It's getting late, and you should have stopped when you were up by $500. Or at least by the time you got back down to even. Now you're $1500 down, and you know that you are getting too tired to play effectively, so you are going to call it a night. Any moment now.
To reduce the agony - and maybe to end up the night even - you slide out what would normally be an insane bet - $1500 - half the entire stake you brought to the table tonight. This goes against every rule that you tell yourself that you have - but sliding it all out there give you a huge rush, and your hear beats in your throat as the dealer makes his way around the table.
The first pass throws you a jack of diamonds. Could it be? Is there possibly an ace in there for me? You glance over at the show and try to remember what has been dealt. The shoe - a five deck shoe - holds no clue, and your fatigue prevents you from remembering. At this point you are depending on hope. The player to your left gets a string of low cards, finally sitting on a 17 and hoping against hope against the dealer's 10.
As the dealer's hand turns over your card - you imagine the slow-mo - you see the ace and the blood rushes throughout your body. Yes! You did it! Not only are you up for the night, you have an amazing, last ditch effort, I-had-the-guts-to-bet-it-all story to tell tomorrow.
Do you recognize this story, or any of the feelings mentioned in it? The thrill of the win is something that a professional trader doesn't feel - or feel is a muted sense. Can you keep from feeling elated when a big trade goes your way? Do you ever slide you chips out on to the table - maybe too many of them - looking for the big score?
I know that I did - and occasionally still do, but this is no longer my standard mode of operation. This type of trading is very exciting to me - and therefore ruinous! Excitement has no place in day-to-day trading. Ed Seykota often says that we all get what out of trading - and life.
If it's excitement you are looking for, you will usually get it!
All of this is a lengthy (sorry) prelude to the fact that the only way for most people to trade consistently and effectively is through the use of a well defined and executed system.
In the next post we will talk about the various components that make up a system.
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