"Eastern Economics ONLINE has a column" Investors need to observe their own figure from an outside, objective perspective

Good morning, this is Matsushita.

Yesterday, through the newsletter,

for exchanging opinions and interaction between readers and me,

as a new experimentwe have established a bulletin board.

Right away, as the first comment yesterday,

a post was written by someone named Taru-san.

This bulletin board is not only between me (Matsushita Makoto) and readers,

but also a board for readers to interact with other readers,

so please feel free to write anything you like.

For Taru-san's advice,

“Investors should objectively observe themselves from the outside,

which is important.”

Investing is an act of handling money,

which causes emotions to move strongly, and thus inevitably

becomes subjective.

No matter how calm one tries to be,

when the emotions move, like the masses, price movements

will sweep you into a huge vortex.

If that happens, the probability of success drops.

In the book “Market Wizards,” there is a trader who

stated,

“Make it so that you observe your agitated self

from the outside.

If you do that, you will understand the reason for the agitation and

you can suppress the agitation.”

Ever since reading this,

I have also made efforts to observe myself objectively from the outside.

Actually, this is a well-known ability or behavior in psychology

called “metacognition.”

I learned about that just a few years ago.

To observe myself objectively,

the effective tool is to write down one’s actions and thoughts on paper,

and the investment diary and trade history I have advocated

fit this purpose.

And yesterday, the content that Taru-san posted on the bulletin board

is also Taru-san’s metacognition.

When you observe yourself from the outside objectively,

gradually you can observe the market and price movements

from the outside,

and you will understand market psychology and price movements.

And gradually you will be able to discern opportunities.

Investors need to observe their own appearance from the outside objectively.

The important elements at that time are

1. consciousness, thoughts, emotions; 2. words; 3. actions.

The tools we have to work with are only these three.

For investors to grow and gain power, there are clear sequences, tools, and tasks.

Investment diaries and trade histories that lead to metacognition,

and various records, undoubtedly contribute to investment profits.

There is no wasted work or time in your daily life.

Please keep an investment diary, keep trade histories,

and sometimes write on the bulletin board to look at yourself

from the outside objectively.

Reader-to-reader or with me, exchange of opinions,

this is the bulletin board for interaction.

I will link to it in the newsletter every day,

so when you feel like it, or when something catches your interest,

please write if you want to ask something.