The Offense and Defense of Trading

Trading is hard. This far-flung, never-ending electronic poker game serves up a mental challenge unlike any other. Anything can happen at any time. It looks like a numbers game but it’s really a people game. The data are numbers but the information is in the relationships between, and the implications of, those numbers.

Ambiguity reigns.

Successful traders […]

Trading Emotions Echo the Past

A trader I coach predicted this as the best positioning for Brexit : Short the pound, short the S&Ps, long gold and short oil. This is John B. – a guy with 20+ years of very successful experience and a recent history of working on separating instinct from impulse through coaching.

We speak three times a […]

Reading Fiction Might Improve Your Trading

Back in 2007, Cal-Tech ran what is turning out to be a revolutionary study on how the brain predicts price moves. The authors found that predicting other people is the key skill behind correctly predicting price moves. In some circles, this skill is called mentalizing but until recently, skill development programs for this ability were […]

Key Layers of Trading Related Emotions

First of all, neuroscience is teaching us that trying to separate risk decision making from feeling or emotion is at best a waste of time and at worse, a sure way to eventually trade-out (like act out) the feeling/emotion that is present. Second, there is a logical fallacy in the idea of “control your emotions” […]

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

Sustainable Investing & Trading Success via Psychological Strategies

In response to the post and discussion here by @ppearlman, @andrewunknown asks:

Phil’s last line: “So, even awareness is overrated. Its a start but really its about your choices. Its where the training begins, not ends.” Denise: “What is standing in between the “knowing” and the “doing”?”

These quotes rather concisely introduce two explanatory problems:

1) Everyone agrees […]

By |March 11th, 2013|Fractal psychology, Markets, Pure Science|0 Comments

Huge Market Moves

There it is – the market up 200+ points and you didn’t make a dime. Man is that maddening. You knew (at least kind of) that it was coming but you didn’t take a position. You saw a small pullback but hesitated.

Now you are aggravated – mad at yourself and feeling like you missed something. […]

By |January 2nd, 2013|Fractal psychology, Markets|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.

‚ÄúNothing 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

The Days it Goes One Way

Today is one of those market days when the price goes basically one way.

For some, these days can be their best money makers – they know how to push the pedal to the metal when the time is right. For others, they tend to be their worst days – the think they have missed […]

By |November 9th, 2011|Emotion Analytics, Fractal psychology, Learning Psych Cap, Markets|0 Comments

Discard What You were Taught about Your Brain

In the past few days, as the markets have swung wildly from the proverbial trees, I have had the occasion to be interviewed by a number of journalists. The questions underscore how much the general public has yet to learn about what the experts know about the brain. For example.

1) Your brain will NOT make […]

By |August 10th, 2011|Emotion Analytics, Learning Psych Cap, Markets|0 Comments