The phrase hither is apt: *intolerance* of loss. The perfectionist is non seeking self-improvement. The perfectionist is intolerant of anything that falls curt of ideal. This sets the phase for self-blame as well as frustration. While it powerfulness await similar a shield of high standards that protects us, inwards fact that shield burdens us, weighing downward our performance.
A review of one's trading mag oft reveals when perfectionism is a problem. Influenza A virus subtype H5N1 trader powerfulness lead hold identified a skillful idea, placed a merchandise at a skillful level, as well as taken profits at a target, only to run into the merchandise become farther inwards his or her direction. The mag entry volition focus on what the trader *should* lead hold done (holding the merchandise longer) rather than what the trader did well. The "should" is non grounded inwards whatever tested rule; that same trader volition hold out as self-blaming over a merchandise that is initially profitable but reverses when he or she holds for a farther target! Such perfectionism is hindsight bias at its worst.
Note how such perfectionism turns a winning merchandise into a psychological loss past times exclusively focusing on shortcomings. It is non constructive, because it does non do concrete learning lessons. It is frustration channeled as self-blame. As such, it robs us of the fulfillment nosotros otherwise would experience subsequently a skillful merchandise as well as leaves us feeling diminished. Over time, such self-blame takes a cost on our liberate energy as well as outlook, contributing to the work of burnout.
How many of your mag entries as well as how much of your review fourth dimension are spent on what you lot did wrong? To what grade do you lot acquire from your successes as well as reinforce your best practices? If you lot are parenting a immature child, you lot would role positive reinforcement, non merely punishment, to learn the right behaviors. As a trader, you lot are ever a immature child, ever developing, ever learning. You desire to hold out as constructive amongst yourself as you lot would hold out for a immature lady or boy you lot love.
Perfectionism wears people down. Perfectionism tears people down. We desire to channel frustration toward learning as well as improvement, non toward self-blame. We desire to straight our anger toward our work patterns, non toward ourselves. That is a real of import distinction.
So what tin compass the axe nosotros do almost perfectionism? Three strategies stand upwards out:
1) Restructuring Our Reviews: By giving ourselves realistic written report cards, grading each expanse of our trading process, nosotros tin compass the axe readily position what we're doing good as well as what we're doing that needs improvement. We desire to become frontward amongst positive goals--building on our successes--as good as remediation goals, correcting our weaknesses. Every review should position strengths as well as improvements as well as should atomic number 82 to goals of continuing to do what is working. Every review should too focus on constructive steps nosotros conception to accept to improve our shortcomings. The focus of the review is on improvement, non blame. We focus on getting better, non beingness perfect.
2) Cognitive Strategies - The cognitive strategies described inwards cognitive journals--we let ourselves to stand upwards exterior our perfectionistic patterns. In short, when nosotros adopt a cognitive perspective, nosotros plow rigid, negative thinking into the enemy. That allows us to coach ourselves inwards an empowering way, non inwards a agency that demoralizes us.
3) Behavioral Strategies - Very often, perfectionism is triggered past times frustration. Of course of teaching it's frustrating to accept off a merchandise only to run into it become much farther inwards our direction. That frustration shows upwards as physiological tension, which inwards plow cues the negative thought patterns. One of the greatest insights I came to as a trader was the recognition that my pathetic trading was only state-dependent. When inwards the fight-or-flight mode, I was much to a greater extent than probable to miss what was happening right inwards front end of me as well as impose my ain needs onto markets. Behavioral strategies let us to delineate dorsum from trading screens as well as alter the dry soil we're in, becoming to a greater extent than calm as well as focused--and much to a greater extent than able to recruit corporation coping skills.
Sometimes negative, perfectionistic thinking is pervasive, occurring across life domains, non merely during trading. If that is the case, it's worth consulting amongst a psychologist as well as developing a structured conception for changing those patterns. It's too worth ruling out depression as an underlying problem, as the depressed dry soil tin compass the axe atomic number 82 to chronically negative thought patterns. As I emphasized inwards the postal service on diagnosing our trading problems, it's ever a alert sign when patterns disrupting our trading are too disrupting other areas of life. That's when nosotros desire to motion beyond coaching as well as acquire concerted professional person help for overlearned patterns.
We volition never hold out perfect as traders. That's what keeps us ever-learning, ever-growing. Our challenge is to role our shortcomings as inspirations, fueling continued improvement.
Further Reading: How to Separate Frustration From Your Trading
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