“Understanding Your Trading Psychology: Let's Take Control! Part 1 (Optionetics.com via Yahoo! Finance)” plus 2 more |
- Understanding Your Trading Psychology: Let's Take Control! Part 1 (Optionetics.com via Yahoo! Finance)
- Prof to ‘teach’ Colbert about psychology (The Daily Utah Chronicle)
- Sent to her death: Mental health charity allowed trainee to visit schizophrenic killer's flat on her own (Daily Mail)
Posted: 01 Feb 2010 10:22 AM PST I'd like to take this month's article into the often avoided topic of Trading Psychology. This is the area most traders don't pay much attention to. It is sometimes considered boring by traders who would much rather spend their time learning about a brand new strategy, a whiz-bang adjustment or even options pricing than delve into the depths of their own mind So what is Trading Psychology? In the world of trading, our psychology is a collection of our thoughts, feelings, emotions, reactions, knowledge, goals, beliefs, fears and more - all working together to influence the choices we make. The question that comes up here for the trader is: why is it that all these 'internal' and 'mental' factors are the more influencing ones? The answer is this: it's because of the nature of the Trading game itself. Think about your job for a moment. You have a boss who you have to report to, who outlines your role. You stick to your role and the tasks you have to achieve as there other positions in the company for other jobs needed to be done. Essentially week to week, your work is relatively the same, you have short and long term goals to achieve and you report to your manager on your progress and on completion, and you earn the same amount of money week to week, month to month - there isn't (normally) a way for you to take a gamble and risk some of the company's assets for you to make more for your own paycheck that month.
Regarding goals, many traders don't have them - how much money they need to make for the month, how they're going to manage that money, or how much they want to make by the end of the year. They may just open up the broker platform and say "Well, I haven't done any credit spreads for a while, I should get back into those", or "People seem to be trading calendars at the moment, maybe that's the way to go", or "I don't really have many trades for this month, so I'll just put ¾'s of my account into one trade - less to manage, less commissions, and less time to spend". Dangerous! The monthly paycheck is probably one of the biggest drivers of our decisions - the dollar signs, the "k-ching" of the cash register. Greed. Imagine this: if our monthly paycheck from trading was always going to be the same, and we had no influence on the outcome, no opportunity to hit a home run, no chance of getting the market to pay for our new car or kitchen, then our trading would probably almost be stress free. We would just do what we had to do. It would probably become boring after a while, and we would place the trades and turn off the computer. But that's not the case. The Trading Game is lonesome, and because we're not operating inside a world of bosses, managers, work policies, tasks, goals, teams, regular income and working hours etc, we are left to create this environment for ourselves. We become our own bosses, we don't have any one to report to (though we may have a spouse who just wants to see the account higher than it was a year ago!), there are no rules we have to follow, no one (including the market) is really going to care. It's up to us whether we have goals or not, and there is no regular income at all. Yes, this is a profession where our monthly paycheck may be negative one month! Naturally we're not aiming for this, but it is a possibility" and we have all had losing months So what is left? If there is nothing around to influence us, what does drive us to make the decisions we make? The answer is, our emotions - sometimes our egos and perhaps peer pressure - but in a nutshell we can sum this up with our emotions. The two primary emotions that drive us to do what we do are fear and greed. These two emotions, which drive the market as well, are what influence prices to go up and down.
Be in control!
For more information on learning how to make money with options, go to the Optionetics.com full site! We empower investors through knowledge.
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Prof to ‘teach’ Colbert about psychology (The Daily Utah Chronicle) Posted: 31 Jan 2010 11:33 PM PST Published: Monday, February 1, 2010 Updated: Monday, February 1, 2010 Nicole Miller, a professor of exercise and sport science, will appear on Comedy Central's "The Colbert Report" tonight. Stephen Colbert documented his ongoing quest to land a spot on one of the U.S. Winter Olympic teams. He finally found a home as an assistant sports psychologist on the U.S. speedskating team. The position is unofficial, but Miller, who is the team's actual psychologist, will be on tonight's show along with one of her speedskaters to "teach" Colbert how to interact with athletes. "It probably won't be anything remotely close to what I do," Miller said. "The reason (Colbert) chose to do the sports psychology role is because there is no end to the humor you can have with people's emotions." For cable subscribers, the program will air at 9:30 p.m., but check local listings for exact time. Be the first to comment on this article!Five Filters featured article: Chilcot Inquiry. Available tools: PDF Newspaper, Full Text RSS, Term Extraction. |
Posted: 01 Feb 2010 10:13 AM PST By Daily Mail Reporter
Mental health worker Ashleigh Ewing was stabbed to death by paranoid schizophrenic Ronald Dixon nearly four years ago A mental health charity was ordered to pay 50,000 today after it admitted failing to protect a university graduate who was stabbed to death at work. Ashleigh Ewing was killed by paranoid schizophrenic Ronald Dixon during a visit to his home nearly four years ago. Today at Newcastle Crown Court, the charity Mental Health Matters pleaded guilty to breaching health and safety regulations and was fined 30,000 and ordered to pay an additional 20,000 in costs. The judge Mr Justice Keith said: 'The fact that a life has tragically been lost is a fact which must be reflected in the level of the fine. 'But it goes without saying that nothing can compensate for the loss of Ashleigh's life, which is of course precious.' Northumbria University psychology graduate Miss Ewing, 22, from Hebburn, South Tyneside, was visiting Dixon's home in Eighth Avenue, Heaton, as part of her work with the Sunderland-based charity. The former Hebburn Comprehensive pupil was alone on the last day of her six-month probation period when she was attacked. Dixon, who later admitted manslaughter on the grounds of diminished responsibility, stabbed her 39 times using four different kitchen knives. Earlier in court today James Maxwell-Scott, defending, said: 'I am entering a guilty plea on behalf of my client Mental Health Matters.' The charity was charged with failing to ensure the safety of an employee under the Health and Safety at Work Act. Mr Maxwell-Scott said: 'Mental Health Matters wishes to apologise unreservedly to her family and the court for the failing which it admits. 'Mental Health Matters is deeply sorry that this tragedy occurred and its thoughts and sympathies are first and foremost with the family.' Ronald Dixon stabbed Ashleigh 39 times and later admitted manslaughter Kevin Donnelly, prosecuting, said Miss Ewing's death was not caused by Mental Health Matters but that further risk assessments and training should have been carried out by the charity in order to protect her. He said: 'The prosecution does not suggest that Ashleigh Ewing's death at the hands of Ronald Dixon was an event that could or should have been foreseen. 'Mental Health Matters failed to identify and respond to the increasing risks to which Ashleigh Ewing was exposed in the course of her employment.' But he added: 'It cannot be said that the failings of Mental Health Matters caused Ashleigh Ewing's death.' In a statement, Miss Ewing's family said: 'On behalf of Jeff, Aileen, Laura and the extended family of Ashleigh Ewing, I would like to thank the Health and Safety Executive team for all of their hard work, time and effort generated to bring justice for their beloved Ashleigh. 'In the family's opinion, Ashleigh's untimely, unnecessary and horrific death was due to the systematic failures by various agencies, including Mental Health Matters. 'The family still firmly believes that the extent of Dixon's health issues and past convictions were not fully known to Ashleigh. 'Since Ashleigh's death it has been clear to us that the warning signs were clearly visible, yet no action was taken which would have prevented her death. 'Although we are satisfied that Mental Health Matters have admitted their guilt, it will never take away our sense of loss and despair. 'People say time is a great healer but we, as a family, feel that it gives us more time to miss and yearn for Ashleigh each and every day. 'Ashleigh wanted to make a difference to people's lives but it is heartbreaking that in order to make this difference she paid with her own life.' The family said it hoped that today's hearing would bring about 'major changes' in the quality of care given to both employees and service users within the mental health sector.
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This is an awful thing to have happened, but unfortunately this type of tragedy will become more common as ' keeping people in the community' only works when the person who is being re-intergrated in to the community takes their medication as prescribed ,and if not to be put back into controlled medical care; has regular visits from people who are monitoring their progress and should not to be visited alone, and that the person does not slip from the 'radar' which is happening more and more. I feel for this young woman's family..
- minnie, midlands, 01/2/2010 23:12
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