Make this a habit | stockbee

4/24/2013

Make this a habit




First thing in the morning spend few minutes developing Situational Awareness. Write it down. Make it a habit. It takes six weeks for a habit to become part of you.

Look at questions on market like :

Where are we in longer term multi year trend.

Where are we in current bull or bearish phase (at start or near top)

What is driving this move

What is the predominant theme (growth, turnaround, value, junk)

What are the breadth trends telling us...

What is the likely 5 day scenario from here

How should I position myself accordingly.

How aggressive should I be in chasing breakout.

Should I wait for a short setup to develop...

Should I tighten stop...

Should I go in capital protection mode...

These kind of Situational Awareness you need to develop as part of your trading skills development.

Only way to do it is to do it daily. First few days you might be bad at it, but if you persist and do it for 6 weeks or more, it will become part of you. Instinctively you will do it first thing in the morning.

if you really want to improve your SA skill, put it in public domain for others to critic....

Situational Awareness (SA) is a US Air Force term coined during Vietnam war. It means pilot should always be proactively aware of their surroundings and other planes in their vicinity and accordingly adjust their flight paths.

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