Saturday, August 25, 2012

Don Miller and the Comeback Mindset

I used to read Don Miller's Trading Journal regularly. It kept me going in a way that Fear and Greed Trader kept me going, albeit in a slightly more personal manner. His struggles and triumphs were made public and, most importantly, showed that such a trading endeavor as he undertook could be accomplished. In any case, I've begun reading through his journal entries, start to finish, in an attempt to further strengthen my own goals and self-driven trading course. 

I'll probably be making many connections between my own trading adventure and his (and others', but his is definitely a well thought out, extensive and well developed journal). Right now I am trying to determine what drives me forward. Don Miller posted a "Cornerstone" post in which he discusses how he can become sloppy when ahead. I have experienced this as well, especially in my poker playing. I want more growth--faster, especially after a couple good sessions. My equity subsequently drops because I push too hard and take unprofitable and slightly profitable hands/positions and place too much money behind them. I typically lose money, and enter a stage of withdrawal. Luckily, when I do come back to playing poker, I play better than ever. I would like to avoid the cycle, if possible.

In regards to trading, I experience something similar to Don. Losses pump me up and sharpen my mind. I have had some days where I started out at an unfortunately large loss, only to make it back and more. If I were to not have had that loss, many of these days would rank among my best.

I'd like to implement a similar strategy to Don's. Something to keep my mind sharp and my trading disciplined. I'm going to play around with the equity curve idea and see what works best for me.

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