easy day trading for beginners


Understanding Trading Psychology

Visit MarketGeeks.com

Free Trading Report

Subscribe To Our Channel

http://www.marketgeeks.com/


Biggest Piece Of The Trading Puzzle

Trading Psychology


Your Mind Records Past Experiences

Start out losing money in the markets The mind begins to associate the financial market with negative emotions This causes variety of reactions in most people ranging from headaches to severe panic attacks

Avoidance Behavior


Similar To A Traumatic Experience


You Deal With This Head On

You have to make yourself see the market objectively just like you did before you started trading You must reprogram your mind to see the market as neutral without any hidden agendas or negative motives


2 Ways To Deal With The Problem

Limit your risk to fraction of your current size

Do not avoid markets

Trade to gain confidence not to make money

Positive exposure is the key

With time your mind will change how you think about the financial markets


Basic Human Psychology

Our society conditions people so that when they get the right answer they know they are doing something right and when they get the wrong answer they are conditioned to believe

that they are doing something wrong


Principle Does Not Work In Trading

The mind believes that by holding on to a losing position there is a chance that the position could come back If the position comes back then the traders obviously made the correct decision and therefore he is a good trader Conversely, when traders are in a winning position they quickly take profits so that they can feel like they made the correct decision

Notice That Being Right Is The Major Concern


Being Right And Making Money

Profitable trading is based on risking winners so that they become bigger and liquidating losers quickly so

that they don't become bigger

Beginners cut winners so they don’t turn into losers and risk losers so that they potentially turn into

winners

Do You See The Difference Between The Two Paragraphs


Things To Keep In Mind

Psychology Can Be The Biggest Barrier

Identify The Problem

Take Steps Necessary To Solve This Problem

Psychology Does Not Improve By Itself

We Can Help!


Understanding Trading Psychology

Visit MarketGeeks.com

Download Free Trading Report

Subscribe To Our Channel

http://www.marketgeeks.com/

easy day trading for beginners

Documents