TRADING MISTAKE AND YOUR PSYCHOLOGY
Many of us even the experienced trader at some point made a mistake, because as human we are not perfect. One reason for that is we are creature driven by our emotion fist and then logic. Some were not ever get close to the second.
Now, don’t confuse the trading mistake to a losing trade, those two were far different.
Losing a trade is inevitable, because in this business of speculation nothing is perfect. You can’t be right with market 100% of the time. However, trading mistake is optional and sometimes it is just a manifestation of lack of discipline in trader’s part. Not having a plan when you enter a trade or not following it.
As an old adage in trading says “Plan your trade, and trade you plan”. Trading mistake comes when you don’t have either of the two or don’t have both.
Have you been a victim of the hype that result you being “burned” and now carrying with you a bloody port with very huge paper loss you can’t bear?
Have you ever missed a very good trade (even though a good setup were just in front of you) because you were too distracted by so many unnecessary things?
Or maybe you buy a stock out of a “hot tip” from someone… they say it’s a great buy however the stock did not come out as you expect. You hold it tight hoping the tip or rumor was true but it turns out be to a sham and your funds are now going down the drain. You see yourself catching a falling knife day by day…. Ouch!
Those are just few example of trading mistakes, which mostly commit by beginners. Not only it will damage your finances and but also might lead traders specially beginners into great despair and torment.
Now here is my advice, don’t linger too much on your mistake. Learn from it and move on, forget the past mistakes but carry with you the wisdom acquired.
Always think that you’re not alone. About more than 85% of novice traders committed the same trade mistake as yours.
Just look in the different social media group and there you see “mga karamay mo sa hirap!”. I have to be honest, I do commit mistakes too…even today. Read here my confession.
My friend, trading is not a walk in the park leisure. But more on a rough sailing adventure in a very unforgiving market.
So before you fall into depression and feeling suicidal here’s what you’re going to do to recover from your trading mistake at least emotionally.
First of all….do this
After you bring out all your tears…date your women or talk to someone you love.
Take a walk or have a vacation to unwind yourself.
and lastly, join us in our trading journey and get more relevant articles delivered into your inbox.