just reach out and touch it.
Trading successfully feels the same way. On any given day, week, or month, the markets make
available vast amounts of money to anyone who has the capacity to put on a trade. Since the markets
are in constant motion, this money is also constantly flowing, which makes the possibilities for success
greatly magnified and seemingly within your grasp. I use the word "seemingly" to make an important
distinction between the two groups of traders. For those who have learned how to be consistent, or have
broken through what I call the "threshold of consistency,"the money is not only within their grasp; they
can virtually take it at will. I'm sure that some will find this statement shocking or difficult to believe,
but it is true. There are some limitations, but for the most part, money flows into the accounts of these
traders with such ease and effortlessness that it literally boggles most people's minds.
However, for the traders who have not evolved into this select group, the word "seemingly" means
exactly what it implies. It seems as if the consistency or ultimate success they desire is "at hand," or
"within their grasp," just before it slips away or evaporates before their eyes, time and time again. The
only thing about trading that is consistent with this group is emotional pain. Yes, they certainly have
moments of elation, but it is not an exaggeration to say that most of the time they are in a state of fear,
anger, frustration, anxiety, disappointment, betrayal, and regret. So what separates these two groups of
traders? Is it intelligence? Are the consistent winners just plain smarter than everyone else? Do they
work harder? Are they better analysts, or do they have access to better trading systems? Do they
possess inherent personality characteristics that make it easier for them to deal with the intense
pressures of trading?
All of these possibilities sound quite plausible, except when you consider that most of the trading
industry's failures are also some of society's brightest and most accomplished people. The largest group
of consistent losers is composed primarily of doctors, lawyers, engineers, scientists, CEOs, wealthy
retirees, and entrepreneurs.
Furthermore, most of the industry's best market analysts are the worst traders imaginable. Intelligence
and good market analysis can The Road to Success certainly contribute to success, but they are not the
defining factors that separate the consistent winners from everyone else. Well, if it isn't intelligence or
better analysis, then what could it be?
Having worked with some of the best and some of the worst traders in the business, and having helped
some of the worst become some of the best, I can state without a doubt that there are specific reasons
why the best traders consistently out-perform everyone else.
If I had to distill all of the reasons down to one, I would simply say that the best traders think
differently from the rest. I know that doesn't sound very profound, but it does have profound
implications if you consider what it means to think differently.
To one degree or another, all of us think differently from everyone else. We may not always be mindful
of this fact; it seems natural to assume that other people share our perceptions and interpretations of
events. In fact, this assumption continues to seem valid until we find ourselves in a basic, fundamental