It’s really hard to grasp the psychology factor in Forex - but it’s the most important thing for sure. Can anybody recommend any videos, or books? I’m still working on it.
Yeah look up mark douglas trading in the zone. Should help you understand the psychology behind trading.
2 Likes
some of the points you have highlighted it seems you taken from an author s experience or research of the stock market ect. Some of these ideas might have been edited it the 70s ,80s ect its boring now we heard it before
forget about all this above , learn as much as you can whilst using a demo account , demo no good after so long its like playing poker with matchsticks. You need to use real money use minimum amount (unfortunately i did nt)top up the losses. If you try hard enough you achieve what you want
1 Like
My initial (big) losses almost made me quit forex trading completely. This taught me that one of the first and most important things that you have to learn in Forex trading is accepting losses.
The reason behind the difficulty in coping with the losses lies with the lack of understanding rather than actual psychological problems.
I Completely understand the message you are passing. Thanks for sharing from your experience. It will really help me work more while understanding myself when trading mentally and emotionally.
Mark Douglas(trading in zone ect) constantly emphasises about accepting been wrong, i think it took me a while to grasp the concept of this, regarding trading.An example of this was when i held a trade too long because i thought it would reverse due to certain brexit news .Mark also highlights the randomness of the markets and states “anything is possible” which is a good philosophy i feel.
2 Likes
What you experience had just make me remember this Brexit news/prime minister resigning on gbpusd last year(may, 2019) .
I traded on buy when it was 1.29 and take profit at 1.31 without setting my stop loss when I execute my trade while the gbpusd market keep dropping down till it hit 1.21 and whip my account on August, risking my account without a stop loss for over a month and thinking it will reverse but I end up losing my money.
I was devastated telling myself I should have accept the loss when I still have the chance to close with loss.
They were so many wrong discussion I made leaving that trade due to my ignorance.
yes i think whilst been aware of news and TA ect you have to realise the complexities of the market short term.The platform i use constantly sends tweets from twitter most of it bullshit , written incorrectly deliberately or very vague statements.maybe there no rhyme and reason to trading news reports, i look at forex factory everyday ect. What ive found occurs often is a countries currency will have numerous good news reports but it movements may not correspond with the negatives or positives and go in the opposite direction or just range. I see strong news reports as information for the next few days or maybe weeks instead of the day.
1 Like
Honestly I feel very disappointed and sometimes I even think of quitting. However, once I start coming out of it, I accept the fact that its okay to make a loss. Each loss teaches us something and that is really helping me do better.
4 Likes
getthe #!$ out…are you fr? Frfr?
Obviously its disheartening. Makes you feel hopeless and sad, but then you think of the good days and that helps me stay in the same.
Obviously true.
That’s great. Don’t leave the hope.Remember you are much more than that. Keep learning from your mistakes.
1 Like
Psychology and risk management are two important parts of trading. Discipline cannot be maintained without that part. Profits cannot be made without psychology. And if you can’t maintain the risk, it is not possible to sustain the investment.
1 Like
It is disheartening but we must keep our emotion in control and learn from the mistake we have done.
2 Likes
The psychology of risk is the examination and comprehension of the psychological cycles basic our reactions to hazardous circumstances, the acknowledgment of a risk effect, and the improvement of systems that can assist people with making good decisions notwithstanding hazard.
Totally. We have to move on with a positive mindset if you want to be profitable at the end of the day.
2 Likes
Yeah, I agree only the positive attitude can help us to move forward, rather than sulking on the mistakes.
1 Like