing in here, so I'm gonna try to get to the important stuff.
Well, we got going last Tuesday. It's pretty much just like it was in the last class. Just different material. This is the stuff we are in the middle of now.
Trading culture. Basically we are finding and uncovering the reasons for why do I trade? What's the purpose of our trading? To put it all into perspective, we are building a foundation for our trading. And since I am the primary subject, in this trading business, that's the place to start.
"Responsibility = Control" . We need to start out with responsibility first. That will give us control over our trading. And that's what the culture does for us. It helps us to understand and appreciate how much we have under our control.
Here's some questions.
To what degree are you honestly satisfied with the results you've achieved to-date from your trading?
Starting with your first trade, how much have you lost to-date?
Approximately what percentage of your losses was the result of your behavior and actions?
To what degree do you manage your investment and trading activities as a highly valuable, personal asset?
A DEFINED, STRUCTURED, AND LIVED WAY OF DOING WHAT YOU DO.
This course is not going to be something you have invested in, walk away from it in 6 weeks, and think your gonna automatically make a lot of money. We need to think differently. It's more than just stopping & preventing bad trades. It's more than looking at the risk to reward ratio of each trade. Instead of looking at the returns and the amounts we are making on trades, WHY NOT PAY ATTENTION TO BECOMING MORE EFFICIENT AND EFFECTIVE IN WHAT IT IS WE DO RIGHT UP FRONT.
You can't take responsibility (for your actions) unless you know what you are responsible for. Once you have defined what you're responsible for, by definition, you are in control from that moment forward.
Traders tend to focus so much on execution of trades, and a methodology. But they haven't mastered what they do now, and what they do best. That's the premise of this whole course. It is understood that all traders do want the 3 C's. Control. Confidence. Consistency. About Control, it's about knowing what you know, increasing what you know, and refining what you know, and becoming better at knowing.
Thinking. Thinking beyond, outside of the box, thinking and substituting things that you normally think about with others. About looking at different ways to adapt things, modify things, substitute things.
Do. Doing things differently, not always in the same way. You'll always get the same results if you do the same old things.
Mindset. Definition is a set of beliefs or way of thinking that determines one's behavior, outlook, and mental attitude. Do we have a fixed mindset, or a growth mindset. You have either one or the other.
We are focusing on becoming a trader, rather than the trading activities itself.
Everything will fall into place if you develop the most important aspects first. And this is the hierarchy.
Trading performance. This will absolutely be there if those are developed properly.
There's so much to becoming a trader. It's MORE about knowing ourselves, than it is about knowing the market.
"As to methods there may be millions and then some, but principles are few. The man who grasps principles can successfully select his own methods. The man who tries methods, ignoring principles, is sure to have trouble." T.S Eliot
"No profession requires more hard work, intelligence, patience, and mental discipline than successful speculation." Robert Rhea (Dow theorist 1932)
The benefits of a defined culture include KNOWING
...what to do in literally every situation
...why your doing what your doing
...how to capitalize on your strengths
...how to manage your weaknesses
...what you need to know or learn
...what really fits and what doesn't
...who's congruent and who's not
Culture .....It's HOW and WHY we do, WHAT we do.
The culture's context is wrapped up in our purpose. We need to have a 'purpose' statement.
So this is what we're working on. This is part of our homework. I did come up with something. But, we went over it, and I surely must refine it. On Friday I had a one-on-one meeting with Terry and Paul, for like an hour. We went over what I had. I guess I didn't understand exactly how it's supposed to be. So, this is something I am working on at the present time.
The only other subject matter we're working on is VALUES. We need to come up with 10 trading values. What we're doing is building a framework. All of this is, of course, being mind mapped. So, I have to come up with some values that I deem is important. Believe it or not I kind of am struggling with it. I guess, well I know, that I am such a perfectionist. And that hinders me from getting anything done within a short period of time. Which ones should I pick? Well, I did come up with 2. Here they are (were). 'Live & Learn'. And 'thorough'. Well, he took apart the learn from the live. That's really 2 values. (I was wanting to expound on what that means as a whole, you know to live and learn about something ) But, we went over the learn one. I guess I'm just thinking too much into it. I need to pick some really simple values that I want to live by (and trade by).
So, if you don't mind, I guess I will start thinking about this right now.
Learn is gonna be one. As a value.
I like thorough. Cause I tend to be too quick about things. I need to slow down and think more, instead of rash decision making.
I guess I will go with the one everyone will pick. (We talked about this in the webinar....but I simply don't like to do what everyone else does). Honesty. Being honest with myself. True to myself. If I have a rule, and I break it, what are the consequences. What should they be? If I'm not honest with myself, that would be a flaw. If I cannot be true to myself, that will be a problem. Ok....so I'm gonna go with being TRUE, to myself.
Let's see.....what else is very important. A value that I want. To uphold. To become.
Oh, ok. How about DECISIVE. Yeah, that's conducive alright. That needs to be explored.
Well, I don't need to be worried about being lazy. I surely am not. Or determined. I surely am. Those things have been set inside of me for a long time now.
Uh, what about fear? Is that a value? I mean, like not being afraid of something. Of a result? Hmmm. I do want to operate without it. Fearless. Yeah.....that's a value. Ok. Definitely. I think I can get to the bottom of that one. Cause I do not want to be afraid of anything.
Wow. That leads me to be thinking of many other traits traders fall trap to. Greed. We all know about being greedy. So, what would be a value? Selfishness. What's the opposite of being greedy? Not greedy. (ha!)
Contentment? Satisfied? Well, in the arena of trading, I keep thinking of the need to be smart. Smarter. It's better to be smart than wanting more. Hmmm....I wonder if 'smart' is a value. You know what....I'm gonna make it one. I got to research that. Find the definition, come up with some synonyms and find out how I can be that way.
So, I need to recap. Learn. Thorough. True. Decisive. Fearless. Smart.
Let's see....what else Mike. Ok, another one everybody knows, but I guess I need to own it. Patience. Sure, that's a must. You know what, I just looked up at that one very good quote up there. From Robert Rhea.
Hard work. Intelligence. Patience. Mental Discipline. Looks like I'm thinking correctly because smart is another word for intelligence. Patience matches. So, what about mental discipline. What value is there? Uh......ok......I'm gonna go with it. Mental Discipline. That's a value!
Yes! So that comes to 8 values. 2 more to go.
What about hard work. What does that mean? Putting in the time and effort. But, I honestly don't have any problems or shortcomings with that. What I do lack, is a memory. My mind in general. Man, do I need to work on creativity. Well, I surely was doing that through that good book. Creativity.......is this a value?
I'm gonna say yes. I need to work out of both sides of my brain.
You know, something just came to my mind. What I really need to work on (sometime in the future) is objectivity. Now, is that a value? Being objective about things?
I'm again going to have to say yes. I so badly want to have an objective mind. I don't want to be bias, when I look at the market.
Ok. There it is. My 10 values.
True (to self)
Wow. What a long post. That was not the plan. But, you know what, I accomplished what I was going to be doing anyway. That was, coming up with the list of the 10 values that I need to mind map.
You know, Terry was telling me about how much stuff we are going to be doing in the next 5 weeks. All of these 10 values will be counted as one mind map. We will be doing......20 MM's, before it's all done. I remember saying.....oh.....my.....goodness. Oh, and you know what, he encouraged me big time. He said that him and Paul do talk about me. Terry said that he fully believes that I will become successful. From what he has seen of me and knows about me, it's just a matter of time. The day WILL come. He says that this process will get you there quicker. Man.....talk about feeling good about yourself!!! To know that it's inside of me, is the greatest feeling of all.
I'm gonna work it on out.
So, if you will excuse me, I have some work to do.