Book Review: Trading in the Zone
This is a dark point in my life, so don’t judge me too harshly as I dissect myself right here in front of you, in black-n-white.
I’ll admit from the outset: this is not a topic that I have mastered. But I’m certainly a lot more aware of it’s subtle attempts to drag me down, than I was a few years ago.
…It’s called Pride. Ugly word and an absolute killer for anyone coming into the Option Market for the first time (at least it was for me).
Here’s what I’m talking about.
Just like many other people that come to the Option Market, I had my fair share of successes in life. I’d done well in many different areas, and thought that there was no reason option trading should be any different.
So I brought my list of accomplishments with me to the Options Market, and planned on making a killing as I wrestled it into submission.
Watch out. Here I come. Couple of weeks and I’d have it figured out. After all, this wasn’t my first Rodeo…so how could this trading thing be any different?
My mentality was pretty simple:…show me the basics, give me the reins, then back up Jack why I take this beast down (arrogance and pride on full display, how pitiful!).
Needless to say I got my teeth kicked out (maybe someday I’ll share this painful story, which is actually pretty hilarious now).
And here’s the really bad part… it happened more than one time.
Why?
Pride!
Fortunately, the story gets a little brighter.
Eventually, one of my better qualities kicked into high gear, and I was determined not to give up because I knew this is what I wanted to do for the rest of my life.
So I started reading everything
my coach at the time suggested, and today I want to tell you about one of the most helpful books I’ve ever read: Trading in the Zone by Mark Douglas.
If you’re brand new….that’s great. Run out and get yourself a copy now before you get slapped like I did, and save yourself a bunch of money and mental anguish.
Or maybe you’ve had huge success in your life, and are thinking about getting into trading to make your next fortune.
If so, don’t be like I was: so full of pride that I thought I could win without the proper mindset to be consistently profitable.
Either way, by reading this book, you’ll realize that long term consistent success in trading, is entirely a mental game. I hate to break it to you, but it has nothing to do with the success you have achieved prior to option trading.
There is nothing in the world like options trading. You’ll find out why when you read the book.
As Douglas indicates from the outset of the book, one of his primary purposes is to,
“Convince the trader that it is his attitude and ‘state of mind’ that determine his [or her] results.”
That is exactly what Trading in the Zone is all about.
Think of it as a guide to help you as a trader develop a sharp mental focus to properly interpret Market information… so you can take action in order to bring in a profit.
Douglas tackles a few key topics like:
- How to react to losses in a way is productive…. instead of beating yourself up about it.
- Understanding risk and realizing that accepting the risk of a trade means “accepting the consequences of your trades “without emotional discomfort or fear.”
- He confirms what I talk about all the time… that the real edge to any traders skill set is to Think in terms of probabilities.
- The impact of what we believe about ourselves has on our trading (whether recognized or subconscious).
I can’t recommend it enough. It really opened my eyes and I know it will help you also.
Here’s what I want you to do now…if you have read this book, you are in the 1% who actually take action. I’d love to here what you thought. So leave a comment below.
Have a great day!
Jeff
2 Responses to “Book Review: Trading in the Zone”
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Great Book! I started to read it and couldn’t put it down. It really gets to the core of emotions and how to deal with them to optimize your trading abilities.
Other fantastic trading books I have read:
“The Phychology of Trading”
“Reminiscences of a Stock Operator”
“Zen in the Markets”
“Blink” (helps for trading)
…and about the read “The New Market Wizards”
Boy that sure sounds like what I did. Even with your warnings I had some success and thought I knew better. I screwed up so badly I was almost going to give up/ throw away a great system because I blew it. Pride really does goeth before the fall. This time I will listen, practice and read this book. Thanks for the encouragment.