Trading and Boxing
Tips from Boxing for Trading Success
The skills you need to win at martial arts are very similar to those you need to win at boxing and also, when trading for profit. Sugar Ray Leonard was one of the true great boxers and learned from Bruce Lee and below, I have picked out three key points that he discusses, to go in more detail in terms of achieving trading success. These tips are ones which all traders can learn from – so let's take a look at them.
"Your Mind, Your Body, and Your Spirit Must All Connect to Get the Best Results"
(Sugar Ray Leonard)
In terms of any competitive sport, it's an emotional battle as much as a physical battle and the same is true on terms of trading currencies, stocks and/or options. You have your cash and trading strategy (your body) but your mind and spirit control it and must maintain control. You need a disciplined mind to execute your trading plan to preserve equity and run winners and your spirit is also involved, to dictate your trading strategy in terms of – decisions to execute trades, pass by trading signals and leverage up or down, on a trading signal.
When a boxer is the ring regardless of the skill he has, he must have the right mindset and inner strength from his spirit, to execute his tactical plan and persevere through periods of hurt to victory without throwing in the towel and it's the same in trading – you are involved in a battle with your inner self to win. You must overcome the pain of losses and maintain discipline and control, over your actions to win and make profits.
"Bruce Lee was an example of what materialized from hard work .. there were no boundaries"
(Sugar Ray Leonard)
Hard work gets results – in boxing you need to learn strategy and train to win. No one would dream of stepping into a boxing ring and take on a trained fighter without an education, but how many people go and open a trading account with no education and training and think they're going to win? A huge amount of traders do this and the vast majority of them, will end up losing their trading account. The option and Forex markets can be brutal to anyone who isn't prepared and trained, and will knock them out by, taking their trading account.
While hard work is necessary to win in any profession, the amount of hard work you need to do to win at active investing is not a great deal (compared to other activities) in terms of the profits for effort it will give you. Another great advantage of trading as a hobby or a profession is – the fact that anyone can do it and there are "no boundaries" in terms of what a trader can achieve. You don't need to have a high IQ, a higher degree or have any formal education at all – the markets can be learned by anyone. To win you need only a strong trading strategy … and gaining emotional control is within reach of all traders, if they get the right education and training which will give them confidence and will instill the vital trait of discipline.
"Bruce Lee didn't move just to be cute … everything he did was for a reason"
(Sugar Ray Leonard)
Most traders could learn a lot from the above quote – if you are doing something in terms of trading don't try and be cute — do it for a reason and the only reason to trade is to make money. Most traders like to be cute in terms of, they want to trade a lot of signals and do trades to make them look clever like trying to pick a top or a bottom or bragging in a forum but these traders are not focused on winning – they are focused on their egos. When trading only trade for a reason and that reason is – a trade set up with good odds of success, based on strict trading rules which has the potential to make big profits.
It also means being patient. Top boxers don't just come in attacking their opponent wildly, they are patient probing, taking hits, until the right opportunity presents itself and they land hits that matter. A hit that matters is one which is landed to score points or a knock out. We have said it numerous times and focused several articles on it – patience is one of the best traits to learn because if you do, you will make bigger profits, take less risks and trade with greater confidence and less stress.
Final Words
Martial arts and boxing are very applicable, and any trader can learn from both sports. Bruce Lee was one of the greatest martial artists if not the greatest ever, and Sugar Ray Leonard was one of the best boxers ever, and you can learn a lot from them. You get hurt in fighting and the markets are a battle, where you can get hurt by losing money.
If you are being hit physically or in the pocket in terms of losing money – they both cause pain. To win you need a sound trading plan, based upon a through trading education which will give you the discipline to trade for big profits, and the spirit to persevere and give you inner strength to execute your trading system for maximum profits.
Courtesy of http://fxtrading.learncurrencytradingonline.com/ [1]