Let me start by sending out a massive THANK YOU to the whole YTC community.
I believe last week's article set a new record for the amount of feedback it received.
And all positive, which is nice to see! 🙂
Check it out here if you missed it – http://yourtradingcoach.com/trading-business/stretching-to-the-next-level/
The aim of the article was to have you bring your goals closer.
Closer in time. And just a small stretch above and beyond your current capabilities.
This ensures that you receive quicker feedback. And most importantly, that you have a greater chance of achieving the goal.
Small wins, received often, do wonders for your mindset and self-belief.
Plus… it's just the way that progress works. So many things in life are achieved through small, incremental steps. For some reason we tend to forget that when it comes to trading.
I was most excited mid-week to see a new blog post by Dr Brett Steenbarger, which ties in nicely with our "stretch goals". Dr Steenbarger has for a long time been one of my favourite trading educators. His writing is of the highest quality. Every blog post is something I never miss.
I recommend reading the post in full here – http://traderfeed.blogspot.com.au/2016/12/how-to-trade-with-peace-of-mind.html
But the key points, as they relate to our article last week are:
"…the way in which we set goals greatly impacts the probability of our success and the mindset we're likely to come away with."
"…the importance of keeping goal-setting flexible and doable. Flexible means revising goals at intervals: for example, setting monthly goals rather than annual ones. Doable means that both the number of goals and their difficulty be set in such a way as to set us up for success rather than frustration. Many big goals can be broken down into a sequence of smaller ones that create an ongoing sense of progress and momentum."
"Over time, the accumulation of small goals creates large changes. The idea is to make each day a win, regardless of the P/L of the moment. That creates peace of mind, and peace of mind frees us up to trade with open minds."
I'd like to also share with you an extra step to the "stretch goals" which I shared with a couple of traders via email last weekend.
It's the idea of having TWO TIERS of goal-setting.
To ensure an even greater likelihood of success and peace of mind.
The aim of our "stretch goals" last week was to ensure that it targets something only a slight reach beyond current capabilities. But this of course doesn't mean we'll achieve it.
And that's fine. The reality is that we won't always achieve this new level of performance.
But we will learn. And we can review our plan for achievement of the goals. Or even amend the goals themselves, bringing them another step closer. And then we launch ourselves off on another attempt.
The problem is…
This is where it can help to have two tiers of goal setting.
Our stretch goal is the second tier. It's the one we're really pushing for. It's the one we put all our focus and attention on achieving.
But it's also something that we completely accept we may not achieve. Or may not achieve, just yet.
But we NEVER judge our self-worth on achievement of this goal. EVER!
Because, although it's just a small stretch, it might take a lot longer than we expect.
This is where the first tier can help.
Set something that is so damn easy that you absolutely should achieve it.
Something like SURVIVAL.
However you want to define that is fine. For me it would be – "My aim this week is to ensure that my family is safely provided for and my trading business is not threatened in any way. I survive to trade another week!"
Don't under any circumstances allow failure to achieve Tier 2 to influence your self-belief. You achieved Tier 1. That is awesome. Well done. Now, examine Tier 2 and find out why you didn't achieve it. And set in place plans for the next assault at that target.
It's all about maintenance of a positive mindset, while at the same time always pushing yourself to expand to new levels of performance and skill.
Tasks for the Christmas / New Year week:
Review the prior article, if you missed it – http://yourtradingcoach.com/trading-business/stretching-to-the-next-level/
Review Dr Steenbarger's blog post. And subscribe to his RSS Feed, or find some other way to get all his future posts. http://traderfeed.blogspot.com.au/2016/12/how-to-trade-with-peace-of-mind.html
Consider the use of two-tier goal setting in order to maintain a positive mindset, while still stretching to reach the next level.
And set your goals. Trading recommences in early January. What are your goals for the first week? Do not start trading until they're clearly defined.
Go for it!