Online Trading Style – Obsessive-Disciplined

April 21, 2010

To be obsessed is to have irresistible ideas or feelings or both. They need not be bothersome or unwanted. For our purposes, we’re not using this word in a clinical, negative way. I mean it to be a general label to indicate a certain way of thinking and behaving. Some like to refer to this type as your garden variety anal or anal-compulsive personality.

Personality

Obsessives are able to dig in and become very involved and focused when something grabs their interest. They pay close attention to detail very desirable trait to have when it comes to trading stocks. They like their life in order. Because they pay attention to detail, they sometimes overlook the big picture because the detail is more enthralling.

Their time is used efficiently, except when they procrastinate about projects they aren’t sure about. Otherwise, they disdain wasting time and have little regard for those who engage in what they consider to be frivolous pursuits. They get anxious when they or others are late for appointments, even when time is not of the essence.

Their style of dress, work, personal grooming, surroundings, and care for personal possessions all reflect a rather orderly mind that likes things put in their place. They may have perfectionistic tendencies.

They don’t like most of what they can’t control. They like to steer clear of surprise. Their idea of a surprise is something positive that comes a little sooner than they expected. They don’t like to take unreasonable risks with their physical safety or their money. The more predictable the world is, the more comfortable they tend to feel.

They expect a lot from themselves and are motivated to succeed in much of what they do. They have high expectations of others as well, and are critical of them when they do not measure up to their expectations.

They are willing to practice something that they want to improve in and may even become zealous about a hobby or sport that really grabs their interest. Their competitive feelings are easily aroused.

Their minds are curious and not afraid to probe for meaning. They become easily absorbed reading something new that interests them and are not afraid to explore new topics to see where they may lead. They are aware of the nuances of things.

Obsessive-Disciplined: Money Management/Trading Style

Obsessives like to save money. They make sure they have a safe amount of cash on hand for emergencies, no matter how hot the stock market may be. They keep close tabs on their finances, are comfortable with budgets, and like their checkbook balanced. They like to pay their taxes ant,other bills promptly and are not comfortable owing money to credit card companies. They are careful in buying on margin, if they use it at all.

In their wallet, money clip, or purse they like cash to be filed by denominations – never scattered loosely or crumpled up in their pants. Oddly enough (and with the knowledge that comes from writing a book on perfectionism), I believe this simple behavior is such a telling sign of the obsessive-disciplined style that if someone routinely crumples bills in his pants or her purse and is careless with the placement of money, he or she almost certainly is not this personality type.

Obsessives get a certain satisfaction in tracking their investments and following the stock market. Even if they are not frequent traders, they may become compulsive checkers of their online portfolios, especially if they spend a lot of time on the computer.