Trading in the Zone[i] in an excellent book on the topic of discipline in trading. It introduces the importance of setting goals and exit strategies before entering a trade so that you’ll have a plan in place for when things start to “get real.” Mark Douglas addresses psychological impulses and issues that must be acknowledged before entering a field where you have to be your own boss and are responsible for all outcomes. You have to be able to admit to yourself when things aren’t working out.
If I may add my own two cents, this was one of the first books I ever picked up on trading psychology. Reading this gave me one of those “Ah ha!” moments, because it points out that mastering the markets cannot be attained without first mastering self control. Douglas does a great job of explaining this.
I’d recommend this book to anyone interested in trading. I believe it would be an interesting read for someone not particularly interested in trading as well. Self control is always helpful.
By: Tahric Finn
- [i] Douglas, Mark (2001). Trading in the Zone: Master the Market with Confidence, Discipline and a Winning Attitude. Pretence Hall Press. ISBN-10: 0735201447, ISBN-13: 978-0735201446