This is my usual blog that I write every soften where I implore you to take some time off from trading. The market will be there when you get back. No matter what you do or did for a living, everyone needs some time off to energize themselves. Trading is no different.
I recently told my class that I was not going to trade the week of Thanksgiving. It had nothing to do with expected lighter volume but more with giving myself a mental breather. I don’t know if you know this, but trading can sometimes be stressful. Of course, I say that facetiously because many would agree and already know that.
You have probably heard the saying or have been told “everything in moderation.” Why would trading be any different? Exercising is important for everyone and especially for someone who trades. But over-exercising can do more harm than good. Be disciplined, but also listen to your body. Traders need to do the same.
When taking a break from trading, consider working on or adjusting your trading plan when the market is closed. Review past trades and you might be shocked at what you find. Those credit spreads that you thought you loved, may have ended up ruining your year. Again, this needs to be done when the market is not open and your mind is not allowed to wander.
The best gift a trader can give him or herself is some planned time off throughout the year and especially over the holidays. Trust me, it will make you a better trader. And isn’t that the goal of every trader out there?
Senior Options Instructor
Market Taker Mentoring, Inc.