Here's how you can overcome cognitive biases:

Trading is often about how to take the appropriate risk without exposing yourself to very human flaws.
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arbitrage16
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Sure this project will really appeal to traders who are looking to improve decision making:

https://www.clearerthinking.org/
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Derek27
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Looks interesting, I'll give it a try later.
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ShaunWhite
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arbitrage16 wrote:
Mon Jul 30, 2018 7:27 pm
Sure this project will really appeal to traders who are looking to improve decision making:

https://www.clearerthinking.org/
Thx
I did the test after the 'Mood booster'. All of my negative feelings increased and all my positive ones reduced after the exercise. :lol:

It confirmed that I'm not susceptible to CBT and it annoys me a bit.
I wish I was susceptible to it, it would be handy to change a few things that easily.
arbitrage16
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Derek27 wrote:
Mon Jul 30, 2018 7:39 pm
Looks interesting, I'll give it a try later.
Do, and let the forum know your feedback
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jimibt
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ShaunWhite wrote:
Mon Jul 30, 2018 7:42 pm
arbitrage16 wrote:
Mon Jul 30, 2018 7:27 pm
Sure this project will really appeal to traders who are looking to improve decision making:

https://www.clearerthinking.org/
Thx
I did the test after the 'Mood booster'. All of my negative feelings increased and all my positive ones reduced after the exercise. :lol:

It confirmed that I'm not susceptible to CBT and it annoys me a bit.
I wish I was susceptible to it, it would be handy to change a few things that easily.
likewise, i get annoyed (extremely) when i feel marketed to or that my mind is being subverted. put it down to my anarchaic tendencies, but for me -bums rush!!
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ShaunWhite
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jimibt wrote:
Mon Jul 30, 2018 9:12 pm
likewise, i get annoyed (extremely) when i feel marketed to or that my mind is being subverted
CBT
Step 1. Imagine you don't have a problem
Step 2. There you go, you're all fixed
:roll:

I think i mentioned once that years ago I went for hypnotism in Harley Street about quitting smoking, "Close your eyes and imagine your wallet is a lot lighter...."

It was useless, all I could think about was how annoying her 'special hypnotising voice' was and how much I wanted a fag.
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Derek27
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ShaunWhite wrote:
Tue Jul 31, 2018 1:55 pm
I think i mentioned once that years ago I went for hypnotism in Harley Street about quitting smoking, "Close your eyes and imagine your wallet is a lot lighter...."

It was useless, all I could think about was how annoying her 'special hypnotising voice' was and how much I wanted a fag.
I think that sort of thing would require some effort, and perhaps even belief, on the patient's part.

Certainly the people I know who believe anything benefit from all kinds of therapies. :)
stueytrader
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+1 Derek

There's no such thing as a 'passive' form of therapy, they all need the person to want and engage with it.
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ShaunWhite
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stueytrader wrote:
Tue Aug 21, 2018 2:50 pm
+1 Derek

There's no such thing as a 'passive' form of therapy, they all need the person to want and engage with it.
If you already have a maluable brain (not a bad thing btw) then I'm sure it works. But if having one is a prerequisite then no amount of wanting will change that wiring and you need to find other ways.

I obviously wanted to change but I wasn't able to suspend conscious thought as part of my brain is always far too interested in looking at the smoke and mirrors. It can be quite tiring actually.
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Derek27
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Good to see you're back Shaun, have you been on a desert island without an internet connection for the last week? ;)
stueytrader
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ShaunWhite wrote:
Tue Aug 21, 2018 3:34 pm
stueytrader wrote:
Tue Aug 21, 2018 2:50 pm
+1 Derek

There's no such thing as a 'passive' form of therapy, they all need the person to want and engage with it.
If you already have a maluable brain (not a bad thing btw) then I'm sure it works. But if having one is a prerequisite then no amount of wanting will change that wiring and you need to find other ways.

I obviously wanted to change but I wasn't able to suspend conscious thought as part of my brain is always far too interested in looking at the smoke and mirrors. It can be quite tiring actually.
I think you need to want change, but also want to fully engage with the process that the therapy is offering itself, to get the fullest possible benefit. I know that sounds a little psychobabble, but I don't think anyone can really get anything without engaging with the therapeutic process itself, as it's too connected to the outcome needed.

Even then, it might not be fully effective of course for all.
CallumPerry
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Brains are clever but you need to BELIEVE the transformation will happen and let the placebo happen. The hard part is tricking yourself because as Shaun pointed out, and I think this holds true for many over analytical people (traders), it is difficult to ignore the 'smoke and mirrors' because to be honest we (you far more talented and profitable people on this forum) spend most of the day sorting through market noise and second/third/fourth guessing hundreds of other people's strategies, anticipations etc.

The true best among us I believe have far greater control over their brains to make them see what they want it to see and do what they want it to do. Amazing traders ignore bad habits, avoid red mist, have no stubbornness yet they're relaxed and creative enough to also see past: noise, phantom triggers and anything else the market does that throws out a lot of less talented traders.

How do you get to that stage? Discipline and practice I believe.
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ruthlessimon
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spreadbetting wrote:
Thu Oct 25, 2018 3:48 pm
Bit of a sweeping statement, I'm sure plenty of psychologists would disagree with you :o

Depending on your interpretation of 'trading expert', I could easily teach someone to do what I do and that'd give them the potential of a very healthy salary but certainly couldn't get someone to pass a psychology degree.
I've moved it here to save messin' up a thread with my rambles :)

You've taken me slightly out of context, but there is actually a slight irony here; because I actually did A-level psychology.. & I quit before the 1st yr even ended 8-) . I just sucked at having the drive to remember endless case studies.

We're talking trading psychology here - & I still reckon, there's a bloody strong correlation (in the wider industry) between educators who heavily weight psychology over edge; & their true ability to trade.

"All you need is a momentum strategy & a mean-reversion strategy - they both work - now just work on your psychology"

That's called fraud, & the fundamental premise of most courses
spreadbetting wrote:
Thu Oct 25, 2018 3:48 pm
We could even argue you'd benefit from spending time working on your own mindset/psychology, Simon, as despite having numerous 'edges' you're still reluctant to actually apply them in the market with real money. From what I can gather you obviously want to hone these 'edges' to the nth degree to understand exactly why they're there, whereas the majority of us would simply try and cash in whilst we can and learn alongside them operating.
I might get 2 trades a day - & that lack of frequency really pains me. Pains me to find new edges, so that I'm at least trading 50% of all pre-off nag markets ideally. Atm it'd probably be like 5%.

I don't understand how psychology will help me trade the 95% of markets I'm avoiding? - because I simply have no edge in those markets. I know that learning to trade those markets will drastically improve my p&l - more than refining what I've already got.
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ruthlessimon
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ShaunWhite wrote:
Thu Oct 25, 2018 3:53 pm
That's crazy, trading is a much MUCH more simple disciple than psychology
ditto SB above
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ShaunWhite
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spreadbetting wrote:
Thu Oct 25, 2018 3:48 pm
I'm not a big fan of the way psychlogy is touted on the forum, as it does seem to be a carrot on a stick a lot of the time.
+1
I look forward to seeing an RS chart showing the edge strength/stick length required to breakeven. :)
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