It’s back — get ready another installment of the SteadyTrade Book Club!
‘Tis the season for curling up with a good book … well, at least if you’re in frigid Michigan like Tim Bohen.
Co-hosts Kim Ann Curtin and Stephen Johnson may be in sunny Hawaii and Dubai respectively, but they’re still committed to increasing their trading prowess through reading great books.
This time, the team is discussing one of Kim’s picks: “The Hour Between Dog and Wolf: How Risk Taking Transforms Us, Body and Mind” by John Coates.
Read along with the crew –– and share your thoughts! Leave a comment below, or tag us on social media using the hashtag #steadytradebooks.
Check out the full schedule and synopsis for each book in this episode.
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About the Book
“The Hour Between Dog and Wolf” focuses on uncovering the real reasons behind the lack of consistency that so many traders experience … and how to overcome the mental habits that can lead to costly mistakes!
Kim kicks off the conversation by explaining what drew her to the book: the title. At the time, she wasn’t even involved in trading, but reading it still blew her mind.
As she found, the book is applicable to trading and beyond –– for her, it proved helpful in allowing her to identify triggers from the past based on challenges she endured.
How could it help you in your trading career and beyond?
Once I Know It, I Can Control It
Trading is a mental game … but there’s a physiological component at work as well.
Biology affects our trading and our well being. Understanding it might not help control it, but it can help you learn how to control your environment. It can also help you set up stops or personal boundaries based on your personal tendencies.
There are physiological tendencies based on previous experiences that can inform how you’ll react to stressful events … and knowing about your tendencies can be game-changing for your trading!
According to Kim, one of the best parts of this book is that it’s not full of jargon: everything is clearly explained and easily digestible. It’s accessible to readers of all levels and can help traders figure out important things about their own tendencies and how to work around them.
Lessons Learned From the Book
Tim, Kim, and Stephen all took away some key lessons from this book, including:
Don’t forget you’re human.
Traders are often instructed to ‘think like a machine.’ That’s generally good advice. But you need to remember that emotions will always get into the mix.
Knowing this can actually be freeing … Learn why Stephen thinks that being aware that there are certain things you can’t control can actually improve your trading.
It pays to have a plan.
Tim talks about how the lessons in this book can be directly applied with common sense in trading. For instance, having a trading plan and sticking to it can help you work around your personal tendencies.
Justifying or qualifying is rampant. But by promising yourself to stick to your trading plan, you can better stick to smart decisions.
It’s not about intuition.
What plays into the ‘hunches’ that propel so many traders into action? The hosts talk about how it’s important to become more self-aware about recognizing your tendencies so that you can make more intelligent trading decisions.
Patterns are personal, too.
Patterns aren’t just for stocks … traders experience them personally, too. Traders go through patterns of euphoria and excessive confidence that can lead to big losses. Learn about the checks and balances that Stephen uses to help him find consistency and reduce risk.
As Kim notes, “shame is paralyzing.” The crew talks about how traders can fall into unhelpful self-blame cycles and how to break free!
Did You Love the Book?
Did you read this book? What did you think? Reach out and say something, anything! The SteadyTrade team loves to hear from listeners. Be sure to stay tuned for more SteadyTrade Book Clubs.
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