Being emotional while trading and investing is very detrimental to your health and success, the markets are wild and volatile and if you react to every move the market makes you will soon part ways with your money. Today we'll see the two most detrimental emotions and how to stay calm in a volatile market.

Fear Of Missing Out (FOMO)

You see a coin pumping over 100% in 6 hrs, you're seeing everyone talk about it and you're scared this might be the project that will change your life, hoping it's not too late to get in. You click the buy button, the coin dumps 50%.

Fear Uncertainty an Doubt (FUD)

Now that the coin has dumped 50% you're seeing negative news everywhere so you're scared its going to zero, you panic sell, the coin pumps back up by 120% .

This is a clear scenario of your emotions ruining your trades. This situation happens more often than you think , it's pretty common for you to FOMO and then FUD right after.

The Fix

Always base your trades on Fundamental or Technical analysis, determine your entry and exit before you get into the trade. If you're a long term investor, Hodl or buy the dip. If you're a trader, set stop losses when you enter a trade so even if you're wrong you only loose a little. As always risk management is key to long term success in trading and investing, if you calculate risks well you won't FOMO or FUD when the markets get volatile.

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