Topic: Trading Psychology and tips (Read 479 times)

All controls are solely in the hands of traders, of course the traders are the pilot of the whole craft, more reason why the mentality of the trader has to be strong and matured in terms of capacity to face the market squarely.

The psychology of a trader is more than essential for success in trading.

Considering your mistakes as a beneficial part to overcome your faults because once you do you will never repeat that as due to such mistake your investment will be at peril.

Stop loss is used in order to reduce your risks in such a volatile condition like it will automatically sell your asset if you set stop loss means it will not allowed your asset to go more down than selected order.

The changes of failure can be overcome with the help of stop loss means that you have no need to check regulary the price of market but just set an order by reaching to specific value your asset sell out on its own.

That is a real expression that we often encounter and we ourselves may even have experienced such a situation. Trading is not easy to do because it requires experience and knowledge and if someone forces you to trade without knowledge, you will definitely face much greater risks. Learn first if you want to decide to trade, at least we can face the risks correctly and at least it won't affect us psychologically when we experience losses.

Because basically trading can be studied and will provide conclusions for someone involved, although trading cannot always produce profits. But if we have the right knowledge about trading, even if we suffer a loss we can still face this condition and at least we can take advantage of the opportunity to make a profit in the next trade.

At first i wasn't this greedy type of a trader but the problem i was having then was my strategy not going well with me, so went round doing it the wrong way by trying to learn every strategy i see on youtube and trust me it messed with me badly. But now what i did was to master it, get good with it and stay discipline.

You would really be finding out for yourself on how hard it is, it is really that true that giving advises would really be that so simple on which we could really be able to point out those important things and telling them about that sensible things on what must done but if you are into their shoes then you wouldnt really be able to know on what you should gonna do. Trading is something that cant really be precisely be that you do able to get it on first try or simply being a newbie. You would definitely be experiencing those common problems along the way and its true that psychological and emotional aspect would really be the main issue that you would really be able to encounter on which you would really be needing adapt and really make yourself that versatile.

Tips? There's no such thing about tips and tricks because what you do really need is to find out for yourself on what things should really be done and what things should be avoided.
This could really be acquired through real experience and this is something that you should really be that minding to do so. Sustain and survive on which this would be your main
priority. Market is unpredictable and this is why its better to have that kind of mindset on the time you do decide on touching up this market.

Some people are so crazy about leveraging because they think that they have a working strategy.  But it does always end well when one is fond of using higher leverage when trading. Patience is a virtue. If one goes slow and steady with a working strategy, it will only take time to be in huge profits. But using a higher leverage in order to influence your profits faster can only lead to fatality.


It is fine to re-evaluate your strategy once a while. Do no relax and continue doing one thing because it is giving you results.  There might be better unexplored results. That is why it is good to re-evaluate your strategy either by testing it against other strategy (ies) and know the level of its effectiveness.

That's such a true thing, it is easy to say it but not easy to do it at all. I personally would love to be like that but trading is harder than most people think, and we should be more careful about it than we have been so far and that is going to change a lot. I know that things are not that easy and there are some stuff that could make it change a lot but if we are careful about it then we are going to be fine.

I personally do not really feel like there is going to be anything that would not be all that well, and should definitely reach to a point where we could end up with a greater return and by the looks of it we are going to end up with a good profit if we just focus on learning how to be a better trader.

Your writings are very knowledgeable one so i want to add a thing or two. In your teachings, i feel like you did not mention the most important of "trading" Which is to take profits. To excel as a trader, you must find the balance between when to take profit, and you must always take profit.

Refusal to take profits when it presents itself means you are setting up your trade to fail and putting your skills down. I have read few comments saying trading is "stressful", i dont believe so, treat trading as a hobby, an occupation; enjoy trading and focus on taking profits every time too; trading is something you must "enjoy" doing, not "endure"

Whether we do like it or not which majority of those newbie traders would really be that just focusing that only on how to make money and trying out to think that they could become rich in no time. They do usually

seeing those other peoples gains specially on social media which those people making up tons without even trying out to realize on how hard it is on making even on a single profitable trade and this is where self
knowledge and expertise would really be kicking in.You would really be of course needing it because if you dont have these things then for sure you would really be ending up on tons of mistakes
and errors on which most people do really commonly experience.Somewhat there are really conditions which are inevitable and this is where errors and mistakes is really that something that cant be avoided
on which means that this is one of the learning things that you could be able to obtain.

On your next time then you do already know on what you should gonna do since you do have the experience and knowledge. It is really just that you should not make
yourself trying out to be perfectionist because this is where things turns out to be salty. 

It is not only trading without knowledge that is risky, but all business and investments where you do not have knowledge can prove to be risky. My own experience says that trading is very difficult if you do not have good experience and complete expertise in trading. So you should never get into trading, as many people think about it.

 We cannot make money or trade easily unless we know about market strategies and psychology and traders know well. So, in terms of making yourself comfortable, it is definitely about understanding the fluctuations of the market, your decisions about trading, your interest and the mindset of the people/traders who are directly involved.

Easy to say but difficult to implement, trading is much riskier if one does not have the knowledge. The most important thing is that you have to know whether trading is something suitable to do or not, because not many people have the ability to survive when the trades they make result in losses. Psychology will have an impact before we get involved in trading risks. No battle is always won by a group of people and worst case you get shot and die.

This illustration may also apply when you trade because you cannot always make a profit and there are times when you suffer multiple losses when trading. How can we win more in trading than lose, because without us realizing there are times when the right position in trading will result in losses, if we don't change our trading patterns at any time.

Trading is not always possible to make profit especially few people can be successful in crypto trading. Moreover it is not possible to win all the time many times it is seen that people place bets in gambling and they do not win but rather they lose just like in the case of trading it is not possible to win all the time. If a trader can make 60% monthly profit by trading then it is definitely a successful venture for him and he will get known as a wise trader. Moreover, those who have a special understanding of the market can definitely gain more percentage because they have better knowledge. Of course, always a profitable trader will not adopt his alternative methods and using the methods he has acquired will be profitable in the business field and that person will be successful, and the trader who adopts good methods will be able to win the trade.

simply put, those who trade with emotion usually don't understand chart patterns. So use feelings in trading. believe this coin will rise without looking at the existing charts and data. even though it is very important. another second thing is asset management. Maybe it doesn't matter too much for those with capital under $100. However, if the capital is more than that, in my opinion you have to use good management in trading.

It is not even faking something. For me, it's more like acting like the kind of person that you wanted to be. Yes, you might lack some concepts or understanding but you still can survive and surpass the challenge by figuring things out along the way. But if your personality cannot withstand all the adversity, drawdown, losing streaks, and guilt with human error then your chance to quit and fail is greater.

You are not faking it as a trader. You are just putting a new identity to yourself as a successful and profitable one. Because how you see yourself greatly affects how you act and behave in front of the markets volatility.

Your points are very logical psychologically. But I don't agree with everything.  I think the good aspects of trading should be highlighted.  There are many points that can make a new trader panic. His confidence can decrease.  If someone wants to do trading then he should first know about bitcoin. Then he should know about the market. He should have a lot of understanding about hold and sell.  Be confident. Learn to trust yourself, be mentally strong.

There are a lot of things to consider when talking about trading psychology but it's going to make sense only if you do it. I believe that you are going to be successful if you are to continue and be consistent with how the psychology is whether or not it's with trading.

The emotions that we experience are the things that I think will hinder us so much. We need to know how to handle it.

I do agree that if you trade, as long as you are trading, you are a trader. There isn't anything else that is required to be considered a trader, the meaning of trader is literally someone who trades that's it. Not everyone may deal with a lot of money, not everyone may make thousand trades per day, nor maybe even make a profit while trading but as long as they trade, that makes them a trader.

I personally do not trade all that much, maybe I am a bad example because I do not consider myself a trader because I also hold long term majority of my investments, but if I wanted to call myself a trader, I would be able to say that because I trade at least few times a week and that should be more than enough to be a trader.

Is there a technicality you need to fall under for you to be considered a trader? As far as I know as long you have made consistent trades or have traded for the most part of your investment journey you can be considered a trader right then and there. Gathering knowledge is just part of the process, it's not the result itself, simply earning or doing a single trade doesn't make you a trader either since I bet everyone here has made a single trade at least once in their life and they don't go telling everyone they trade crypto.

Just as long as you're in this industry for the sole purpose of earning money through trading currencies, you're considered a trader, no other technicality or rules to follow to be recognized by everyone. I don't think it's as important as a lot of you guys are trying to portray especially when the very topic is all about the Psychology of trading

A trader should be mentally and emotionally fit, otherwise if one lacks, he will not be a reliable and profitable trader. But I don’t think these will be easily developed on a trader. He might endure consistent losses at first before he will achieve good mental and emotional aspects. And once they’re already capable mentally and emotionally, trading will be more on gains and with less amount of losses.

Practically if you are too positive or over negative, your thinking and action will be biased then no longer accurate. As a trader, investor or gambler, you should keep your mood as most neutral as possible then you can make better decisions or at least avoid bad mistakes because of emotional, psychological effects.

We are not whales and we are not manipulating the market. What we think about the market can be what whales are setting up their manipulations and they even see it better than us. So if we believe that what we see and think about the next movement of market is correct, whales can do opposite manipulation on the market. Then if we gamble with leverage, we will be trapped by whales and exchanges will liquidate our positions. It is not good and can be nightmare if we make loan to invest, trade and use very high leverages. Because a higher leverage, a higher risk to be liquidated and a bigger loss we will get at the end.

That is a lot of information in one thread and can be helpful for anybody that is struggling with his mindset. Remaining positive and trying to influence our psychology to avoid negative thoughts is important when it comes to trading. I learned most of these things through gambling, as I started regular gambling when I turned 18 and there were a lot of tools especially in poker that can be also used when trading stocks and cryptos. A winning trader doesn't always need to have 60% trades that are right, this would assume that you always spend the same amounts on your trades and your losses and profits are similar in sizes. This is not really realistic and I wouldn't recommend anybody to focus on such a statistic. It's okay to lose money on 9 out 10 trades, as long as the profits in the one trade is larger than all the losses combined. Risk management is an important tool when it comes to trading, because it tries to limit the amount we are losing in our failing trades. At least for me this was a more helpful approach, try to maximise the profits you are getting from your winning trades and avoid and minimise losses as much as possible.

Yes I agree that trading is not always an internal factor, but in reality external factors will be very influential. It could be that when we analyze and we enter the market there is news that will suddenly affect the market. Surely it will change what we have analyzed about price movements. We must be prepared for that and indeed mentally will affect, we must be able to quickly decide whether we will continue our trading or we will stop there and get out of the market as quickly as possible. Decisions like this in my opinion are also very important and also experience will certainly greatly affect decision making.

Several valid points in the OP which I totally agree with, but another thing that tends to mess around with our psychology is a losing trade...

You know how you get to analyze your charts and pinpoint areas where you will be buying or selling, but trade goes against your A setup and think your strategy or analysis did not work and choose to jump on another strategy to try to catch some winners... well the problem isn't always about the strategy, sometimes external factors beyond our control like news come into play which affect a potential winning trade and turns it to a losing trade and should tell us we must accept that we shall not always win, losses are part of trading!

Fake it till you make it 

Otherwise, mechanical trading is the way to go to counter one's shortfalls of trading!!

In my opinion, creating a trader's mentality is very difficult. Where someone has to go through various kinds of market attacks. People who have trading experience and analytical skills may be able to form a trader's mentality that is able to control emotions when trading. Mentality and emotions have a big influence on trading results.

I'm sure there are lots of tips and tricks in trading psychology, but if we went directly into the market our emotions and psychology would definitely be very different. Once again, all control rests solely with the trader himself.

I consider the trading space a highly volatile space, one must exert a high level of mental capacity to deal with what comes in engaging with it. The mentality of a trader speaks volume and is always evident in his trading result. Loses are a compulsory part of the trading business and if one incurs loses, its not for the person to feel messed up already but to understand that the market trends and speculations can deviate from the speculations and create a new part, this is always normal and traders with a circumspect understanding knows this and their mentality accommodates it.

If you have your trading psychology balanced, only then will you really enjoy trading with profitability.

Trading is actually not for everyone but that does not mean that it is not encouraging for people to learn the trading skill by knowing what is happening in the cryptocurrency charts and the market overall. I am not a good trader because at a time I stopped trading, but I have ideas of trading. So if I decide to be writing journals on trading I can write as many as you can think about and you will enjoy reading them, but in the real life, if I am given a system and asked to tread with some certain capital. I am certainly going to blow up the capital if care is not taken. So this shows that there is clear difference between theory and practical. You can read about it, but if you have not praticalize it and it works for you, you dare not brag about it that you are a professional trader. Many good traders do not even have time to write many articles about how to succeed in trading.

I think back testing plays an important part in developing your trading strategy. Backtesting should work on low time frames like 1-5 minutes because the market condition changes very slowly. Backtesting can be time-consuming, and the time spent on it may lead to missed opportunities in the current market. Interpreting backtest results can vary, leading to different conclusions about the effectiveness of a trading strategy. Backtesting can provide a false sense of security, as it may not accurately reflect how a strategy will perform in real-time trading conditions.

- https://www.tradingview.com/chart/ES1!/ZDm421wm-5-red-flags-When-to-change-your-trading-strategy/

This is actually why trading is damn hard and stressful. First, you need to control your emotions when we all know that emotions are uncontrollable in a human being. Once we don't feel any emotions, then it's as good as that we're no longer humans anymore. Second, we need to endure losses because that will teach us a lot and help us to improve our skills and strategies the next time time we trade. And lastly, the more losses we gained and overcome, the higher chances we are prone to success. If you come to outnumbered your losses than your gains, then consider yourself as a profitable trader already.

I think that's already given when you decide to be a trader. Trading is a game of knowledge and skills, and the more experienced you are, the bigger chances to become successful. So you should not trade only because it's known to give us remarkable profits, but we should trade because it is our passion and we become more enthusiastic to trade because of the challenges that we will face in trading.

We know that copytrades could really be done automatically or manually but its true that copying totally specially on manual wont really be guaranteeing out that on what the results those whom you do follow would

really be totally the same on what you do have considering that there would be other factors on which it would really be totally affecting out those outcomes from their to your own trades even
though you had copied it out but doesnt mean that it would really be sharing up on the same results and this is something that very common thing to happen and not all would really be that
having that precision and this is why it would be always preferred on trading on your own rather than on copying others which its never been recommendable.

The fact that creating with your own would really be much better since you would really be molding up yourself to be a better trader which you wont really be that relying with
others and could handle out yourself within this unpredictable market and this is something that you would needing to focus on which you could really be able to
sustain no matter what.

There's a point buddy as you consider that people do copy the trading strategies from the other traders but what I think is that the trading strategies we develop on our own for portfolio management and trading work more efficiently even for tier traders' trading strategy may not work for you, much effectively. As the strategy developed by the top tier traders is based on risk management, and psychology it can never meet the resemblance with the strategy you want as you care in a completely different scenario.

I don't think you can generalize that all traders and investors are the same - of course there are differences between experienced traders and investors compared to those who are just starting out. In fact it is impossible to expect prices to rise without fluctuations - and everyone must knows that.

Additionally, bullrun do not necessarily mean price increases without volatility - meaning that whenever prices rise by a certain percentage, a decline will always occur. So again - don't generalize it's all the same.

Traders or investors often think that once a price goes higher then Bull run initiate and it will never goes down again which means that they are wishing to be more profitable and are not thankful for what they have.

Instead of stopping trading after consecutive losing they continuously trade for recovering their money without knowing the strategies to overcome mistakes and their wrong concept become a cause of their financial crisis


Strategies can be copied and also people create their own strategies dependent on market situations. Copying someone other strategy is easy but you will have problem in using it and whenever one strategies do not work properly so you will have to change that as a single strategy is not advantageous all the time.

honestly, this is the conclusion of the topic you created.  there are 30 days in a month, if you trade every day then losing 14 times during a month is very normal, a professional trader is not calculated from one hundred percent accuracy of his predictions but from what percentage of his winnings each week or each month ^{(depending on the period the trader's target)}, recapitulating how much you lose and win in a week or month is part of risk management and traders who always win are those who master it and practice it in every trading activity they do.

If a trader is mentally not strong, then he isn’t fit for the crypto market I guess. Not only in crypto trading, but also in other types of trading, the risk to make profit always remains at higher level. So as we know that when the risk is high, the chances of getting losses are also high. So if a trader doesn’t think about this mentally, then his psychology will be affected by the losses. So he needs to control the emotions and trade with all the possibilities. He should be ready for all the outcomes that the market will give him while placing any trades.

Yes, the important points for me can be summarized: The most important emotions that must be controlled for a trader are fear and greed. This can be done through discipline and risk management.

The most important point is “your losses, your lessons.” Yes, this is absolutely true because losses are the ones that give you the biggest practical lessons by feeling the real pain as a result of the loss. These losses give you real experience and refine your experiences.

Finally, if you come out with 60% profitable trades, this means that you are a winner. Yes, it is true because even the most experienced and famous traders do not have 100% successful trades, so the successful trader must work to increase this percentage as much as he can.

You know if you aim to be a professional trader, there’s no way but to trust our own analysis no matter how imperfect it seems because what we have learned and gained as a trader will definitely reflect on the result of the analysis we made. If you are think you are always in doubt, then don’t pursue your trading career. You will only lose in the long run if you never trust your own instinct and trading analysis.

It's also important not to lose concentration just because of initial failures. A lot of people enter the market with a lot of enthusiasm and excitement but they exit the market after they face a couple of losses initially which is wrong. Wins and losses are a part of everything, you won't always keep getting successful in your life but you are not supposed to give up just because you are not able to get success very easily, you will need to work for it.

So, those who stay in the market and keep trying and grinding and working on themselves and their skills and strategies tend to get success some day, because they don't give up just because they can't do it easily, success doesn't come your way just like that but you need to reach it.

Not only in consistently doing such but also in doing a constant review. What I mean by that is if you shoot a thousand free throws with the same kind of shot continuously, consistently, yes you will improve because you are practicing it. But if you compare it by shooting a hundred free throw but you are constantly adjusting what's working, what's not working, what technique you should focus more, you are more likely to improve faster and better.

Same as to trading, with its changing environment. Along with trading psychology, it's very helpful to have a diary. First to know yourself, and second to know what to work on more in the future. Adaptability is the key. You don't just repeat anything to gain mastery. Mastery requires mastering oneself by also reviewing our own.

What I'm about to say is something not everyone might agree with, but hear me out. The concepts of 'Greed and Fear' are evolutionary leftovers, nearly primitive. Many has prospered or failed for millennia depending on how these factors are balanced by them .

Look at how resource management was done in old societies. It was a mix of careful planning and quick decisions. Your "Greed" comes from a desire to gather resources, while your "Fear" comes from a natural need to protect. In trading, you have to be aware of these instincts and change them to fit the current world.

Risk management isn't just about cutting losses; it's about understanding patterns, similar to the way many businessman have risen and fallen based on their management of environmental challenges. In the crypto world, that environment is the market. If you're not adapting, you're perishing.

Societies have always moved based on collective decisions, shared knowledge, and reactions. The market? It's not different. Your trading strategies should be dynamic, keeping an ear to the ground, sensing the undercurrents of the global collective of traders.

The internet is a mess. It's like the invention of farming - it could lead to prosperity or utter collapse if not managed right. Filter the noise, focus on the essentials, and use that accumulated knowledge to your advantage.

Financial crisis have been lessons for future generations. Similarly, every loss in trading is a stepping stone. Analyze, refine, and move forward. 

Just one quote to summarise your point, consistency births mastery.


Even when your intent isn't to master a particular thing, whether trade or skill, your consistency in it invites the mastery part of it. It is a natural phenomenom and consistent traders can tell you this on a factual basis.

Correct, anyone that becomes successful in almost any activity is concentrated more than anything on the process, as they know very well that if they do things correctly then sooner or later the good results will follow, while those that care only about the results will be happy they earned any money even if they made a lot of mistakes along the way, but when the process is so inconsistent and full of mistakes then the positive results will soon disappear and be replaced by negative results.

I'll be a devil's advocate and say that leverage doesn't change anything as long as liquidation price is below your stop loss. And x50 is obviously too mush as your max stop loss will be only -2%. You should just have your strategy and keep in mind entry and exit points.

For instance, if your total deposit is $10k and you can afford losing 3% of it (no matter on a stop loss or liquidation) then you can either buy $3k worth of the coin and set a SL for -10% or just use $300 of your own and take x10 leverage.

IThat is what most traders who lost money don't understand,  This was practically what I was doing using a high leverage to trade when I started up as a newbie trader,  Actually non of those trades was in the money, sometimes I fuckinly increase the leverage to 50×,  and that was the worst time in my trading journey and the market fucked with me, got screwed back to back until I learn.

To be more profitable, Simply apply lower leverage be patient, and ride your account up slowly if have a working strategy.

Being a successful trader is hard and most of traders fail to do it. By saying successful, I mean it must be verified through a long time for trading. We can not look at a trading history of one day, one week and say that trader is a successful one. It can be temporary success by luckiness and when a market moves with a same thinking of that trader. Verify a trader and a trading history need a longer time, like few months, few years because the market will have some big turning points to kill bad traders. At such points, temporary profit will be taken away quickly by market.

I know about that high percent of failed traders. Thanks for quoting and I agree with you that using leverage, futures trading will increase risk and probability to become failed trader.

Not only that, but the higher the leverage, the lower the percentage of traders who consistently make money. In other words, by using leverage you get closer to a 100% probability of failure and the more leverage you use, the closer to 100%. Let's see without leverage, only day trading:


As I say, add leverage and you'll be close to 100% failure rate.

When you use leverage, you take bigger risk. When you face with risk, your mentality will become less stable. When you cope with bigger risk, your emotion will become more chaotic and as psychological effects, you will make more bad decisions which are affected more by your emotion and uncertainty as well as fear that you will lose money by bad decisions.

In fact sometimes you make good decisions and open good positions, but your fear and uncertainty force you to close your position, exit it before you can take profit. It is not worst. The worst comes when you miss profit, you open next positions more emotionally and then actually end them with losses.

It is easy to loose focus of what is important when trading. Making money which is the aim of being a trader is a good thing to have in mind as end result, but your focus as a trader should be faced on executing the strategy that you have formulated and executing it to perfection that you are then able to make profit as reward for the good strategy used. Traders who focus fully on making money instead of strategy will not enjoy the process of trading which is meant to be enjoyed and will not be able to easily observe when a strategy that they use is no longer as effective as it was.

You have shared some good tips, but these seem not to be enough for most of the newbies who start their journey in the crypto field by trading in some pairs. About which they have heard from some YouTube or TG channels. And at the end, they lose all the funds they have invested in that coin. Others who don't do this simply follow their guts and try to become cool and think they can judge the price of a token by just looking at the charts and making some assumptions and can easily time the market.

That's the definition of trading psychology. People are doing it, and they don't even know about it. People don't even know what factors they should care about or what important things they should follow. Like they must have a backup plan. They should not invest all of their funds at once, instead, they should diversify.

Because by diversifying people get to make more profits, and after that, they should make some plans to make a profit from a token. They should invest in what they can bear the pressure from the market. They should not become greedy after seeing some profit or lose.

We can think of trading like running a very long distance and the model is our breathing. so when running for a very long time we can regulate our breathing. we can achieve our goals but if we can't catch our breath or can't manage our capital then we will stop at the front or in the middle. then we have to take another breath or have to deposit again. So here we make sure we have to be careful in thinking, don't trade. I want to make money fast or get 200% profit in one month. I want to get rich quickly, not because I remember that if we want to speed up the process, we will lose a lot of money by breathing as much as possible. Many beginners lose because they always want to cover up traders who previously failed and do it continuously until they lose a lot of money.

So, it is true that maintaining psychology is very important in helping traders become better at facing the challenges that exist in the financial markets and achieve success in the long term. I liken trading to the retail world, where there are harvest periods and lean periods, for example selling clothes, market crowds will increase during weekends and big celebrations, that's the time to make transactions/sell as many goods as possible for more profit but still prioritize the risks. and reasonable margin limits. Just like trading, where there is important news that can move the market in a big way, that's where you can carry out as many transactions as possible by prioritizing risk and a reasonable margin threshold... so the point is to treat trading the same as if you were selling retail.

This is a trading reality and every trader should understand that it comes once in a while depending on how you use your strategy. This downturns sometimes makes you to doubt your already working strategy and you want to consider changing because you have lost a lot that season. At this time, some traders also feel that the market is manipulated because whatever you do seem not to work. Even though the issue of manipulation is still a possibility or an ongoing debate but what I suggest during down time is to take a break and wait for a clearing opportunity to enter another order instead of continuously forcing the market and losing.

Every trader should trust their own strategy and analysis in the trading.Because trading need of patience and only the panic less person will earn good money from the trading.The crypto market was unpredictable one,only on that day we can come to know it’s the bear or bull market.Some traders analysis the chart and create some tactics based on the old flow of the chart.If you had the experienced trader friends,ask their strategy of gaining money the current market flow.Panic selling is never expected at any point.

With the losses, that's how a trader grows. If no trader will have their own losses, they won't learn new strategies and what's best for them. I agree that these losses are like entries to check our mistakes and as well as the gateway to improve.

About this, sometimes I don't trust my own analysis but this is also like trusting our own analysis. It may not be as perfect as the others but you're right that if you think that you're doing your analysis flawlessly then follow and see what will be the result of it.

Those are some bold words, but hey, that's what we expect, right?   From what I've seen, a lot of these kinds of tips are usually shared by newcomers who are eager to earn some merits and move up the ranks. Nothing wrong with that; everyone's got a right to try! But I have to say, your content seems pretty solid & demanding at least can see something decent here in this section. I would love to see more such threads, obviously not the same topics.

I really like your style, especially that motivational ending: 'You may lose the battle, but you should win the war.' That's some real inspiration right there!   And it's true, if your Realized PNL is in the green, you're doing well because your wins outweigh your losses. But remember, it's not just about winning 51 out of 100 trades; there's a limit too. In my opinion, it's a gradual journey toward maintaining a surplus, not something that happens overnight. 📈


There's a rebuttal as well, the sort of events you are talking about may not be very effective on the long-term time frame traders, as such events can disrupt your analysis for Momentary frame.

I think it is wise to advice someone to stick to the trading rule or plan but it will not be wise to advice other to stick to the trading rule irrespective of the conditions. Because, sometimes conditions are not in favor of traders. Let's say a trader "X" has took entry at $30k in BTC and suddenly a bad news came and the trader has make a strategy in which he set SL at different levels. Means he set first SL when market will come to $29k and the second SL when the market came to $28k.

If he follow the plan or trading rule he made then he will lose more after a bad news (unexpected events). So, it is better to keep an eye on the market and it is always a best practice to keep an eye on profits and loss ratio and not to stick to trading rules.

PS: You started a good topic but IDK why it is so hard to understand the points you aforementioned but still they are useful and meaningful but please make them User friendly next time. I hope you won't mind me. And I can see you made some posts consecutively. I think you don't know the rules but consecutive posting is prohibited.

If you read the second line of the OP, you'll not my submission as "this is not entirely my except but a culmination of people's experiences, points and opinions"

My POV on this post is mostly individualistic rather than corporations or institutions. I trade as an individual, with no expertise or experience from an organisational perspective.

I might have to write on organisational standpoint but I'd love to have that experience first.

Thanks for shedding more light on it, I'll look in that direction as well, we keep learning everyday, I have again, today.

I think this point is another cool way to focus as well, there are lot of people whom has loose focused due to much noise out there by combining many contents that talks about trading without being focused on their previous knowledge to develop themselves. Reading different content without practice I mean trying out the strategies may not provide any meaningful results whereby the always dreamed of being a professional trader, I might not go into detail as I can only speak within my knowledge and capacity hence, interest are being drawn from content and how we see the whole progress otherwise whomever that doesn't make progress and shares there ugly situations always scares new traders or beginners who might wants to venture into trading.

Do we mentioned anxiety @wallet4bitcoin?
Does this always plays a very bad role in trading, because someone with such heart or mind would also not making much progress as its always affect the hearts and mental picture on trading guide and progression.

That's what I was afraid of, that this post was not purely from your experience as a long term and consistent successful trader, but from some research along with some of your own experience where you say you need to improve.

If you knew the percentage of successful traders out there you wouldn't waste another second on it. The thing is that the houses earn so much in commissions that they keep promoting it with basically paid advertorials, sometimes covertly and sometimes they don't even bother to hide that they are paying for that promotion (another thing is that they are legally obliged to put it if it is a paid advertisement but we know it doesn't always work that way)..

Backtesting is also an important aspect of trading success. Because, according to some, trading is 10% analysis and 90% psychology. You can acquire confidence if we backtest our strategy before implementing it in a live trade. If we are confident in our plan, we may be confident that we will be profitable in this manner.

That's a great book to read to improve our trading psychology and also we can add "Atomic Habits" for it.

I trade but I'm not a fan of putting trading content out there.  I'm trying to be different and by being interactive, I get to learn even more. Research is the norm with everyone in the crypto space, I also leveraged it to arrive at the post.

Although no personal experiences was shared, I'd say I have been a victim of it and I'm progressively working on being better.

---

I much appreciate your recommendation. I'll get my hands on it. Anything to get things straight is of great importance.

Wasn’t there a thread like this posted last week. I remember replying with a similar solution when it comes to trading psychology.

There is an old book called “Trading in the Zone” and it’s not really for technical analysis but it will shape how you react when you are in a trade. It’s probably 2 decades old but it’s principles still apply today and to crypto markets also. You can find this book anywhere. You will read a little bit and you will be blown away how accurate it is.

Interesting but what would be more interesting would be to know for sure if you really are a trader and also one of the few who earn money in the long term, because what you have written can be done by gathering information on the internet and some experience in trading but without being a consistent winner like the vast majority. Seeing the few posts that you have written in this section since you registered and that in none of them you talk about specific trades or put charts, I think it is the latter.

This topic is intended to help traders dealing with trading psychology. I have experienced it and read about it and decided to share my take on it. This is not entirely my own excerpt but a culmination of people's experiences, points and opinions also.

I have been, to the best of my knowledge, concise in communicating my submission through this write up for your comprehension. Feel free to make input and edits as required.


Intro

Trading has been the most independent and global approach towards personal income generation from the foreign exchange/derivatives market. These players in the trading industry however, encounter challenges that interfere with their trading operations beyond their direct involvement in finance but the consequences are obviously evident in their finances, it’s generally called Trading Psychology.

The study and knowledge of psychological and emotional occurrences influencing the behavioral patterns, performance and decisions of traders in the financial market is best described as trading psychology. It is no doubt that a significant percentage of traders have, over time battled with trading psychology and its challenges.

I’ll narrow down the key elements posing a challenge to traders to ‘Greed and Fear’ and its antidote as Risk management and Discipline.
If the key elements are addressed properly then a trader has little or nothing to worry about once he has his knowledge of trading in place.

Greed is the desire for more profit, often characterized by a fact-less believe that a market condition will continue in the direction of profit for his benefit.
Fear, contextually, is the refusal to allow the researched output-birthed setup to play out, thereby terminating the process abruptly irrespective of loss or gains accrued. 

These challenges can be tackled by way of Discipline and Risk Management.
Discipline the ability is to stick to a trading rule or plan irrespective of the conditions, pleasant or unpleasant. One must be disciplined to believe in oneself irrespective of what the outcome of trades are and accept it as a strategy either to adopt or to further modify, but, has been personally derived to sooth personal trades.
Risk management is analyzing the potential losses in advance and mitigating them, this is done to protect the entire loss of the trading capital. Risk management is an essential part of trading culture, if you must remain in the trading business, you must learn to prioritize risk management as an essential tool for success.

Tips on Trading Psychology

Knowing that your success in the market is largely dependent on your trading psychology, it is therefore pertinent to say that it should be given noble consideration by every trader.

Prioritize your Setup
The setup is not guaranteed to always playout as expected but that doesn’t invalidate your speculative capability or ability to analyze, it only means that the market direction deviated from the plan, which is also expected as one of the characteristics of the market, although it comes with its own downsides as you get to incur losses but again your risk management will mitigate that moderately.

Downturns are normal
Always note that you are a player amongst millions of players including financial institutions, things wouldn’t always go your way, with this consciousness, invalidated setups will not mess with your emotions. It’s a default understanding, therefore, you have a large heart to accommodate it even before it shows up.

Evaluate your Trading Strategy
The idea behind trading is to make profit, therefore, the trading strategy you choose to deploy has to reflect positive growth on your equity, if it doesn’t, then you should consider re-evaluating it to something better.

Be Focused
Too much content on trading and traders to digest on the internet, as much as they might be valid and true, they might not be relevant and consistent with what builds your confidence and capability in the financial market. Focus on what works for you and cut out the noise.

Utilize Risk as a Tool (Leverage Risk)
You must understand that risk is an integral part of trading but can be used as a tool at minimal levels. Readjusting your stop losses and incurring losses in a bit to reduce your loss isn’t an ideal approach. After a proper setup involving a moderate risk management, allow for trade to play out as most times, we incur the losses we are avoiding when we go readjusting our stop loss.

A Winning Exit Plan is Key
You must understand that having a winning exit plan in every trade is instrumental to the success of that trade even before opening a position. You are more relaxed when you have a take profit in place even before your buy/sell order is filled.

Your Losses, Your Lessons
Revisit the strategies and mistakes that caused your lost trades and accept responsibility, learn from it and improve your skills, you’d feel a whole lot better. In cases where unforeseen circumstances in the market played out and it deviated from your result, you accept the looses and keep the grind alive.

Trust your Analysis
As long as you do you due diligence on your setup after analyzing, take the shot. It is never a guarantee but once your setup says ‘go’, go with it.

Lastly,

Win Always
“You may lose a battle but always win the war”
Let your number of winning trades always outnumber your lost trades. An average of 60% winning trades (weekly or monthly) makes you a profitable trader and keeps you winning.