“To Err is Human”, but in trading it often happens that traders will knowingly make decisions that create losing trades. Now we’re not talking about losses that come about because of testing out a trading plan or a specific indicator. Nor are we looking at simple errors committed purely by accident. If our goal is to profit, then why would we do these things that are clearly against what we know to be right? This phenomenon has many very undesirable consequences that are expe…
Trading Systems And The Carnot Cycle
Your goal is to maximize your profits and thus your return on your trading capital. But how do you know if your trading is truly optimized or if there is room for improvement and more money to be made with it? If it could be better, is it you or your system and how can you tell?
The Wealthy Trader’s Guide To Consistently Profitable Trading
Do you find that your trading results are not as consistent as you’d like? Are you wanting to confidently repeat when you hit winners? Of course! Goal #1 in trading is profiting. The second is then making money consistently. Third is steadily making greater profits.
Can Trading Futures, Forex Or Stocks Be Addictive?
Real addictions are a very grave matter and while trading doesn?t involve the consumption of any substances, there are those that believe that trading is truly addictive. The tremendous emotional rushes that most traders experience both prior to placing a trade and while in the middle of a big winner or big loser are an acknowledged part of trading, but are traders truly becoming addicted to trading?
Trading Psychology
Dear Fellow-Trader.
Stock And Option Millionaire Psyche
If you are like most of us, we have all lost our fair share of money in the stock markets using strategies written by so-called gurus and experts costing thousands of dollars.
5 Mental Conditioning Tips For Option Traders
Too many option traders fail because they load themselves with tons of option trading knowledge but do nothing to ensure that their emotions dont get in the way. Yes, more than 95% of the option traders out there fail because of a complete lack of discipline and ability to control their emotions.
The Trading Psychology Plan
Did you ever see the movie The Italian Job, and if so do you remember when John Bridger asked: you see those pillars over there, thats where they used to string up thieves who felt fine. Make the transition from paper trading to real money trading and you will feel FINE too Freaked-out Insecure Neurotic and Emotional.
Trading Psychology -vs- Trading Method
It is said that trading is 90% psychological and 10% methodological. Does this then imply that regardless of trading method, a trader that has control over their emotional issues will thus be a profitable trader, or will it be impossible to ever control emotions without the proficient implementation of method?
Trading Psychology – Consecutive Loses AND The Trading Psychology Spiral
You go long and the market immediately goes down – you go short and the market immediately goes up. That’s 2 consecutive losses, and you are getting a little ‘anxious’ so you don’t take the ‘next’ trade. Of course, this trade is a winner. Now to make the situation worse, you then ‘chase’ the move, and as soon as you enter the trade it immediately reverses, thus giving you another loss this is now 3 in a row. Ok one more try – this can’t happen on every trade can it?
So You Want To Become A Futures Day Trader
You wake up one morning with a really BAD idea you have decided to start making your living by becoming a futures day trader. BUT how can this be such a bad idea, dont people get rich day trading futures? Where did that idea come from?
Trading Psychology: Mistakes in a Trading Environment.
When it comes to trading, one of the most neglected subjects are those dealing with trading psychology. Most traders spend days, months and even years trying to find the right system. But having a system is just part of the game. Dont get us wrong, it is very important to have a system that perfectly suits the trader, but it is as important as having a money management plan, or to understand all psychology barriers that may affect the trader decisions and other issues.