The Psychology of Trading: Tools and Techniques for Minding the Markets
Behavior is patterned. Beginning with this premise, noted clinical psychologist and active trader Dr. Brett Steenbarger opens the therapist’s door, demonstrating how traders can identify, interrupt, and change the problem patterns that interfere with successful trading. In The Psychology of Trading, Dr. Steenbarger draws upon real-life case studies and offers hands-on techniques for emotional change to assist traders in becoming their own therapists. Themes that set The Psychology of Trading apart include:"Trading from the couch" by utilizing emotions as valuable market dataIdentifying and building solution patterns that capture hidden trading expertiseTechniques for assessing and trading against the emotions of market participantsMethods for building focus and concentration for more automatic and trustworthy trading decisionsCreating shifts in states of consciousness to rapidly exit anxious, impulsive, depressed, and guilty frames of mindIn an engaging manner that provides practical solutions to real trading problems, Dr. Steenbarger walks you through the most common cognitive and emotional tendencies that distort efforts at identifying and trading market patterns. He then describes specific skills derived from years of brief therapy practice to help you become an effective observer of these tendencies and gain control over them. By blending state-of-the-art research from psychology and cognitive neuroscience with detailed case studies, The Psychology of Trading provides you with the intellectual and emotional ammunition to face yourself and transform your approach to risk and reward.