We've all known traders who lack self-control. They react rather than act, making decisions impulsively, often based on those twin fears of missing out and losing money. It's no surprise when such traders draw down. In a very real sense, they trade their hopes and fears, not the markets in front of them.
But how about traders with excellent self-control? I know many: experienced money managers with long histories of success. Once in a while they make mistakes that they describe as rookie errors…
But how about traders with excellent self-control? I know many: experienced money managers with long histories of success. Once in a while they make mistakes that they describe as rookie errors…