Not a trading book, really.

A mindset book, based on trading examples.

Core ideas:

  1. Humans seek to avoid pain above all else.
  2. How well you can moderate that automatic response will determine a lot about how well you can do in life.

There’s not a lot more to it, although the specific mechanics are much more detailed in the book.

Interesting tidbits:

  • 90% of traders are failing - they lose money. Avoid whatever it is they do. Tom argues that they follow normal human loss avoidance biases.
  • Expect failure. Expect that some things will go wrong. You win on average, not on every at-bat opportunity.