Control of Your Emotions While Trading
When markets are “normal”, we yearn for more volatility, more action!
When the action is upon us, many traders bail out reasons and let emotion take control.
It being said: “Trading is 5% Luck, 10% Tools, 15% Discipline and 60% Emotions Management”
You goal as a trader is to make money and in order to do so you need to get rid of that initial risk you have on every trade you take. You should take your trade to breakeven as soon as possible, what that does is to take the emotions out of the trade inmediately allowing you to manage your trades intelligently not trading emotionally at all plus its gives you that small edge that you know you are in a winning trade in which you know you can not lose. So right out the bat you are in good shape, you sit back, relax watching the trade working earning money for you.
My hope today is that you stay strong, knowing that the market will find an equilibrium and you’ll be able to act accordingly at the time.
If you’ve been hurt by today’s market movement, you will recover if you stay disciplined. Remember a loss is nothing more than a learning opportunity seeking success. If you’ve already strayed from your discipline and you’ve made a “panic” move, fear not, as you too can get back to discipline and recover and learn from your mistake.
