How Conscientiousness Plays a Role in Successful Trading

Dr. Darren Miller from Trading Views has posted a fantastic article about conscientiousness.

He begins, “One of the five factors the Market Awareness Profile (MAP) measures is Conscientiousness. Conscientiousness concerns the way in which we control, regulate, and direct our impulses. Impulses are not inherently bad; occasionally time constraints require a snap decision, and acting on an initial impulse can be an effective response. Nonetheless, acting on impulse can lead to trouble in a number of ways. Acting impulsively disallows contemplating alternative courses of action, some of which would have been wiser than the impulsive choice. This can be especially true when referring to trades taken (or not taken) that can lead to regret.”

And let me tell you, as I’m sure you already know, when you fall into the state of regret, it’s very hard to pull out from. You can get into a rut, you try and chase the market, leading to more regret. More pain. More suffering. More, “what might have been.” It truly is a horrible experience. Your day which started out in hope, turns to disaster, and your mood is just plain downright awful, and people, whether it be your friends or family, will notice this quickly. So then they ask you what’s the problem, and how ridiculous does it sound if you say, “Oh, the dollar lost half a cent today.” So you just keep quiet, pass it off as nothing, which in turn Leads Leads Leads or lead generation are an essential component of marketing and powerful tool by brokers. In its simplest form, leads can be defined as the outreach of customer interest or enquiry into products or services, most often associated with brokerages.These can be created for purposes such as list building, e-newsletter list acquisition, or for sales leads. Amongst marketers, such lists are one of their most important assets and instrumental to sales.There are a variety of methods for generating Leads or lead generation are an essential component of marketing and powerful tool by brokers. In its simplest form, leads can be defined as the outreach of customer interest or enquiry into products or services, most often associated with brokerages.These can be created for purposes such as list building, e-newsletter list acquisition, or for sales leads. Amongst marketers, such lists are one of their most important assets and instrumental to sales.There are a variety of methods for generating Read this Term to internal frustration growing ever larger. You're at bursting point now…

Dr. Miller continues, “Trade plans may be thrown aside for gut feelings and, at times, this may be beneficial as the ability to recognize trouble early could minimize losses. However, trade plans work and work best when strictly adhered to, which would suggest low conscientiousness traders tend to favor a discretionary trading style. Unfortunately, a majority of discretionary traders fail to become a market master simply because of the lower odds of success, especially when compared to a more mechanical system.”

He then talks about the six facets that make up conscientiousness. It’s a great read.

To read the rest of the article, visit:

https://tradingviews.com/b/articles/archive/2010/06/15/how-conscientiousness-plays-a-role-in-successful-trading.aspx