The Disciplined Trader is the only trader who consistently profits… or is this a load of hooey?

Darren and Walter examine discipline in this episode, what is it? Why is it “needed?” Is it overrated?

Trading discipline is the topic for this episode (and some of this you’ve probably never heard before).

 

http://media.blubrry.com/2traders/content.blubrry.com/2traders/2Traders_-_EP31_Discipline.mp3

Download (Duration: 19:34 / 22.3 MB)

In this episode:

00:36 – concept of discipline

02:20 – a successful trader

04:48 – market biofeedback

06:17 – rules and discipline

07:21 – definitive rules

09:05 – difference between newbie and experienced trader

10:40 – exact revenge

13:40 – hard wild

15:58 – trading buddy

Tweetables:

All of your actions are predetermined. [Click To Tweet].

Be able to judge your emotions. [Click To Tweet].

Successful traders do stuff their own way. [Click To Tweet].

Download The Full Episode 31 Transcript Here

Walter: You’re missing out on a valuable piece of the equation if you simply limit yourself to a set of “if / then” rules.

Announcer: Two traders, Darren and Walter, pull back the curtain on profitable trading systems, consistent money management, and profitable psychological triggers. Welcome to the Two Traders Podcast.

Walter: Welcome back to the Two Traders Podcast. Darren is on the line. We’re going to talk about discipline today. Darren, this idea of discipline as with regards to trading, what does that make you think of, when you think of this concept of discipline?  

Darren: Yeah. People talk about discipline a lot. I’m not sure that I completely agree with it really. Because you usually put forward, that in regards to trading, discipline means basically you should have your plan set up and then you should follow it to the letter. I don’t really believe that’s a good way to approach trading.

I’ll explain why. Basically if you trade that way, it means that all of your actions are predetermined. There’s no any scope in there for you to add new data to your process.

A very good way of describing it. Let’s say for instance, you have a predetermined setup where to enter the market, these occur and then you have a predetermined stage two that you do next. The idea here is, if you’re disciplined, then you just follow this through, come what may. I think that’s basically saying that you can’t react to what the market does.

For me, a big part of my trading is reacting to what the market has just done. Then making a decision based on that. I think we have this concept that, you can’t do that successfully because you’re emotions are getting involved and you basically rely on your biases.

If you’re not trading well or if perhaps you’re still learning to trade, then you may well do that. One of the key things to being a successful trader is th...