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Control Your Emotions To Avoid More Losses In Trading

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Avatar for rezoanulvibes
Written by   23
2 months ago

You just hit the buy button to buy and later sell. How does emotion come in between? You do paper trading, and you see you are doing good. So you decide to start trading with your own money.

Now you feel something seeing the price going up or down. It did not happen at the time of doing paper trading because you know that's not real money.

How do you feel after making a profit in trading? Will you be happy or feel nothing? That will make you happy after making profit in trading. On the other hand, you will feel bad when you make losses in trading. You cannot put your emotions out of trading. So it is better to control your emotions and do things that you are supposed to do.

You just lost money, you don't want to let it go. Unfortunately, what you do next to recover losses will make you lose more money in trading. Sometimes you make a loss that is not huge, but after becoming desperate to recover the loss makes you lose a lot of money that is huge

Stop trading after a big loss. You may go outside and spend more time with your friends and family. It would be better if you don't look at the market or talk about trading. Otherwise, you will make you feel bad again. You may start doing reverse trading. And that's one of the biggest reasons to lose more in trading.

You can take a break. When you come back after a couple of weeks or months, you can slowly start trading. Now you need to be more careful. Find out the main cause of losses in trading. Accept your loss and take responsibility.

Don't bring your 100% capital to the market. Take a small portion of your capital to the market. When you see you keep making a profit in trading and regain your confidence, you can bring your 100% capital.

If you control your emotions in trading, you will see a positive change in your account. So what do you think? Please feel free to leave your comments. Thank you for reading this post. That's it for now. I'll be back with another post.

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Avatar for rezoanulvibes
Written by   23
2 months ago
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Comments

We should control our emotions in general not just in trading. If you can't, don't trade :D :D

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2 months ago

Well said. We make decisions based on emotions while trading and end up losing more money. Thank you for your support and feedback!

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2 months ago