Discipline

Discipline comes in all forms.  I just had a chat with one of the traders here who advocates pairs trading.   The sum total of this conversation was that a trader who has discipline and follows the rules will do well. the guys who do well in pairs trading are the discipline guys.  These are the guy who get out of a trade when the signs tell him to and doesn't rethink it (i.e. i made $.50 a share but perhaps if I just let the position ride I could have made $1.00 a share).  Well, dummy, you plan was to make $.50/share.  If your plan is to make $1.00 then make a plan that way. Otherwise sell at $.50 and make another plane for $.50 more cents. The disciplined guy will take $.50 and go home happy
Next time your discipline quotient runs a little thin, take a look at a violin section in an orchestra.  In the picture take a look at the position of the violin bows....mostly about half way with one exception (upper left).  I will guarantee that all bows are going in the same direction and, as they are all playing the same thing, no one is making very many fingering mistakes if any.  Violin sections in orchestras are the height of discipline.  No "straying" allowed.  16+ persons doing exactly the same thing, at lightning speed, and on a tightwire.

Sitting down and doing pairs trading is a lot like that.  Scratch that. Being a successful pairs trader has to demonstrate the same grit and tenacity (that's John Wayne speak for disclipine) as our violinists. 

An electifying compliment to a violinist is that he/she is a very disciplined section player.  Then to have a trading floor full of disciplined traders who "know their instrument"....yet another sight to behold.