Alex,
Appreciate your feedback.
The emotions I'm referring to are mainly fear and greed. These are the two emotions that affect our action in trading. Let's apply these two emotions to Morita's 5 principles:
"1. Feelings are uncontrollable directly by will."
It is true. When the fear of loss take over, no matter how much I want to will it away, the fear is still there. And when greed takes over, I don't have any will to will it away for I'm already basking in my over-confidence. However, the key point here is "when" these feelings take over me. If I can train myself to control my thought, I may be able minimize if not eliminate the intensity of the feelings before it takes over me.
"2. Feelings must be recognized and accepted as they are."
Yes, the act of recognition and acceptance of one own feelings is an indication of self-awareness. Once you become aware of your own fear and greed, you can take action to minimize the damage it can do to your trading action. In my case, I bang on my gong to stop myself from perpetuate these feelings. The key point here is that you must first become aware of these feelings; sometimes we can get so wrapped up in these feelings that we are literally living in it. This can be harmful to your trading action because you are letting the feelings to dictate your action and not your trading plan.
"3. Every feeling, however unpleasant, has its uses."
I agree. As long as you come from the perspective of being aware of it and not living in it. A healthy dose of fear can prevent you from loading up the boat when it is prudent not to do so.
"4. Feelings fade in time unless they are restimulated."
That is why it is wise to move on to the next hunt (trade) once the previous hunt is missed or won. We definitely don't want to restimulate those feelings before our next hunt; otherwise, we will not be hunting/trading but simply reliving the past...
"5. Feelings can be indirectly influenced by behavior."
Right on! But in order to create a new behavior to beckon desirable feelings, one must be in a position of self-awareness. With this self-awareness, you then can be in a position to direct your thought process to bring out the new behavior.
Thus, bringing us back to the circular loop... If we can control your thought, we can control our ego. If we can control our ego, we can control our emotion."
However, I like to modify the loop with this simpler version... If we can control our thought, we can control our emotion. If we can control our emotion, we can control our thought"
In summary, the point is that while we cannot rid our entire emotions (fear and greed) from our trading, we must keep them in check so that we don't become the puppet of our own emotional feeling. In other words, we must let our trading plan/setup and money management to determine our trade, not our emotion.
Thanks.
Cheers! |
