My friend Derek Hernquist‘s blog is different than many trading sites in that process is emphasized as opposed to outcome.
The very first blogs were actually diaries – the etymology of the term blog can be traced back to the term “web log“. The early web logs that attained popularity were typically written by someone describing their activities and their pursuit of improvement in those activities – think about the woman who set out to cook the entire Julia Childs recipe book, one dish at a time, updating the blog on her progress and pitfalls each day.
Derek’s site has that same diary-ish feel to it as opposed to being just another “how to trade” website; we are let in on the things he is doing right and the things he is dissatisfied with as well. He talks about the adjustments he’s making to his trading in real-time and in his writing we find a fellow rider on the storm we can both relate to and learn from all at once.
Today he’s talking about a small change he’s making that could have large implications for his success. It’s fascinating stuff and the perfect inspiration to do some self-critiquing of our own this weekend…
Focusing on “Change on Day” is like focusing on the score of any one quarter of a football game (innings in baseball, periods in basketball/hockey/soccer, pick your poison); ridiculous even for a bettor. Yet the default scoring method from quote providers and the media is the distance traveled since 4pm yesterday. I care about price change since a major pivot, over the last 5-10 days, over a rolling quarter. Since yesterday? Not so much. Just like a sporting event, yes, a significant quarter or inning could make the difference in the game but there are better measures that indicate shifts without noting an endless stream of false indications. The default way in which I first receive price data, to me, amplifies the potential for distraction.
What are the things you’re focusing on that are distracting you from the big picture? What small changes could you consider that have the potential to make a big difference this year? I’m pondering this very question right now.
Head over to Derek’s site for the whole post below.