Do you know which are the voices that attack trader mind? Here in this article we list them for you:
1) “If I overtrade in this operation, I will recover what I lost and I will be positive”.
This voice has control of the exaggerated positivism. The arrogance, can not accept a mistake, can not take control and do not step out of the market on time.
Often, when you have this mind and listen to this voice, coming to you through actions. Get over your daily risk of your trading plan and this is when the solution is worse than the problem. If you didn’t know how to break feeling and knew that it wasn’t convenient, you could lose even more than you could have imagined.
Something that can help is; keep the lot of every trade that you have in your trading plan. If you can’t get control of yourself, try to get up, wash your face, eat a snack, get away from the screen, take a break. This is not the total solution but it helps to reduce the feeling that pushes you to do something out of your plan. It’s better to have a negative result on one day and review what went wrong with the plan. See and know where you went wrong and learn what you could have done better. Be good with your process, understanding that there are days that you will win and others that you will lose and learn.
2) “Put in another trade…that, if you already lost 2, the probability of losing another one is low”…
Quickly you became a probabilities expert! It’s a common trap of this evil voice in a trader mind; You start to think of a reason to do an action, full adrenaline, just a stomach feel… This is the reason that makes you lose control and make bad decisions. The situation that involves gamblers is something like this and at this point you have to know that investing is not gambling.
Act by impulses with money involved is the closest thing to a game of chance, which is far away to be a digital business, such as investing in the stock market, Forex or stocks. It’s innocent to deny that emotions are present and will be present in your trading process and exercises because this is normal on trader mind, the issue is when these thought and feelings aren’t under control, It doesn’t mean that you can not feel them but that you have manage them and if you still don’t know how to do that, star now because always be a good time grow and help yourself and this process, look for a mentor, go and read, prepare yourself about it.
It’s very difficult to get sustainable goals with sustained results over time, averaged between gains and losses if you don’t focus your energy and effort on planning a structure, method and strategy. Without emotion management you’ll not pass the amateur mind.
You may like to see this: Trading performance: Why don’t I get good results?
3) “Increase the risk… with that you are going to earn very little”…
Trading, like any profession, consists of values, ethics and integrity, not with a company, with a system or with a government; Trading can become the key to your real independence and that will depend to a greater extent, if you respect the commitment to yourself, with your goal, respecting your plan.
The issue with these moments is to identify them to can take benefit of them as an opportunity to learn more on your process, it’s the objective.
If you practice little, read occasionally, don’t follow or respect a plan, any moment will seem like a “golden opportunity”.
Listen to this voice if you have built a solid criteria that supports exceeding the risk to increase the possibility of profit. Hopefully you also have the maturity and clear tools to manage your emotions, if you lost too much because you decided to do so, keep this in your trader mind.
There are many more voices, they have in common to take you out of control of you and your plan.
Important: The information and/or knowledge expressed in this article shouldn’t be taken as investment recommendations or financial advice. All investments and/or actions involve a risk and each person is responsible for researching, educating and analyzing before making an investment decision.
