When we trade, most of our decisions are not based on real-time accurate price information or a genuine edge in probability. Instead, they come from old habits and past traumas buried in our subconscious.
Very often, people rush to exit to avoid the fear caused by the last round of profit giving back or losses. For example, last time it happened in this exact state—causing me to make less. So this time I told myself, “Learn the lesson and avoid repeating it.” I immediately sold off… but the price didn’t continue falling, which led to me making less. Then in the next trade, you add this “lesson” from what happened last time into your next decision as the basis for action.
This kind of subconscious trigger driven by defensive instincts makes it seem like we’re making active choices. In reality, we’re just repeating a pre-designed response pattern. That’s also why, no matter how many principles and practical insights you’ve heard, once you’re in the middle of the market, your actions still get distorted.
To break out of this passive cycle, at the physical level you must create an isolation: write down your trading rules. Before trading, take out the trading rules and check whether the setup meets them. This is like forcibly adding a “gap” in decision-making. Many trading actions are done automatically—consciously or unconsciously. Impulses rise, and then the trade happens. So you need to cut that chain at the physical level. But most important is still understanding this: why do trades become profitable? You’re not relying on unconscious reactions driven by impulsive emotions to make money. You make money by executing an effective trading strategy over the long term.
Very often, people rush to exit to avoid the fear caused by the last round of profit giving back or losses. For example, last time it happened in this exact state—causing me to make less. So this time I told myself, “Learn the lesson and avoid repeating it.” I immediately sold off… but the price didn’t continue falling, which led to me making less. Then in the next trade, you add this “lesson” from what happened last time into your next decision as the basis for action.
This kind of subconscious trigger driven by defensive instincts makes it seem like we’re making active choices. In reality, we’re just repeating a pre-designed response pattern. That’s also why, no matter how many principles and practical insights you’ve heard, once you’re in the middle of the market, your actions still get distorted.
To break out of this passive cycle, at the physical level you must create an isolation: write down your trading rules. Before trading, take out the trading rules and check whether the setup meets them. This is like forcibly adding a “gap” in decision-making. Many trading actions are done automatically—consciously or unconsciously. Impulses rise, and then the trade happens. So you need to cut that chain at the physical level. But most important is still understanding this: why do trades become profitable? You’re not relying on unconscious reactions driven by impulsive emotions to make money. You make money by executing an effective trading strategy over the long term.
