Transform Your Trading - 5 Powerful Lessons from the Gym

Often when I work out at the gym, beside me is a power-lifter in his sixties who has set various world records. To my amazement and trepidation, he decided to share with me the methods that allowed him to dominate in his chosen field. He watched what I was doing, then took me aside and said intently, in a thick Maltese accent, “You are a strong girl, but if you listen to me, you could be much, much stronger”.

In every endeavour, there are some golden rules that lead to greatness. I'm always fascinated by the similarities of these rules to those of trading. So, here are the rules of weightlifting, according to this champion power lifter, and some suggestions about how you can use these in your quest to become a 'power trader'.

1. “Don’t whinge about the weight being ‘heavy’. Watch what I do, and then copy it. Do what I say for one month without question and then see if you’re happy with the results.”

So often I see traders tinker with their trading system, rather than just get on with the job of just following their plan. They whinge and moan about the market being tough to trade, and all this does is give them an excuse to be less than perfect. Stop complaining about trading. Suck it up. Find someone who is successful and copy him or her exactly.

2. “Don’t think about what weight you lifted yesterday. Focus only on what is happening right now.”

Become determined not to judge your next trade on the basis of the last trade you made. The grip of the past is firm and its reach is long. Do whatever you can to focus on the current, rather than dwelling on the past. Smash your rear view mirrors.

3. “Don’t compare yourself with others. Aim for your personal best.”

While I’m on this topic - stop telling people about your trades! Most people feel an overwhelming need to fill any silence with words. If you keep telling others about your open positions, you are encouraging them to respond. Dr Alexander Elder, best-selling stockmarket author told me once, “Don’t talk your book”. While you have active trades in the market, it is far better to keep this private, and not discuss your successes or failures with another living soul. You do not need to hear another person’s response regarding your effectiveness or ineffectiveness as a trader. The market will tell you soon enough. Your role is to introspectively work on yourself and your trading plan, and not rely on others to sympathise or to congratulate. What other people think about you is none of your business. Just be the best trader that you can be, and your results will look after themselves.

4. “Give yourself a pat on the back for any movement forward, even if your progress seems slow.”

The main thing you should be giving yourself a pat on the back for is when you follow your trading plan exactly, and without question. If there is a single goal that a trader should have, novice and experienced alike, it should be consistency. The consistent execution of your trading plan is essential.

Our unconscious is responsible for many aspects of our success, so if you don't reward your own good behaviour, you could very well sabotage your future trading. If you have followed your trading plan and made a windfall profit, take a small percentage of your winnings and buy something for yourself and your family. Whenever you look at that asset, or remember that holiday, then you will create a feedback loop where your subconscious will seek further rewards. This is one of the reasons why winners in the markets go on to create even bigger wins in the future, and losers continue to lose money.

5. “Sometimes you just need someone to believe in you and you can accomplish great things.”

If you are having trouble mustering your own self-belief, run on the belief of others. Find someone to believe that you can do this. I have seen hundreds of traders, with less intellectual prowess than you, succeed. I truly believe that anyone who really wants to become an effective trader can do so. Determination and education separate the successful from those that just won’t make it in this game. If you really want to be a good trader, you'll find a way to make it a reality.

To hear Louise interview Paralympic gold medallist and motivational speaker Don Elgin about this topic, check this out: Elite Trading Mindset: Lessons from a Paralympic Champion