Top Five Lessons in Psychology Trading

Know when to finish.

Off-days happen to the best of us, so don’t beat up too much! There are instances when sitting on the sidelines is better. Of course, good traders should always be on their feet, ready to pounce on the chance to make money. Yet remember to be careful with successful traders and know when to stay out of the markets.

Forget the ideal trade

I’ve never been able to blame anyone who strives for excellence. But if being an intense perfectionist makes you edgy and prevents you from doing any trades, you’re having a problem. You will regularly plan a trade only to lose money because an unforeseen event will invalidate the trade setup that you thought was so good and your trade will slap you in the face and go against you. Loosen up a bit! Instead of finding the “perfect” system, look for a successful setup rather. I promise you’re going to feel better.

Go outside your zone of comfort!

Are you already trading a certain pair comfortably? Do you believe your trading system has already been mastered? Maybe it’s time for you to trade beyond your comfort zone. Don’t be afraid! You don’t have to do something drastic like quadrupling the sizes of position immediately. Following a string of losses or trading during a different trading session, it can be as simple as taking the next valid trade. Give it a shot. Don’t they say, “Life starts at the end of your comfort zone? “Do not be afraid to explore out there other opportunities.

Don’t have to be distracted.

If you’re trading within your own house, don’t let the warmth your bed offers or the thrilling plot of a TV show make you forget that trading is just like real work: You’re reaping what you’re doing! I know that we’re all struggling with distractions.

Stop the seesaw of trading.

Your account is up for one week, the next one goes back to the red. How do you stop the seesaw of trading? You will soon be able to get back on track and maintain a positive trading mentality once you are able to review your trades and identify your mistakes. It may be hard, but it’s definitely possible. A lot of effort, emotional, resilient, and above all, FOCUS will be required.