Trading is hard because you have to operate in a state of not having to know, even though your analysis
may turn out at times to be "perfectly" correct. To operate in a state of not having to know, you have to
properly manage your expectations. To properly manage your expectations, you must realign your
mental environment so that you believe without a shadow of a doubt in the five fundamental truths. In
this chapter, I am going to give you a trading exercise that will integrate these truths about the market
at a functional level in your mental environment. In the process, I'll take you through the three stages of
development of a trader.
The first stage is the mechanical stage. In this stage, you: