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Zen in the market

(2016-12-19 18:44:56)
The market is an easy game to play. It is just that we are hell-bent upon making it so complicated. That`s what makes it so difficult for us to win. 

The mental disciption of Zen will help cut through our own fog of self-deception and finally allow us to see clearly and feel the true course of the market, Then we can and will act accordingly. 

The most important and basic rules of trading and investing are as following: 
1, Buy low, sell high. 
2, Let profit run, cut losses quickly. 
3, Add to a winning position , not a loser. 
4, go with the trend. 
We will be able to hear the market`s signals and respond accordingly. 

The book answers that question and supplies a simple but difficult solution. 

We`re fighting the trend. We can clearly see that the direction is down, yet many of us think nothing of averageing a loser. What makes us want to break them and place our capital at greater risk? 

What I am saying is that the market makes all the decisions. Our only decision is to listen, feel, and respond to the market`s siren, Always and without exception. Remember, the market never lies. It is only we who lie to ourselves. 

"Forget what we were taught in school. It doesn`t fit the scheme of things here. None of that schoolbook logic applies here."

Just give up the idea that we can figure it out! Listen to the market shout a very clear and unmistakable direction to us. All we have to is listen, feel, and follow the market`s signals and not hope the market follows our lead. Rest assured. it won`t!

Predictions about the future based upon similarities to the past are worthless.

Charts are total gibberish. They have not validity. They are simplely history, and like history, if we contiune to study them, we will probably commit the same errors of the past. 

Remember, all we have to do is stay in the present mement. Don`t think about the past or the future. Focus on the here and now, and listen the voice of the market. 

We must keep our focus in the here and now. Charts, economic analyses, news articals, and investment reports distract us from focusin on the present moment. All best all we do is refelcet the market. 

The remainder of the book presents the Zen approach to successful trading and reveals how to listen, recoginze, and obey the langauge  that the voice of the market speakes.

Step one: Meditation 
Step tow: Visualizations
After I have prepared my mind,I try to visualize the many waves that occur during the trading day. There are up waves , and there are down waves. My jobs is to ride each waves as far as I can, no matter which direction. Basically I visualize a circle of prices moving in one direction or another. I see myself getting on that wave and , when it peaks or bottoms out, reversing and going with the next wave. I repeat this over and over again. I see myself taking losses quickly and alse see myself riding winners for as long as possible. I try to do this for at least five minutes a day. Sometimes I repeat this routine at night before I go to bed. I beliver it works because it cuts a neurological circuit that the brain is familiar with and thus can evoke quickly when needed. It is just my theory. All I KNOW it works. 

Our egos trick us into doubling up a losing position. They refuse to look directly at reality. They want to be right no matter what the cost. A lot of people would rather be right than make money. Their egos are making all the decisions. 

Small is big , big is small
There is a paralysis that sets in when the lossers begin to mount. These losses are much too much for the ego to admin. It would rather deny and postpone judgment day than face the truth. 
The greater the size , the greater the pain when we are on the wrong side of the flow of the market. It`s easier to swallow our medicine when the pills are small than when they are big. 


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