Learning Psych Cap

Simple Things for Creating a Great Trade

Research is showing how powerful our mental context is in making risk decisions. But the thing is, most traders think mental context is about what they know – their insights, their indicators and their experience. In reality, it goes much further and deeper than that.

Recent experience that seems totally unrelated to trading counts. For example, […]

Improving your Market Movement Calls

Price action in the markets is “the tell” – as they used to say. (It seems that is one of those words that has come and gone). But the problem is this said ‘tell’, tells you different things – it can be interpreted many ways. It is what is known as ambiguous.

Humans have a known […]

By |May 30th, 2013|Emotion Analytics, Learning Psych Cap, Markets, Trading Education|0 Comments

THE Trading Dilmemma

Maybe the toughest challenge in trading – or market risk decisions – is resolving the conflict over now or later? Should I get in now or later? Should I get out now or later? One can throw a whole bunch of so-called facts at the question and still be no closer to a satisfying (or […]

ReThinking Trading Psychology 101 (version 2)

Originally posted on Business Insider, April 17.

Conventional wisdom in trading psychology used to depend on two primary tenets – discipline and ‘control your emotions’. But that was before neuroscience started putting traders, poker players and other risk-gamers into brain scanners. Now that we know that all decisions depend on the presence of an emotion, most […]

The Human Trading Condition

Just a few moments ago, I hung up the phone after speaking with a client who heads a trading desk at a bank everyone in the world has heard of. It would be easy to think – “well, that guy has it made”. (Government’s intention to break-up banks and stop prop-trading notwithstanding). Yet, he wants […]

A Fallacy in “plan the trade, trade the plan.”

I followed the dictum for years – or at least I followed it as well as I could. “Plan the trade, trade the plan”. But like everyone else I had trouble with the second part and often chastised myself. That was until neuroscience proved that within uncertainty – like when our brains see markets – […]

By |December 3rd, 2012|Learning Psych Cap, Pure Science, Risk Decisions, Trading Education|0 Comments

Griffin of Citadel on Trading Judgment

Thanks to one of our favorite clients, Rob from Australia, this quote made it’s way into my inbox this morning.

“Nothing is constant, nothing is the way it has always been. So what I find is that people who are really good at this have great intuition, have great instinct. Their gut actually tells them something. […]

By |September 21st, 2012|Emotion Analytics, Fractal psychology, Learning Psych Cap, Markets|0 Comments

Trading Truisms that are really “Trading ‘Psychology-isms”

Here’s a few –

Plan the trade, trade the plan.

3 losers in a row and stop for the day.

Make just $500 ($5000, $50,000) every day.

Control your emotions.

Each one of these is really about the mental game of trading. But each and every one reduces your odds of being a successful trader.

1. Markets are uncertain and human […]

By |September 20th, 2012|Learning Psych Cap, Risk Decisions, Trading Education|0 Comments

Dates & Times for Monthly Group Coach – for “Access your Psych Cap” students

This fall we are going to do all of the sessions on Friday afternoons. They will be recorded.

We will be reconstituting the list – drawing everyone who has ever enrolled in “Access”. Expect to hear from us on the 13th of September. If you think your name should be on the list, please feel free […]

By |September 5th, 2012|Learning Psych Cap, Trading Education|0 Comments

Trading w/out Psych Cap LIKE Athlete Playing Injured

Trading is relatively more of a mental game than say football. A couple of football pros I know have been telling me how they work to play without thinking. Clearly one has to think to trade.

But that doesn’t mean trading IS NOT a physical game that demands a plan for physical and emotional energy. Trading […]

By |July 24th, 2012|Learning Psych Cap, Risk Decisions, Trading Education|0 Comments