My wins result from technical analysis and gut/intuition. When emotions intervene I lose.
- fear of missing out
- revenge trading
- trying to recoup losses
- copying other’s calls without doing your own due diligence
- trading without a firm plan
- and the inability to follow your plan (namely your stops)
are all emotional shortcomings that prevent us from moving up from break even, commission burning, win/loss cycle to consistently winning every day.
The solution to resolving your emotional holes is to recognize they exist and learn to pay close attention to what you are feeling when watching the charts. Ask yourself; what am I feeling right now
- why am I about to take this trade
- am I sizing in too large
- am I scaling in
- do I have a smart plan based on correct risk/reward
- am I revenge trading
If you’re honest with yourself you’ll recognize when you are short-changing yourself and you’ll forgo the trade.
In truth, emotional maturity is something we all must strive to attain throughout every aspect of our lives – the consequence of not doing so in trading will cost you your account and possibly your mortgage!
Check out our Trader’s Coaching or contact Kevin to schedule a consultation by phone or email!
