aliassmith wrote:1992 DREAM TEAM wrote:aliassmith wrote:So you think it is more about ignorance? If I know what I am doing but
refuse to take my money and run, it doesn't seem like ignorance fits
the bill. I stayed in because I "wanted" more not because I "expected"
Hi alias -
I should have asked first, what does greed mean to you? When you found yourself thinking that price would keep moving with you, did you know that you were being greedy at the time?
I am saying that if I know I am being too greedy then I can either ignore the fact that I am too greedy and be doomed to repeat my mistake over and over again, or I could become less ignorant (or more aware, same thing), realize that being greedy is -EV, and make the appropriate correction. For me, it would be easier to use greed as a signal to watch out than try to suppress it entirely. But if I am being greedy without knowing it, then is that even really greed or just inexperience?
So whatever the mistake is, whether it be greed, fear, lack of experience, unexplainable irrational decisions, the faster I become less ignorant of my mistakes, the faster I correct them. I guess that is common sense but that is what I focus on to refine my decision making.
I guess if you are talking about greed like simply "I want more" then a rational mind will take the choice that pays off most efficiently. But if greed is a conscious effort to deny discipline, past experience, or even statistical data then it's really just ignoring better judgement.
IMHO all problems stem from some level of ignorance. So the goal is to be aware. Like I said, I don't know much about trading, so none of this may be relevant.
In terms of exits, it seems to me that it would be best to eliminate emotion from the equation entirely and just stick to a gameplan like TRO outlined somewhere in the rat threads.
I just hope I am on the right track LOL!
Thanks for the thought-provoking post.
Just so you know I am not trying to attack/flame you, sometimes written
words can come across as such.
1. lack of knowledge: lack of knowledge or education
2. unawareness: unawareness of something, often of something important
I put that definition so you understand where my belief system comes
I believe the difference you and I have is you believe that the rational
mind will beat out emotion. I think it can of course, but without
conditioning, emotions can and will trump rationality.
"it would be best to eliminate emotion from the equation entirely" I agree
although this is a matter of conditioning.
Many people look for work-a-rounds to over come emotions. For example
"I"ll set this SL and TP and put myself in hand cuffs so I can't change
When I was a boy learning to ride a bike I was afraid of falling off and
getting hurt. I am confident that this is many people's experience. I could
not learn to overcome my emotion without riding the bike a few feet at a
time. Maybe actually falling off the bike and getting back on again. I
adapted as a human.
My point is I prefer to adapt to my emotional restraints and look at my
account balance all the time. I listen to my sub-conscience when it is time
to reduce risk. Emotions can be conditioned a small step at a time.
Anyway I am sharing "my" beliefs in hopes it will help others and of course
we all don't see things the same.
No worries my friend, maybe I just got excited because I had something to write about after weeks of reading. I understand the value of many perspectives and how difficult it is to be rational all the time. I think we are in agreement more than not. I know there is a lot to learn from the likes of you and others on this board.
I remember having the same experience with my bike. When I finally got it, it was because my dad was holding me up and I didn't know that he had let go, and I kept riding. And I promptly fell when I looked back! But I knew I could do it (thanks, Dad). I also know the first thing you are taught in judo is how to fall so that you don't get hurt when you get tossed. Then you learn how to fight.
When I think about greed, I wonder, is it different than fear of not having enough? Is losing any different than not winning? In my experience, seeing both sides but not the coin is what leads to one extreme or the other. Isolating one side could potentially have a whack-a-mole effect.
Failure to maintain a balanced perspective was my biggest demon because that's what allowed things like greed to get out of hand. Hopefully that means I don't have to tame the same demon again on this new adventure.