pro traders and fighter pilots are not supposed to eject till the very last moment.
murliji's poser has made me delve deeper into this off-the-cuff remark which i strongly believe in. let me think the why and how of it aloud here.
operators' (and for that matter every serious trader, big or small) primary, if not sole, aim is to get others' money. (it might sound devilish and hawkish and unethical, but that's what it is, trading being largely a zero sum game unlike investing).
since operators are the controllers of the market (they controlling overwhelming majority of the capital) they have to do that by ensuring that they catch the majority on the wrong foot.
and to do that, unpredictability/stealth/dodge/surprise/shock et al are their chief tactics. they will do even the most obvious in the most unobvious way.otherwise what's so difficult about the bet which has 50% assured chance of winning? (market can only go up or down, can't come out of the screen or go in deeper!)
now look at the other side of this predator-prey ground......the mass herd of traders!
while operators have tonnes of confidence and iota of fear, small traders have tonnes of fear and ounce of confidence! they are pre-paid failures!!! retails traders are doves ever ready to flutter and fly (eject) away, with or without their capital!
this fear is exactly what the operators want to keep the trader's in the losing majority! and mind you, greed is fear, inside out!!! both fear and greed are, hence, traps.
so, what does a trader have to do to be a Pro and not be an Am so that he ejects not a second too soon?
first, have a method. learn to fly the jet to the hilt of perfection. crash the simulator a thousand times. ten thousand times....literally! cry, sweat, quit and return....a hundred times! know everything that is on offer in the market. be there, do that. don't be afraid of any thread of experience. that can take from a few months to some years. depends on your resolve. the more u keep urself safe from bruises and cuts and heat and dust and pain, the weaker ur mental bones remain.
i recently watched a ted video wherein the speaker said that it has been proved that one can learn anything in 10 hours and master anything in 10000 hours. 10000 hrs, at a rate of 5 hrs a day will take 2000 days (roughly 7 years, give and take)......but remember.....10 hrs takes 2 days! so after the second day, u r on ur way and it gets better and better.....u start enjoying the pain after just a few weeks!
practice so much that every damn bluff and tactic of the operator becomes a "seen that tantrum a dozen times" stuff for u.
this is the stage when u are no longer a dove.....but a fellow hawk. u hear all the fairytale story of the operator and say "i am not impressed!"
u develop thick skin and develop of habit of seeing beyond what is being projected. that way, u don't fear any longer......u find it much easier to hold on....a few seconds, a few minutes, a few hours, a few days more! u hang on....u master ur fear and keep looking at the opportunities......ur fear becomes dwarfer than ur self-confidence....u start to test the operator rather than the other way round.....
confusion fog will still and always be there....but u will get the infra-red, x-ray....eyes to look thru....
u bear the pain of the wait and keep urself ready for any eventuality.....u become a sharp shooter marine who can shoot the coin-sized eye of the enemy from a hundred yards between narrow valley of two heads of friends!
u become so expert that u r able to spot right and wrong with amazing accuracy and at amazing speeds!
but u have to have a method....and then, u have to practice it like a possessed soul......tapasya!!!
in the words of one of my ex-bosses in my career....."nothing is magic, everything is logic". practice makes seemingly impossible things appear like magic!
i and they and you.....all are as good as our methods....and our practice.
this kind of practice on the method......ensures that operators can't easily "surpise/shock/dodge/confuse/frustrate/unsettle" you!!!
while a good fighter pilot or trader is courageous and bold enough to risk his life and capital, with technique and practice he has tamed his fears to the extent that he can take the right uninfluenced decisions.
murliji's poser has made me delve deeper into this off-the-cuff remark which i strongly believe in. let me think the why and how of it aloud here.
operators' (and for that matter every serious trader, big or small) primary, if not sole, aim is to get others' money. (it might sound devilish and hawkish and unethical, but that's what it is, trading being largely a zero sum game unlike investing).
since operators are the controllers of the market (they controlling overwhelming majority of the capital) they have to do that by ensuring that they catch the majority on the wrong foot.
and to do that, unpredictability/stealth/dodge/surprise/shock et al are their chief tactics. they will do even the most obvious in the most unobvious way.otherwise what's so difficult about the bet which has 50% assured chance of winning? (market can only go up or down, can't come out of the screen or go in deeper!)
now look at the other side of this predator-prey ground......the mass herd of traders!
while operators have tonnes of confidence and iota of fear, small traders have tonnes of fear and ounce of confidence! they are pre-paid failures!!! retails traders are doves ever ready to flutter and fly (eject) away, with or without their capital!
this fear is exactly what the operators want to keep the trader's in the losing majority! and mind you, greed is fear, inside out!!! both fear and greed are, hence, traps.
so, what does a trader have to do to be a Pro and not be an Am so that he ejects not a second too soon?
first, have a method. learn to fly the jet to the hilt of perfection. crash the simulator a thousand times. ten thousand times....literally! cry, sweat, quit and return....a hundred times! know everything that is on offer in the market. be there, do that. don't be afraid of any thread of experience. that can take from a few months to some years. depends on your resolve. the more u keep urself safe from bruises and cuts and heat and dust and pain, the weaker ur mental bones remain.
i recently watched a ted video wherein the speaker said that it has been proved that one can learn anything in 10 hours and master anything in 10000 hours. 10000 hrs, at a rate of 5 hrs a day will take 2000 days (roughly 7 years, give and take)......but remember.....10 hrs takes 2 days! so after the second day, u r on ur way and it gets better and better.....u start enjoying the pain after just a few weeks!
practice so much that every damn bluff and tactic of the operator becomes a "seen that tantrum a dozen times" stuff for u.
this is the stage when u are no longer a dove.....but a fellow hawk. u hear all the fairytale story of the operator and say "i am not impressed!"
u develop thick skin and develop of habit of seeing beyond what is being projected. that way, u don't fear any longer......u find it much easier to hold on....a few seconds, a few minutes, a few hours, a few days more! u hang on....u master ur fear and keep looking at the opportunities......ur fear becomes dwarfer than ur self-confidence....u start to test the operator rather than the other way round.....
confusion fog will still and always be there....but u will get the infra-red, x-ray....eyes to look thru....
u bear the pain of the wait and keep urself ready for any eventuality.....u become a sharp shooter marine who can shoot the coin-sized eye of the enemy from a hundred yards between narrow valley of two heads of friends!
u become so expert that u r able to spot right and wrong with amazing accuracy and at amazing speeds!
but u have to have a method....and then, u have to practice it like a possessed soul......tapasya!!!
in the words of one of my ex-bosses in my career....."nothing is magic, everything is logic". practice makes seemingly impossible things appear like magic!
i and they and you.....all are as good as our methods....and our practice.
this kind of practice on the method......ensures that operators can't easily "surpise/shock/dodge/confuse/frustrate/unsettle" you!!!
while a good fighter pilot or trader is courageous and bold enough to risk his life and capital, with technique and practice he has tamed his fears to the extent that he can take the right uninfluenced decisions.
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