Thursday, April 23, 2015

What The Mind Can Conceive

Is it possible you secretly want to lose?
Self-destructive behavior can easily manifest itself in the markets, particularly among day traders.
When the price is dancing around in front of your eyes, it can take a grip of you. You can start to feel
like it's playing with you.
This is why you have to be very, very careful to avoid emotional trading. If you're a boiling cauldron
waiting to explode, then you're heading for a seriously bad experience in the market.
Don't get emotional about trading. Remember the current trade is only one of a long series. You're in
this for the long term. Remember that and don't, ever, get too attached to any one trade.
You must see yourself as a professional trader. At the start of each trading day, before the market
opens, take a few minutes for yourself.
Close your eyes. Start visualizing the market. See the real-time chart on your computer screen. Watch
as the price gyrates up and down.
See yourself entering a trade. Notice you feel relaxed. You're alert but calm. Completely non-
emotional. Observe how the price moves after you enter. How it comes close to your stop loss.
Mentally place a number of trades. Follow them through. You get a losing trade. Notice you see the
big picture. You are unemotional. Completely calm. You put on another trade. Again, another small
loss. You are unperturbed. Next a winning trade. Again, you are relaxed. It's all part of the job.
This takes practice. And you must do it regularly to get the maximum benefit. Try it every morning,
and any time you even begin feel stressed or you lose your focus.
The advantage of this technique is it's free. And the payoff is excellent.

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