Chapter_4_Flashcards
(16 cards)
What are the two aspects of trading addiction described in this chapter?
The Big Monster (belief that a bad trade will bring emotional relief) and the Little Monster (the subtle, anxious urge to act).
What is the Big Monster in trading addiction?
The belief that a single off-plan or revenge trade will fix discomfort and make you feel in control again.
What is the Little Monster in trading addiction?
The subtle feeling of restlessness or discomfort that urges you to take action just to feel okay again.
What is the real reason traders get addicted to taking bad trades?
They’re addicted to the relief from discomfort, not the trade itself.
What does the chapter say about the illusion of control?
Emotional trades feel like regaining control, but they are actually reactions based on pain, not rational decisions.
How can you recognize the illusion of control during a trade?
Ask: ‘Is this a decision or a reaction?’ or ‘Am I following my system or trying to feel better?’
What is the ‘warning light’ in trading, and why is it important?
It’s a subtle emotional signal that something is off — ignoring it weakens your intuition, listening strengthens it.
What happens when traders repeatedly ignore their internal warning light?
They become numb to it, unable to tell the difference between real setups and emotional urges.
What is the process that leads to the decline of a trader’s discipline?
Deviation → Justification → Confirmation → Detachment → Collapse.
Why is remembering pain not enough to prevent mistakes in trading?
Because emotion doesn’t learn — only structure and consistent rules protect you from relapse.
What is Myth 1 that keeps traders chasing?
That ‘the next trade will fix everything’ — when in reality, it won’t fix the emotional issue behind the urge.
What is Myth 2 and why is it dangerous?
That ‘opportunity is scarcity’ — it creates FOMO, even though good setups are always forming.
What is Myth 3 and what truth replaces it?
That ‘pain means you need to trade’ — but real strength is doing nothing when emotions push you to act.
What is Myth 4 about discipline?
That ‘discipline is suffering’ — in truth, discipline protects peace and creates real freedom.
What is Instruction 4 from this chapter?
Ignore any advice that goes against Nature’s Guide — stay detached, patient, and act only from your edge.
What does Instruction 4 reinforce about your natural trading state?
That your natural state is detachment, calculated patience, and pattern recognition — not emotional compulsion.
