Trading Psychology – Conquering Your Emotions
A lot of traders can actually feel their emotions in place when they place their trades. And seeing their trades taking place.
– Heart Thumping (Beating faster)
– Sense of Anxiety
– Irrational Behavior
– Hatred & Revenge mindset
– Always feel that the market is going against you
If you feel any of the above in trading, it is normal. The market is set for you to feel this way.Which is why to be a successful trader, 80% is about conquering and mastering trading psychology.
And some of the reasons that you could be feeling any of the emotions above include:
– You are trading way beyond your risk level (Trading too high an amount of your capital)
– You have not calculated your proper risk size before entering
– You entered based on Gut feel
– You fully expect and anticipate that the market will go your way according to your previous experience or something which you had learnt – but it Didn’t..
– You are trading on a money that you desperately need. (Eg. borrowed money, food money, life saving money etc..)
If you have experienced the above, stop trading for the moment.
– Go get a shower and analyze what had gone wrong
– Go for a stroll in the park, beach etc..
– Self Reflection
– Meditation, calming exercise
Ask yourself, are you trading the right way?
Are you actually trading or gambling?
Do you have a proper trading system?
Did you entered on proper setups (eg. price action) or you entered based on your gut feel? Trading is about self analyzing, discipline, self control, and sticking to your trading system.
It may sound tough at first, but once you start practicing the stuffs here for 20 days. It will then become part of you and you are no longer putting any conscious effort in applying the above.
Start with learning and trading with a proper system today. Learn the full system at Asia Forex Mentor Price Action Forex Trading System
To an awesome trading as always,Ezekiel Chew
Next Advanced Article: Forex trading psychology – conquering your emotions (part 2)