Sunday, April 22, 2007

Trading Psychology and Stock Market Psychology Resources for Traders

I received an interesting phone call a little while back. Someone from a major trading firm contacted me regarding this blog and my personal site. His question did not begin with the phrase "Why the hell?", but the tone of his question certainly implied it. He simply asked why I would possibly "give away" so much content on the sites.

The question reveals a lack of understanding of the academic culture. Say what you will about the ivory tower--and there's plenty to find fault with--but the fact remains that it is an incredible generator of research and knowledge. Why do researchers at my medical school so freely share their data? They realize that advances in medicine are only possible when ideas build on ideas. If you're trying to generate and refine understandings, nothing beats open source.

Whatever I have shared on the sites has more than returned to me through the resulting interactions with professional traders and firms. You would be surprised how open many of the best traders are when they understand that they will receive openness and privacy in return.

The best traders don't owe their edge to this or that idea. Their edge comes from their ongoing ability to cultivate ideas. When you're competent at cultivating ideas, you don't have to hoard the ones you've developed to that point.

The best medical researchers are the ones with the best world-wide research networks. They give away the most and receive the most in return.

I find that giving love in the same way works best in raising a family. Not because you're altruistic, but because giving the best within you inspires others to do the same.

I've updated my articles page of trading psychology and market psychology resources for traders. You'll find links to more than 3 years worth of articles, as well as links to hundreds of other blog posts.

I've also been asked how I manage to write so much and have so many ideas. Maybe it's because others, finding the best within them, have been equally willing to educate and enrich me. My deepest thanks to readers and traders who have also chosen to be contributors.