One MUST follow tip for achieving BEST result that you should not mix your emotion in your forex trading. Often people fall into fear & greed in taking the position. If you can notice you are now captured with fear and greed then stop and rethink your trade setup. Fear and greed are two sides of the same coin. I am trying to give here some steps to control your those emotions in trading.
Usually arises when start to go the opposite direction of our expected setup. This fear feeling can lead to quickly close all positions immediately to prevent further losses. But often it backs after correction, then trader nothing to do. Some time it could make us to stay away to entry nice profitable trade, Fearful traders often close a trade too early, once it generates a small profit in forex account.
This is in contrast to fear emotion. Greed can show you $$$ in chart that could bound to ignore or pay less attention that what telling charts really. It also occurs when increasing profits and the trader fails to distinguish long time to get out of position. Greed something impose trader risking more, perhaps traders some time not follow money management rules like 2% per trade etc. for same reason. Some time greed take form of hope but hope cannot be realistically always.
Real investors Never think for Gambling in forex trading
Beginner trader some time caught by gambling ideas in forex trading. But if anybody decides to be a real investor then first of all he/she through away the gambling idea. It can not help you to learn trading rather it absorb trader thinking in get rich quick by trading. So need proper plan what to do first.
A successful trader must have some good attributes in profile. You can enhance yourself by following:
Self-control: Managing own emotions and stress.
Discipline: Make a plan and follow it, observe the strategies outcome.
Self-confidence: It can be accumulated from trading experience, market knowledge, and the self-knowledge of our strengths and weaknesses.
Capacity of acceptance: Need to be mentally prepared to take risks and accept losses. Risk aware trader can play well.
Persistence and perseverance: the forex market is long term, you must know how to wait and persist to achieve profit targets, and not be discouraged at the first setbacks.
Adaptability: keep an open mind and be receptive to new ideas and changes in the market. It’s wise to take a realistic view on every trade, that does not mean that every trade will be a winning trade.
Self-Review: Learning from mistakes. As spectacular the most common error in trading are risk and panic so evaluate your self are you overcoming this day after day from your mistakes?
Conclusion: To fight against emotion in trading you need self-awareness, cultivate a good trading strategy and sticky with this. You can follow our SMS trading signals our signal history says we are making on average +350 PIPs per month. We found our sticky client generating good profits effortlessly. If you have not much time to study your charts & not able to keep an eye on macro economy or you have not any promising strategy then we are ready to extend our hand to support you all the way to make profit in forex market. You also can judge your setup by the help of our FREE technical analysis.
Similar Articles –