Posts Tagged ‘Psychology’

5 Steps For Staying Focused

Thursday, August 11th, 2011

Have there been times that you wanted to stay focused and you got distracted?

This is one of the most common challenges that people deal with. Lack of focus is the reason that people don’t get the results they want.

The impacts are that they start things and they don’t finish them. They go from one idea to another idea. Because they don’t finish, they start losing confidence, feel worried and concerned, and become exhausted. All of these lead to a feeling of being out of control.

So, what are the strategies that you could use to stay focused?

  1. Know what you want

    As obvious as it might sound, it is important to know what it is that you want. Be clear and specific about your goals.

    You might have heard that you need to collect the dots before you can connect them.

  1. Believe that you can have it

    There is a saying by Henry Ford: If you think you can or think you can’t, you’re right.

    So, if you don’t believe that it can be done, you are going to sabotage yourself. Why? Because subconsciously it is important for you to be right!

  1. Take action

    Again, this might be stating the obvious. But I have seen a lot of people who think more about what they want to do than taking any action. They allow their fears to stop them from what they want because they are afraid of making a mistake.

    One of the signs of great leaders is not that they do not make mistakes. It is that they handle the consequences and move on.

    Plato says, “To risk nothing, is to risk everything.”

  1. Keep the end goal in mind

    When obstacles show up, remind yourself what your end goal is and why you want to have it. By doing so, you keep your focus.

    You might have heard that planes never fly in a straight line. In order for them to get from their departure point to their destination, they use a gyroscope which allows them to adjust their route and stay on their path.

    You are going to get distracted. By focusing on your end goal, you become your own gyroscope and you can stay on your path and achieve your goal.

  1. Be Committed

    We all have heard about commitment. One of the best descriptions that I heard comes from Neale Donald Walsch. In his book, When Everything Changes, Change Everything, he describes it through the following story:

    One day a guru was teaching his students, when a student said: “Master. You have been teaching us for months and none of us seem to be getting any closer to enlightenment. What does it take?”

    The guru smiled and said: “You must take a sieve to the ocean and fill it with water.”

    The students did not understand. They grumbled: “This is not a real guru. Everyone knows you cannot fill a sieve with water. It runs right out. That’s the problem with what he teaches, too. It sounds good, but it runs right out.” So his students deserted him.

    All but one. A young woman said: “Master, I know the problem is not in your teaching, but in my understanding. Help me to understand.”

    Filled with compassion, the guru replied: “Come with me.”

    He took her to a store and bought a sieve. Then he took her to the shore. “Here,” he instructed, “fill this sieve with water.”

    Eager to learn, she went to the water’s edge and dipped the sieve into the water. But when she brought it to him, all the water had run out. He only smiled. “Fill the sieve with water,” he said quietly, and so she tried again, knowing that he would not ask her to do something she could not do. But it was no use. She ran back to him as fast as she could with the sieve, but the water ran out.

    “Fill the sieve with water,” he said simply, and she tried once more, this time dipping the sieve and turning and running back to him so fast that she lost her breath. Still, no water remained in the sieve. “To hell with this!” she screamed then. “I’m done with this! I’m done with this whole life of being a spiritual student!” She threw the sieve fiercely into the air and stomped away.

    “Wait!” the guru called. “Look.”

    The young woman turned just in time to see the sieve riding the ocean waves… then sinking beneath the surface and disappearing. The guru approached the student. “You cannot just dip in here and dip in there. This is not about dipping and running. You have to throw yourself in. You have to be totally immersed.”

    And the student understood.

    How is your commitment? Is your sieve filled with water?

Focus is the key! Like Albert Einstein said:

“It’s not that I’m so smart, it’s just that I stay with problems longer.”

Here is to making trading success your habit™,

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5 Keys to Deal with Trading Fear

Thursday, August 4th, 2011

How comfortable are you dealing with uncertainty?

As volatility and uncertainty increases, so does fear. When our emotions run high, then our decision making process suffers.

It seems like the harder we try, the worse things get.

We start reacting to things instead of being proactive. Then we feel overwhelmed.

Does this sound familiar?

One of the hardest things to deal with is uncertainly.

We have strategies for managing our risk in most aspects of our trading. However, we seldom talk about or have strategies for the most crucial element, our Personal Risk.

Have you noticed the panic that is going on in the markets? Do you know people who have been a contributor to it? Do you know them intimately?

How do you manage your Personal Risk?

  1. Trade With a Clear Mind

    Do not make emotional decisions. Realize that emotions are emotions. What differentiates the successful traders from others is how we recalibrate our reactions to our emotions.

    I was watching an interview with a surfer. The interviewer asked him what he does when a big surf comes and he goes underwater. The surfer said it was simple. “If I panic, I only have 3-5 seconds of air to breathe. If I stay calm, I have 45-60 seconds of air.”

    What does surfing have to do with trading? If you panic and operate from a place of fear, you could lose all of your capital. However, if you take a moment and think about your strategies, you can have much better results.

  1. Look at Your Portfolio Objectively

    Think about your portfolio as if you are looking at the portfolio of your best friend. How would you advise him/her?

  1. Limit Your Input

    There are a lot of conflicting points of view. If we want to listen to all of them, it becomes very confusing, and the confused mind does not make a decision.

    Instead of listening to everybody, pick the top 3 people that you respect and listen to them. This way, you can remain focused and have much better trading results.

  1. Be In Tune With the Markets

    Trade the markets as they are and not as you want them to be.

    If we are not in tune with the markets and don’t listen to them, we are going to be in a losing game.

    After all, hope is a lousy hedge.

  1. Be In a Supportive Environment

    It is important to listen to the people that we respect and are successful.

    There are traders whose spouse and/or friends have little or no risk tolerance. As a result, these traders allow the fear of their spouse and/or friends to become the boundaries of their success.

    Who are you choosing to surround yourself with?

Remember, not the most talented or skilled person wins the game. The game is won by the ones who can manage their Personal Risk and have a Mental Edge.

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Are You Using These Circuit Breakers In Your Business?

Friday, May 27th, 2011

One of the things I often hear is that when traders get bored, they overtrade.

Another scenario is that when a trade goes against them, they take it personally and want to make all of it up on the next trade.

I also know traders who have positive P&L for the first few trades and then they give all or most of their profits up on the next trade.

Does any of the above sound familiar?

If so, you are not alone.

These behaviors lead to confusion and make you wonder what went wrong. Then it creates a lot of self-doubt and uncertainty about being in the trading business.

The truth is that we are all creatures of habit. If we pay attention, we notice our own internal signals/patterns and what they tell us. By paying attention to these signals, we can put in place the circuit breakers that will stop us from acting out and sabotaging ourselves.

Aristotle has a saying: “We are what we repeatedly do. Therefore, excellence is not an act, but a habit.”

The circuit breakers you put in place enable you to have the kind of business and lifestyle that you desire.

By putting in place and following these circuit breakers, you are being responsive and thus giving yourself a competitive edge!

When you are reactive, usually you are not getting the best results. When you are responsive, you have an edge and a higher probability of getting the results that you desire…

What are some of these circuit breakers?

  1. Take regular breaks
  1. Stop trading when you notice you don’t have an edge
  1. Don’t think of your gains as house money and gamble with it
  1. Exit the trade when you notice you are hoping, wishing, or praying
  1. Have an accountability partner

By creating circuit breakers, you are enabling yourself to get back in your zone and keep your momentum going.

Remember the story of the turtle and the rabbit. The turtle always wins. Why? Because the turtle keeps his/her momentum and keeps on going. Also, remember the power of compounding.

By putting the right circuit breakers in place, you will have the mindset necessary to create the edge needed to expedite your growth.

Josh Billings says, “It’s not what we don’t know that prevents us from succeeding, it’s what we know that just ain’t so that is our greatest obstacle.”

Here is to making trading success your habit™,

P.S. Tuesday, May 31th is your last chance to enjoy the $100 savings for our popular webinar series, the Consistently Boost Your Profits , starting on June 6th.

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Is This Your Deepest Fear?

Thursday, April 28th, 2011

For years, I have been coaching a lot of people, and when I start asking them what their biggest fear is, they start talking about fear of failure and fear of rejection. But when I ask more questions, I notice something very surprising.

It probably will surprise you too.

What is this fear?

If you say fear of SUCCESS, you are right.

Let me explain.

When I ask people what are the consequences or costs of success, the first reaction is, what do you mean what is the cost? There is none. But when we dig a little bit deeper, the following responses usually come up:

  • More responsibilities
  • Have to be out there and can’t hide
  • Make bigger decisions
  • More conflicts, more stress, and not pleasant
  • Not enough time for family and friends
  • Longer working hours
  • Changing lifestyle, changing who you are
  • Unreasonable expectation from others
  • Not knowing whether people want to be with you for who you are or because of your success and money
  • Not being happy when you achieve success
  • Feeling you don’t deserve success
  • It’s morally wrong to have the kind of money and success that you desire

These are some of the reasons that you are not getting the results that you say you want. When there is incongruence between what you say you want and your state of mind, you start sabotaging yourself!

It is important to realize what is really holding you back and what your blind spots are. For you to succeed, you need to align your feelings/state of mind with your goals/desires…

Ask yourself:

  1. What does success mean to you?
  1. What happens if you don’t achieve success?
  1. What happens if you do achieve success?
  1. Who do you think you need to be in order to succeed?

There is a cost and a payoff for all of your behaviors! Unless you recognize them, you can’t do anything about them. What are yours?

A quote by Marianne Williamson says: “Our deepest fear is not that we are inadequate. Our deepest fear is that we are powerful beyond measure. It is our light, not our darkness, that most frightens us.”

To Uncover Your Blind Spots that block the True Profit Potential of Your Trading Business
Click Here. The next one starts on June 6th.

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Are You Missing These Important Data Points From Your Analysis?

Saturday, March 5th, 2011

You might have heard that between 90-95% of traders don’t succeed.

It is not because of their intelligence. The majority of people who get into this business are smart and you are one of them.

What separates the 5-10% of successful traders from others is that they know in order to succeed in their trading business, they have to have an inner and outer approach. They have learned to master their outer game as well as mastering their inner game.

The key question is how to master your inner game.

For years, you might’ve heard that the key to successful trading is to leave your emotions at the door.

You might’ve heard that you need to have ice in your veins.

Does any of this sound familiar?

I am here to tell you that this is a myth. Yes, you heard me correctly.

The most successful traders don’t ignore their feelings. They understand their emotions/ internal signals and have learned how to harness them so they can be profitable and have the lifestyle that they desire.

By learning how to manage your emotions/internal signals, you learn how to be present and stay in your trading zone. You learn how to develop your instincts.

There was a study done about the most successful CEOs. The key differentiator was that they had learned how to trust their instincts/gut feelings! You are all CEOs of your own trading business.

We are human beings and we are full of emotions. Our emotions/internal signals have a job to do and are full of information. It is not about ignoring them. It is about understanding them and learning how to manage them…

Think about this, when you get your data and your signals, you are not ignoring them. Are you? You look at the patterns and make your decisions accordingly. You dedicate a lot of time to studying your charts, your patterns and your signals. Yet you are ignoring the most important one of all, your internal signals and patterns.

Your emotions/internal signals are your most important data source. You need to understand:

  1. What are your emotions/internal signals telling you?
  1. Do they serve you?
  1. If not, reprogram your reaction to those internal signals.

Harnessing these powerful signals gives you the edge needed to succeed in these markets.

Here is to making trading success your habit™

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Trading Business

Thursday, March 3rd, 2011

Last week I attended The Traders Expo. Also, I had the pleasure of presenting at Gail Mercer’s 3-day seminar. Her website is www.tradershelpdesk.com and she has a complimentary chat room that I recommend you to check it out.

It reminded me of how we look at trading. A lot of people forget that this is a business and needs to be treated accordingly. The majority expect to be as good as their mentors right away.

They are told that success can be achieved immediately. The truth is that you can learn the process immediately. But, like any other business, you need time and practice to develop the skills and the art that are required to be successful.

It is very important to manage your own expectations or you face disappointments.

When you are ready to take your trading business to the next level, you can check out my Consistently Boost Your Profits program. The next one starts on Mar 28th, 2011.

Here is to your trading success and profitability…

Nazy

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What are the 5 Game Changers to Uncover Your Blind Spots and Make 2011 Your Best Year?

Monday, February 7th, 2011

Following is the replay webinar where I talk about:

  • What is Human Capital Risk (HCR)?
  • How does HCR impact your trading?
  • What are the 5 Game Changers to Uncover Your Blind Spots and Make 2011 Your Best Trading Year?
    • What are the symptoms?
    • What Actions you can Take right now to increase your P&L?


There are still a few spots left for Consistently Boost Your Profits, which starts on February 14, 2011. To register go to: www.ConsistentlyBoostYourProfits.com

Let me ask you a question:

How ready are you to Uncover Your Blind Spots that block the True Profit Potential of Your Trading Business and have a personalized game plan to boost your profits?

How would you like for the curtain to be pulled back and to find out the little talked about secrets of top 5% traders? It is going to change how you look at the markets and enable you to stay in your trading zone….

In this program we will cover:

  1. Your Personal Risk Profile – How to recalibrate your skill sets and get the results that you have always wanted
  2. Money Management – How to recognize and stop the sabotage patterns that cause your yoyo effect
  3. Unshackle Your Power – How to harness your attitude so your trading business can flourish and go to the next level
  4. Getting In the Zone – How to stay in your trading zone and manage your positions from an objective point of view

To discover more, go to: www.ConsistentlyBoostYourProfits.com

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Kung Fu Panda & Trading

Monday, June 8th, 2009

Have you seen the movie “Kung Fu Panda”? I know it is a cartoon. However, there are lessons that can be learned which apply to trading.

One of the things that happened was that Panda needed to be trained by Master Shifu to defeat a feared warrior. However, Master Shifu was puzzled by Panda. He did not know how to motivate him. He had used all the techniques that he knew which had motivated his previous students. None of them had worked on the Panda.

Finally, he came to understand what kind of leverage he could use on Panda to motivate him and was able to make him a fierce warrior.

What is the lesson? One size does not fit all!!!

If you are following a methodology and it does not work for you, it might not be the right strategy for you.

Find methods and strategies that suit your personality.

Here is to making success your habit….

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