In this post, I will propose something different. Our task as effective traders is to tame the ego, not dampen our emotions. Indeed, it is when we trade without the ego that we're most likely to be open to our feel for what markets are telling us.

The recent post made an important distinction between understanding and prediction. Discretionary traders seek to understand market behavior from the ground up, by listening to markets the way we listen to people when we seek to understand them. When traders become uncomfortable with market uncertainty, they often seek false security in predictions. They impose views from the top-down, and they stop listening to what markets are trying to tell us.