There’s nothing more thrilling than winning. When you are on a winning streak, it’s hard not to feel on top of the world. The trick is getting there. Winning requires preparation. It’s necessary to tediously search for new strategies or patiently wait for ideal market conditions. It can be dull at times. It’s tempting to put in a little action by trading impulsively. If you aren’t careful, you can start approaching your trades with the mindset of a recreational gambler. Maintaining discipline is vital.

When trying to maintain discipline, it’s useful to remember the basics. First, don’t try to do too much. Many people make the mistake of trying to do too much at too fast a pace. People think they have super-human strength when it comes to discipline. But, in reality, the ability to maintain discipline is a fixed resource. Just like physical strength, you can only maintain discipline for so long before your ability to stay controlled fails you. For example, if you work all day long, and keep under control, you are bound to want to go wild at the end of the day. That’s all right. It’s natural to want to celebrate. The mistake, though, is thinking that there are no ramifications for maintaining strict discipline for long amounts of time. You can’t keep strict discipline forever. At some point, you need a break. Obviously, just like building up muscles, practicing discipline allows you to get better at it. But it is vital to know your limits. You can only be disciplined for so long before you naturally want to break out and act on impulse.

Second, always get plenty of rest. When you are tired, you are prone to make impulsive decisions. Don’t skip sleep. It’s the key to maintaining discipline.

Third, remove stress from your everyday life. This is easier said than done, but if you feel stressed out, you won’t have enough psychological energy to maintain discipline. You’ll be on the verge of seeking out a thrill to make yourself feel better.

Fourth, don’t try to be disciplined for too long. When you try to live a monastic life as a trader, you will eventually feel a need to alleviate the monotony and boredom. When you feel bored, you are likely to make an impulsive trade and lose money. The best preventive step is to restrict the amount of time you trade. If you find it hard to maintain discipline for an entire week, for example, then don’t try to trade with extreme discipline for two weeks. It will take all the psychological energy you can muster to make it for the week. Don’t make matters worse by pushing yourself to go for two weeks. You’ll increase the odds of making impulsive trading decisions. Instead, trade for a week, take some time off, and then return after you’ve had some time to recover. It’s just like building up muscles. Work out, rest, and go back and work out a little more. If you “work out” your discipline muscles in moderation, you’ll be able to avoid trading on impulse. You will be less likely to seek out thrills, and take home the profits in the long run.