Ah okay, that makes more sense to me.
that’s why consistently backtesting is important. I know traders now that have been trading for years that still take the time to backtest
In the beginning, I used to be way too positive about my chances of winning individual trades, which made me act overconfidently. Of course the markets punished me hard time for this. Because of that, I became risk-averse and needed to learn how to take reasonable risks again, because indeed you can never predict the outcome and if you wait for the perfect trade to pass by, you will wait forever. What really eases my mind is telling myself that in the end, trading is all about statistics and statistics wouldn’t be statistics if there weren’t any outliers. And that’s perfectly fine. If you have a decent risk:reward strategy you can be losing 50% of the time or even more, and still be highly profitable. Accept that no trading system is perfect and that losses are part of the game, don’t see it as personal failure. Except if you don’t follow the rules of your system, then you are to be blamed. But even then I tend to rephrase it as ‘learning money’: I will properly document my reasoning and mistake and make sure by doing this that it doesn’t happen again.
No shade. All love ️
But this sounds like a personal problem. The pipsology guy in this site has some really good reads. Check them out. It will help you cope with the psychological aspects of trading.
It helps me…
In perspective, if you were on the blackjack table where everyone’s betting $500 a hand, you wouldn’t bet the same about as them right???
This sounds like an emotional issue more than a strategy one.
Try reading “Trading in the Zone”, it helped me out a lot with what you are struggling with, and heaps of other trading related issues.
Same question!
Just for kicks, I googled it just now… and nothing.
Thank god i did not google it. haha!
i personally think trusting your instincts are not that bad if you are well aware with the market. Trust others more than you can also leads to losses as market movements are unpredictable sometimes. Also, you learn when you lose. CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. The vast majority of retail client accounts lose money when trading in CFDs . You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money. Also, you should check the charts and historical data while placing the trades as forex has always 50-50 chances of winning and loosing
OMG you’ve got me at it !
After an extensive googling, I conclude that 'hissed beliefs are unwanted beliefs.
ie beliefs that are worthy of being hissed at.
Don’t worry it’s just the lockdown
g12863
Perhaps be mindful the brokers keep telling us some 70% of traders lose.
If you have a methodology that works for you, of course back test, but be cautious of back fitting.
Have trust in yourself don’t follow crowds.
Barney Curley, one of the most successful horserace bettors - “Don’t believe anything that you hear and only half what you see”.
Using another horseracing quote from another successful horse player Alan Potts - “Bet against the crowd”
Of course, this need not apply to observing the wisdom of Babypipsters.
That’s some effective mental gymnastics there! Sold! I will now start using hissed beliefs.
you must be balanced in certain things, sometimes trusting the instincts is good. Many people do not. but that yes, lean on the knowledge that is too important, read, investigate and practice if you wish with a Demo
That’s quite common and there is nothing to worry about.
Instincts could be very helpful at times but in trading one cannot simply rely only on your instincts. Do your research, study and practice your strategy. Make sure you practice with a demo account first.
Trading according to your instincts is not a good idea and it is good that you don’t do that. Your decisions should be based on thorough analysis and more or less objective factors. As for me, I make a kind of presentation for myself where I try to persuade myself to open a deal. Surely, this strategy will not be convenient for you if you are a scalper, but if you tend to trade long-term, it could be alright for you.
I suggest you set your trading strategy and carry out analyses. In this way you will be sort of test your instincts in a reasonable manner.
Maybe you should look more into fundamental/technical data to support your instincts that are telling you when to enter certain trades? This could boost your confidence so that you are less likely to hesitate.