How To Commit To A Trading Decision
Image Source: Pexels
To improve at trading, or almost anything, while in the activity the focus can’t be on the result. Otherwise, we will forever be changing something every time there is a bad result (or maybe even a good result).
One metric/lens I like to view my trading through is 'Commitment to Decision.' The trade is broken down into parts which I can control, my decision, my commitment, my acceptance of results which can be collected to improve future decisions.
There are three parts to this:
- Decision
- Commitment level
- Review decision making, commitment, and results to see how things could be improved.
Note how a focus on outcomes comes last, not first. Yes, we make decisions to get a desired outcome, but the real-time trading process must be focused on decision and commitment first, and only after the trade can we review and assess the outcome in light of our decision/commitment. Focusing on the outcome during the trading process will commonly result in us deviating from the process that will get us the desired outcome.
00:15:17
More By This Author:
Relative Strength Index (RSI) Deep Dive – How This Technical Indicator Works And MethodsStock Day Trade Of The Day: IonQ, ZenaTech, Quantum Computing, D-Wave Quantum
Trade Of The Day: IonQ, Red Cat Holdings
Disclaimer: Trading involves a substantial risk of loss. It is possible to lose more than deposited if using leverage. There are no guarantees of success. Trading is a difficult task to make ...
more