Emotions Are Our Friend
“Don’t trade with emotions!” “Park your emotions at the door!” How many time have we heard these words when it comes to trading? When I first started trading, this was the advice that I received and it always made me scratch my head. No one ever explained exactly how to go about doing this.
As it turns out, my skepticism was well founded. Though my continuing education as a trade and a coach, I’ve learned that to divorce ourselves from our emotions is impossible. As humans, we need to have that emotional component in our decision process. All decisions. I wrote about this as part of a series, A Trader’s Diary on Fear.
Well, there seems to be a growing trend in this type of thinking. I first read about this concept in Malcom Gladwell’s book Blink. It’s about that moment of instant cognition that happens in the first two seconds of encountering a new idea. Those can be incredibly valuable insights and sometimes really good.
And an article appearing in the Washington Post on March 3rd is further evidence of this growing trend. This isn’t a crystal ball thing and I’m not going to rely on a tarot card reading for my trading decision. But our brain is able to do so much more than a series of indicators or trading rules.