Chapter_2_Flashcards
(13 cards)
What does the hawk symbolize in Chapter 2?
The hawk symbolizes a disciplined trader — calm, patient, and focused, only acting when a true setup appears.
How does a hawk behave differently from a human trader?
A hawk waits for a clear, familiar pattern before acting, while human traders often act on emotion, fear, or FOMO.
What does the phrase ‘The market doesn’t bait wild animals’ mean?
It means animals like hawks don’t fall for market traps or false signals, unlike emotional human traders who often take impulsive trades.
Why is reacting to every flicker on the chart dangerous?
Because it leads to emotional and impulsive trades based on noise, not on a repeatable edge, which results in poor performance.
What’s the biggest difference between humans and wild animals in trading behavior?
Humans carry emotional baggage, overthink, and override their systems, while animals follow instinct and reset after failure without emotional interference.
What is ‘the wrong kind of opportunity’ in trading?
An opportunity that appears due to emotion, FOMO, or pressure, not because it matches a proven, repeatable edge.
How can a trader become like the hawk?
By developing discipline, acting only on proven setups, and remaining emotionally detached from outcomes and distractions.
Why do most traders mistake temptation for opportunity?
Because they respond to movement and emotion rather than aligning with a tested edge — they see action as opportunity.
What mindset shift does the chapter suggest for recognizing real opportunity?
Relearning that true opportunity is calm, clear, and aligned with your system — not urgent, emotional, or based on recent trades.
What is the second instruction given in the book?
Instruction 2: Keep an open mind.
What does ‘keeping an open mind’ mean in the context of trading?
It means questioning emotional beliefs, dropping assumptions, and being willing to relearn everything based on truth, not ego.
Why is unlearning important in trading?
Because many trading behaviors are driven by false beliefs and emotional conditioning — only unlearning these can reveal the true edge.
What does the hawk represent at the end of the chapter?
A reminder of what a trader is meant to be — calm, sharp, patient, and lethal, acting with clarity and precision.
