That’s exactly the point. Not obvious, not easy, dependent on a lot of internal and external factors, but it can be achieved by learning techniques to control emotions in trading and training.
There is a better way - learn from the mistakes of others. Bigraphs and interviews with traders can help. They often tell there what they do, what works and when. Plus techniques for controlling emotions in trading.
That’s right.
Psychology in our business is always important and always affects the outcome.
Of course it’s cool when everything goes according to plan.
However, catching those moments is not so easy.
This will of course form over time, the main thing is to have discipline from the start.
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Emotions aren’t ‘just a feeling’. It forms the basis of our decision on not just how to act, but who to trust. If a brand prioritises the emotional connection, they can open a consumer to new ideas, drive behaviour and establish trust. Controlling emotions is important but embracing them is also important.
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The psychology of trading is a separate field that helps to understand the nature and cope with excitement, tension, panic, increased risk-taking and other things that are probably familiar to everyone at one stage or another.
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Yes! I’ve seen lots of people who have negative views about emotions. They keep emotions in a bad light. Emotions are important, but not having them means that there is some problem or an issue that needs to be resolved. Those who say that we should not have emotions are wrong. We should use emotions to our advantage, but if we are too much dependent on emotions, then that is a problem.
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This is something fresh in terms of emotions. I agree that dealing with emotions stabilises a trader at the time when things are chaotic in the market and the trader is in a state of panic. Those who say to have no emotions while trading seem bitter and rude to me. I cannot even imagine trading without emotions in balance, and there is absolutely no one who does not have emotions while trading.
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The ever-changing nature of the forex market often makes things worse for traders. A single sudden market turn has the power of ruining a successful trading account. This will obviously make traders emotional. But you need to learn how to handle your emotions so that they don’t turn into the reasons behind your losses.
That happens also, however, it is all about being able to execute on your set up that you have found profatability in, for that will make you a profitable trader in the end. One trade cannot confirm that emotion is a profitable set up. Let 1000 trades decide that.
Professional traders do use their emotions to their advantage. If that were not so, we would never have called them ‘experts’. Emotions can be a boon or bane depending upon how you use them.
We must educate develop right trading psychology and not let our emotions lead the trades and engage in profitable trading.
Emotions play a significant role in decision-making process in trading so, one should learn how to handle their emotions.
It is necessary to be logical when making trading decisions. This means that traders must base their decisions on analytics and research. It is preferable to keep your emotions out of trading.
All decisions come from emotions. To say that we don’t need emotions while trading is not true and is absolutely false. Emotions help a trader in the decision-making process. A belief is formed by emotion, and that emotion helps in the decision-making process. Thus, being emotionally balanced is the key to be successful in trading.
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Or they interfere. Surprisingly often beliefs are an obstacle to trading. They are built on misconceptions (e.g., that money is wrong = a trader will subconsciously defend himself from making money).
Beliefs are one of the reasons for the formation of what I call the trader’s glass ceiling. One reaches a certain level of earnings, and even though technically everything is ok, the trader is unable to earn more.
Not sure about emotions but admitting that your wrong is a problem for many new traders . Particularly when they hear news and events which they suspect will influence the market in a certain direction .Only for it to go in the opposite direction.
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Emotions are natural. The more you try to control them, the more you feel them. Rather, let them flow and note how they impact your trades. When you will know this, you will automatically know the areas that you will have to improve.
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You as a trader must control your emotions while trading. Any bad news or event might influence your emotions negatively, thus impacting your trades. Trust your trading strategies and stay focussed on the trades instead of thinking about whether you would win or lose them.
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This is a well explained perspective on emotions during trading. If controlled well, successful trades don’t seem impossible. Although, many newbies suffer loss and quit due to poor time and risk management. Thank you for this. It’ll be great for beginners to boost their confidence.
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Yes. That’s the point. Not easy, tho.