Life Speculations - Taking Breaks

"Rest is Needed to Reach the Next Level"

Breaks can easily be overlooked when you’re busy chasing your goals, working your a** off trying to make your business or career flourish. As someone who’s always eager to take on the next challenge and keep the consistency going, I often struggle to take time off without feeling guilty.

I’m sure you’ve all had moments where you’re either on your day off from work or even on holiday, and yet you still can’t get rid of those pesky thoughts reminding you of how many things on your to-do list are being ignored - I definitely have.

This week I want to touch on the importance of switching off. Our ambitions will always be there and the to-do list is not running away; recharging your mental health by stepping away for a few days shouldn’t go amiss.

The Importance of Taking Breaks

First things first, let's talk about why breaks are essential. In this capitalist culture, you might think that powering through tasks without pausing is a mark of dedication and efficiency, and to some degree this is true, but science begs to differ. According to research from the American Psychological Association, regular breaks can reduce or prevent stress, help maintain performance, and reduce the need for a long recovery at the end of the day. Taking breaks is not just about sitting back and doing nothing; it’s about giving your mind and body the time to reset and recharge.

“If you don’t make the time to take a break, something will eventually break.”

Breaks in Trading and Investing

To all my traders and investors, we all love making money and trying to predict the next best investment or trade; it’s one of the greatest feelings, but breaks are extremely crucial. The markets are relentless, and it’s easy to get sucked into the constant overflow of information and desire for more. However, stepping back can offer a fresh perspective.

I remember one particularly intense period where I was glued to my screens for weeks, analysing every tick, convinced that stepping away would mean missing out on the next big move. But in reality, my overbearing approach led to decision fatigue and costly mistakes.

This is especially a regular occurrence when you’re new to the markets. When you first start off you feel like you need to know everything and must consume as much knowledge as possible in order to make better decisons. Yes, knowledge is important, but you don’t want to become a slave to the markets.

A healthy mental battery is what will keep you in the game for the long-term, so make sure to not allow yourself to be consumed by the markets. Investing and trading is a tool to better your life, use it to your advantage and don’t let it become a detratemnt to your well-being.        

Taking regular breaks can actually improve your trading performance. A study by the Journal of Behavioral Finance found that traders who took scheduled breaks throughout the day made better decisions and had a higher success rate compared to those who didn't.

The key is to set specific times to step away, clear your mind, and return with a fresh perspective or set times to trade. For example, I have a specific trading window for the morning and afternoon. I try to avoid looking at the charts outside of my trading windows to give my brain some time to cool off.

For investing, the same principle applies. Setting times during the month or year to review your portfolio rather than agonising over it day in, and day out will work wonders for you.

Success in the financial markets is a mental game; it directly stems from your psychological and emotional health. If you’re always knackered and not giving yourself the time to recharge, it will only come back to bite you.

Without Rest, You Can’t Grow

These days I practically live in the gym and although I enjoy the time I spend there, working out is the perfect example of displaying how important it is to rest no matter how much you love what you’re doing. Recharging is vital to rest and enable you to push past hurdles and reach new heights in your journey.

Just as our muscles need time to recover and grow stronger after intense exercise, our minds and bodies require regular pauses to rejuvenate and maintain optimal performance.

In the gym, rest periods prevent overtraining, reduce the risk of injury, and improve overall strength and endurance. Similarly, in our work routine, taking breaks helps prevent burnout, enhances mental clarity, and boosts productivity.

Both scenarios emphasise the fundamental principle that rest is not a luxury but a necessity for achieving peak performance and long-term well-being. Whether lifting weights or tackling a demanding project, strategic rest periods are essential for sustainable success. Sometimes you need to take a step backwards before you can move forward.        

Furthermore, when we focus on the biology of the human brain, did you know our brains aren’t designed to focus on a single task for extended periods? Continuous work without breaks can lead to mental fatigue, reduced creativity, and decreased productivity. Looking at further research data, a study published in the journal "Cognition" found that brief diversions can drastically improve focus. The study revealed that even a small break can help maintain your focus and performance over a prolonged period.

I must admit, I’m not the best at taking breaks. I tend to get caught up in the flow of work, convincing myself that I can handle just a bit more before I stop. But I’ve learned the hard way that this approach isn’t sustainable. Overworking leads to burnout, decreased productivity, and, frankly, a grumpy me. It’s been a journey, but I’m making strides in prioritising breaks and, in turn, my health.

Questions for Reflection

So, as we wrap up, I’d like to leave you with a few questions to think about:

• How often do you take breaks during your workday or life in general?
• Do you notice a difference in your performance and well-being when you take regular breaks?
• Are you giving yourself enough recovery time to truly relax and recharge?
• What small changes can you make to ensure you incorporate more breaks into your daily routine?

Remember, taking breaks isn’t a sign of weakness or laziness; it’s a smart strategy for maintaining your health and achieving sustained success. Let’s all commit to giving ourselves the rest we deserve.

I hope you’ve learned something new, and if you have any questions or want anything to be clarified, please leave a comment below and make sure to follow us on all social media pages.

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