Track 08Module 4 of 58 sources
Psychology, journaling and review
Build a review loop that turns your own trades into your best teaching material.
Key ideas
- Most psychological problems are process problems: no plan, size too large, or no defined exit.
- Think in probabilities. Any single trade is a draw from a distribution, so judge the decision, not the outcome.
- A journal that records the setup, the reason, the plan and the feeling at entry is the fastest way to find your real edge and your real leak.
- Trade your best setup at larger size and stop trading your worst. Improvement comes more from subtraction than addition.
Start hereWatch or read these first. They carry the core idea.
How to master trading psychology | Brett Steenbarger
Video · Chat With Traders · 59:21
A trading psychologist on how professionals actually improve.
Course
Varsity Innerworth: Mind over Markets
Zerodha Varsity
Short essays on the habits and mindset of trading.
CoreThe standard references. Work through them once the idea is clear.
Trader Psychology: Every Elite Trader Has These Six Qualities With Dr. Brett Steenbarger
Video · SMB Capital · 33:29
Six qualities shared by traders who last.
Book
Book
Newsletter
Surprising Advice From World’s #1 Trading Psychologist (Dr. Steenbarger)
Video · SMB Capital · 59:23
A long conversation on building strengths as a trader.
Book
Market Wizards
Jack D. Schwager
Interviews with great traders. Notice how different their methods are and how similar their risk habits.
Practice
Journal every trade for a month with one line each for setup, plan and feeling. At the end, total the result by setup.
See it live
Where this leads
08.5 · Risk, Losses and ProcessBuilding and testing a systemWrite rules precise enough to test, test them without fooling yourself, and know when a backtest means nothing.04.6 · Investing and ValuationLearning from the best: letters, memos and cyclesAbsorb how proven investors think about risk, cycles and position size.