Hi Ellina
It is ok to be scared to loose. It means you are not ready yet to trade on a live account. Go back to your course and demo. Practice what you will be learning and you will be surprised to discover a lot of things that you missed. I know it is a long course but it is worth it. Make sure you understand about leverage, margin, lot sizes. That is money management in general. Do not use big lot sizes even when practice on a demo. Stick to 0.01 to 0.05 maximum. Open a demo with a small amount and triple it. Once you have tripled your account you can then trade with real money. Remember small lots and don’t think about making money now but about perfecting your trading strategy, money will follow later.
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Please follow what other trades suggest you. in addition to that i suggest you to read good books on trading psychology. My suggestion will be reading “Mark Douglas - Trading in the Zone”. In chapter-5, he has the answer for you.
You perceived the market as a money grubbing giant in the first instance. he frightened you. What if you have made good trades in your first account. you tend to trade more. you will perceive the market as money machine. Each and every experience will differ. Treat each trade as new trade. New trade is not affected by outcomes of your previous trades.
You already know you are lagging in psychology. Get it done straight. As other traders suggests do demo for some more time and small live account until you double or triple it. There is no rush in making money. market and opportunities are there always.
If you decide to quit, think of why you started to trade.
Long way to go, keep walking.
Siva.
Did you double your account 3 times before going in to demo? If not then dont go to real
Did you give up or make some progress with your fears? Hopefully you’re back at it.
For how long have you been trading? How long did you spend trading on a demo account? Did you have a trading plan? Have you gone through the School of Pipsology here on Babypips?
I am asking you all these questions because the answers to them will help people here help you.
Start with babypips school, you will definitely learn much better then any else.
@Ellina_ss It’s absolutely normal to be afraid especially when you’re a newbie. Perhaps you started trading live too early, you were just not ready. This happens all the time. You were not the first and definitely not the last. But don’t be shocked or traumatized, it’s ok and it’ll pass. Did you lose a lot of money? What was the broker you used (this is important as well because you could have been scammed, it happens often as well)?
If you like trading then don’t give up. Just take a break, go back to school (Babypips school is recommended) and resume your demo practice until you overcome your fear. Don’t be afraid to seek advice and ask any questions you wish here.
Ooo, this is normal.
I know you do not want to lose your money. Especially if that money is heavily earned and hardly separated for trading.
When you return back to trading please make a list for yourself to avoid this king of phobia. The list should contain a strategy:
- How much money will you invest
- Which pair you will trade
- Which time frame you will trade(use Daily as advice)
- What price pattern you will trade that gives you the best return(you need to find find pattern - resistance/support, daily pivot, Fibonacci, divergence or something else)
- When you open a trade make a print screen and start writing down every trade.
a. Why did you open a trade
b. what conditions were met based on your strategy
c. if trade closed negatively what criteria were not met - Every trade should be monitored and should have Stop Loss
- Every trade should have R:R(risk:reward ratio) so you do not trade for nothing and this R:R should help you see in the future how your account will grow including good and bad trades
- Use Money management and do not use to much risk in your trade
- At the end set a goal how much you want to earn on Forex or you want to learn(decide by yourself)
Without paper and writing down at least some of these points you will wander around and you will not go further. Paper should give you confidence that you are doing something and you follow something.
That you will reach something in time(goal) and you have something to strive.
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Its ok if you have lost your money, you can not earn with every trade you make. Make sure before you start trading on live account, you must understand all the forex terms briefly and take them into consideration before making any trade like spread, leverage, commission. I suggest you to open a demo account and start trading and trade as long as you get comfortable with market conditions and volatility .Focus on your trading skills. Once you become confident enough, give an another try to live account. What else you can do is when you start trading on live environment do some research online and link your account with a pure ECN broker who can provide you with the best bid and ask price with the tightest spreads.
If you are at the point where you feel like giving up then i would recommend you to take at least a week away from trading completely. This will help you to evaluate your mistakes more efficiently. May be you can introspect and strengthen your game and then come back into trading,own your results and get a trading plan,understand that trading is not a rich quick scheme,eliminate revenge trading,reducing leverage and number of trades etc.
You shouldn’t be scared. Life is unpredictable and you never know when you win and when you loose.
Well in this case , i think maybe you lack some trading knowledge . You should do some research
, try to identify price movements and market trends before placing a trade. Keep a track of news, newspapers etc which will provide you some really informative knowledge. As far as your fears are concerned , take a moderate level of risk and choose your stocks wisely.
Practice will make you better. I would recommend you to try DEMO TRADING for practising as it will help you to test your trading strategies and familiarize yourself with the features of a trading platform. Once you are confident enough about your trades , start trading on a real account.
Never lose hope . You will surely master this game some day but it will take time. So keep calm and keep practising.
First of all own up where you lack and once once you find out come strong as ever. Evaluate your mistakes. Avoid emotional or revenge trading and build a strong trading plan.
You are scared of losing money, but guess what? So is everyone else. I suggest you to keep learning with demo and get better before dabbling with real account. It is never easy but nevertheless, you will get better in time.
If you still can not overcome that mentally, then I am sorry to say that forex is not really for you. That is how dangerous this forex trading is.
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Trading is not like any other “job” - in trading results can be negative although you made no mistakes: and the result is lost money. Money itself is an emotional subject. We often feel unconsciously that trading losses come from mistakes or our faults and the ideal in trading would be no mistakes or faults - like in every other job.
I can only recommend that new traders not look on losses as the result of mistakes or ignorance - its just payments you must make, like rent on your business office or factory, or purchases of raw materials for your factory to work with, or payments for the lighting bill, or payments for the education and training you are receiving from the market.
Label them in your journal as “payments” or “costs” - like bills and tax. To have a good relationship with trading you must have an adult relationship with money.
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This thread caught my attention. I think a lot of new traders are struggling with this feeling. The best thing to do when you are not ready psychologically is to use a demo account for as long as you can. Build you confidence all over again with a demo account. Second, trade with money you can afford to lose.
See giving up is no solution. We all have certain phobias in life, but overcoming those is what we should do. Its not your unawareness that is making you loose, but somewhere its you under confidence. Work on your psychology, don’t fear anything here. Losses are a part of every trader’s journey, everyone has it. Try to learn from them.
Losses are always a part of trading, so yes, you’ll likely lose money again. The point is to learn to lose less than you profit.
Yes; but traders need to invest their real money when they are very sure on their own trading skill!
The problem is - is anyone ever truly confident?