In terms of Sport Trading mindset, “bravery” isn’t just a word; it’s a non-negotiable attribute. I realized this from the very beginning when I took my first steps in the world of Sports Trading.
On this blog, I have consistently underlined the need for discipline, rigorous preparation, and steadfast emotional control. All of that is correct, but it’s not enough.
The insight that restraint often delineates the thin line between modest earnings and mere break-even came to me quickly.
Having a solid method, proper financial management, stable routines, and structured decision-making processes are essential for achieving the first goal of anyone involved in investments: protecting their own capital.
However, once your money is safeguarded, the difference between breaking even and making a profit lies in the ability to go beyond, to accept a reasonable amount of risk, and to trust your own instincts.
This principle may appear straightforward, particularly to those innately equipped with a bold streak.
Be aware of external influences
The problem arises when courage is limited by external influences, such as suboptimal psychophysical conditions or a recent negative experience.
For me, optimal physical and mental well-being is a priority must to be considered embarking on this journey.
Too often I find myself excessively filtering the events to trade. Doubting my initial perceptions and continually seeking new objective elements to hold back. This is what I call “engaging the handbrake,” an overabundance of prudence.
How can you overcome this issue?
I believe it’s quite natural and, therefore, a common consequence after a bad run or a particularly serious technical mistake.
In such cases, you tend to swing to the opposite extreme of caution to compensate and regain your balance.
But it’s helpful to keep in mind a few key tenets to reclaim a balanced confidence in risk:
- Nothing depends on a single event
- Numbers aren’t everything
- Consistency is important
Let’s make each point clearer.
☑️ Nothing depends on a single event
When we recover from a bad run or technical mistakes, we must remind ourselves that a single event, a single decision, whether right or wrong, cannot compromise our long-term trajectory.
The long-term outcome is likely compromised by what we leave behind, which are predictable and avoidable technical errors, not by a single judgment on an event.
☑️ Numbers aren’t everything
Often, after an unhappy period, we become overly rational. We lose trust in our intuition, leading us to sway our judgment with excessively objective criteria.
When we are in a good psychophysical state, we should trust our intuition and afford it at least as much value as we do the objective data.
☑️ The importance of consistency in your Sport Trading Mindset
An overly cautious mindset leads us to fewer investments, and worse, skip entire days, perhaps with few alternatives.
However, it’s essential to keep in mind that not only the quality but also the quantity of positions we open is important.
One lesson I’ve assimilated over time is the critical nature of regaining confidence in ‘the game’ swiftly after a slump, even if our positions aren’t bulletproof, as long as they’re directed by our intuition.
For these reasons, never forget that any activity related to the investment world requires a light mind and a propensity for risk.
These are aspects we need to constantly nurture and train.
