Brett Steenbarger for TraderFeed has five sayings that traders mutter, but only when they’re losing money.
- “Wait till the bubble bursts.” What it means: I am not long and the market is going higher. Reality check: trade what the markets are doing and don’t fight the trends.
- “It’s a slow market.” What it means: My timing is bad and I am not making money.
- “This market is manipulated.” What it means: It’s not my fault I am not making money.
- “I was early.” What it means: My timing is off and my trade went bad.
- “That was the PPT (government Plunge Protection Theme).” I am short and the market is raging higher.
How can you avoid making these statements?
If you have a strategy, such as a trend following strategy, which gives you an entry and an exit strategy, you might be able to put a lid on excuses and complaints, because you will have removed your emotions and replaced it with a firm discipline.
The opinions and forecasts expressed herein are solely those of Tom Lydon, and may not actually come to pass. Information on this site should not be used or construed as an offer to sell, a solicitation of an offer to buy, or a recommendation for any product.