How to combat emotions in trading? (2)
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  • #1 Collapse

    How to combat emotions in trading? (2)
    i think we can setting stop loss and take profit to reduce our emotion during trading. we have to force our seleves to folow our trading plan and money management
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  • #2 Collapse

    Originally posted by sastrowarwer View Post
    i think we can setting stop loss and take profit to reduce our emotion during trading. we have to force our seleves to folow our trading plan and money management
    If a trader generally accepts the fact that its NORMAL to lose in a forex trade, it becomes easier to handle the accompanying emotions. Also one should trade with money that they can afford to lose, the more the money means to a trader, the harder is it to trade it!
     
    :luvmt5:If you can kneel before God then you can stand before any man!


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    • #3 Collapse

      emotion is a important matter in life but in the matter of trading. we should keep our emotion in control.emotion leads us to a wrong decission.we have to be practical.a man who can tolerate,does not temper.we must have the courage to face the losses and control our joy when we get profit.

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      • #4 Collapse

        Originally posted by techboy View Post
        As majority of traders agree that emotions is the causes why traders fail in trading(based on my other thread),

        https://forum.mt5.com/showthread.php...cceed-in-Forex

        It is a good idea to start discussion of how to fight, control or combat emotions since this is the root cause why traders fail. And be well prepared each time we go to battle with other traders.

        In my own case I always read set of quotes every day that will always remind me about trading psychology, its about setting proper mindset.Such as:

        The market is always right
        Losing trade is normal in forex
        Trade on what you see not on what you think
        Always implement stop in all my trades
        I am disciplined in following my trading rule all the time etc etc......

        In such a way it will be planted in my sub conscious mind...thereby making me a better trader.

        Its your turn guys!
        Fear and greed
        By Adam Milton

        In order to be a successful day trader, you need to have the right tools, choose the right markets, and trade the right trading systems. However, it is just as important to have the right psychological and emotional outlook. Without the right psychology, your emotions will have a big impact on your trading, and may even prevent you from trading at all. The two main emotions that day traders experience are fear and greed, and while you will probably not be able to remove these emotions completely, you will need to manage them.
        Fear

        Fear is the emotion that stops us from doing things that might be too risky. In the right quantity, fear is obviously an emotion that we need, but when fear becomes too great we can be prevented from doing things that might be necessary. In day trading, the main fear a trader has is that they are going to make a losing trade and lose money. This is a rational fear as no trader wants to lose money, but it is irrational if it prevents the trader from taking any trades in the first place. As an example, a trader might make a losing trade, and then be too fearful to make the next trade, which of course turns out to be a winning trade, and would have covered the previous loss. By letting the fear take control, the trader now has a net loss, even though a winning trade was available. The emotion of fear can be overcome by acknowledging that all day traders have losing trades occasionally, but as long as they are less frequent than the winning trades, there is nothing to be afraid of as there will still be a net profit.
        Greed

        Greed is the opposite emotion to fear, in that it is the emotion that makes us do things we would not normally do. The right amount of greed is necessary because it gives us the motivation to work at something, but when we are too greedy we will start doing things even when we know that we should not. In day trading, greed can make traders make random trades, or hold on to positions longer than their trading system dictates. For example, if a trader is watching a market moving strongly upwards, the trader might be tempted to make a trade even though their trading system says not to. The trader has allowed the greed to take control, and more often than not in this scenario, they will be buying right at the end of the move and will have a losing trade. The emotion of greed can be overcome by testing and then trusting in your trading system, and knowing that if you follow it correctly, it will make a profit without taking every potential trade.

        From : http://daytrading.about.com

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        • #5 Collapse

          To reduce the fear is in himself, the feeling should be careful to ensure that we have no fear in making trade decisions. And ungkin when we do not fear, greed began to approach us.
           

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          • #6 Collapse

            first you need to know what cause you emotions unstable
            if you find the answer you will know how to overcome it
            but if it doesnt work, try to find a guru that can help to you
            do meditation
             

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            • #7 Collapse

              Originally posted by sukir View Post
              if you dont mind i want to say you something. copy past is not allow in here.

              we can control our self but its really hard but not impossible. we are going crazy when we are watching market. so its better to leave after enter orders in forex.
               

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              • #8 Collapse

                At the beginning of the deliberative in forex you can not control, my heart never was mainly on the tension and fear when it starts a transaction or transactions before, but now that the best case have been initiated in the atmosphere to get used to the difficult trading

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                • #9 Collapse

                  It is certain that this process will not come to speak and talk about it, but we have to train ourselves to bear the losses as the gains we see, and you must understand that this is the nature of the forex market.
                   

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                  • #10 Collapse

                    i agree with u.
                    money management is a way to control emotions. always try to don't be greedy. it's very helpful for all the treader. if u fill greediness when u are treading u should close the tread. u know u can make profit this time but for ur greediness u cannot get those. it's ur penalty. then u can make yourself as a perfect treader.
                    thank you.

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                    • #11 Collapse

                      i don't agree that emotions create big problem , once you have earned ample profit with your great skills , you naturally get rid of all problems and fear of loses are just for newbies ,at advanced stage professional traders who have lots of money and skills never feel bad they always enjoy trading .

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                      • #12 Collapse

                        l think the emotions are not the only problem for the loosers but there are so many reason.and most important one is giving wrong decision about the move of the trend.if we cant read indicators well and we dont focus on the trend.and dont follow the news etc.then we will have a loosing trade and at this point emotions will stop us to quitting from our loose and let us to hope that it will turn back.and we dont place stoploose and we dont apply money management rules .then boom so we can say that there are so many reason not only emotions.

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                        • #13 Collapse

                          Originally posted by pkdoo7 View Post
                          i don't agree that emotions create big problem , once you have earned ample profit with your great skills , you naturally get rid of all problems and fear of loses are just for newbies ,at advanced stage professional traders who have lots of money and skills never feel bad they always enjoy trading .
                          I see where you are coming from, i mean why would anyone get emotional in their decisions when one way is working for them, but the reality of the situation is that we are all different..A strategy working may trigger greed in some as they may think that the strategy is invincible so they turn up the lot size and then face major drawdowns and hence their emotions are triggered etc It really depends on the trader but once discipline and appreciation of little profits isn't present in one's trading life "common" sense disappears
                          Smile if you are reading this, that means that you are still alive...where there's life there's hope!...Do not let anything get you down, life is too short...

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                          • #14 Collapse

                            Originally posted by ermaniso2011 View Post
                            l think the emotions are not the only problem for the loosers but there are so many reason.and most important one is giving wrong decision about the move of the trend.if we cant read indicators well and we dont focus on the trend.and dont follow the news etc.then we will have a loosing trade and at this point emotions will stop us to quitting from our loose and let us to hope that it will turn back.and we dont place stoploose and we dont apply money management rules .then boom so we can say that there are so many reason not only emotions.
                            It is certain that psychological feeling bad, which are subjected to the merchant in many cases, affect all the decisions that are taken from the merchant, but is it possible that there is a person without feelings?.
                               

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                            • #15 Collapse

                              Trade on what you see not on what you think
                              is any definition of this,trade what i see,sometimes i'm makes position instantly because i'm interest pair movement spontaneously moving up fast.
                              but after that,price going down dramatically.
                              that based short emotion act

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