Trading Psychology  |  FEB 1996

The Unfinished System by Adrienne Laris Toghraie

V.14:2 (65-68): The Unfinished System by Adrienne Laris Toghraie Do you spend all your time trying to develop the perfect system instead of taking the plunge with a simple system? Is avoiding risk no matter what the cost at the heart of your problem? Take the leap. Here's how. How's your trading?"" I asked Ted when he called recently. ""Well, I'm still working on my system,"" he answered. For the last four years, I've gotten the same status report from Ted. Like many novice traders, Ted is stuck in a pattern of trying to create the Holy Grail trading system. This is a system that will only allow for high returns and no losses. As a result, his system is never quite right. Instead of trading with a well-tested simple system and bringing in a reasonable return, his standard reply is, ""It should be ready in two months."" The underlying reason for his never-ending delay masks the real reason, which is fear. Like the performer who continually practices to get on stage but never actually does, getting ready to trade can become an avocation. When that happens, a potentially good trader will set himself up to be more anxious if and when he ever does start to trade.

by Adrienne Laris Toghraie