Stress is harmful to Trading

Hi, to all in this Thread

First of all, has any one of you who are doing day trading encounter any panic attacks and anger/ fear during situations when the forecasted stochastics or readings/ data are against the TREND?

Then you could be under STRESS while trading. This is a normal condition as everybody experience it.

S K

When the STRESS sets in

When the going gets tough, it is natural to get stressed and fearful of going into the MARKET even with the good info given by the EMA/ RSI or other analysis such as fundamental analysis.

So, will it be good to stay put? It is naturally not good as making some trades will risk your investment - this is liken to gambling, BUT gamblers DO NOT stress! Look at those poker chaps - they are good at psychology! In a game like poker, the straight faced ones normally WIN!

So, stay put, but it NEVER brings profits or any loss. What the solution is to get into the swing of things by getting certain perspective Right and get into V-trading. Virtual trading can be a BETTER option than PAPER TRADING.

S K
--------------------------------------------------------------------------------------------------------Hi there
Be one with GOD, so that HE may appoint a deliver for your Soul-HariHaraBramKalki(S K)

cu20052003 said:

Hi, to all in this Thread

First of all, has any one of you who are doing day trading encounter any panic attacks and anger/ fear during situations when the forecasted stochastics or readings/ data are against the TREND?

Then you could be under STRESS while trading. This is a normal condition as everybody experience it.

S K

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Its natural to face threat and stress when launching and getting into a new trade, however the best thing to avoid it to be confident about yourself

Emotions are an effect , you have to determine the cause of it.

There is a reason why you will feel stressed out during a trade. Your post makes it clear that trading success is very much an understanding of what is gong on, either with price, indicators or whatever.

As Jennifer mentions in her post above, is be confident about yourself. However this is not easy if there is even the slightest doubt in your analysis. This doubt will arise from either not knowing how to use the indiactor correctly or not trusting it altogether.

There are pieces of the jigsaw missing, and while this is the case you will be confronted by lack of discipline, emotion, stress etc.

Once the pieces fall into place, discipline will be automatic, emotions will almost dissappear. This is because you will have a CLEARER set of fully understood steps to follow.

There is a thread here somewhere about trading being 99% technical and 1% emotion. This is very true, but sometimes the 1% can completely overshadow the 99%.

Of course stress is harmful to trading. Therefore, avoid it. How? By having a mechanical system of trading, within which you accept that there will be some losses. If your system is good, your losses will be small and fewer and your gains will be big and more frequent. When you have such a system in place, you don't look at the money. Just focus on the trade and the money will follow. If you focus on the money, emotions will begin to surface and they will influence your trading. When this happens you are doomed to fail.

You have to fully accept the risk you have taken on any trade before you can enter it. A loss isn’t a bad thing if it was calculated. Of course you don’t want to see them but a calculated loss is acceptable. Its something that you know sometimes will happen. But still there is nothing worse than that sinking feeling of getting stopped out!! Yet nothing compared with the chaaachiiingg of hitting limits. Its allll Swings and roundabouts but in my mind if you can’t handle the emotions of trading then it’s best not to trade. FORGET YOUR LOSSERS AND FORGET YOUR WINNERS its all about the trade at hand.

AmateurTradersOnline said:

nothing worse than that sinking feeling of getting stopped out!!

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I dunno... check the video in my signature.

shadowninja said:

I dunno... check the video in my signature.

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Thats awesome. Talk about a bad weekend losing 30K is never really a good trade plan.

stress is harmful to everything...i would have thought that obvious?