Trading Discussion Developing the Right Trading Psychology

[theolove2021]

Trading decisions should be made as unemotionally as possible.

If you trade based on emotions:

You’ll buy at the highs when things are moving “fast”, hold onto your losses hoping they will rebound, trade larger hoping to make back what you’ve lost, and etc.

Clearly, you know that trading based on emotions is a recipe for disaster,

Instead, you’ve got to think, act, and trade like a machine!

Now the question is, how?

Here are a few tips to get you started…

1. Develop a trading plan with clearly defined buy & sell rules
2. Risk not more than 1% of your capital on each trade
3. Focus on executing your trading plan consistently (this is so important)
4. Don’t get swayed but the short-term results, think long-term.

To your Success
Theophilus S.

 

[btaliat]

I love the last line. We should not focus on what we are having now but what we will have then. Many traders have lost it with this. They do think of the present gain without minding the future. This limit them to a slow or low earner while trading

 

[otunbasegit]

"

Develop a trading plan with clearly defined buy & sell rules

This is clearly a challenge for me. Can you please help with a clearly defined trading plan with set rules for success? Will appreciate that

 

[kayode10]

It is good to always develop a plan before you begins with forex trading. You must have your end goal in mind in a clear picture. Also you must have existing strategy which will prevent you from bridge when the market is booming. You must also develop self discipline to follow the plan you laid down even if things don't go your way.

 

[Chibson]

This is a very good tip. Forex traders should develop a plan in which they must stick on in order to make profit. A lot of people do not have plans or strategies and that is the reason why they lose their money. removing your emotions is very important as a forex trader.

 

[Jack Reacher]

Controlling the emotions is the key to success in trading. Forex trading includes feelings as there is benefit and loss. The issue is most traders overlook the mental part of the traders even they think about it. They don't take a shot at to build up their trading psychology. They pursue system. Regular they search for a 100% gainful methodology. We should try to know the business first we will get achievement. . I am happy to have Eurotrader as my broker. It gives ultra low spreads of 0.0 pip and have hundreds of Trading instruments including forex, shares, commodities and cryptos.

 

[Dita Walczak]

Psychology is very important in the forex market. If a trader can trade by applying proper psychology, it will be much easier for him to make a profit. The amount of loss is more when doing emotional trading. So every trader needs to trade by controlling their emotions.

 

[Setho]

For anybody who wants to develop the right trading strategy then you should first develop discipline within yourself. Discipline will allow you not to enter too much trades because of the fear of missing out. Also you should develop a positive mindset and build your portfolio one step at a time and not wanting quick profit overnight.

 

[Wisdom01]

I think trading plan is really necessary , because there are some traders that don't have a trading plan and at the end they make the wrong trade instead of the right trade , their emotions would make them place the wrong trade because they are not sure of what they are doing