#TradingPsychology Psychology in trading cannot be taught; it can only be learned.
In the stressful conditions of a trader's work, the psychology of the trader plays a significant role. Rapid changes in price dynamics affect the trading person and their psychophysiological processes. For example, if entering a trade and the price goes in the planned direction, a feeling of satisfaction and euphoria arises.
If a loss is realized after opening a position, diametrically opposite reactions arise: sadness, resentment, anger, aggression, self-flagellation, disappointment.
The market is like litmus paper. Feedback from the market is instant. If wrong — you incur a loss! If the trade is successful — the reward is profit.
At the core of any reaction and/or action lies a thought (belief). By influencing the psyche with words, one can promote successful trading, or, unfortunately, cause significant harm to oneself.
Trading is very difficult and not for everyone.
When a person holds such a belief, they will complicate their path in trading in every way. They will read tons of literature, study many strategies, and trade a lot and often. Sometimes, on the contrary, they will postpone opening a trade for years because they feel insufficiently prepared.
Advice: work on the belief that 'Trading is difficult', simplify the trading system, trade less, and definitely take breaks after profitable trades.
Trading is like a casino; you may get lucky or you may not.
Such traders rely on intuition in trading and often use words like 'I'll play', 'I won', 'I got lucky'. The trading will be corresponding: impulsive entries and exits, fear, greed, regrets, and as a consequence, burnout.
Advice: work on the belief 'Playing on the stock exchange'. A trader relies not on intuition but on strategy and trading plan. Start treating trading as a business and a job.
Now let's consider the beliefs that will help emotionally support oneself while trading and contribute to a good mood during trading:
The market provides many opportunities every day to make money. I will be able to choose the exact instrument and the exact moment that will bring me profit.
One day doesn't decide anything, just like one deal. If it didn't work out today, it will work out tomorrow.
If someone is making money in the market, I can too. I will succeed.
Every trade is a set of rules that I can repeat in the future, as market movements are cyclical and subject to mathematical laws.
Psychology in trading cannot be taught; it can only be learned by adding as many positively oriented thoughts on a regular basis day after day (the rule of 10,000 hours still applies).