How important is trading psychology to you?

[PunaR]

Just out of curiousity, I was wondering what everyones opinion is regarding the aspects of trading psychology are.

- Staying disciplined
- Sticking with stop losses
- Not cutting profits short
- Not entering trades on impulse
- Overall sticking to your plan

This seems to be a big topic so I figured this would be a good discussion.

[DCtrader]

the psychology of trading is huge. Until you figure out how to control your greed and fear, and gain confidence in your methods you can never be successful in trading

I would check out, "Trading In The Zone" by Mark Douglas.

[Pipcrawler]

"Trading in the Zone" is an excellent book I highly suggest it to any new trader. Not just to forex, but to any trading vehicle like stocks, options, and futures

[mpeng]

Hi,

I am a newbie too.

Currently I am reading "Trade your way to financial freedom".

[tymen1]

I nearly had my hands on "Trading in the Zone". I read the back cover - it is probably the best book available on that subject.

I will have to buy it soon and study it for myself.

Regards, Tymen Wortel, Perth, Western Australia.

[jackstewart]

This is true.
It really requires in trading to be discplined.
not be greedy.
If you have made some profit.. grab it and cover it, dont be greedy and wait for me.
If you have made loss. dont just wait that market would reverse.. Accept the loss. and trade again in right trend.
Make a money management plan.
Make a Schedule of when to trade..and focus on few pair of currencies

[stevemcg]

I've been live trading for two weeks now, and I've already seen my ups and downs. I didn't care if things could go south when I was demo-ing ... but now every move is questioned by myself.

I am hedging currecy pairs with a high swap. I started with a high note and increased my account by 23% the first week. I felt a little sad because if my broker had gotten my money in my account a little faster, I would have doubled that increase, but I was still excited about the increase. This second week has been hell ... I've had a drawdown of over 30%. I didn't have problems during my demo-ing, but now that actual money is on the line, my confidence is shaken. I watched as my pairs were not corellating well, and my draw down was getting worse daily.

Things are already showing signs of turning around, so my confidence is building onace again. I am hoping that when (notice I said WHEN) I get through this minor hiccup in the market, my confidence will increase.

My wife can tell how my account is going just by watching my stress levels. I am hoping to learn to hide that stress, and eventually remove it.

[jackstewart]

Steve, you should have opened account with stifx.
your deposit would have been done quick immidiately.
they do very quick deposit and withdrawal too.