On the start of my trading career I failed so many times, losed so much money and not because of my analysis, strategy or entry points.... but because of my EMOTIONS. I was an emotional trader , somedays this monster still come and take a peak at me but well I have defeated him so here is how to do it....
DEVELOP A SOLID TRADING PLAN.
clear strategy: Outline entry, exit, and risk management rules. This provides a sense of control and reduces emotional reactions.
Risk tolerance: Define how much you 're willing to lose on each trade, ensuring that losses dont harm your overall capital.
Set Realistic Goals: Focus on achievable targets rather than high risk high reward bets. this is not a get rich quick scheme so never think you are going to be a millionaire in a month...
PRACTICE PATIANCE AND DISCIPLINE stick to your plan; avoid chasing the market... wait for your set up to come into play. Patience is key in trading , overtrading or chasing trades due to impatience often leads to mistakes which leads to losses.
FOCUS ON PROCESS ,NOT PROFITS Measure success by execution; focus on executing your plan properly, regardless of the outcome. profits will follow if your process is solid
STAY DETACHED FROM MONEY; rather than looking at how much profits you will be gaining, view each trade as a success of your plan and % of your capital. reducing emotional attachment to dollar helps so you are never greedy even when in profit.
[/bMANAGE RISK PER TRADE
position sizing; use small positions sizes to avoid large emotional reactions to market movements stoploss order; setting stop loss levels in advance helps take the emotion out of closing trades at a loss
LEARN FROM MISTAKES WITHOUT SELF-CRITICISM Reflect on trades; evaluate both successful trades and failed trades to understand why they failed and your emotional response to those failures or success
avoid overthinking losses: losses are part of the game, learning to accept them and learning from the losses without self-blame keeps your emotions in check
REGULARY REVIEW AND ADJUST
KEEP A TRADING JOURNAL ,RECORD YOUR EMOTIONS,WHY YOU TOOK THE TRADE AND WHY, WHAT WAS THE OUTCOME OF THE TRADE?
ONCE you establish these habits, trading will get better.. I wish you guys good luck and lets make profit
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