Living a person's life, the reason for feeling pain is because the heart is preoccupied with the wrong things. In this world, no one can imprison you; only you can imprison yourself. Not living in the eyes of others, nor in your own emotions, is the great wisdom of life.
There is a saying on the internet: "90% of the troubles in life" are not because of the things themselves, but because of your reaction to these things. Mature people do not dwell in their own emotions for too long. A writer once took a very distinctive taxi by chance. The inside of the taxi was clean and tidy, offering not only cola, juice, and hot coffee, but also various newspapers and schedules for radio programs.
As soon as he got in the car, the driver handed him a beautiful card. The card read: In a friendly atmosphere, I will take my guests to their destination in the fastest, safest, and most economical way. The writer curiously asked the driver: "Why do other taxi drivers always complain about traffic and income, while you are so joyful and provide such comprehensive services?" The driver replied, "Actually, at first, I was like everyone else, often complaining. Until one day, I accidentally heard on the radio, 'If you stop complaining in your daily life, you can succeed in anything.' So, I decided to change myself."
Being human, having emotions is instinctive, but not being controlled by emotions is a skill. Emotions are like water; they should be channeled, not blocked. Changing your mindset prevents negative energy from accumulating in your heart.
The same principles apply to trading.
Jesse Livermore once said, there are four types of people who should not speculate: the foolish, those unwilling to think, those who cannot control emotions, and those who want to get rich quickly. We can further summarize them into three categories: the foolish, the lazy, and those who cannot control emotions. Foolish and lazy people naturally do not excel in anything, and the most significant point to emphasize is emotional control.
Humans are emotional creatures, but compared to any other job or industry, trading seems to cause the most emotional swings. Sometimes you are greed-driven, other times overwhelmed by fear, sometimes arrogant, and quickly become frustrated.
Trading must separate from emotions.
When you make a profit, you feel happy, elated, and relaxed. Imagine if you cared so much about or pursued this psychological pleasure while trading; the negative effects would also be significant. Think about how you feel after a failed trade; you might try to ignore the bad feelings, but if you ignore enough of these trades, you might already be bankrupt. When you are happy, you feel powerful—it cannot be denied that joy is a good thing. However, the problem is, one or a few successful trades do not mean you have control over the market. Feeling a sense of control creates an illusion that your decisions are always right. A failed trade might not align with your illusion of "powerful control," but trying to use your "power" to change that failed trade, instead of examining your losing trades, is a regrettable fact.
Sometimes, even when you profit from trading, you might feel bored, and that's normal. Trading is an emotional "roller coaster"; you swing between excitement and suppression, and boredom is the midpoint between these two extremes.
Exhaustion is another emotion that can result from a profitable trade. Because in real trading, you either make money or lose money, the pressure is immense. The indicators used in making trading decisions can sometimes be confusing, and correctly sorting through them requires focus and enormous effort, which also increases stress. Sometimes, you even shy away from trading due to fear or to escape this pressure, looking for other reasons to avoid trading. For instance, you might opt for light positions or frequently close positions easily. If you do so with a clear mind, it might be acceptable, but if it’s done subconsciously, then it’s a serious issue. Fatigue, boredom, excitement, and exhilaration are all indications of emotional trading.
The solution
When discussing trading flaws and emotional trading, it often stems from a lack of discipline. For average traders who prefer freedom and spontaneity, adhering to a set, strict trading discipline is very difficult. However, this does not mean they cannot create their own discipline and principles. The most important principle is to remember that even the most perfect trading system will experience losses. Every trade, whether profitable or not, needs to be carefully evaluated to learn lessons. To solve the problem of emotional trading, your goal is to eliminate emotional factors from your trading discipline.
Impulse is a common trading trap. You know you need more trading signals, such as clearer turning points or more evident trends, but for some reason, you won’t wait for them. For instance, you try to buy at the bottom, but being overly impulsive can make you lose initiative, and the results may not be ideal. You must learn to be patient, remember that opportunities will always come again. Patience helps preserve strength, so in your decision-making process, you just need to wait for further signals to appear, which won’t drain your energy and will keep you focused while waiting. If you miss an entry point, you should analyze why you missed it rather than chasing highs and lows. Poor execution is another major reason many traders cannot follow their trading systems well. They actually do not trust themselves or their trading rules. This requires you to thoroughly study the principles behind your trading rules, not just simply judge points. If you cannot tolerate any minor loss, you need to understand the importance of accepting a certain level of loss in trading. You need to review all past trading records to judge the extent and direction of market changes at the beginning of a position.
Investors aspiring to become professional traders must view trading as a profession. Some academic circles believe that trading cannot become a career due to its high randomness. These viewpoints overlook successful investors in the market. Many fund managers, day traders, and long-term trading experts already make profits effortlessly. However, to some extent, the academic view is also correct, with the market being volatile and unpredictable. Like other professions, traders sometimes wish to earn more with less effort, especially after achieving significant success.
Do not dwell on the past; letting go will bring a clear sky. Life's infinite possibilities often lie in every new beginning.
There is a saying: "If you do not give yourself trouble, others will never be able to trouble you." Sometimes it is not trouble that chooses people, but people who choose trouble. To walk far, one must look lightly upon the past to start afresh easily. As the saying goes, "Those who care are burdened; those who do not, let go." Only those who do not dwell in entanglements can stride into the future.
Everyone has a mental cage forged from experience, which is indestructible. Truly mature people do not live in their emotions and past experiences, nor do they live in narrow cognition. Starting today, keep learning and improving yourself, and one day, you will break free from this mental cage. On that day, you will no longer be your old self.
For more related trades, please contact CWG Forex Platform Ahai.
