What could Mike Tyson possibly know about trading?
In the highly competitive world of boxing, few rise to the top. Fewer still have the powerhouse rocket ride that Mike Tyson had. So what does Mike Tyson know about trading Forex?
I want to share some of my favorite Iron Mike quotes and how they relate to trading.
Yes...they relate to trading big time, and will make you pause every time you are in this situation. I'll get to that in a bit.
So the question is...What does Mike Tyson know about trading?
In trading Forex, people have similar experiences. Few make it their occupation and fewer still blast off with with the kind of power that a Tyson punch packs. Usually it is more of a slow and steady progression, if you stick it out.
Now of course anybody who has had success at anything knows that nothing is free and good things don't come to those who sit around doing nothing. Hours and hours in the gym repeating the same things over and over again is how at the age of 20 years and 4 months , Tyson became the youngest heavyweight champion in history.
That was no accident, it was solid consistent effort, but not only effort is enough. It has to be focused effort.
Tyson on Plans
In trading Forex we have to have a plan. A plan for every situation including our practice. Like I seem to repeat fairly often.. practicing the wrong things will make you really good at being bad!
One of the man's quotes is:
“everyone has a plan until they get punched in the mouth”
With that in mind, we had better have a plan for when we get "punched in the mouth" too. As in what will you do when things don't go your way? You lose more trades in a row than you thought you would ... What then?
Do you just curl up and cry, or do you step up and figure out what went wrong? Proceed with lowered risk or the same risk? Go back to Demo for a while or stay strong on your live account?
These are the things that we must have laid out well in advance so we are not making the tough decisions in the heat of the moment when the emotions are running high.
We all need a foundation built on a solid plan.
Being able to attack when we need to attack and retreat when necessary is imperative to your success as a trader.
Having the mindset in the present, strong enoughto proceed without clouded judgment doesn't come without practice.
The last point I'd like to make is regarding the attack. Going forward placing trades with massive confidence is the only way we should be entering our positions.
On the other hand, understanding when we are wrong and accepting it immediately is the sign of a true professional. The level of humility needed to change direction and admit that your trade didn't work out, has to happen immediately or you will be forced to submit.
What does Mike Tyson know about trading? I bet it is becoming more and more clear.
This brings me to Iron Mikes other quote I eluded to earlier:
Tyson said in an interview reflecting on the collapse of his fortune and fame " if you not humble, life will visit humbleness upon you"