Here you look at things through the eyes of the other, hold the other's feelings, walk and stand in the other's shoes. This position gives you the ability to identify with and through another person. Here you see the world through another person's eyes and get a sense of what they're feeling. If you live too much in this position, you could be in danger of living in the doormat position. By going to the observer position, you can gain perspective and neutrality.
Some successful traders move to the observer position when they put on a trade.
If you're getting too involved in a trade, move to the observer position and look at it from that perspective. At the end of a given trade or at the end of a trading day, take a look at your trading from the fair witness position. You can also look at your trading through the eyes of another person, for example, a trading buddy, a trading coach, or a trader you admire. Ego involves a separateness from all else. Let me recommend an exercise that will help you experience your oneness with the universe and release egocentricity.