Emotion is not market information.
there is
a single boundary
that was visible the day it appeared.
That day, Inoguchi was not calm. There was a quarrel at home. It seems it cut into a fairly deep place.
The feeling that he could not be acknowledged for his effort. What had been built up over a long time and the hardships he had borne for his family. “Even if the results come after, it still feels a bit off.” Those emotions remained, unprocessed.
To quote the person’s own words,the mood was shattered.
In that state, he opened the chart.
However, that day was different.
In Inoguchi’s head, the usual processing began as he looked at the chart.
① This goes here. The previous step goes there. So the current direction is this way.
② In the ultra-short term, there was a move showing the opposite direction for a moment.
③ But that movement did not occur as “what should have happened if that were the case.”
④ So reduce the credibility of that hypothesis. This means the original direction remains.
⑤ “Ah, this is the usual thing.”
A target was set. Probably this high would be broken. But there was also a place where a sufficient profit could be realized even if not broken. Sell about 80%. The remaining 20% would be a bonus if it rose. If it returns to cost, finish there.
That was all.
There was no special mental state of consolidation. He wasn’t trying to erase anger. The issues with his wife had not been resolved.
But, it was no longerinformation for reading the market.
25,119 yen is not the focus of this story
That day the market was a bit favorable. At least for his technique, there were tradeable movements. So there was profit.
Of course, there was also a market-side coincidence involved.
If he had opened the chart in the same mental state and found nothing to do, the truly important question would be what to do then.
It is a “day when there is nothing to do.”
There was some unpleasantness at home. He opened the chart. But there was nothing in the market either.
So does he enter, “Give me something in return from the market at least.”
Or—
And close the chart with a single curse.
If choosing the latter normally, the events of that day cease to be a mere coincidence.
Saying “the mind grew stronger” does not explain enough
In trading, the word “mental” is often used. Stay calm. Don’t get emotional. Maintain composure.
Of course, I don’t think those words are meaningless.
But what was observed that day was a little different.
Inoguchi was not calm. He was hurt in a normal way. He was angry in a normal way.
Even so, the trading judgments did not break.
Emotions and judgments were held on a different layer.
Long observing ULTRA THEORY leads to a sense of deja vu for this phenomenon.
When the short-term leg moved sharply downward, it did not mean the higher structure had shifted downward. One candlestick can move the viewpoint. But at the next higher granularity, nothing has been decided yet.
There is information in the forest for the forest. There is information in the trees for the trees. Branches have their roles.
Do not let what is moving violently in front of you steal the higher-level judgment.
Inoguchi has done this with charts for many years. And that night, that skill leaked a little beyond the chart.
At home, emotions were moving greatly. Yet the NASDAQ’s structure did not change at all because of that.
This is a matter of course.
Yet humans have a hard time with this “natural” thing.
Do not grant emotions the “right to write” into the market
There is no need to erase emotions.
It’s okay to be angry. It’s okay to be sad. It’s okay to keep thinking about home problems.
However, do not give those emotions theauthority to rewrite market judgments.
Home emotions have their own important meaning in the home world.
But when asked whether NASDAQ is heading up, those emotions have zero influence.
Feeling sad that your wife doesn’t acknowledge you is real. But that does not justify buying NASDAQ. That is wrong.
Feeling anger is real. But to extend the profit-taking position because of it is also wrong.
There is no need to deny emotions.
apply them in the right place
without making mistakes.