Strong Emotions in Trading

You may have put extra effort into your trading to try to overcome this problem, learning more about technical analysis and maybe trading psychology. But that doesn’t seem to matter.

When you get into a trade you Following Happen

1. You feel your nerves rise.

2. Your attention rivets onto Price flashing in terminal,Every Tick in your favor is Happiness and against you discomfort

3.Your heart is racing and your muscles become tense. Your discomfort is palpable.

4. If your trade is in a little profit, your mind is urging you to get out now—at least you will have a profit, it says. Certainly, you cannot have a loss.

5. You might struggle a little longer and try to hold onto the trade, but your mind becomes insistent: “Get out NOW!” And, you do.You feel relief. Whew! All that tension is over. And, you made a small profit.The relief feels good.

6. Then, a few minutes later the market takes off and runs several points in your direction. A sizable profit was forfeited because you were mentally and emotionally hijacked.

How many times have you repeated this or similar experiences?

You promise yourself you will change but fail to follow through with your plan.

Fear, or another strong emotion, gets the better of you—every time. You wonder if there is a better way.

Yes, there is a better way. The first step in learning how to deal with and overcome the erratic trading behavior caused by strong emotions is to help you bring clarity to your experiences so that you understand them on a deeper level than you do now.

Traders overwhelmingly endorsed fear as the most difficult emotion to control when trading. It was cited about twice as frequently as either greed or hope. Fear is a very common and frequent experience among traders.

If you experience fear, stress, and anxiety when trading, understand that you are
certainly not alone. Virtually every trader experiences these strong emotions.

“never really all that comfortable in their trading chair.” They still had doubts, still had worries,
and still experienced anxiety and fear. They felt the stress of trading and yet found
that they could still make good, profitable decisions while feeling uncomfortable. Although
these successful traders learned to “get comfortable with their discomfort,”

The habit they created for themselves was not to try and get rid of fear and discomfort, but to keep fear and discomfort from disrupting their market judgments and trading decisions.

These habits can be developed by doing proper excise and mentoring on trading psychology.

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