Many seasoned, profitable traders truly enjoy trading; they have a passion for understanding and mastering the markets. As one trader put it, "I find the game itself interesting. I enjoy watching how stocks react to news. It's always amazing to me how you can see small movements snowball into large herd mentality sorts of movements. A minor piece of news starts some selling, and then all of a sudden, there's more selling and more selling, and then there's a huge avalanche of selling. And it all started with just a minor piece of news...I find that very interesting." Another seasoned trader said, "I like the freedom trading gives you, the ability to earn a living while not having to have employees, the mental challenge, and the constantly changing environment." There are many reasons to pursue trading, and money is usually not the only reason. At the same time, even a thrilling activity like trading can become commonplace, and when you're in a slump, you can feel like giving up. At times like these, it is vital to find the inspiration you need to overcome obstacles and win.
In systematic studies, researchers have repeatedly discovered that peak performers have a true passion for what they do. Whether it's art, sports, or business, the folks at the top are not primarily motivated by fame, glory, respect, or status. They are driven by the inherent rewards of the creative endeavor itself. But even the most exciting job can become boring at times. Think of the hobbies, activities, and things that you once found exciting but no longer find interesting. It may be a sports car that you couldn't wait to drive but now view as a daily driver, or a favorite, expensive designer outfit that today you see as commonplace as a pair of jeans you bought on sale at Wal-Mart. Unfortunately, the initial shine seems to wear off.
What can you do when you lose your inspiration? It’s vital to rekindle your passion for the game. You may, for example, watch an exciting moving about trading, such as "Wall Street." If only we had so much wealth that we could change the course of a company, and profit it from it? Wow, it's fun just to be a small part of that, right? Or what about the commodities brokers in "Trading Places" who tried to corner the frozen concentrated orange juice market? These are romantic images that can inspire you. That said, if you are like most traders, you no longer see these romantic images as accurate. They may have motivated you when you first started trading the markets, but now that you've had some experience with trading, the tough realities of trading the markets may far outweigh the glorious images of amassing great quantities of wealth. But it's fun to take a break occasionally and daydream. It doesn't hurt as long as you can separate fantasy from reality.
Trading is a tough business. If you lose your passion for trading, all it means is that you are human. If you get bored, it's vital to remind yourself of the advantages of trading: You work for yourself (unless you are an institutional trader). You can work at your own pace, and feel that you have freedom. Remember what it was like to work a 9-to-5 job? Perhaps you don't. Well, that's an idea. "Absence makes the heart grow fonder." Maybe you could arrange to visit a friend for a day at a regular 9-to-5 job. It's not forever. It's just a way to rebuild your passion. Sometimes we forget why we trade. Again, like a thrilling sports car, we start to see the thrilling job of trading as mundane. Drive a compact car for a week and you'll see how great your sports car drives. Work at a regular 9-to-5 job for a few weeks, and you will find your passion for trading quickly. It may sound extreme, but it works. Maybe even after the first day, you'll think, "Oh, now I remember why I became a trader."
It's hard to trade successfully day in and day out. Some traders never lose their passion for the markets, but many forget just how exciting the markets can be. If you lose your passion, don't sit around sulking about how boring life can be. Go out and see how the other-half lives. You'll remember why trading is a great profession. And you will trade with renewed vigor and regain your mental edge.
By Michael S. Shopshire, PhD Mental Edge
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