Theory of stretch zone as a tool for improving resilience
In this article, we will explore how you can enhance your trading psychology by embracing the concept of the stretch zone. What exactly is the stretch zone? Read on to find out!
What is emotional resilience
Emotional resilience is a crucial skill that incorporates optimism, adaptability, rationality, and positive thinking. It plays a significant role in trading, making it one of the key traits to cultivate.
Emotional resilience involves the ability to accept circumstances as they are, being realistic about the current situation, and being aware of our emotions without letting them cloud our decision-making processes, especially when quick decisions are required.
Resilience is something that everybody has and it is only up to us how much we benefit from it.
How Can We Enhance Our Resilience?
Building resilience involves stepping out of our comfort zone, but it's important to take small steps rather than rushing into the unknown. Rushing too quickly has proven to be counterproductive in most cases.
Therefore, it is recommended to enter what is known as the stretch zone.
The Stretch Zone
The stretch zone lies just beyond our comfort zone, still within reach. It is a zone where we can learn, grow, and improve our skills with a sense of calmness, free from fear. The stretch zone is characterised by taking small, manageable steps that are safe yet challenging, providing room for growth.
To succeed in the stretch zone, we need to activate our inner abilities and perform at our best. This creates a gap between our current ability and the level of ability required to achieve success.
This gap stimulates our brains and the entire physiological and neurological systems, enabling us to successfully complete tasks.
With time and practice, our comfort zone expands, and what was initially the stretch zone becomes an integrated part of it.
However, it's important to remain aware and avoid crossing the border into the panic zone. The panic zone is characterised by attempting big leaps instead of taking gradual steps. In this zone, we often feel overwhelmed and clueless, flooding our bodies with cortisol and adrenaline, hindering the learning process.
Therefore, it is crucial to take smaller, manageable steps that promote improvement. By doing so, we can gradually enhance our resilience and tackle more challenging situations.
The Importance of Having the Right Goals
It is essential to set clear, meaningful, and beneficial goals to support our journey toward enhancing resilience.
When we have the right goals, we are genuinely motivated to achieve them. On the other hand, chasing goals that are not aligned with our true aspirations can make it difficult to stay motivated, easily leading to distractions and struggles with resilience. This does not imply a lack of resilience; rather, it means we are pursuing the wrong goals.
Taking Care of Yourself
If you find yourself feeling stressed, anxious, or controlled by your emotions, it's important to take a step back and engage in self-care activities. This can involve taking deep breaths, practising meditation, or writing in a journal.
Setting both short-term and long-term goals can also contribute to building resilience. By actively working on ourselves and staying within the stretch zone, we can continue to develop and grow.
Remember, progress takes time, so be patient with yourself as you navigate the path to greater resilience.
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