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SUMMARY
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At Level Four, we step outside the boundaries of classical physics and the Aristotelian world. The science of chaos has given us insights into the natural workings of both the market and ourselves. We now understand that we are a microcosm of the market: we have very similar characteristics and behaviors. This gives us better insight into how to deal with the market and, more importantly, our own personal behavior within the market itself.

We now know that most traders lose because they do not use their brains the way they were biologically designed to be used. They have the tools; they just pick the wrong ones for the job of trading.

We also know that our greatest enemy in trading is not the market, programmed trading, big pools, or floor traders. Our greatest enemy is misusing our own left hemisphere. When we use the left hemisphere to trade, it always creates fear and does the wrong thing at the right time. The function that creates the most difficulty is the left hemisphere's own internal function of solving problems. It creates a "back-and-forth" structure. Winning creates losing, because one of the left hemisphere's functions is to solve problems. If there are no problems, then the left hemisphere must create some, to have continuous employment.

The greatest fear of the left hemisphere is to not survive. If there are no problems to solve and the left hemisphere cannot create some, it may be "laid off." The key here is to work from a different substructure where there is a completely different attitude about not having problems to solve.

We know that the power of the right hemisphere may approach infinity. Nothing in our educational system concentrates on or develops this most powerful part of our equipment. It develops naturally when we "let go" as we habituate our left hemisphere learning.

At this level of trading, continued improvement in results is 99 percent letting go and only 1 percent learning more.

Mozart, the most spectacular composer of all time, said that his music always came to him in an instant. He did not hear it from start to finish, it all happened in a heartbeat. In the right hemisphere, time and space are flexible.

It is interesting to note that modern physics, with its bil­lions of dollars and its human resources for pushing the edge of research, is coming to the same conclusions that ancient meditators arrived at through an inner examination of their own thoughts and minds.

Assuming that all of this is true, how do we incorporate it into our lives and our trading? We examine that question in the next chapter, as we see what makes an expert and how an expert thinks and trades.

REVIEW QUESTIONS

1. What are the three principles of communication that apply both to individuals and to the markets?

•  What do you feel is your own predominant body struc-
ture?

•  What one word would sum up your predominant char-
acteristic?

•  Based on question 3, how could you set up your trading
to be most effective and what are you looking for?

•  What are the three different traders living in your skin?

•  Name the five behaviors that occur only in the left
hemisphere.

•  What are the two functions of the left hemisphere?

•  What part does the left hemisphere play in your trad­
ing?

•  Why do you lose when you trade from the left hemi­
sphere?

•  How much stronger is the core than the left hemi­
sphere?

•  What sorts of activity does the core control?

•  How powerful is the right hemisphere?

•  In remembering the purpose of the right hemisphere,
what do the three I's represent?

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