Is it possible to be completely objective while trading?
Trading forces us to interact with the market, where price is objective – everyone can see the same thing. But we do have different interpretations. Why?
Human nature makes us subjective, that’s just part of being human, seeing the world (and the market) through our own filter of beliefs, hopes, fears, expectations, etc.
If you think about it, as a trader we are subjective creatures forced to interact with something that, on its own, is very objective, the market. Price is price, we can’t change it.
Trading actually forces us into the intersection between objectivity and subjectivity. As naturally subjective creatures, we must interact with something that is immutable, the market.
One of the things I do as a trading psychologist and coach is to help traders understand how their own subjective filter operates.
We have to do this for a number of reasons. One reason being that when the market fails to conform to our personal needs (expectations, hopes, etc) it will usually trigger our psychological vulnerabilities. And these vulnerabilities get expressed in our trading actions. Holding losers, impulse trades, revenge trades, etc.
As traders we must understand how our personal filter operates. This presents both a challenge and a huge opportunity.
This is why having rules is not enough, promising yourself you’ll do better is not enough. We must really dig deeper and understand how our own subjective filter operates. If we don’t do this, its likely we will not be prepared for the inevitable triggering of our vulnerabilities.
This is why I offer a self-paced course and 1:1 coaching; to help traders successfully navigate through the intersection of our subjective mind that must interact with an immutable force. If you haven’t done so already, sign up for my free email newsletter that gives you professional trading psychology tips.
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