Topic: Important trading psychology lessons that you should take note of (Read 270 times)
Yes, these are very good points that all traders should take care of. They should always remain calm and think properly before taking any decision. Panic is the most dangerous thing that traders should stay away from. Traders have to experience a lot of unexpected situations which they should handle wisely. Decisions taken in panic can worsen the case. And acceptance of mistakes is a great habit that traders need to learn.
August 14, 2018, 06:14:03 AM
In my opinion, the most important psychological treat of a good trader is to remain calm no matter what happens on the chart. Easier to say than to do, especially if the movement is in the wrong direction from what you expect. It takes having nerves like steel to be a good trader.
Even though the professional trader are feel worried when the market is in the red zone but of course they know how to control their emotions and they know what they should do, sit and relax everything is gonna be okay.
August 14, 2018, 01:04:28 AM
In order to be a trader you also need to be decisive, there are many people that keep second guessing their decisions over and over again and there is a time where you need to be resolute and take a fast decision, and once you take it you accept whatever outcome that happens, and that is something very difficult to accept especially if the decision you took was the wrong one.
Losing trades are perfectly normal during trading sessions. It's called collateral damage, which is impossible to avoid since the market will always do something you don't expect, even in the stock market.High frequency trading done by institutions can result in several days without one single penny in profit, but they at the end of the month still manage to squeeze out a profit due to their consistency.
And high frequency traders mostly are granted precious information from the stock exchange itself that allows them to front run orders. If even that doesn't result in guaranteed profits, it simply doesn't exist.
In other words, losses are part of the game.
August 13, 2018, 05:28:50 PM
To be honest, I don't see how this can help a trader or why is it a mandatory for a trader to know this. The first advice - I think it's up to a trader when to analyze and why one should "order without thinking too much", what does that change? Second - a person who invested his money in a crypto will always wait for a perfect outcome, it's not the kind of thing one can prevent in his mind. The third one - I can't imagine what kind of a trader wouldn't focus on charts, because it's the basis, but speculations are important too, some news can be a wake-up call for traders. Accept losses is just some obvious thing I won't even comment on that one. And the last one - I think it's the opposite, statistics is important, if you kept trading for some shitty coin that wasn't bringing you any profit you should quit but not wait until luck will knock on your door.
August 13, 2018, 04:59:59 PM
I have been doing cryptocurrency for about 5 years. During this time,I read a lot of literature,considered a lot of forecasts on tradingview, in Telegram and on many special sites. I can say with confidence that there are no exact trading strategies,the market is unpredictable,and most of the forecasts do not come true. So recently I have focused only on my opinion and intuition.
August 13, 2018, 04:07:14 PM
This article will summarize the common trading psychology lessons that any trader needs to equip.
1. Boldly enter the order
Before entering the order, the trader needs to analyze, we need to anticipate all the bad to good situations that may occur next. But one thing is for sure, traders do not count on the market. There will be situations where you will certainly not be expecting, so it's best to discipline yourself and give yourself a good plan and then to order without thinking too much.
2. Do not look to perfection
Patient waiting for good opportunity is one of the elements of successful trader. But the chances, albeit good, can not guarantee a definite victory. Market uncertainty, always probability and risk. So do not go for perfection, but focus on the rules on the command.
3.Avoid personal prejudices
One of the most common psychological factors in young traitors. They usually do not focus on the chart, but just speculate. The information on the chart is the most accurate, analyze based on them, do not attempt to label a certain stereotype of yourself into the market, it does not help you, but only create a burden and mental pressure.
4. Accept losses
It is difficult to do this, including skilled traders. Accepting losses is one of the top factors to turn you into a profitable trader. Fighting back losses simply makes you lose more.
5. Do not worry too much about statistics
Sometimes, looking at trading or diary results, you will see negative numbers, which can be a negative result, or a long series of losses, so tired of seeing the numbers. no Trading is a long-term game, think about the future, have a long-term vision, you are investing yourself, not throwing money into casinos, so those numbers are only a very short part. Trading distance ahead.
I believe that the two most important psychological lessons are greed and fear, you can see that these are the two main reasons and are mainly for you to fail in the transaction. You may find that the market is in downtred stage so the mistakes you make will be severely punished.1. Boldly enter the order
Before entering the order, the trader needs to analyze, we need to anticipate all the bad to good situations that may occur next. But one thing is for sure, traders do not count on the market. There will be situations where you will certainly not be expecting, so it's best to discipline yourself and give yourself a good plan and then to order without thinking too much.
2. Do not look to perfection
Patient waiting for good opportunity is one of the elements of successful trader. But the chances, albeit good, can not guarantee a definite victory. Market uncertainty, always probability and risk. So do not go for perfection, but focus on the rules on the command.
3.Avoid personal prejudices
One of the most common psychological factors in young traitors. They usually do not focus on the chart, but just speculate. The information on the chart is the most accurate, analyze based on them, do not attempt to label a certain stereotype of yourself into the market, it does not help you, but only create a burden and mental pressure.
4. Accept losses
It is difficult to do this, including skilled traders. Accepting losses is one of the top factors to turn you into a profitable trader. Fighting back losses simply makes you lose more.
5. Do not worry too much about statistics
Sometimes, looking at trading or diary results, you will see negative numbers, which can be a negative result, or a long series of losses, so tired of seeing the numbers. no Trading is a long-term game, think about the future, have a long-term vision, you are investing yourself, not throwing money into casinos, so those numbers are only a very short part. Trading distance ahead.
TO fix this you have to plan well before the transaction and adhere to it.
August 13, 2018, 12:47:03 PM
This is very wise to be involved in the trading seriously, including all the psychology aspects and all the wisdom that we can obtain, because to be involved as a hobby you would get nothing but discouragement and frustration.
August 13, 2018, 10:55:32 AM
This article will summarize the common trading psychology lessons that any trader needs to equip.
1. Boldly enter the order
Before entering the order, the trader needs to analyze, we need to anticipate all the bad to good situations that may occur next. But one thing is for sure, traders do not count on the market. There will be situations where you will certainly not be expecting, so it's best to discipline yourself and give yourself a good plan and then to order without thinking too much.
2. Do not look to perfection
Patient waiting for good opportunity is one of the elements of successful trader. But the chances, albeit good, can not guarantee a definite victory. Market uncertainty, always probability and risk. So do not go for perfection, but focus on the rules on the command.
3.Avoid personal prejudices
One of the most common psychological factors in young traitors. They usually do not focus on the chart, but just speculate. The information on the chart is the most accurate, analyze based on them, do not attempt to label a certain stereotype of yourself into the market, it does not help you, but only create a burden and mental pressure.
4. Accept losses
It is difficult to do this, including skilled traders. Accepting losses is one of the top factors to turn you into a profitable trader. Fighting back losses simply makes you lose more.
5. Do not worry too much about statistics
Sometimes, looking at trading or diary results, you will see negative numbers, which can be a negative result, or a long series of losses, so tired of seeing the numbers. no Trading is a long-term game, think about the future, have a long-term vision, you are investing yourself, not throwing money into casinos, so those numbers are only a very short part. Trading distance ahead.
1. Boldly enter the order
Before entering the order, the trader needs to analyze, we need to anticipate all the bad to good situations that may occur next. But one thing is for sure, traders do not count on the market. There will be situations where you will certainly not be expecting, so it's best to discipline yourself and give yourself a good plan and then to order without thinking too much.
2. Do not look to perfection
Patient waiting for good opportunity is one of the elements of successful trader. But the chances, albeit good, can not guarantee a definite victory. Market uncertainty, always probability and risk. So do not go for perfection, but focus on the rules on the command.
3.Avoid personal prejudices
One of the most common psychological factors in young traitors. They usually do not focus on the chart, but just speculate. The information on the chart is the most accurate, analyze based on them, do not attempt to label a certain stereotype of yourself into the market, it does not help you, but only create a burden and mental pressure.
4. Accept losses
It is difficult to do this, including skilled traders. Accepting losses is one of the top factors to turn you into a profitable trader. Fighting back losses simply makes you lose more.
5. Do not worry too much about statistics
Sometimes, looking at trading or diary results, you will see negative numbers, which can be a negative result, or a long series of losses, so tired of seeing the numbers. no Trading is a long-term game, think about the future, have a long-term vision, you are investing yourself, not throwing money into casinos, so those numbers are only a very short part. Trading distance ahead.
Very good, psychology and character education in one post will open our mind about another side of trading world. But I believe this is also basic knowledge and everyone already knows that, but how people can disciplines to do is important thing. You should include the limit for all subject because go with out no where to stop is not right. As trader/ investor I can say you have enough knowledge to share, thank you very much.
August 13, 2018, 10:44:24 AM
I'd add her that you should be happy if you earn and never regret that you could wait a bit more and earn more as well.
August 13, 2018, 10:29:25 AM
I strongly accepts your point one,we need to be bold at our decision once we decide to do this,the lose or gain just face it with brave.Trading is like a gambling so we have to do these things based our instinct so trust yourself first before doing trades and hope you will be right about this decision.
August 13, 2018, 05:41:05 AM
Quote
4. Accept losses
It is difficult to do this, including skilled traders. Accepting losses is one of the top factors to turn you into a profitable trader. Fighting back losses simply makes you lose more.
It is difficult to do this, including skilled traders. Accepting losses is one of the top factors to turn you into a profitable trader. Fighting back losses simply makes you lose more.
As from my experiences this number 4 of yours is the couse of panicking for some peoole who starts and new to trading. But fight back and learning for mistakes can make you earn more as I learn from trading and before after all this which is learning for your mistakes.
Quote
5. Do not worry too much about statistics
Sometimes, looking at trading or diary results, you will see negative numbers, which can be a negative result, or a long series of losses, so tired of seeing the numbers. no Trading is a long-term game, think about the future, have a long-term vision, you are investing yourself, not throwing money into casinos, so those numbers are only a very short part. Trading distance ahead.
Sometimes, looking at trading or diary results, you will see negative numbers, which can be a negative result, or a long series of losses, so tired of seeing the numbers. no Trading is a long-term game, think about the future, have a long-term vision, you are investing yourself, not throwing money into casinos, so those numbers are only a very short part. Trading distance ahead.
Well for me looking daily is good but it is up to you
but sometimes it actually depends on the people how they reaction. It is a good thing to look to see daily change or weekly to see more effective change and study how the flow goes.
August 13, 2018, 04:50:32 AM
That is actually all about psychology, but the bad point is that you are also in this game so trading is always difficult for most of us.
August 13, 2018, 03:38:43 AM
I want to add one
do not be too confident with someone's issues and words, because most people only make decisions from following what someone says because they are lazy to do it themselves, recheck and develop their trading skills
because now many scam issues are scattered to make FUDs that will be detrimental
Yes,you need to be confident on your own decision if it anything goes wrong then accept it and move on and find how to recover from that.We also need to have self control over our emotions because when the prices were falling it is hard to resist our feelings so we may tempted to take wrong moves at that time.do not be too confident with someone's issues and words, because most people only make decisions from following what someone says because they are lazy to do it themselves, recheck and develop their trading skills
because now many scam issues are scattered to make FUDs that will be detrimental
August 12, 2018, 10:54:29 AM
4. Accept losses
It is difficult to do this, including skilled traders. Accepting losses is one of the top factors to turn you into a profitable trader. Fighting back losses simply makes you lose more.
It is difficult to do this, including skilled traders. Accepting losses is one of the top factors to turn you into a profitable trader. Fighting back losses simply makes you lose more.
In my opinion, this advice is not correct. Moreover, it contradicts to the first item where you say that the trader needs to analyze and anticipate all the bad to good situations which may occur later. I think the losses should be transformed into the gains. Don't acquiesce in the losses if you are a successful trader. You need to learn from your mistakes and use this experience to avoid the losses in the future. Always change your trading strategy to gain profits.
August 11, 2018, 06:15:26 PM
4. Accept losses
It is difficult to do this, including skilled traders. Accepting losses is one of the top factors to turn you into a profitable trader. Fighting back losses simply makes you lose more.
this may be greed which causes emotion difficult to accept loss. whereas loss is part of trade and cannot be avoided. maybe need some practice for this.
August 11, 2018, 03:03:28 PM
3.Avoid personal prejudices
One of the most common psychological factors in young traitors. They usually do not focus on the chart, but just speculate. The information on the chart is the most accurate, analyze based on them, do not attempt to label a certain stereotype of yourself into the market, it does not help you, but only create a burden and mental pressure.
For me, this is the best advice among the other four because people tend to exaggerate their expectation without looking first at the statistics in which I believe very important in this kind of job. In the end, those who ignore this advice leaves a bad impression in trading but in fact they are the one that should be blame on for not considering reliable data analysis from the indicators.
August 11, 2018, 01:34:11 PM
4. Accept losses
This is an absolute...
But the effect is different between aggressive and conservative traders.
If you follow profits aggressively, losses will follow you too...
This is an absolute...
But the effect is different between aggressive and conservative traders.
If you follow profits aggressively, losses will follow you too...
August 11, 2018, 01:24:48 PM
One of the most common psychological factors in young traitors.
I do not see a link between personal prejudices and graphs, relying on graphs is not a good idea when you want to invest in Bitcoin where there are some differences between regular trade and bitcoin.This is a good point as one of the bad things in Bitcoin trading is "psychologist" who has suffered from it. When you see the price has been dropping since morning, leading to psychological exhaustion for the rest of the day. "This fatigue affects work and personal life."
I also think that what came in this point contradicts point 5
August 11, 2018, 04:30:43 AM
In my opinion, the most important psychological treat of a good trader is to remain calm no matter what happens on the chart. Easier to say than to do, especially if the movement is in the wrong direction from what you expect. It takes having nerves like steel to be a good trader.
Even though the professional trader are feel worried when the market is in the red zone but of course they know how to control their emotions and they know what they should do, sit and relax everything is gonna be okay.
August 10, 2018, 08:43:20 PM
4. Accept losses
It is difficult to do this, including skilled traders. Accepting losses is one of the top factors to turn you into a profitable trader. Fighting back losses simply makes you lose more.
It is difficult to do this, including skilled traders. Accepting losses is one of the top factors to turn you into a profitable trader. Fighting back losses simply makes you lose more.
In my opinion, this advice is not correct. Moreover, it contradicts to the first item where you say that the trader needs to analyze and anticipate all the bad to good situations which may occur later. I think the losses should be transformed into the gains. Don't acquiesce in the losses if you are a successful trader. You need to learn from your mistakes and use this experience to avoid the losses in the future. Always change your trading strategy to gain profits.
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