💡 Here’s how to deal with emotional triggers in trading:
1. Have a Plan Before Entering
• Decide in advance:
• Entry price
• Stop-loss
• Take-profit
• Position size
• Never enter a trade without a clear plan.
2. Use Stop-Loss Orders
• This protects your capital and prevents panic selling.
• Once the stop-loss is hit, the trade exits automatically.
3. Avoid Over-Leverage
• Leverage increases risk AND emotional stress.
• Stick to 2x–5x leverage if you’re still learning emotional control.
4. Detach Emotionally
• Don’t fall in love with your position.
• The market doesn’t care about your opinion.
• Be ready to exit quickly if your plan fails.
5. Accept Losses as Normal
• Even the best traders lose.
• Focus on managing risk, not avoiding all losses.
6. Use Smaller Positions
• If your heart is racing or you’re constantly refreshing charts, reduce your position size.
7. Keep a Trading Journal
• Write down:
• What triggered your entry
• How you felt during the trade
• Why you exited
• Over time, this helps you identify emotional patterns.
8. Limit Your Screen Time
• Watching price move every second increases anxiety.
• Set alerts and walk away from the chart.
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⚠️ Warning Signs of Emotion-Driven Trading:
• “Let me just hold a bit longer…”
• “It has to bounce back…”
• “I’ll double my position to recover…”
• “This time it’s different…”
These are emotional traps. Stick to your strategy.