Part 1: Trading Psychology – The Human Psychology
Trading Psychology – Introduction of The Series
Understand The Cycle Of Doom To Make Winning Trades
I am starting this topic with a simple question,
Are you finding consistent profit in your trading? If yes, then you can skip this article, and congratulations!
Now, Let’s discuss talk about the rest of the traders.
Indeed, most traders don’t find profits consistently instead end up losing their money. It does not matter which market they trade.
There can be many reasons for not getting consistent profits.
Like, it can be risk management, trading system. It can also be trading psychology.
But the truth is, you are trapped! Ladies and gentlemen, I am showing you the numerous powerful psychological trap ever.
The Cycle of Doom
The cycle of doom involves three phases.
- Phase 1: The search
- Phase 2: The action
- Phase 3: The blame
To become a successful trader, however, you will have to get out of the cycle of doom.
How can you destroy the cycle of doom?
First of all, you have to understand the cycle.
You need to understand what is going on! So you can identify and move beyond the Cycle of Doom in the world of consistently profitable trading.
Phase 1: The search
In this phase, you are searching forContinue reading
Good Morning with World Markets
money is one of the ways we can turn the dreams we have into the reality we live. Without enough money, or a true scarcity of it, life can feel miserable. But when you have money in your pocket, does everything automatically get better? I think we all know the answer.
Money can’t change who we are. All it does is magnify our true natures. If you’re mean and selfish, you have more to be mean and selfish with. If you’re grateful and loving, you have more to appreciate and give.
Take a moment and think back to the financial meltdown of 2008. Trillions of dollars of stock and home values evaporated into thin air. Millions of jobs were lost in a matter of months. What did you experience? How did it hit you? How did it affect your family? How about your friends? Some of us reacted with fear, some with anger, some with resignation, some with resolve. All these responses were not about money, but about us. These events shined a light on what money really means to us. What power we give it. Whether we let money control us, or whether we take control of it.
WORLD MARKETS RATE :
- Gold trading at 1200 at 1196.
- Us dollar index trading around 88 at 87.
- Nymex crude trading below 70 at 69 and Crude Oil (Brent) at 75.5.
- Dow future trading with flat closing at 17,805.00 with -7.50 points negative.
- Green global trend seen.
- Indian Market can be move 6000 above very soon.
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Qualities required to be successful trader
Many people take to trading in the mistaken belief that it is the simplest way of making money. Far from it, I believe it is the easiest way of losing money. There is an old Wall Street adage, that “the easiest way of making a small fortune in the markets is having a large fortune”. This game is by no means for the faint hearted. And, this battle is not won or lost during trading hours but before the markets open but through a disciplined approach to trading.
1. A successful trader has a trading plan and does his homework diligently
2. A successful trader avoids overtrading
3. A successful trader does not get unnerved by losses
4. A successful trader tries to capture the large market moves
5. A successful trader always keeps learning
6. A successful trader always tries to make some money with
less risky strategies as well
7. A successful trader treats trading as a business and keeps
a positive attitude
8. A successful trader never blames the market
9. A disciplined trader keeps a cushion
10. A successful trader knows there is no Holy Grail in the market
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