There has never been an easier time to get distracted. Between Twitter, Facebook, SnapChat, fantasy sports betting, blogs on every possible topics, Trump outbursts, etc. there’s a never-ending list of things that can pull your attention and focus away from what matters. This can be detrimental for a trader as they begin falling down a rabbit hole that takes them further away from their portfolio and their investment process.
Nick Saban is arguably one of the best football coaches to step on the field, with multiple national championships under his belt. Back in 2013 Saban was asked if he saw that his QB was on the cover of Sports Illustrated here’s how he responded:
“Do you think I sit around all day looking at magazines or what? I don’t even know what you’re talking about.
“You ask a question every week that I don’t know anything about. You need to come here and walk around and follow me around for like a week. I haven’t seen a newspaper today, I don’t know what’s happening in the world.
“I watch the Weather Channel for 10 minutes in the morning while I have a cup of coffee so I know what the weather’s going to be so we can practice inside or outside.
“Other than that, I really can’t answer your question because I have no knowledge of any of it.”
Saban didn’t (and probably still doesn’t) give a shit about what’s going on in the world during football season. His focus is on winning games and making sure his team is well prepared for their next game. He knows his goals and he shuts out the noise around him that could distract him from accomplishing them.
Do you have that level of focus when it comes to your trading? The answer is most likely ‘no’ and the second question I’d ask is why not? I know there’s been times where I’ve lost that focus and have to purposefully get back on track. Shutting out the noise is a constant battle with 24/7 news and social media. You can’t simply ignore it but must have ability to parse through what’s irrelevant noise and what matters.
Disclaimer: Do not construe anything written in this post or this blog in its entirety as a recommendation, research, or an offer to buy or sell any securities. Everything in this post is meant for educational and entertainment purposes only. I or my affiliates may hold positions in securities mentioned in the blog. Please see my Disclosure page for full disclaimer. Connect with Andrew on Google+, Twitter, and StockTwits.