What Tigers Can Teach Us About Trading
Some would say that the title of this article can come across as a unconventional way of titling the key facts which I will be presenting throughout this paper – however you will see how Tigers can teach us something very important when it comes to our trading. This article will be very beneficial for newbies, and the ones that have relevant trading experience will acknowledge that they are no different to a Tiger when it comes to trading! The winners in this field usually have very similar traits, they are applying their skill-set and market knowledge on each financial instrument and making a decisive decision as to which direction they feel as though price is headed.
Below I have outlined key traits of Tigers and also traits of successful traders – and how there is virtually no distinction.
Phase 1: Tigers are known for searching the amazon, particularly for their prey – whatever they choose to be their breakfast/lunch/dinner for the day.
They do not attack another of its kind, neither does it waste time trying to find excuses why it cannot find it’s prey – it just searches, hunts and eats!
Tigers have patience. They are patient enough to search and search for their prey without quitting – as this is the only means of survival.
They have an open mind, they are willing to try new things, explore new places and various ways of capturing it’s prey. The Tiger is also use to dealing with climate change – which is a key factor in determining what of food it eats.
Phase 2: The Tiger has identified it’s prey from a far – could be a moose, a deer, or even a pig!
Regardless of the animal – any instinctive movements will ruin the chances of the Tiger capturing it’s prey as these other animals also have speed.
The tiger has to move, plan and act in a calculated manner – ensuring nothing is left to chance as this is it’s food for the day and without it, it can potentially sleep that night without any food.
The tiger has engrained in it a method in which it usually exploits to capture its prey – so it knows exactly what to do!
Remember after the Tiger has identified it’s prey, it does not chase after it instantaneously – it adopts the method in which it uses time and time again that usually leads to successfully capturing it’s prey and consuming it’s breakfast/lunch/dinner as a result.
Remember it takes calculated risks, ensures that nothing is left to chance. It adopts the same technique it uses to capture it’s prey – however due to it’s open mind and search for bettering itself it always gets better at what it does.
Applying all of the above, the Tiger usually captures it’s prey successfully time and time again – with it’s prey getting away maybe once or twice. Success!
Here I will explain the day in the life of a successful financial markets trader – and what key attributes of a Tiger that they subconsciously adopt in their trading.
Phase 1: The trader begins analysing the market from the European session, attempting to discern key market entries – similar to the Tiger searching for its prey.
They should not be focused on what other retail traders are doing, neither should they have any time arguing with other retail traders about their trading decisions – attention is solely focused on the markets. Similar to the Tiger giving it’s entire focus towards its prey – disregarding any other distraction.
The trader has to adopt the habit of being patient in order to exploit the best trading opportunities that is presented to us on a frequent basis each week. Their experience in the markets creates the habit of being patient, as they are aware of what to do and most crucially what to look out for before placing their trades.
The trader’s mind is completely open – they are up for trying new things and can adapt through times of economic changes.
Phase 2: The trader has identified one key area of confluence to enter in a trade – but not enough for an actual pinpoint trade entry – he/she now focuses on that instrument waiting for added areas of confluence. This is where patience has to be adopted, once again.
The trader knows they have to be sensible with their risk management, never breaking the rules – regardless of how obvious the trade set up is. This is where discipline has to be adopted.
Similar to the Tiger, the trader knows that everything must be calculated. One or two more areas of confluence for this set up will enable the trader to take the pinpoint entry and let the trade play out – the method that the trader uses the predict future movements of any asset class is something that has been engrained into their subconscious – so in most cases they acknowledge certain things happening and act instinctively. Applying all of the above, the trader usually enters in on high probability trades with the backing of their experience, skill-set and market knowledge and usually has a high success rate as a result.
Most people that are entering into the market as a novice look up to all time traders such as George Soros or Ray Dalio – why not be a Tiger?
Off course those are trading icon’s that have paved the way for us all – however we can learn a lot from a Tiger and its approach on targeting and capturing its prey time and time again. The patience, discipline, discernment and boldness are the key characteristics that both the Trader and Tiger have in common.
If you are a novice trader, just beginning – what you should do now is study the movements of Tigers. An animal that knows exactly what it wants, patient enough to wait for it – hungry enough to continuously search for it regardless of what the weather may be and most crucially, wise enough to learn new skills in becoming better at what it does!
With all of the above being said, the question I will leave you is will you rather be a Trader or a Tiger?