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Trading Performance Mindset

When it comes to performance & trade execution, trading performance mindset is the most important aspect of trading,It's what drives the trading decisions and give the trader the awareness and clarity to execute his trading plan with discipline & confidence.

The difference between trading mindset and our default survival based mindset we bring to trading.

Default Survival Scarcity Mindset

  • Emotionally Unregulated 
  • Exteroceptive awareness: Unaware of bodily sensations, feelings, thoughts and emotions, focused on external experinces.
  • Impulsive emotionally driven, lack of discipline, projecting self limiting beliefs & feelings into market. 
  • Anxious, fear & Ego based driven.
  • High Heart Rate, Low HRV (Shallow Breathing)
  • Distracted attached to thoughts & inner dialogue , and infused with thoughts.
  • Trading not to lose
  • Need to control outcome 
  • Results focused trading attitude: which triggers ego and fear based trading.

Trading Performance Mindset

  • Emotionally regulated
  • Interoceptive Awareness: observing thoughts, emotions, feelings & internal bodily sensations.
  • Disciplined, Rules & process based trading.
  • Confident in process.
  • Detached from outcome.
  • Calm & patient: Low HR High HRV (Coherence Diaphragmatic Breathing)
  • Alert and focused: aware of thoughts & inner dialogue 
  • Abundant Carefree attitude, accepting uncertainty 
  • letting go of controlling outcome.
  • Mindful in the present moment.

The Characteristics of Survival (Scarcity) Primitive Mindset

The Characteristics of Trading Performance Mindset

  • Not accepting uncertainty
  • Focusing on outcome, account balance, PnL
  • Risk averse, trading not to lose.
  • Need to control outcome(Micro managing)
  • Ego based trading.
  • Perfectionism
  • Trading on Tilt, Impulsive out of control emotional trading triggers over trading
  • Trading what you think (predicting)
  • Attached to outcome & PnL rather focusing on process.
  • Fear based:
    • Fear of being wrong
    • Fear of making mistakes
    • Fear of missing out FOMO
    • Need to be right,Not good enough (need to prove)
    • Associating losses with mistakes (limited belief) needs to redefine losses in trading 
  • Accepting uncertainty.
  • Probability based mindset.
  • Thinking in Risk:Reward rather than Win/Loss
  • Honouring and accepting risk/Stop, being comfortable with it.
  • Carefree attitude Accepting what is, and letting go of controlling outcome. let the edge take control of outcome.
  • Focused on Present moment,Price action and market information feedback rather than trading what you think (forecasting).
  • Focused on Process and how to improve execution rather than outcome & PnL
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Risk Disclosure:

Futures and forex trading contains substantial risk and is not for every investor. An investor could potentially lose all or more than the initial investment. Risk capital is money that can be lost without jeopardizing ones’ financial security or life style. Only risk capital should be used for trading and only those with sufficient risk capital should consider trading. Past performance is not necessarily indicative of future results.

Hypothetical Performance Disclosure:

Hypothetical performance results have many inherent limitations, some of which are described below. no representation is being made that any account will or is likely to achieve profits or losses similar to those shown; in fact, there are frequently sharp differences between hypothetical performance results and the actual results subsequently achieved by any particular trading program. One of the limitations of hypothetical performance results is that they are generally prepared with the benefit of hindsight. In addition, hypothetical trading does not involve financial risk, and no hypothetical trading record can completely account for the impact of financial risk of actual trading. for example, the ability to withstand losses or to adhere to a particular trading program in spite of trading losses are material points which can also adversely affect actual trading results. There are numerous other factors related to the markets in general or to the implementation of any specific trading program which cannot be fully accounted for in the preparation of hypothetical performance results and all which can adversely affect trading results.​

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