This is the other side of the coin from successful Forex trader
Jeff wilde
The Unconscious Drive to
Fail
Ask traders about their reasons for trading, and most will tell
you, "I want to make huge profits." Although most traders get
into
the business to make a significant return on their money, the
vast
majority blow out their accounts.
Why do so many traders fail? The obvious reason for many is that
they just don't know how to trade. They don't use proper risk
controls. They don't have enough financial resources. They
don't
have proper instruction or an efficient trading platform.
They
don't have solid, reliable trading strategies. And for many,
they
don't have good reference points; they don't have a clear
understanding of how the markets work.
Any or all of these factors can spell disaster for the novice
trader. One doesn't need to explore the depths of one's
psyche to
find other reasons for failure. That said, there's an
interest
among many would-be traders as to the extent unconscious
processes
thwart their trading efforts. Perhaps, unconsciously, there
is a
hidden motive for self-sabotage. Seasoned traders are
especially
interested in this topic.
Many prominent, highly successful traders end up losing most of
their capital in the end, and many never come back. Some have
speculated that a hidden motive for self-sabotage is the
reason for
such failures. It's worth considering in a little detail,
either
just for fun or as a serious line of inquiry, depending on
your
preferences and worldview.
Years ago, Freud wrote about people who fail after achieving great
success in "Those Wrecked by Success." According to Freud,
some
people feel guilty and physically ill upon attaining a
lifelong
dream. Upon experiencing success, they aren't comfortable
with it,
and unconsciously take steps to punish themselves for being
successful.
Most contemporary research psychologists, in contrast, do not think
people seek out failure, consciously or unconsciously. People
experience failure because they cannot master difficult
situations.
In other words, traders don't repeatedly fail because they
have an
unconscious wish to spoil their efforts, but trading is just
plain
hard. Traders repeatedly fail because they don't have proper
financial resources, solid trading strategies, or the proper
mindset.
Psychoanalyst Roy Shafer argues, however, that some people view
"success" as a type of failure, and in a twisted way, they
avoid
"success" because unconsciously they view it as a failure.
For
example, in one case study, a young man avoided success
because he
was afraid of doing better in life than his father, who was a
failed all through his life. Veteran traders have made
similar
observations.
Some novice traders don't trade merely to make profits. They have a
hidden agenda. They want to show their family and friends
that they
could be a success. The problem with finding oneself in this
circumstance is that while one may consciously strive for
success,
one has been given a powerful psychological message that he
or she
cannot succeed, and is not worthy of success.
Unconsciously, it's hard (but not impossible) to prove these
significant others wrong. Whether good or bad, what your
friends
and family think of you is important. They define who you
are, and
unconsciously, you may not want to prove them wrong. It's
best not
to let such psychological issues impact your trading,
however.
Always trade for yourself. Trade because you want to, not
because
you are out to prove anything to yourself or someone else.
Doing so
raises the stakes so high that you'll put a lot of pressure
on
yourself to succeed, and that usually leads to failure.
As we've often said in this column, unconscious processes may not
play a role for everyone who pursues trading. It's an issue
for
some people, however. If you think your reasons for trading
may
reflect a need to satisfy past unconscious conflicts, it's
wise to
work through some of these issues with a trading coach or
other
professional. Don't let unconscious motives get the better of
you.
Identify them, work through them, and trade freely,
effortlessly,
and profitably.
Until next week, peace and prosperity,
Jeff
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The Unconscious Drive to Fail
Emotion
Posted by thermo on 24th of Aug 2010 at 12:29 pm
http://www.askjeffwilde.com/
This is the other side of the coin from successful Forex trader Jeff wilde
The Unconscious Drive to Fail
Ask traders about their reasons for trading, and most will tell
you, "I want to make huge profits." Although most traders get into
the business to make a significant return on their money, the vast
majority blow out their accounts.
Why do so many traders fail? The obvious reason for many is that
they just don't know how to trade. They don't use proper risk
controls. They don't have enough financial resources. They don't
have proper instruction or an efficient trading platform. They
don't have solid, reliable trading strategies. And for many, they
don't have good reference points; they don't have a clear
understanding of how the markets work.
Any or all of these factors can spell disaster for the novice
trader. One doesn't need to explore the depths of one's psyche to
find other reasons for failure. That said, there's an interest
among many would-be traders as to the extent unconscious processes
thwart their trading efforts. Perhaps, unconsciously, there is a
hidden motive for self-sabotage. Seasoned traders are especially
interested in this topic.
Many prominent, highly successful traders end up losing most of
their capital in the end, and many never come back. Some have
speculated that a hidden motive for self-sabotage is the reason for
such failures. It's worth considering in a little detail, either
just for fun or as a serious line of inquiry, depending on your
preferences and worldview.
Years ago, Freud wrote about people who fail after achieving great
success in "Those Wrecked by Success." According to Freud, some
people feel guilty and physically ill upon attaining a lifelong
dream. Upon experiencing success, they aren't comfortable with it,
and unconsciously take steps to punish themselves for being
successful.
Most contemporary research psychologists, in contrast, do not think
people seek out failure, consciously or unconsciously. People
experience failure because they cannot master difficult situations.
In other words, traders don't repeatedly fail because they have an
unconscious wish to spoil their efforts, but trading is just plain
hard. Traders repeatedly fail because they don't have proper
financial resources, solid trading strategies, or the proper
mindset.
Psychoanalyst Roy Shafer argues, however, that some people view
"success" as a type of failure, and in a twisted way, they avoid
"success" because unconsciously they view it as a failure. For
example, in one case study, a young man avoided success because he
was afraid of doing better in life than his father, who was a
failed all through his life. Veteran traders have made similar
observations.
Some novice traders don't trade merely to make profits. They have a
hidden agenda. They want to show their family and friends that they
could be a success. The problem with finding oneself in this
circumstance is that while one may consciously strive for success,
one has been given a powerful psychological message that he or she
cannot succeed, and is not worthy of success.
Unconsciously, it's hard (but not impossible) to prove these
significant others wrong. Whether good or bad, what your friends
and family think of you is important. They define who you are, and
unconsciously, you may not want to prove them wrong. It's best not
to let such psychological issues impact your trading, however.
Always trade for yourself. Trade because you want to, not because
you are out to prove anything to yourself or someone else. Doing so
raises the stakes so high that you'll put a lot of pressure on
yourself to succeed, and that usually leads to failure.
As we've often said in this column, unconscious processes may not
play a role for everyone who pursues trading. It's an issue for
some people, however. If you think your reasons for trading may
reflect a need to satisfy past unconscious conflicts, it's wise to
work through some of these issues with a trading coach or other
professional. Don't let unconscious motives get the better of you.
Identify them, work through them, and trade freely, effortlessly,
and profitably.
Until next week, peace and prosperity,
Jeff