{"id":12918,"date":"2010-09-10T15:04:09","date_gmt":"2010-09-10T19:04:09","guid":{"rendered":"http:\/\/countingpips.com\/fx\/?p=12918"},"modified":"2010-09-10T15:04:09","modified_gmt":"2010-09-10T19:04:09","slug":"forex-trading-is-impossible-if-you-dont-control-these-3-emotions","status":"publish","type":"post","link":"https:\/\/www.investmacro.com\/fx\/2010\/09\/10\/forex-trading-is-impossible-if-you-dont-control-these-3-emotions\/","title":{"rendered":"Forex Trading Is Impossible If You Don’t Control These 3 Emotions"},"content":{"rendered":"

By James Woolley<\/strong> – Forex trading is a very emotional business. You can be up one minute and down the next. However I want to talk about three emotions in particular because each one of them can have a devastating impact on your overall profits if you’re not careful.<\/p>\n

The first is basically boredom. The truth is that there are certain times when the major currency pairs are stuck in narrow trading ranges and are not really going anywhere. Therefore it is all too easy to become bored just staring at the markets, unable to trade.<\/p>\n

Some traders have the discipline to stay out of the markets during these times, but others will be so desperate to be involved, that they will look for any half-decent trading opportunities. Unfortunately this is where the problems start because as soon as you start deviating from your trading method and start placing random trades based on gut instinct, you start making bad trading decisions, and will therefore inevitably lose money.<\/p>\n

Another potentially damaging emotion arises after you have had several consecutive losing trades. During these times you feel really low because you’ve lost a large amount of money, and so it’s natural to want to make it back as quickly as possible.<\/p>\n

The correct approach is to stick to your trading system (if it has proven itself over many months or years), but many people start using a new system or placing impulse trades using much higher stakes in order to try and recoup their losses. As you can imagine, this nearly always leads to disaster as well.<\/p>\n

Finally you also need to be aware of your emotions when you have several winning trades back to back. This can often make you feel arrogant and cocky because you seem to have mastered the markets. As a result you may well start ramping up your stakes in order to make more and more money.<\/p>\n

The problem is that everyone has losing trades at some point. Even the best trading system will have a few losing trades every so often. So by dramatically increasing your stakes, you are opening yourself up to the possibility that you will give most of these profits back as soon as you have a losing trade, or worse still a losing run of trades.<\/p>\n

So the point I want to get across is that if you want to become a profitable forex trader in the long run, you have to recognize the different emotions that you may experience at various times, and make sure they don’t affect your trading in any way.<\/p>\n

About the Author<\/strong><\/em><\/p>\n

Click here for more information about a forex trading course<\/a><\/span> that will teach you all the basics of currency trading, and to read a full Forex Nitty Gritty review<\/a>.<\/span><\/p>\n","protected":false},"excerpt":{"rendered":"

By James Woolley – Forex trading is a very emotional business. You can be up one minute and down the next. However I want to talk about three emotions in particular because each one of them can have a devastating impact on your overall profits if you’re not careful. The first is basically boredom. The … <\/p>\n

Continue reading “Forex Trading Is Impossible If You Don’t Control These 3 Emotions”<\/span><\/a><\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[],"tags":[],"class_list":["post-12918","post","type-post","status-publish","format-standard","hentry"],"_links":{"self":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/posts\/12918","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/comments?post=12918"}],"version-history":[{"count":0,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/posts\/12918\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/media?parent=12918"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/categories?post=12918"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/tags?post=12918"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}