Trader Discipline Quotes

An astute trader aims to enter the market during quiet times and take profits during wild times.

the typical trader wants to be right on every single trade. He is desperately

The answer is to draw a line between a businessman's risk and a loss. As traders, we always take businessman's risks, but we may never take a loss greater than this predetermined risk.

To help ensure success, practice defensive money management. A good trader watches his capital as carefully as a professional scuba diver watches his air supply.

Many amateurs believe that plants and animals reproduce on a one-way route toward perfection. Translating the idea in social terms, they believe that companies and organizations are, thanks to competition (and the discipline of the quarterly report), irreversibly heading toward betterment. The strongest will survive; the weakest will become extinct. As to investors and traders, they believe that by letting them compete, the best will prosper and the worst will go learn a new craft (like pumping gas or, sometimes, dentistry). Things are not as simple as that. We will ignore the basic misuse of Darwinian ideas in the fact that organizations do not reproduce like living members of nature—Darwinian ideas are about reproductive fitness, not about survival.

Most traders have absolutely no concept of what it means to be a risk-taker in the way a successful trader thinks about risk. The best traders not only take the risk, they have also learned to accept and embrace that risk. There is a huge psychological gap between assuming you are a risk-taker because you put on trades and fully accepting the risks inherent in each trade. When you fully accept the risks, it will have profound implications on your bottom-line performance.

I discovered that you can’t train people how to trade by just imparting knowledge. The key to trading success is emotional discipline. Making money has nothing to do with intelligence. Think of all the bright people that choose careers on Wall Street. If intelligence were the key, there would be a lot more people making money trading.

Why do most traders lose and wash out of the markets? Emotional and mindless trading are big reasons, but there is another. Markets are actually set up so that most traders must lose money. The trading industry slowly kills traders with commissions and slippage.

The fact is that if traders really believed that anything could happen at any time, there would be considerably fewer losers and more consistent winners.

Your DISCIPLINE is going to Pay off sooner than you think. BE PATIENT

The public wants gurus, and new gurus will come. As an intelligent trader, you must realize that in the long run, no guru is going to make you rich. You have to work on that yourself.

Taking responsibility means acknowledging and accepting, at the deepest part of your identity, that you—not the market—are completely responsible for your success or failure as a trader.

The best traders aren’t afraid. They aren’t afraid because they have developed attitudes that give them the greatest degree of mental flexibility to flow in and out of trades based on what the market is telling them about the possibilities from its perspective. At the same time, the best traders have developed attitudes that prevent them from getting reckless.

Those traders who have confidence in their own trades, who trust themselves to do what needs to be done without hesitation, are the ones who become successful. They no longer fear the erratic behavior of the market. They learn to focus on the information that helps them spot opportunities to make a profit, rather than focusing on the information that reinforces their fears.

The answer is yes, except that some of us do so more than others. Dorn has observed that her extroverted clients are more likely to be highly reward-sensitive, while the introverts are more likely to pay attention to warning signals. They’re more successful at regulating their feelings of desire or excitement. They protect themselves better from the downside. “My introvert traders are much more able to say, ‘OK, Janice, I do feel these excited emotions coming up in me, but I understand that I can’t act on them.’ The introverts are much better at making a plan, staying with a plan, being very disciplined.

Note, please, that I condemn only junk science (as does Mr Delingpole): this is in fact a measure of my, and his, regard for good science. Junk bonds do not, by their existence, condemn the existence of markets; crony capitalism – which is indissolubly tied to the ‘Green’ movement and its loudest advocates, who are bought and paid for by cronyism – does not condemn capitalism; junk science does not invalidate science as a discipline. Indeed, the greatest and most implacable enemies of junk bonds are and by rights ought to be traders; of crony capitalism, capitalists; and of junk science, those who hold true science in its just regard.

From the moneyless economics of the classical school there evolved modern, orthodox macroeconomics: the science of monetary society taught in universities and deployed by central banks. From the practitioners’ economics of Bagehot, meanwhile, there evolved the academic discipline of finance—the tools of the trade taught in business schools, used by bankers and bond traders. One was an intellectual framework for understanding the economy without money, banks, and finance. The other was a framework for understanding money, banks, and finance, without the rest of the economy. The result of this intellectual apartheid was that when in 2008 a crisis in the financial sector caused the biggest macroeconomic crash in history, and when the economy failed to recover afterwards because the banking sector was broken, neither modern macroeconomics nor modern finance could make head nor tail of it.

Why wouldn’t someone want to win? It’s really not a question of what someone wants, because I believe that all traders want to win. Yet, there are often conflicts about winning. Sometimes these conflicts are so powerful that we find our behavior is in direct conflict with what we want. These conflicts could stem from religious upbringing, work ethic or certain types of childhood trauma.

Some traders are born with an innate discipline. Most have to learn it the hard way.

Give Up Your Suffering The second root cause of blaming is justification. This occurs when you tell yourself (and others) why it is that you are entitled to be angry or upset in this situation. Many people fall in love with their suffering. Their past problems become a primary focus of their lives. They think about what happened all the time. They go through the day and even the night carrying on angry conversations with people who are not present, people who they feel have hurt them in the past. Whenever they get into a conversation for any period of time, they bring out their suffering, like a trader in a bazaar, and display it to the other person. They then recycle through the unhappy events of their lives, telling what happened, how they were badly treated, and how awful the other person was to have behaved in this way.

The system you follow with discipline over time, that you have faith in, is the one that will make you the most money.

As a day trader, you shouldn’t care about companies and their earnings. Day traders are not concerned about what companies do or what they make. Your attention should only be on price action, technical indicators and chart patterns. I know more stock symbols than the names of actual companies.

The best traders stay in the flow because they don’t try to get anything from the market; they simply make themselves available so they can take advantage of whatever the market is offering at any given moment.

Many traders think a good trading day is a positive day. Wrong. A good trading day is a day that you were disciplined, traded sound strategies and did not violate any trading rules. The normal uncertainty of the stock market will result in some of your days being negative, but that does not mean that a negative day was a bad trading day.

trading. If you have strong discipline but negative edge system, you will lose over period of time. Similarly, if you have positive edge system and discipline but overleverage, then one black swan event will shut down your trading business. “Men

I don’t recommend day trading for new traders. The pickings are small and the losses could be large. Your tendency to let the losses run and take profits quickly will prevail. You will not put stop losses, or if you see a loss you won’t close the position on the same day, which is the essence of day trading. These kinds of normal trading tendencies among new traders are what lead them into a loser’s game. So wait for a year or two till you have used longer forms of trading and are disciplined with stop losses, closing out losses, and letting profits run before attempting day trades.

Mark Douglas writes in The Disciplined Trader that in the market, “There is no beginning, middle, or end—only what you create in your own mind. Rarely do any of us grow up learning to operate in an arena that allows for complete freedom of creative expression, with no external structure to restrict it in any way.

Douglas warns, “If the market's behavior seems mysterious to you, it's because your own behavior is mysterious and unmanageable. You can't really determine what the market is likely to do next when you don't even know what you'll do next.” Ultimately, “the one thing you can control is yourself. As a trader, you have the power either to give yourself money or to give your money to other traders.” He adds, “The traders who can make money consistently…approach trading from the perspective of a mental discipline.

What motivated it? How was the trade managed? Was it successful? Why? Did you lose? Why? Write down your assessment and refer to your comments before making your next trade.

Research has shown that the winners in any endeavor think, feel, and act differently than those who lose. If you want to know if you have the self-discipline of a winner, try right now, starting today, to stop a habit that has challenged you in the past. If you have always wanted to be in better physical shape, try adding exercises such as running into your routine, and also take control of your salt and sugar intake. If you drink too much alcohol or coffee, try to see if for one month you can stay away from them. These are excellent tests to see if you are emotionally and intellectually strong enough or not to discipline yourself in the face of a losing trade. I am not saying that if you drink coffee or alcohol, or that if you are not a regular runner, you cannot become a successful trader, but if you make a try at these types of improvements and fail, then you should know that exercising self-control in trading will not be any easier to accomplish. Change is hard, but if you wish to be a successful trader, you need to work on changing and developing your personality at every level. Working hard at it is the only way to sustain the changes you need to make. The measure of intelligence is not in IQ tests or how to make money, but it is in the ability to change. As Oprah Winfrey, the American talk show host and philanthropist once said, the greatest discovery of all time is that a person can change their future by merely changing their attitude.

Trading is not the path to free money; profits must be earned through homework, discipline, courage, patience, and perseverance in the markets.” – Rich Trader

A disciplined trader will not risk more than about 2% of their total account on any one trade.

Most traders are inconsistent and unprofitable primarily because they are deeply intolerant of uncertainty; hence, they allow their emotions to dictate their decisions. They exhibit discipline and consistency when circumstances feel favorable, convenient, or motivating. They falter when faced with challenges, setbacks, or negative emotions. This “on and off” cycle keeps them tethered to mediocrity.

The importance of discipline. If you have a loss, get out.

Some traders have trouble maintaining the discipline that made them successful once they get ahead by a certain amount.

the presence of Christian objects at sacrificial sites is clearly not evidence for Christianisation in any meaningful sense; in all likelihood, these were exotic objects to the Nenets, suitable as offerings to their gods and spirits.103 As Makarov noted, when Orthodoxy reached the north in the Middle Ages it did so in an informal manner with Novgorodian traders and was not accompanied by any sort of discipline and oversight;104 and at some point it presumably ceased to be Christianity at all, but merely a partially understood collection of symbolism belonging to peoples living far to the south.

Maintain absolute discipline to your plan—no exceptions!

discipline and loss control are the two factors that were most frequently mentioned as keys to trading success

You have to be very decisive, extremely disciplined, relatively smart, and above all, totally independent.

Is there any single trait that is shared by all great traders? Yes, discipline

The essence of discipline is that there are no exceptions.

Define a target, a strategy consistent with the target, a set of disciplines to follow, and risk management guidelines.

One trait that was shared by all the traders is discipline.

No matter how sound the trading strategy, its success will depend on this execution phase, which requires absolute discipline.