@thesatoshistore 29 June 2020

How to Tame the Monkey Mind in an Extremely Volatile Market

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. *I hope you found this post useful, please subscribe, upvote or comment so I know you did. If you would like to know more about trading and investing* *check out our other articles here**. Cheers!* https://read.cash/@thesatoshistore