Win sum, lose some

I was drawn to a comment that Ian Erskine made in relation to a recent debate over at Cassini's place relating to the trading mindset. Describing the first of his round of trading training workshops he said the following:

The overwhelming response in the room is exactly as Cassini states - negative. Even with the winner the general view was one of hoping to win. I don't hope I win, I expect to win and over time know I will win.

 The winner referred to is the one person among the 18 present who was significantly ahead overall in his trading. That in itself tells a story, but what I found interesting was the main thrust of the man's own thinking: '....I don't hope I win, I expect to win and over time know that I will win.' (My emphasis).

I don't know about you, but I think that a man who's netted the equivalent of a reasonable lottery windfall in seven years of trading is probably worth listening to.

Back in the mists of time I started writing this blog to try to help with my discipline. I knew what to do, but somehow couldn't resist straying from the path of righteousness. I'm no saint today, but am an awful lot better, partly through experience and partly from taking on board what others have said as well. Slowly but surely I've learnt when to take a loss and when to let a winner run. Of course, I don't always get it right, and occasionally still drop an almighty great clanger. But by and large I've got better, my bank is steadily growing and I do now expect to win overall. And I do...overall.

What interested me when I read Ian's piece was that most of the time when the 'trader's mindset' is discussed it focuses on the mechanics of trading. The message he puts across is much much more to do with thinking of success rather than trying to limit failure. A key difference.