The other day I was chatting with a friend about how to modify his approach to trading and make more money. He is constantly trying this method and that method and mixing styles every day. As I rambled I typed out a long dissertation about what you can learn from online poker players that will help you get focused and be better at this trading business. Since it’s been a while since my last blog post I thought it would be good to pass on..here it is unedited.
I have an analogy that really helps put things in perspective and its something that made me think and realize how to be successful at this business. One of the guys I learned from was a World Series Of Poker winner and also won 3 million dollar trading contests back in the 90’s. I always wondered how trading and poker went together until I spent some time watching my son.
One of my sons makes a lot of money in his spare time playing online Texas Holdem Poker. I play the free games and could never get good at it. I would win big and get my account way up them blow it all. After he graduated from College he lived with us for 3 months until his job in Colorado started. All the while he was playing poker so I sat down and watched him. The way he approached it was eye opening. Instead of thinking this and that and wondering and emotioning he has his system fully worked out.
I dont know if you have tried playing online Texas Hold Em Poker, if not you should try it, in a free environment like Zynga, you will learn a lot. OK i digressed..now back to the story about my son. In online poker when you are playing you can look at other things on your computer and when its your turn the poker table screen pops to the front. He would be looking at other things and when its his turn the screen pops up, he can look at the table, what his cards are, where he sits and what the bets are and know in a second what he will do and he does it. Its automatic and boring. He has a defined methodology and does it over and over. Boring and emotionless. He started out making some mistakes and over the months and years learned and tuned. Because its automatic he can play 3 or 4 games at a time.
You wonder how me and others can trade in and out of several stocks at a time either intraday or semi-swing. Its because we can look at the charts and the wind and instantly know what to do. You need to do this too.
Maybe try poker 🙂