When I started getting interested in mindfulness a couple of years ago, I did my fair share of reading up on it; and in doing so I came across the RAIN method: a method that I feel might be of use to some traders. The RAIN method is what this post is about.
RAIN is an acronym and the four letters (RAIN) is part of a four step process used for dealing with all sorts of problems / difficult times. Following is an explanation of the RAIN method after which I give an example of how it helps me and possibly you in your trading.
The four steps of the RAIN method:
- The R in RAIN is to Recognize what is happening or what is going on. This means to recognize what feelings, emotions, thoughts, behaviours or sensations you are experiencing at any given moment as a result of a difficult situation / difficult times for example.
- The A in RAIN is for Allowing. This means to allow the situation to just be as it is; to allow whatever feelings, emotions, thoughts, behaviours or sensations you are experiencing to be just as it is, at that very moment. Allowing is acknowledging and accepting whatever feelings, emotions, thoughts, behaviours or sensations you are experiencing. In the beginning there might be a lot of resistance, just be gentle and patient with yourself; over time you will start to realize that there is less resistance and more acceptance toward said experiences. It is said that some people are able to stop here (only doing steps 1 and 2), but others need more (steps 3 and 4).
- The I in RAIN stands for Investigate; to investigate the experience with kindness and gentleness. To investigate (with kindness and gentleness) your experience at that moment means to dig deeper and to focus more deeply your attention to said experience. Asking yourself questions about the experience and a more pointed but gentle inquiry into yourself, noticing how and where it affects your body.
- The N in RAIN means Non – identification. With this you have to realize that you are not your thoughts. It means that you as a person as a whole is not only your thoughts but much much more. Non – identification means the realization that whatever feelings, emotions, thoughts, behaviours or sensations you are experiencing are limited and are not part of you as a whole. This realization occurs without any effort unlike the first 3 steps, there is nothing to do for this step; realization happens spontaneously and on its own.
And that’s the four steps of the RAIN method. I’ve never used this method in my trading, but I do use it during other times in my life, which is what I will explain next..
I normally realize the need for this method whenever I have recurring negative thoughts or feelings about something. It could really be anything, but it needs to be recurring insofar that I feel it takes up a lot of my time, it influences my behaviour towards other people or interferes with my work, etc etc. Recognizing for me then comes because of this recurrence of said negative thoughts / feelings.
It’s this recognition that takes me to the next step; that is to allow myself to experience these negative feelings instead of just trying to block it out (as I used to do) by trying to keep busy in the hope that they’ll go away (which usually leads to me becoming more frustrated). So I just acknowledge them, accept them and allow them to happen. I might tell myself / acknowledge something like, “Yes, I’m thinking negatively about this or that and it is causing me to….”.
Next is on to the investigate step. During this step I dig deeper as I stated above. I dial in more to what I’m experiencing and also where I am experiencing it. I also ask many questions like, “why am I feeling this way? (Even though I might already know)”, “what I am thinking and what kind of thoughts I have?” and “why is it upsetting me so much?”. At this point I start to feel like I can get over those negative thoughts / feelings and start to feel better rather than suppressing my feelings / thoughts.
I stop at step 3 because I really do feel better after the investigation step. Whether this is where the non – identification step comes in / if that feeling better is the non – identification happening spontaneously as I wrote above; I am not sure. I also want to mention that for me this method doesn’t help the first time, but I have to go through it a couple of times (everytime I recognize these negative feelings coming up from the same recurring situation) and every time that I go through it, it gets a little better. I also do believe that the RAIN method will be more effective and easier if you practice mindfulness (for me at least) as it just makes me much more aware of my feelings, emotions, thoughts etc.
Do you think the RAIN method can help you in your trading? Like:
- when you get angry for getting stopped out of a trade (following your trading plan)?
- getting frustrated for taking profits too soon (according to your plan)?
- when you missed a winning trade for some reason that was unavoidable?
- when you feel nervous during a trade?
And there are many more reasons like the above where you might be able to use the R.A.I.N method; can you think / add your own where you think this method can be useful to your trading / life in general?
You can read more about the RAIN method here (where I first learnt about it).
Hope you enjoyed this post.
Regards,
Trading SOS SOS