Psychology is not one part of it that is required for success. It might sound a little strange, but it is just. Correctly reading the chart and other bases in the trade is the only difference between big money and loss, psychologically misleading in the best case.
People often come into the trade with a single goal – they want to earn big money – just like those who flocked to the online poker, who never played in a live poker tournament before, won the World Series of Poker event for over $ 1 million. They are looking for a quick way to earn a lot of money. Fortunately, there are plenty of people who want to avail of the motivation. Psychology helps you to improve your train of thought and to develop the kind of real skill that experienced traders have developed over the years. Who would want to work hard if it was so easy?
Magic bullets do not exist. Stop looking for them. The psychological side can make a big difference in your trading, but it takes a lot of work. Changes are not immediate.
Technology is more important than your train of thought
I won 9 college tournaments and had ambitions to play professional golf. In 1997 I was able to qualify me for the US Open, but I felt a scary downward pressure. This repeated itself in other major national events and forced me to confront the psychological side of the game. The prevailing wisdom in golf similar to what is often said in the trade: Golf is 90% mental. This idea appealed to me because it gave me an easy way to correct my failures. But when I dug into the game’s mental side, it became clear how missvisat the idea is. Yes, my mentality needed to be improved, but my technique also required a lot of work.
Think about it, if golf really 90% mental would the Dali Lama be an excellent golfer. But he is not. Why would a professional golfers spend most of their time not to meditate or to work as a psychologist? The mind is what makes it possible for a golfer to get the most out of their technology.
Golf is a physical game and maybe not a fair comparison with the trade. How about poker? Poker is as physically demanding as trading and online poker, and with out which trading, with its virtual tables with a series of statistics that works and looks like the indicators in your charts. The rules will make you a successful poker player.
If the trade was mostly psychological, would not a meditationsinstruktör make you a successful trader? I know an experienced trader who has their emotional problems will make more money than me over a large sample (Anyone can get lucky). His understanding of market forces, indicators, and other technical knowledge is the most important part of his journey. But remember – you can not fix a faulty golfgunga and it can not fix the incorrect trading skills.
1. If you are relatively new to trading, focus on to increase your trade knowledge and technology. It is the only way you can be competent at; Spend 90% of your time to develop this expertise and 10% on the psychological side. If you are interested in psychology, keeping you on the whole. Make notes on small psychological problems you notice and read psychology articles and books that interest you. But don’t let the time or the effort to divert you from your main priority to become a real trader. Wasn’t someone just looking to be happy and comfortable blaming greed, fear or lack of discipline when the trade does not go as you want. If you find that you have psychological problems that hinder your ability to be profitable, it means that your problems are more personal and likely shows up in other aspects of your life.
2. When your knowledge has become stronger and you have proven that you can execute a trading strategy, you can read the psychology a little more. In the meantime, you can spend 30% of your time on improving your psychological approach. Sure, you can spend more time when psychological problems arise, but on average you don’t want that on this side of the game will consume you.