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Sep 20, 2020 13 tweets 2 min read Read on X
Trading Psychology: Traits of a successful stock market participants.

If u don't have it then inculcate it through hard work & perseverance.
This would be my suggestion.

1/
3 groups of variables defined:
1. Personality traits
2. Cognitive traits
3. Biographical variables
2/
Based on the above 3 group of variables there are 6 traits which r found to most important ones in a successful stock market participant.

1. Capacity for sustained focus:

Fast thinkers : fast pattern recognition.

Deep thinkers: great deal of research.

One of the above.
3/Trait 1:

Daniel kahnemann: thinking fast and slow. Same kind of analogy talked in this book.

Both requires sustained attention.
Traders or investors: based on above.
Distinctive successful traders r either strong as fast thinkers or deep thinkers and not average of both.
4/

Trait 2. Originality & creativity:

If u look at same things as other traders, u wud do same things as others and get the same results.

Either look at different information or look at same information differently.
5/

Not playing the same game is big part of success.
Gathering new data, putting together in new ways.
Peter lynch said that individual investors have big advantage over others.
6/

Trait 3. Learned from mentors and other great traders:

Mentoring is the dominant path to success.
Sports: Olympic players, chess players, artists in paint studio. Its a cross field.
% of successful moments go higher.
7/

Master- Apprenticeship relationship. U cannot become a great golfer by reading books on golf. The process needs to b structured and modeled.
Role modeling/mutual learning.
8/
Trait 4 Mental resilience:
Treat loses as learning experience
Keep reasonable risk mgmnt
Learn wht u do differently, what u did wrong
Use loss to make better of urself
Its tough for people successful in other parts of life while u have more than 50% failure rate in the market
9/
Trait 5. Attention to detail:

Ideas are not all-important
Structure that idea into a good risk management package to get into that It's a great detailed arena
Timing, sizing, structuring the idea
1% inspiration & 99% perspiration
Detailed orientation is learned via mentoring
10/

Trait 6. Always working to improve their game:

Markets r ever-changing.
Periods when they r trending & less volatile.
Anyone's approach to trading has a self-life. Which is called edge?
U need to be evolving with markets.
Always research and development going on.
11/

Beginning traders find holy grail/setups, they r fooled by them.
Adapt to market conditions. Open-mindedness and flexibility.
Routinizing innovation at all levels.
12/

Inborn important capacity:
-Focus
-Intelligence
-identify particular strength, cognitive. Leverage those strengths vis a vis financial markets strategy.

Hereditary is relevant.
People with a short temper, mood challenges, distracting behavior may face a challenge.
13/

A not fast thinker can b successful investors. Not playing the right game is folly.
From good to great these r the top 6 quality in great traders.

****The End****

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Nov 7, 2021
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Weekend Learnings: Stage Analysis & Stan Theory.

Not listening to the market is a flaw
Listening to people, watching TV: Bad habits

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1. STAGE 1
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3. STAGE 3
4. STAGE 4
2/n

Sometimes the simplest system is the best system.
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B.O. sud b accompanied wit vols
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Jul 30, 2021
Fun Facts: This Thread would contain some interesting details around sunrise sectors and a few research around potential/vibrant sectors.

1/n WATER
2/n

WATER
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Jul 30, 2021
FAZE3: Real Round Cup & Base formation at the peak.
Outlook: AR2021

By Rule of 72:
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Jul 29, 2021
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1.
Most of the NIFTY50 or biggies r below 50dma and looking to kiss 200dma.

But, the Index is hanging above 50dma for some strange reasons.

2.
Internally the stocks falling below 50dma in the whole universe has widened
There wud b tons of breakouts reversals to be seen.

Some choosy sectors/names would run.

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Large Cause-Large Effect.
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