The Empowered Trader by Mark Fechner

Learning to Respond to the Market, not just React

Archive for the ‘Intuition’ Category

Techniques for getting into the ‘Right Frame of Mind’

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As I’ve often said, it’s not what you use but how you use it.  Your psychology, emotional state of mind and the way you feel have a greater impact on your trading results than any indicator you can put on your charts.  The ability to understand your state of mind is vital to your success as a trader.  To gain a handle on that understanding, there are hundreds of techniques to help you with that process.  What I’d like to share with you are a couple of things that I’ve used in the past and have proven helpful for myself and clients.

This posting was inspired by an article that I saw in Psychology Today entitled Buy Sell or Hold: The Right Decision in 5 Minutes. Anything that can put me in the right frame of mind in 5 minutes is worth looking a glance.  Dr. Block proposes a simple way of clearing your mind about a particular stock and therefore creating a mindset where you can make a better trading decision. Even though he talks about this technique in the context of stock market, I can see application in other financial markets.

The other technique I’d like to share is something I’ve done for years which is call Morning Pages.  I learned about Morning Pages from a book by Julia Cameron called The Artist WayDon’t let the title of the book deceive you.  I have spoken about trading being more of an art form than a science. So this shouldn’t be a surprise.

Basically, Morning Pages are stream of conscious writing.  How it works is you get a standard 8X11 notebook and every morning before you start your day, you write what ever pops into your mind for 3 full pages.  This typically takes about 30 minutes.  There is no editing of your thoughts. Grammar, spelling, punctuation do not matter.  The idea is to get whatever is in your mind down on paper.  Over a period of time, this exercise is designed to tap into that small voice in the back of your head that has remarkable insight into what is going on in the world.

If you would like some clarification on Morning Pages, send me an email.

Mark
eTradingCoach

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Written by etradingcoach

May 8, 2012 at 2:50 pm

How Intuitive Are You?

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People that know me and my coaching know that I’m a big believer in intuition.  I’ve written about being in the moment as an important aspect of trading.  Some of the best traders rely on that unexplained something that puts their trading above everyone else.  One of my favorite stories is that of George Soros and his famous trade shorting the Bank of England.  Yes he had a lot of technical and fundamental evidence to back him, but to hear him tell the story, the final call was a gut feeling he had that helped him place nearly 100% of his fund on the bet the British Pound was going to take a dive.  He made over $1 billion for his trouble.

That’s the power of intuition.  The ability to see beyond the perceived.  So how intuitive are you?  Would you like to get an idea?  This article by Vishen Lakhiani from finerminds.com asks the question How Intuitive Are You?

I took the quiz and scored a 45.  There’s room for improvement but I’m pretty proud of my score.  What’s your score? Post your score in the comment section of the blog.  I’d be interested in knowing.

Mark
eTradingCoach

Written by etradingcoach

April 24, 2012 at 7:00 am

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