In this overview, we will discuss what is greed in Forex and how to beat it.
Tag: trading psychology
Who is a “successful trader”? They are a trader who has learned to make a stable profit in financial markets. In this article, we will give 10 clues that will help beginners to become and feel like that successful trader.
Speaking about psychological competences, important for a trader, I would first and foremost single out emotional intelligence.
This method is known as a solution-focused approach and is currently the quickest way of acquiring a positive attitude. It was described by a famous psychologist working with traders – Brett Steenbarger.
Let us get started with the simplest questions: how did you find yourself in Forex? What was the reason for you to get interested in such a thing?
Psychology is an important part of a trader's success in the Forex market. Control over emotions (anxiety and trader's fear) is an intrinsic part of any trading strategy.
It is no secret that trading results on real and demo accounts always differ, the former results usually being worse. In other words, if you succeed in trading on a demo account, you should always make allowance for the real situation. The devil is in the different attitude to trading demo money and the trader's own money.
Psychologists recommend formulating your goals as precisely and carefully as possible, projecting them on your subconscious and controlling your progress towards them. Systematic investors and traders have managed to secure themselves at the top of the market not just because they own some super system or insider information; the reason is, their goals are based on their long-time experience, their knowledge, technology, psychological stability and skillfull risk and money management. Trading without a clear idea of what, when and how we are planning to reach washes the main part of "plankton" off the market very quickly. The more detailed and realistic your goals are, the lower the risk of losing your deposit.