Military Skills Can Make You a Fortune

Introduction

Louise Bedford introduces the podcast and talks about how traders often overestimate their abilities. She then introduces Casey Stubbs, an army veteran and trader who shares his insights on trading.

Background of Casey Stubbs

• Casey Stubbs is a self-made millionaire who became successful after being a broke dad.

• He is an army veteran, father to nine children, and runs tradingstrategyguides.com.

• Louise invites him to share lessons from his background as an army veteran and gain insight into the way his mind works.

Early Experiences with Money

• Casey's background in money helped him become a good saver due to growing up in a working family with four kids.

• He learned early on how to be frugal which helped him when he joined the military where he was able to save more than others.

What Drives Casey Stubbs?

• Helping people drives Casey. His vision is to take profitable traders and help them get more profitable or help unprofitable traders bridge the gap and become profitable.

• Giving back is important for him since there can be isolation in the trading world where you're making your own decisions.

Military Skills that Translate to Trading

• Discipline is a key skill that translates beautifully from military backgrounds to trading.

• Manny, Casey's trading coach, discusses how discipline helps in both areas.

Overconfidence and Humility in Trading

In this section, the speakers discuss overconfidence and humility in trading. They share personal stories of overconfidence and the importance of risk management. They also touch on the benefits of humility in trading.

The Dangers of Overconfidence

• One speaker shares their belief that they could fly a plane or perform heart surgery without any experience.

• Another speaker shares a story about someone who claimed they could drive an armored personnel carrier despite having no experience, resulting in an accident.

• The speakers discuss the psychology behind overconfidence and how it can lead to mistakes in trading.

The Importance of Risk Management

• Both speakers emphasize the importance of risk management in trading.

• They discuss how being humbled by the market can make traders stronger and more aware.

• One speaker shares research on how increased noise levels can affect decision-making abilities, highlighting the importance of managing physiological pressure when making trades.

Balancing Confidence with Humility

• The speakers agree that having enough confidence to initiate trades is important but stress the need for humility when admitting mistakes.

• They discuss techniques for developing a more realistic mindset, avoiding both overconfidence and under-confidence.

The Importance of Pressure and Having a Vision

In this section, Casey discusses the importance of pressure in increasing one's capacity to carry things and keep pushing on. He also emphasizes the significance of having a vision to help traders perform better in the long term.

Pressure Increases Capacity

• Casey loves pressure because it increases one's capacity to carry things and keep pushing on.

• The more pressure you have, the more your capacity increases as long as you don't give up.

• The concept of metal in fire is used to illustrate how impurities come out when under pressure, making it stronger.

Having a Vision

• A secret to handling pressure is having a vision.

• Traders should have a vision that includes being financially free, helping family, and supporting causes.

• This vision will help traders perform better in the long term if they can go through the pressure.

Visualizing Your Future Self

In this section, Casey talks about visualizing your future self as an ideal trader. He shares Tom Basso's experience with visualizing his perfect trader self and becoming closer to that ideal over time.

Constructing Your Ideal Trader Self

• Tom Basso visualized his perfect trader self when he started trading.

• Over time, he became closer and closer to that ideal trader by managing risk well, staying calm, and taking breathes before typing orders.

• Traders should construct their version of themselves as the perfect trader.

Importance of Mentorship and Daily Process

In this section, Casey emphasizes the importance of mentorship and having a daily process to ensure traders are at the top of their game.

Mentorship

• Casey always has a mentor because it helps him be transparent and share his problems.

• Transparency and openness have helped him in trading.

Daily Process

• Casey has a daily process that includes going through a checklist to trade well.

• The checklist involves identifying risk, doing self-evaluation, and evaluating stress levels.

• Self-sabotage is a secret thing that traders don't know about. Being aware of it can help avoid it.

Successful Traits of Traders

In this section, the speakers discuss the traits that successful traders possess.

Self-Awareness and Perseverance

• Successful traders possess self-awareness and are able to evaluate risks realistically.

• They also have the ability to persevere through difficulties without giving up.

Vision for Financial Freedom

• Having a vision for financial freedom is a big trait of successful traders.

• They understand that it's not going to be easy but that it's worth it, and they're willing to do the work.

Solving Financial Problems

• Successful traders understand that trading is about solving a financial problem, not getting rich quick.

• They also understand that it's not really about the market or their strategy, but about themselves and their willingness to do the work.

Brain Functionality and Financial Success

In this section, the speaker discusses how traders are mature people because they have integrated different parts of their brain functionality. They also talk about financial success and what it means to them.

Brain Functionality

• The prefrontal cortex is a verbal part of the brain that has specific instructions, structure, and delayed gratification.

• Traders who have integrated different parts of their brain functionality are mature people.

Financial Success

• Financial freedom means being able to control one's schedule and do things they want to do.

• Key concepts of financial freedom include taking good measurements of income and expenses, utilizing skills and possessions to create revenue, and understanding accounting systems.

• Being financially free is important for controlling one's schedule.

Quick Fixes in Decision Making

In this section, the speaker talks about how quick fixes can lead to poor decision making in trading.

• Quick fixes can encourage poor behaviors and habits in trading.

• Delayed gratification is difficult but necessary for successful trading.

• Going for a quick fix can sometimes be shooting oneself in the foot.

Financial Freedom

In this section, the speaker expands on what financial freedom means to them.

• Financial freedom means being able to control one's schedule and do things they want to do.

• The speaker considers themselves retired since they get to do what they like even though they work a lot.

• Taking stock of skills and possessions is important for creating revenue when starting with little money.

Incorporating Strengths & Weaknesses into Trading

In this section, the speaker talks about incorporating strengths and weaknesses into successful trading.

• Recognizing weaknesses is key to successful trading.

• Overconfidence can be a strength but also a huge weakness.

• Learning to tone back strengths in some areas is important for successful trading.

• Risk is not an issue for the speaker anymore because they have programmed themselves.

Catch Weight Reset Method

In this section, the speaker discusses the catch weight reset method and how it relates to successful trading.

• The catch weight reset method involves catching oneself in a particular mood or mindset, putting a pause between that mood and action, and choosing to reset if necessary.

• The speaker believes that incorporating this method into trading can lead to success.

• Recognizing cues and being self-aware are important aspects of the catch weight reset method.

Thinking and Reacting

In this section, the speaker talks about how some people have an instant reaction while others take time to think before reacting. She emphasizes that taking time to react is not a bad thing and it has helped her in many ways.

Taking Time to React

• Some people have an instant reaction while others take time to think before reacting.

• The speaker mentions that she takes some time to think before reacting, but it has nothing to do with IQ.

• The speaker explains that being slower in reacting has helped her in many ways.

• She emphasizes the importance of not beating oneself up for making mistakes and instead focusing on doing better next time.

Mistakes Traders Make

In this section, the speaker talks about common mistakes traders make, such as negative self-talk and beating themselves up for making mistakes.

Negative Self-Talk

• The speaker emphasizes the importance of being mindful of the words that come out of one's mouth and the thoughts that come into one's head.

• She advises against calling oneself names or engaging in negative self-talk.

• The speaker suggests taking negative thoughts and shutting them down immediately.

Beating Oneself Up

• The speaker notes that many traders make the mistake of persecuting themselves when they make a mistake.

• She advises against dumping oneself into a negative mood tunnel and instead focusing on taking action to do better next time.

Catch Weight Research Method

In this section, the speaker talks about the catch weight research method and how it has helped her to turn negative thoughts around.

• The speaker mentions that she uses the catch weight research method to shut down negative thoughts.

• She expresses her fascination with people in the armed forces and their level of discipline.

• The speaker shares a story about a member of her mentor program who was in bomb disposal and is now a successful trader.

• The speaker discusses research that suggests the body can handle 40% more after the mind gives up.

Pushing Yourself Beyond Limits

In this section, Casey discusses the importance of listening to your body and not pushing yourself beyond your limits. She shares a personal experience of pushing herself too hard during a 12-mile run and injuring her leg as a result.

Listening to Your Body

• Sometimes our mind tells us we can't do something, but we need to push through it.

• Other times, our body is telling us to stop and take a break. It's important to listen to these cues to avoid injury.

• In trading, it's also important not to push yourself beyond repair.

Dr. Kai Bretz's Story

• Dr. Kai Bretz is Australia's fastest man over a 24-hour period and runs ultra marathons.

• During one race, he was bitten by a redback spider but continued running after receiving treatment at the hospital.

• He went on to win the race by 17 hours.

The Importance of Small Wins

In this section, Casey talks about the importance of small wins in achieving success. She references Admiral William H McRaven's "Make Your Bed" speech as an example of how small wins can create momentum throughout the day.

Celebrating Small Wins

• Small wins are still wins and can be used as building blocks for future success.

• When everything seems overwhelming, focus on one small thing that you can do well and celebrate that win.

• Don't get overwhelmed by things out of your control, focus on what you can control.

Summary

• The key takeaways from this interview are to honor small wins, be self-aware, and find the right mentor and education to achieve success in trading.

Introduction

Louise Bedford introduces herself and provides information on where to find her trading plan template.

Louise Bedford's Trading Plan Template

• The trading plan template is available for download at tradinggame.com.au.

• The template will help traders implement the strategies discussed in the podcast.

Conclusion

Casey Stubbs wraps up the podcast and provides information on where to find his swing trade strategy.

Casey Stubbs' Swing Trade Strategy

• Casey Stubbs' swing trade strategy is available for free at tradingstrategyguides.com.

• The website provides step-by-step instructions on how to use the strategy.

Final Thoughts

• Louise Bedford thanks Casey Stubbs for having her on the show and wishes listeners happy trading.

• Casey Stubbs thanks Louise Bedford for being a guest on his show.