TheRumpledOne
6,407 posts
msg #31803
- Ignore TheRumpledOne |
4/19/2004 6:21:22 PM
My notes from the book (so far)...
THE 21 IRREFUTABLE TRUTHS OF TRADING by John Hayden
P-32 "... The vast majority of traders and people do not have the determination to take control of their ego or their belief
structure. Many times you will know the right thing to do, in trading or in life, yet be unable to follow through. Always
remember that it is your beliefs that are causing the hesitation. Often the hesitation occurs because your beliefs or values
are themselves in conflict. Hesitation will always arise when discipline is lacking."
P-78
In order for you to trade with total integrity you must master the following:
* Your ability to control your unconscious thoughts
* Your ability to create empowering beliefs
* Your confidence in your abilities
* The discipline to obey your trading rules at all times
* The ability to tell the difference between "into wishing" and intuition
* The ability to persistently develop your trading abilities in the face of hardships.
P-105
The biggest consequence of doubt is indecision. Like a departing ship, the market waits for no one. Traders who have doubts
are unable to make a trade when they need to - before the ship leaves the pier. Whenever traders say they knew the market
was about to go up and missed the move, it is because of doubt - typically they lost trust in their abilities or beliefs
about the market, or experienced different levels of fear. Whenever you find it difficult to enter a trade you must take the
time to ascertain the reason you are experiencing doubt. Then you must change the limiting belief or create enough
references that will allow you to trust the validity of your thoughts.
Doubt will cause you to be indecisive, hesistating before entering or exiting the market. Indecision is the inability to act
or to decide. Indecision is cause by fear, doubt, and a lack of strong virtues and empowering beliefs. Traders in an
indecisive state normally feel discomfort and deep apprehension.
P-107
Your goal is to become as objective about the market as possible. Some of the enabling beliefs you should possess are to
feel no pressure or fear to enter any particular trade and no sense of rejection or anger on making a losing trade, you know
that ther is no right or wrong - only outcomes. You have the discipline always to undertake a particular action
if the market is presenting a particular pattern. You are focused on the structure of the market in the time frame you are
trading in, not on making money. You have already decided in advance what action to undertake in particular situations.
You have released yourself from the need to be right, and don't care what the market does.
P-117
Successful traders obtain consistent profits. Losing traders obtain consistent pain. In order to become the trader you
desire, you must change the internal representations of what a loss means. You must diligently apply yourself to mastering
your perceptions, believing with certainty that you will transform yourself into an outstanding trader, have the discipline
to develop and obey your trading methodology, have the courage to execute your methodology without hesistation, have the
wisdom to differentiatte between "into wishing" and intuition, have the persistence never to quit, have the integrity to
stand apart from other traders, and have the mental flexibility to be open-minded. If you do, I promise you that at some
point in time you will represent a loss in such a way that you will become a highly profitable trader.
MAY ALL YOUR FILLS BE COMPLETE.
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