Remember to set stop loss and take profit every time you enter a position or place an order. Also stick to your risk management plan regarding how much you risk on each trade. Never ever trade with borrowed money. Only ever trade with money you are willing to risk loosing.
3 Likes
I agree. Learn how to use stop loss properly and use it when you trade to lower your risk.
We should always accpet the fact that the risks in trading will remain and we must try to minimize the risks in our trading.
1 Like
Exactly. Going into trading with the idea that no losses will happen just leads to a very rude awakening.
1 Like
Well said, Practicing is the only way out to boost your confidence. Real struggle begins only when you start trading on a real account. So be patient and practice.
1 Like
Stopping to think about money is the biggest challenge. One of the tricks I use is to set goals which are not measured in final profit (which I consider distracting and which creates additional pressure) but instead focused on consistency of results or maximisation (or achieving certain combination) of relative parameters - make 7% return monthly with max. drawdown of 5% from equity, make 3 profitable trades out of 5 in a day (or break trading in that day if I fail), etc.
Place your focus instead on how you manage your capital, learn how to control and limit losses and profits will come afterwards.
I donāt think you can or should attempt to get rid of your trading fears. I have written a blog post here of my opinions on the matter.
Donāt place too much emphasis on always being right or proving you are always right. Instead, stick with your strategy and learn to create positive results over time. Instead of focusing on being right at this exact moment, look at the long-term game.
As a new beginner to overcome your fear you must trade constantly on demo account or live market. Constant learning is very important. Being positive and confident about yourself is also one of the major aspect to overcome fear.
Agreed! Practicing on a demo can be of great help, it aids one to regain confidence in his strategies.
I advise you to go with the reality. You are gonna make profits at the same time you will loose as well. What you can do is to make up your mind according to that and plan your trades and risk as well.
1 Like
Correctly pointed out. You have to have your mind made-up that you will lose every once in a while and that should not affect your subsequent trades.
If you want to get rid of that fear, practice as much as you can. Thatās the only way to remove fear.
Fear of trading can be removed by facing your fears obviously. So, control greed, frame a good trading plan, analyze your mistakes and then move ahead.
CFDs are a very volatile market and involves a lot of risk of losing money. So I think I should only invest the amount that you are afford to loose.
True. Thereās a reason why ESMA lowered leverage for CFDs so much, they wanted to discourage most people from trading them.
If you are a new trader, I would say you learn better first. Because you canāt make a profit in trading without learning Forex trading. And if you are fear to trade, you can do demo trading for now. Your psychology is still very weak which is why you are fear to trade. To make this psychology strong you need to meditate. Meditation controls human emotions.
To remove fear, you can trade in a demo account. When you think that you have gained full of confidence than come back to the live account.
Fear must be overcome to remove fear. If you are fear to come to trade, you will not be able to do a good analysis. This is why you need to be confident about trading. You need to create a positive mindset all the time. You have to be happy with the result at the end of the day. You have to have unshakable faith in yourself.
I once quit trading due to depression. Due to some chances, I started meditation and watched Alan Watts talked about FEAR. I share with you:
āUnder the sword lifted high, There is hell making you tremble. But go ahead, And you have the land of bliss.ā
ā Miyamoto Musashi
1 Like