In order for us to get to the next level of our trading, whatever that may be, we need to forget about what others think and we need to not get caught up in what other people are doing (or claim to be doing).
How other people’s opinions hurt you…
Have you ever fell into the trap of holding a position… a stock, an ETF, an option, a cryotocurrency… and then look at your Facebook, Twitter, StockTwits, or Instagram streams and see someone presenting an opposing view to your own? How did you respond? How did it make you feel? What action, if any, did you take? …The answers here are crucial!
IF someone else’s opinion causes us to have doubt, if it reassures us, if it makes us feel that we are ahead or that we’re behind… It causes us to have bias and it causes us to pivot from our original stance. Unchecked, we may deviate from our trading plans, make emotional decisions, sabotage ourselves and not even realize it!
We need self-awareness…
It takes a long time to have both the self-confidence as well as the self-awareness to be able to see or listen to people’s opinions and not be influenced by them… Better yet, to be thoughtfully influenced by them! …Here’s what I mean… We need to practice being the neutral observer. There are opposing thoughts being presented to us on every topic, everywhere, constantly. Rather than choosing a side, try to understand both sides from a neutral position. Don’t only understand what they’re saying but understand from where they are saying it. Understand their “why” and their motivations for saying that they’re saying. It is then and only then that we are able to accept a meritocracy of ideas and not simply be influenced by the person(s) with the loudest voice or who come across to us as the most persuasive.
I love this quote from Oprah. How often do you get caught up worrying what others are doing? I know I used to get caught up in that frequently and I still catch myself getting caught up in it often enough. This quote is a great reminder to forget about the other guy and run your own race.
Works in running… works in trading… works in life!
Check out these other blog posts:
- Sun Tzu’s Advice for Wall Street; Trading is Like War
- 8 Trading Tips for 2018 and Beyond
- If you do not have a sound trading plan, Stop Trading