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Friday, September 8, 2017

Emotions and Vulnerability in Trading

Every time i end up on TED Talks consciously or subconsciously, i am reminded of this one TED talk that i watched many years ago.

Youtube: The power of vulnerability | BrenĂ© Brown
TED Talk Link - Link

The topic resonated with me so much that i went to buy one of her books on Vulnerability after that.

Image from Amazon

Everyone must have their own stories of feeling unworthy, of feeling shame, of feeling vulnerability. 

Should i confess to her my feelings? Is this the right time to do it?
The company did not call back after the interview. Did i do something wrong?
Should i speak to the sweet looking girl at the end of the bar?

And recently, i saw the similarities of that with trading.

Every time you initiate a new position, you are completely at the mercy of the markets. You have rescinded the control over to some thing else other than yourself. No matter what you do, there is no way to direct the action of the markets.

That is Uncertainty.

It is extremely difficult to embrace that. Some people do it well, perhaps, translating their ability to handle vulnerability from other parts of their lives. Some of us don't deal with it so well. We shun it, we don't like uncertainty. We don't like to feel vulnerable.

But that is exactly how it works.

I did attempt to change myself and try to embrace vulnerability in my life. That was way before i started dabbling with the markets. I liked to think that i made progress but i think i am not quite there yet. Clearly in terms of trading, i am nowhere close.

Fears still grip me and then i see the counter i identified ran. 
Greed still has a hold on me and i chase after a breakout and get stuck.

The next time it happens again, i am going to read this post again.

I'm going to leave you with two quotes from the video.

On what traits the people who embraced vulnerability had.
"willingness to do something where there is no guarantee"

On how and why we numb ourselves to vulnerability.
"we make everything that is uncertain certain"

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