Trading Psychology Archives

Psychology – A Common Theme

Of all the emails we receive, a common theme emerges: “It is hard to stick with the same strategy during drawdowns, due to the fact that the market always seems to be tanking whenever I decide to trade again.” – Andy N. “My biggest challenge is sticking to a strategy when it is not performing […]

Think Like A Pro Golfer

Think like a Pro Golfer – There are many similarities between trading and golf psychology. As The Masters finished this week, I thought it appropriate to reflect on the thoughts of one of the games previous top players; Justin Rose. Rose has been ranked #8 in the world and has amassed career earnings of over […]

What Say You Santa?

Twice a year seasonal influences become the hot topic of conversation across social media; Sell in May and the Santa Claus rally. Let’s take a look at a few stats on the monthly ups and downs throughout the year and see where December fits in. For this simple test we buy on the first trading […]

Managing Disappointment as a Share Trader

Managing disappointment as a trader, especially as a new trader, is a tough job. Disappointment manifests itself in many different ways when trading or investing. It’s one of those psychological traits that must be overcome in order to move forward to achieve our longer term goals. Generally disappointment stems from having a preconceived expectation about […]

Breaking the Beginner’s Cycle – YTE July 2014

The July/August edition of Your Trading Edge magazine includes an article by Nick Radge titled Breaking the Beginner’s Cycle. Read the full article here. Nick points out how to identify if you are stuck in the Beginner’s Cycle, some reading to help create a new mindset and a strategy to get on your way. Books […]

The George Costanza school of trading.

Ever watch “Seinfeld“? Cracks me up whenever I watch it. The other night was the episode where George Costanza did everything in opposites. He saw an attractive woman in the diner, walked up to her and, instead of lying and conning her into a date, said he was a short, bald, unemployed man who still […]

D.I.Y. Brazilian

Something has hit the headlines this week that I would like to chat about before it drops off the radar. In the early 90’s I spent 4 years on the trading floor of the Sydney Futures Exchange – yes, the one with hundreds of overpaid, testosterone overloaded 20-somethings who spent their day screaming and shouting […]

Bringing down The House on the Gold Coast

Many years ago (pre-children) Trish and I took a holiday to the Gold Coast. After setting ourselves up in a nice apartment overlooking the beach for a week of sun and R&R, we decided to make a trip to Jupiters Casino for dinner at one of the mid-tier eateries and enjoy a bit of razzle-dazzle. […]

What I Learned Losing A Million Dollars

What I learned…That’s the title of a book I just finished. It’s a true story of Jim Paul who lived the jet-setting life of a commodities trader. But he lost the lot – $1.6m to be exact, in very quick fashion. From just one bad trade. It reminds me of a guy, Paul, whom I […]

A Tale of an Old Man, a Boy and a Donkey.

Have you heard the tale of the old man, the boy and their donkey? An old man, a boy and a donkey were going to town. The boy rode on the donkey and the old man walked. As they plodded along they passed some people who remarked it was a shame the old man was […]