Is not about trading but psychology, I really recommend it, but the purpose of this thread is to highlight some paragraphs of an article I've read from him in the BBC News webpage ( BBC Sport - The psychology of choking ) that I recommend you read it directly, I think that lots of traders will be identified with his words:
The problem was not insufficient focus, but too much focus. Conscious monitoring had disrupted the smooth workings of the subconscious. He was, in a literal sense, a novice again.
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Thanks for the quotes . Choking I guess happens to all of us and to me ( in trading ) its caused by thinking too much . I do best when I think once , get a plan of action , execute that plan without thinking about it - and walk away . I come back later and just keep executing the action plan and managing positions accordingly , like any other business . Its works "good enough" and keeps trading fun and interesting instead of stressful and depressing .
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Chocking: Too much thinking. Paralysis by Analysis.
Panicing: Too little thinking. Fear taking over.
These words are commonly thrown around in sports when a team manages to lose from a winning position or when a favorite team loses.
Other aspects like technical superiority, game plan,team composition and luck are conviniently forgotten.
From the Article: If I may draw an analogy from tennis: when a player chokes, he keeps hitting safe shots, bang in the middle of the court, ensuring they miss the net and are well inside the baseline, hoping the opponent will make a mistake. When the same player panics, he goes for non-existing winners, resulting in enforced errors.
You can practise your skills all day long, but it's comparatively easy to get better at playing. The hard thing is to get better at winning--anonymous
Last edited by tradersam; May 27th, 2011 at 02:02 AM.
I would describe choking basically as over thinking, and I believe it stems from lack of confidence or experience with your system or the situation in front of you (charts).
My recommendation is to journal at the exact moment you make a trade decision. You want to record your exact reasons/feelings about the trade at the time you made them, so after say 100 trades you can draw some very substantial conclusions. This data will in turn help you to have more confidence and lessen your mistakes.
Due to time constraints, please do not PM me if your question can be resolved or answered on the forum.
Need help? 1) Stop changing things. No new indicators, charts, or methods. Be consistent with what is in front of you first. 2) Start a journal and post to it daily with the trades you made to show your strengths and weaknesses. 3) Set goals for yourself to reach daily. Make them about how you trade, not how much money you make. 4) Accept responsibility for your actions. Stop looking elsewhere to explain away poor performance. 5) Where to start as a trader? Watch this webinar and read this thread for hundreds of questions and answers. 6) Help using the forum? Watch this video to learn general tips on using the site.
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