Trading Is 99% Mental

• Posted by TraderStewie
• on November 29th, 2009

Trading ruts are frustrating. They mess with you mentally and make you ‘feel’ like you are a terrible trader and that there’s no way out. How many of you felt like that? It’s safe to say that as traders we have ALL been thru these before.
I have been full time trader for over 6 years now and i’d like to consider myself a ‘professional trader’ and i can tell you that I feel that i go thru trading ruts from time to time as well. Once you get these feelings of insecurity it is IMPERATIVE that you TAKE ACTION: positive action! Holding a position that isn’t working longer and hoping it turns, removing a stop loss, drinking heavily on week nights is NOT positive action.

You need to seek real ‘help’. Seek real help how? No, not Dr. Phil!! Well, how about stop trading for 1-2 days to chill out ? how about talking to someone else, another trader who knows and understands the ups and downs of trading? how about going for an intense gym workout? A good soccer game works for me!
Doing these things will NOT cure your problem but it is the beginning of the healing.

The more i trade the more i realize, that “over trading” is THE SINGLE BIGGEST downfall of traders. Over Trading clutters the mind after a loss. Traders do all sorts of IRRATIONAL stuff after a loss. The initial small loss snow balls and gains momentum against YOU. WHY? Simple, you allowed it to happen. Over trading ruins winning streaks and boy-o-boy does it dent holes in the account when you are managing a losing streak. Watch YOURSELF!

The information in this blog post represents my own opinions and does not contain a recommendation for any particular security or investment. I or my affiliates may hold positions or other interests in securities mentioned in the Blog, please see my Disclaimer page for my full disclaimer.

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