Options in trading the zone by mark douglas

For those of you who have had the pleasure of hearing Mark Douglas speak at a conference or at one of his live workshops, please note that this audio version is NOT read by Douglas. Conflicts, contradictions, and paradoxes in thinking can spell disaster for even a highly motivated, astute and well grounded trader. NOT a trader or in the investment industry. Douglas addresses five very specific issues to give traders the insight and understanding about themselves that will make them consistent winners in the market. Backed by compelling examples, Trading in the Zone adds a new dimension to getting an edge on the market. This way it has nothing to do with you being wrong. Anything else is a random trading plan.

And the reason this is so important is because the underlying characteristics that drive a market are consistently changing. There is a random distribution between wins and losses. INO TV library, which has an enormous amount of resources available on the following topics: options, psychology, trading systems, futures, and much more. You must have a key belief in a random outcome for each trade. There are always new people coming into the market causing the market to behave differently because of their interaction. You must believe this to the core in your trading personality.

These minute changes in the way all other traders are interacting creates differences in the underlying fabric of this collective behavior. They expect something to happen, and nothing more. This is going to be one of those posts that you want to bookmark and read over and over because there is so much wisdom here from Mark Douglas and these concepts really need to sink in. Thinking about trading in this way allows them to do exactly what they need to do, every single time, without thinking and without hesitation. Besides, there is no guarantee that another person would even be willing to trade exactly as I do. The professions that correlates with trading the best is a gambler because the focus on money management and continuously calculates probabilities. Their psychological makeup may not allow it. This is a problem for traders because they see consistent patterns everywhere that produce similar outcomes over time, but the statistical reliability causes them to only focus on the consistency and not the randomness. Do you get worked up when you flip a coin and it comes up heads when you thought it would be tails?

So how do you go about creating an edge? Focus more on the journey of developing your trading system and not so much on the end result. Each time he went out running, he would go at least one yard further than the last time. The irony is that many beginners trade mostly on their intuition, their gut. With this rule in place, he reached his goal of a five mile run, on schedule. That takes some time to sink in, but is a vital distinction. That said, if a person is new, any training is likely to have a positive effect.

In trading, the risk can be like the width of the bridge. Douglas decided that setting a goal of running five miles by the end of summer would be helpful to him. The book is 17 years old. After all these years, a new trader just going through the cycle, will only get to even with the other more experienced traders that have already been through training. In this chapter Douglas introduces a second analogy, about walking across a bridge without any rails on the sides. Yes, there is some fluff, some pop psych, some things I might not agree with. Narrow it down to one foot or less and most will not want to cross. He started keeping a running diary of distance, time, and how he felt.

Those that continuous do them are almost sure to fall off before they reach their goal. If a person is already hugely successful, there is no real need, though ideas might still be useful. Most people have to learn how to execute a mechanical system before they can use an intelligent intuitive system. Douglas worked with traders that already knew the markets, indicators, but often had psychological issues that limited their success. He also talks about mechanical sets of rules. My thought is that running five miles is a fair enough goal for a relatively young, relatively fit person with no major physical limitations. This is the kind of thing the book is useful for. Novices can benefit from the ideas, but the book tends to be a lot more useful for those who already have some set of rules in place. Being relatively young and fit, he thought it would be not difficult, even though he had never run before.

Think about golfers in a tournament. Douglas writes about becoming intuitive. As far as usefulness for such an old book, one analogy is a golf tournament where some players have done some work with a sports psychologist, and others have not. Douglas thinks this is a critical step in trader development. Eventually, the weather turned nicer and he gave it another go. Musicians can be in the zone, athletes too, and traders. If I can improve on a couple of trades a year, that made it well worth my time to read the book, and type up these notes.

Back to Douglas, beliefs can be changed. If the bridge is say 3 feet wide, most people are going to be nervous if the bridge is of any length. Like the first dog story, if a person has imprinted early with stories of discouragement or loss of money, the road can be long and hard. However, with little or no training, the beginners tend to bumble and stumble around. After several weeks of running, he was able to run one mile, and felt elated. First time out, he ran maybe 50 yards, before running out of steam. Zen philosophers talk about.

My other thought that this book is 17 years old. Douglas writes about his road to becoming a runner. Thousands of traders have read and processed the material. The market has changed a lot. Yes, hope for more, but as a person learns more, each increment of improvement tends to be more marginal. It can be difficult to observe yourself. Douglas writes about doing 20 trades as a decent sample size, though for some people a lot more than 20 trades are going to be needed to feel confident. Technical analysis seems less in vogue now vs. There were a lot of excuses, distractions. All forms of trading carry a high level of risk so you should only speculate with money you can afford to lose.

Until we train our minds to expect a unique outcome, we will experience only what we know. You must be aware of the risks and be willing to accept them in order to invest in the futures, foreign exchange and options markets. The other information and possibilities will pass us by as unperceived, discounted, distorted or denied. When will you take profits? High Risk Warning: Foreign Exchange, Futures, and Options trading has large potential rewards, but also large potential risks. By viewing any material or using the information within this site you agree that this is general education material and you will not hold any person or entity responsible for loss of money or damages resulting from the content or general information provided here by BackToTheFutureTrading. For the avoidance of any doubt, BackToTheFutureTrading. When this is your dominant belief, your state of mind will be free of fear, stress and anxiety when you trade.

Refund Policy: When a member signs up they immediately profit access to and therefore benefit from the premium services offered. What is your setup? What do you do, when you arrive at that trading cycle time? We therefore strongly recommend that readers make their own thorough checks and seek independent financial advice before entering into any kind of transaction. When you think in probabilities you believe that every moment in the market is unique or every edge has a unique outcome. When you talk to that many people all trying to achieve a common goal you start to notice the similarities between those conversations. Given this representation, all information and material provided by BackToTheFutureTrading. This is where the timing cycle indicators stop, and Trading in the Zone picks up. Trading in the Zone is one of those great clearinghouses of trader information. IS going to happen.

Notes must be taken. This is due to our potential to view and interpret market information as threatening. Any opinions, news, research, analysis, prices, or other information contained on this website or any other material or teaching provided by BackToTheFutureTrading. The challenge then lays within constraining those events in a rules based trading plan. While every effort is made to check the accuracy of information contained on this website, BackToTheFutureTrading. You were simply right again. THERE IS NO GUARANTEE THAT YOU WILL EARN ANY MONEYUSING THE TECHNIQUES, IDEAS OR PRODUCTS PRESENTED ON OUR WEBSITE. Because of this, we do not give refunds.

This negative state of mind when you trade means there is a conflict between what you believe is the probable outcome and any number of other beliefs in your mental environment that are arguing for something else. What amount of money will you risk? What will you do when you see those conditions congeal? What are the conditions for your trade? What is your trigger? The Disciplined Trader: Developing Winning Attitudes, published in 1990 and considered an industry classic and one of the first books to introduce the investment industry to the concept of trading psychology. Excellent Book for knowing HOW our brains work when trading.

This book is worth your time and your money. Look forward to using more information from the book. This book should be memorized by any serious trader. This book was recommended by a friend. These individual beliefs of ours dictate our behavior and decisions, not only in trading the financial markets, but in life. Douglas brings it together for you to understand in a truthful and concise manner.

This book is a great book that explains how we acquire our beliefs about every aspect of our lives. It also explains how to look at the markets without expectations for future moves. And as a side note, I got the book for a bargain price! If you wonder after years of trading why you are not successful, the insights of this book will help you find the answers. In Trading in the Zone, Douglas uncovers the underlying reasons for lack of consistently. REMINISCENCES OF A STOCK OPERATOR.

An option as a Strategic Investment is considered the bible of the industry by many traders. Download trading in the zone PDF for free, Free download. The Disciplined Trader is trading psychology book that describes the methods of becoming the disciplined financial trader and stop losing. Talk with other traders about taxes, licensing, business entities, hedge fund formation, and other aspects of trading for a living. Mark Douglas, a leader in trading psychology. You can even obtain the audio version of many of our summaries. Download trading in the zone audio book.

New York Institute Of Finance, Trading In The Zone. Trading in The Zone CD Sets. Time ECN, technical chart analysis, key stats. Trading in the Zone: Maximizing Performance with Focus and Discipline By: Ari Kiev. As a successful trader since the 1980s, he will help you become a more consistent and successful trade. Secrets from the Pros. Trading in the Zone: Maximizing Performance with Focus and Discipline. Original source of the video all thanks to the original uploader from the website. The fact that a work is unpublished shall not itself bar a finding of fair use if such finding is made upon consideration of all the above factors.

Europe, Australia, the Far East, India, New Zealand, Russia, as well as across the United States and Canada for over 20 years. Mark Douglas available from Amazon. Smith Barney, Tudor Jones, SAAFTI, Dow Jones Telerate Citibank, Deutsche Bank, Swiss Bank MetaStock, Online Investor Expos, The Money Show, Equis Fibonacci Trader and more. Coffee Sugar Cocoa Exchange, Chicago Mercantile Exchange First Chicago Corp. But losses are part of the game and once you accept that, you can rise above this fear. You mourn the loss of money of loved ones, crushed relationships, and losing sports teams with different degrees of pain. Nothing is more painful than sitting on the sidelines and missing out on the excitement.

The key is moving on and not reflecting on the loss of money for too long. But if you can manage your emotions, you will become the best trader possible. For more wins than losses? Fear of loss of money, Fear of Being Wrong and Fear of Letting a Win Turn into a loss of money. The emotion of regret stings more than anything, especially when others around you are winning. Who is ready for a new year of options trading? When money is on the line, fear and greed sneak in. Try as you might to check your emotions at the door, there is often too much going on to just be emotionless. In trading, you mourn the loss of money of precious capital and fear taking risks in the future. We have all felt this way!

As humans, we abhor pain, and a loss of money will only bring on more of it. For a smarter, more strategic approach to trading that will grow your portfolio? Are you also ready to overcome the four fears of trading? Conquering these fears is incredibly difficult but managing them is a must. Greed, fear, ego, are still huge drivers for human traders. Another follow up is why so many ask for or take advice. Those in this large group that lack risk management skills tend to blow up their accounts. Market Psychology is very interesting.

That one typo might cause terrible problems in that program. Luke escapes a second time. Every trader that Douglas has worked with had to train their brain to focus on the now. Premise: the solution is in your mind, not in the market, not in studying the market. The action, the freedom are two big reasons. Your state of mind is a by product of your beliefs and attitudes. To become a good musician requires a lot of time, effort, practice.

Many of them owe their success to charm, personality, the ability to bend others to their own will. The zone is a state of mind that is inherently creative. That trader is unlikely to be able to flow with the market, because the ego, the need to be right is often primary. Some people that come to the market with huge success in other fields are often frustrated. My thought: Oprah Winfrey popularized The Secret, that attitude, intent are the keys to the kingdom. The warden and guards tell him not to try a third time, because they will kill him. The bit about intuition, I categorize as gut.

Losses can not be avoided. Can the mind accept the losses, without feeling pain or regret or despair? In many sports and competitive activities, the competitors are all highly skill. For that person a lot of training, cognitive behavioral therapy is one form of training needed to overcome a deep rooted fear. Now take this to trading, a trader is considering a certain trade. One trader that Douglas worked with was terrified of snakes. Definitely in for discussion! Why do people want to be traders?

The master musician can make it seem effortless. In his travels, analysis and trading are separate, though analysis can contribute to trading success. So the analogy might be to top athletes, all with a high degree of skill, not top athletes vs. If a person never had any success, why would they see Douglas and pay his hefty fee? Of course, Douglas tended to work with traders that had some degree of success. There is a long questionaire in the preface, with questions about how a person perceives the markets. Like markets, others may find other high points, other things that stick in their mind.

It becomes second nature. To start sensing the flow of the market, a mind has to be relatively free of fear, anger, regret, betrayal, despair and disappointment. To Douglas, way too much attention is paid to analysis, not enough inner work on your own psyche and biases. Any meaning is in your mind. The emotion will override the knowledge. What if the last three similar setups resulted in winners? As much as I might try to let go, I find it very difficult to put past emotional wounds behind me. Take the opposite of the disciplined trader, the undisciplined emotional trader. Taking responsibility, by shaping your mental environment.

Ironically, many beginner traders lack fear. It was interesting how many different philosophies can amount to such success, ridiculous really. Winning strategies in one kind of market often become losers after the change. Can a person experience those losses and enter the next trade without fear? Gotta wonder though; this material is almost 17 years old at this point. Someone with better gut instincts might find this to be silly, but my forays into directional trading are no better then coin flips, perhaps worse. The market is not your adversary.

Not bad enough to be a contrary indicator, but bad enough that trading on my gut would likely lead to the poor house. Knowing about markets while carrying the burder of these emotions will usually result in losses. It might be one click away, or a thousand clicks away. There is a book for musicians called Effortless Mastery by Kenny Werner with similar thoughts. Ten losers in a row, may mean doing the opposite trade is a better path. True inspiration, intuition can not be readily explained. The ultimate goal is consistency, to be able to trade without fear, without recklessness. Douglas uses the analogy of a computer program with one typo in the thousands of lines of code.

To Douglas this is analogy for some traders, that the market punish, and eventually kill. Douglas is big on rules, as a person might imagine given the title of his other book, The Disciplined Trader. If the first dog is friendly, it is likely the kid will see the second dog as friendly. He escapes, then is recaptured and beaten severely. Looks interesting, good reviews on Amazon. When the musician is in the zone, like the athlete in the zone, it feels effortless. Reminisces of a Stock Operator next.

For those not familiar with the movie, Luke is a prisoner on a chain gang. An interesting follow up question is why so many traders avoid taking responbility for their trades. Knowledge is not enough. Suzy Orman asks you about your first memory about money. Musicians, artists can also feel like they are in the zone. If there is a significant skill difference, the competitor with much more skill will usually win. The occassional winning spin is enough to addict some people to the things. The aim is to conquer the market with knowledge. Luke escapes a third time.

What if the last ten were winners? The market has nothing to do with a trader being reckless. Another phrase is a winning attitude. Douglas is saying something similar. If anyone wants to start reading and discussing, here is the place. People that are prone to be addicts can become addicted to more than a few things. The average reaction is to study more, try and find more indicators, do more back testing. When the internal struggle ends, everything becomes not difficult.

Douglas mentions the movie Cool Hand Luke. Ha I literally just finished this book. If the first dog is dangerous or angry, the kid will likely think the next dog will be similar. Note, that I see gut as different from emotion. By starting this thread, I get one more motivation to finish reading the book. Traders who have experienced being tapped into the collective consciousness of the market can anticipate a change of direction just as a bird in the middle of a flock or a fish in a middle of a school will turn at the price moment that all others turn. YOLO your account, no matter how sure you are. Back to Douglas: most people believe that a successful trader is a good market analyst.

The impact of algos and computers has changed the market. Trading in the Zone by Mark Douglas. The market does have a flow, though it can be erratic. Star Wars, there is no try. Example about a kid seeing a dog for the first time. Like an ink blot, different people see different things in the same market. What often separates winner from loser is a winning attitude.

These days reading a book is a rare event for me. That trader understood that some snakes were relatively harmless, but the physical and emotional reaction was one of terror. Like a baseball relief pitcher, a short memory, letting go of any pain, is vital to success. The best traders believe that anything can happen. Douglas describes it as acting instinctively, just doing. The Disciplined Trader by the same author. But since 2001 you have to think about the increasing amount of capital in the ETFs and the rise of algorithmic funds, neither of which have a psychological element. The first encounter will generate history. There is a bit on random rewards.

Is there a chance that the psychology of the market has changed over that time? Next question: did you ever think to try to identify how your might change your perspective, your attitude, and eventually your behavior? They have remarkable market instincts and their gut feelings can lead to huge profits. The challenge is that losses are part of trading. However that time is not in the middle of a trade. Also enjoyed John Carters book. Back to Douglas, the market owes you nothing.

Elliott Wave Principle is a powerful analytical tool for forecasting stock market behavior. You need to learn more about shares. This book demonstrates how candlestick charts can be used to identify and anticipate price patterns in the financial and commodity markets. If your interest in geocosmics is purely for purposes of market timing, then this book will show you the very easiest way to get started. There are many books available on the Australian share market but none with Renton s approach of looking at subjects from all angles and questioning conventional wisdom. Packed with observational gems about the markets and trading. Trading provides one of the last great frontiers of opportunities in our economy. The book is concisely written and walks the reader through how to get started with CFDs, how to trade them and also how to use them as a hedging tool.

Comprehensive and authoritative, Candlestick Charting Explained shows you how to combine candlesticks with other technical tools to identify profitable trades. If you are more experienced, think of this book as a keystone, the stone at the top of an arch that holds all the other stones in place. Whether you are a beginner or a sophisticated investor, you can learn how to use candlestick charting to trade the market profitably, beginning with your next trade. Getting Started in Futures 5th Ed. This bestselling guide to understanding options includes references to online sites relevant to options investors; information on how to pick brokerage firms; detailed explanations of risk; bailout points; how to pick stocks for options investing; and how put options can enhance portfolio returns. Although the trading methodologies varied widely, the forthcoming interviews reveal certain important commonalities in trading attitudes and principles. And with each new edition, the authors have refined and enhanced the principle, while retaining all the predictions from past editions. Backed by compelling examples, Trading In The Zone adds a new dimension to getting an edge on the market. The basic concept behind the Principle is that stock market prices rise and fall in discernible patterns and these patterns can be linked together into waves.

This Japanese technique has stood the test of time as it dates back over 300 years. Should I save or invest? Only good traders understand these areas and can communicate their importance to others. However, market cycles are more than just a consistent interval of time between two highs or lows. Everything you need to know about the futures market. Getting Started in Futures, 5th Edition, covers everything investors need to know about the futures market, including how margins are set, how an order is handled in the trading pit, and the steps a producer or user must take to effectively hedge a cash commodity.

Louise demonstrates that there is far more to trading than understanding the mechanics of how markets work. The Secret of Writing Options provides a practical and informative introduction for the newcomer to the options market and will give new insights into this area of derivatives trading to the more experienced. Simply put, it is a contract that mirrors the performance of a share or index. Featuring new examples, charts, and timely additions to reflect important changes in the markets, the 4th Edition also includes a new chapter on trading futures online. He was the founder and first president of the Australian Shareholders Association. Getting Started in Options, 8th Edition thoroughly demystifies the options markets, distinguishes the imagined risks from the real ones, and arms investors with the facts they need to make informed decisions. Renton has been writing about the stock market for over 30 years.

Options and warrants can be used in isolation to produce capital profit or as part of an overall hedging method. It involves a method of engaging the market, an understanding of money and risk management and most importantly of all it requires an understanding of the psychological aspects of trading. It contains interviews with 17 legendary traders who reveal that they too once struggled like the rest of us mortals to keep their heads above water. The truth is that any common denominator among the traders I interviewed had more to do with attitude than approach. Now, at last, a beginning primer on astrology written especially for those interested in financial market timing. The fourth part of the book discusses various installment strategies. Trading In The Zone offers specific solutions to the people factor of commodity price movement. It is one of the very few ways in which an individual can start with a relatively small bankroll and actually become a multimillionaire. This book not only reveals the main continuation and reversal patterns apparent in the current Australian markets, but it also describes unique strategies which put these patterns into context.

It is widely held that the key to succeeding in wealth creation is education. Chris Tate explains strategies for trading options that can minimise trading risk. Getting Started in Options, 8th Ed. When should I seek professional advice? This book will show you how to do both. Read the latest book reviews. Thinking of investing on the stock market? Though this book is written primarily for students of financial markets who wish a simple guide to using geocosmic principles, it will also be of value to anyone wishing a very basic book for starting the study of astrology itself. Davey also spends time discussing the importance of risk management with CFDs and trading on margin. In this book you will discover a technique that has the potential to completely alter the way you view charting, yet is complimentary to any of the knowledge that you have accumulated so far about technical analysis.

Conflicts, contradictions and paradoxes in thinking can spell disaster for even a highly motivated, astute and well grounded trader. Mark Douglas demonstrates why the beliefs learned to function effectively in society are often formidable psychological barriers in trading. Candlestick Charting Explained 3rd Ed. The main attraction of options and warrants is the fact that with a small amount of money traders can control a much larger investment. Most people think that winning in the markets has something to do with finding the secret formula. Some traders operate on a time horizon measured in hours or even minutes, while others typically implement positions that they intend to hold for months or even years. Geocosmic signatures, as described in this book, may be the most precise indicators available in the area of market timing.

And who better to teach you than Nick Renton? Profiled as one of the four investment classics of all time, this fictionalized biography is among the most compelling books ever written on trading in the markets. Who owns shares and why? Renton also looks at endowment warrants, installment warrants, listed options, employee options and stapled securities. What sets these traders apart? It is traded on margin, and just like physical shares your profit or loss of money is determined by the difference between the price you buy at and the price you sell at. How would you like to take control and invest directly in the sharemarket with confidence?

In the years since it was first published, this classic guide to the Elliott Wave Principle has acquired a cult status among technical analysts worldwide. The section on the correspondence of planetary cycles to cycles in human activity may be of special interest to students of both astrology and cycles. In a comprehensive and logical manner, Mark Douglas shows you how to examine and limit your trading behavior, how to develop the mental discipline possessed by the small minority of winners who make money consistently. He then looks at some neglected investment yardsticks such as ratios for fixed interest, debt in the balance sheet and how to read an annual report or prospectus. Candlestick charts pinpoint trend changes prior to many other indicators. Whether or not you decide to trade CFDs, it is worthwhile understanding the concept and this book is a great place to start. Some of the traders use fundamental analysis exclusively, others employee only technical analysis, and still others combine the two.

Just reading the first second and third chapter is must information to know and to consider before even paper trading any market. Through simple exercises, traders will learn how to think in terms. Master it and youre on the way to becoming a good trader. This is an excellent book for understanding the psychology of trading. Mark began coaching traders in 1982, and has continued to develop seminar and training programs on trading psychology for the investment industry, as well as individual traders. Learning technical and fundamental analysis will only get you so far its your psychological makeup that will make the difference in how you trade.

He is currently working on his third book, and can be reached through his website markdouglas. In fact, you could apply it to your life. These are the things that will make you rich in the markets. Although few would admit it, the truth is that the typical trader wants to be right on every single trade. Keep the size of the bets is small enough in relation to overall capital to reduce the chance of a ruinous event. The other major emotion is euphoria. Not everyone can pick up the same amount of useful ideas from the same book.

An edge says nothing more than that, over a large enough sample, one thing will happen more than another. If we can our understand traits, strengths and weaknesses, then we can personalise a system which will improve returns. Must read for anyone who is in trading. The authors main points are fine and good. The book is full of pop psychology and bad science to illustrate or prove his points. Even if you understand it intellectually there is a long way in order to function from a probabilistic mindset. This book is one of the favourites for traders.

Douglas articulates the common dangers of trading, such as failing to take responsibility, and then gives us principles and tools to overcome them. However, it is impossible to know the result of a single trade and when you put too big a position size eventually you get blown out. To him, it is not true. Why People Love Trading? And find an edge and simply trade it. It has much more practical and substantiated advice for both novice and seasoned traders. The freedom is great. Hence, it is never about being the super analyst who never make any mistake. Creatness International CEO www.

Um livro muito chatinho por causa das merdas da psicologia ahahah. Trading is an activity that offers the individual unlimited freedom of creative expression, a freedom of expression that has been denied most of us for most of our lives. This was my the second time I was going through this book and still found a lot of value in it. Why do you think unsuccessful traders are obsessed with market analysis. This happens when you have crossed the normal threshold of normal confidence into super confidence. It was a little too heavy on the psychological mumbo jumbo, and much too thin on content in my opinion. Because it unveils the nature of trading to the core! That is way you should focus on a sequence of trades. Most of the traders loose money because they focus on a single trade. Using sample sizes of 25 trades to find out if you edge is working.

The trick is to find, and neutralize, these beliefs. This is a watershed text on investing and trading psychology. Do not be disappointed when you are wrong, or become overconfident when you are right. Instead of believing in what others said, I read the book and judged it for myself. It is hard to implement the professionals trader mindset. We filter information every second and we do that in trading too. Considering how highly and oft mentioned this book is, I was rather unimpressed. These things are obviously part of trading.

SOLID MUST READ IF you are newbie and have false hopes, illusions about this numbers game. Most could benefit from reading it again and again. He said that losses are not a result of your reading of the market. But boy does he ramble and bullshit. The bottom line is that there is nearly too much hot air in this book to make it worth it. Hence, do not expect your methods or the market to perform consistently. If you operate in a state of mind of fear you can be missing out a signal to enter into a trade because you are afraid to loose. There is little to no substance besides some hocus pocus about the universe, the physical attributes of a rock described in detail, atoms, and energy. Thinking in This is a watershed text on investing and trading psychology.

Different people have di This book is one of the favourites for traders. If you trade, and cannot make yourself consistently successful, then the chances are that you harbor some beliefs that work against your success as a trader. If they fall short of success, they attend more webinars, seminaries, and read more books, only to confuse themselves further. And it all comes down to our beliefs. This book is a must for any trader that would like to achieve consistency in his results. Mark explained why people love trading, and I think to some extent I felt it is true for me. This book was nothing like I thought it would be. Different people have different background, experience and objectives, and are triggered by different thoughts.

One truth mentioned in this book: we need to be completely reconciled with the risk put on a trade. And doing these seldom lead us to profits. Or you may be getting to early in the position because you are afraid of not participating in the market. If you want a good read on trading, go for the Market Wizards series. It is not about knowing what will happen, but working on the fact that we do not know what will happen. Mark Douglas died in 2015. We start to narrow our focus on the pain that we try to avoid!

The author repeats himself. Mind numbingly repetitive and fluffed up to no end. Mark taps into our learning and gets the info required through to us! The trick is to find, and ne The author repeats himself. It felt like the majority of this book was mental masterbation and pedantic arm chair psychology. It is not a book for those just began trading as it might be quite hard too understand. The most important pages are on the last chapter. The goal is to eliminate fear and greed as operative emotions.

Nonetheless, I enjoyed the book and being able to get a few perspectives from it still makes it a good book. They crave the sense of certainty that analysis appears to give them. There are two major types of emotions in trading and the first one is the fear. This approach allow you to build confidence in your trading methodology and find out how good results you can accomplish. Almost halfway into it, when a section about mental framework turned into an explanation about how thoughts and dreams are a form of energy, I noticed I was about to vomit. If you have been trading for some time, it probably wont be as revealing as if you are new to the discipline. Not only should the reader Considering how highly and oft mentioned this book is, I was rather unimpressed. Not only should the reader already have such elementary knowledge before reading this book, he contradicts himself by giving any time to such matters.

Too often we underestimate the importance of individual mindset, psychology and particularly emotion on the effectiveness of our investing or trading systems. Rare book about the stock market that talks about the psychology of trading. When we shift our thinking in this regard, and then devise objective rules in an effective trading or investing system, then we can be more objective and consistent. Just read the book if you want to reach the next level. And yet, for traders, I think this book is invaluable. This book literally changed my trading over night. It is about implementing your method consistently regardless of wins and losses. It exploded my mind.

You needs to study psychology? The most common logic for new traders is to try to learn every method available to them. However, he cautioned that many of us do not have the necessary psychological makeup to survive the market when we have no rules to govern our trading in the boundless market. The book will be great if the earlier pages told in a way that is more not difficult to understand. When I read this book, it changed my perspective and mindset as to how I should deal with market trading. No other book on psychology comes close to this. Hope this review helps! Although I may not have gotten a lot from it, it does not mean you would not.

There is so much bad science and pop psychology in this book. For example if you make a 100 trades you should have 65 of those trades winners but you do not know the sequence of the winning and the loosing trades. Have you ever hesitated on putting on a trade? It seems pretty not difficult to explain and to understand. Have you ever written an essay and stretched every sentence as much as possible? An edge defines a random distribution of wins or losses for a given set of variables. It is not a technical or fundamental analysis book, but what being written here is a very important concept or mind set.

The consistency you seek is in your mind, not in the markets. Emotions are another huge aspect of trading. You can make money without knowing what will happen next. We will filter out the information that will cause us pain and select information that gives us pleasure. Trading successfully is a paradox. However, when you start trading real account usually there is a profit gap between what your methodology allows to get from the market and what you are actually getting.

All of us seem to naturally want it, strive for it, even crave it. And that is why most traders fail in this business. If cut down to the core, the book could probably make a very nice five page magazine article. As a result you start to get into more trades and with bigger positions. This person does not exist. This concept alone is quite major: Do not concentrate on single trades but on a number of trades! The lesson is simple to understand, but very hard to learn. The author spends way too much time explaining his theory of how fears develop, explaining why kids being afraid of dogs relates to trading.