HI Traders, here come another workshop on being prepared for any possible outcomes in trading. Whether you're a new or experienced traders, at one point, you'd definitely face some obstacles completely out of your comfort zone, where you're just stumbling without any clue on how to solve it. Here sums up 4 key elements on how to be in-control of any possible outcome
1. Flexible
- Successful traders have extremely good flexibility. Regardless of what's put infront of their face, they adapt.
- Market conditions vary from day by day, so when the ordinary things/ setups aren't working well, what's wrong? Most likely either the market condition has changed, or your mindset is changing.
- This is why having multiple strategies to trade across different market conditions are so important. If you're only focusing on a specific market condition (eg. Trend Trader), then knowing how to identify when the market is in a non-trending condition is crucial to prevent yourself from making unusual decisions or taking unnecessary risks.
2. In control of the Survival Mode
- The Fight-or-Flight response refers to how humans have high tendency of making impulsive decision based on unknown fear.
- By managing the Survival Mode, you're truly able to avoid yourself from making irrational decision due to any unusual market condition, such as a sudden volatility spike.
- When you're in a deep drawdowns, ONLY think in-terms of probability and possibility. Question yourself: "If I continue trading, would it lead to a snowfall effect?" OR "If I stop trading, would it affect my long-term expectancy?"
3. Emotional-detachment
- Great traders always have a Poker face, not because they're inhuman, but because they've been humbled by the markets way too many time.
- Sharpen the ability to spot where you have a high tendency to deviate from your plan, then prevent yourself from making impulsive decisions.
- Losing traders are in the blue moon when they've got a good position running, and being extremely negative when they're having drawdowns.
- If you're overly attached to the results or outcome on any particular trades, it basically hints you that you should probably stop trading and focus on your reflective process.
4. Problem-solver
- Avoid being too harsh on yourself.
- Trading is a marathon, not a sprint. So stop excessively blaming yourself based on any particular decision, give yourself a pat in the shoulder, and ask yourself "how can i do it better next time?"
- Being positive is one huge element in becoming a successful trader. You don't want to get so beaten up until a point where you're nervous clicking the bid & ask buttons. Build up the necessary confidence to understand that you may not win this trade, but in the long-term I will always come out as a winner.
Let me know in the comment below what's your worst trading experience!
Hope all of you have a good trading week, take care and trade safe.
If you enjoy the content, make sure you follow my profile and give me a thumbs up for daily fx forecast & educational content.
1. Flexible
- Successful traders have extremely good flexibility. Regardless of what's put infront of their face, they adapt.
- Market conditions vary from day by day, so when the ordinary things/ setups aren't working well, what's wrong? Most likely either the market condition has changed, or your mindset is changing.
- This is why having multiple strategies to trade across different market conditions are so important. If you're only focusing on a specific market condition (eg. Trend Trader), then knowing how to identify when the market is in a non-trending condition is crucial to prevent yourself from making unusual decisions or taking unnecessary risks.
2. In control of the Survival Mode
- The Fight-or-Flight response refers to how humans have high tendency of making impulsive decision based on unknown fear.
- By managing the Survival Mode, you're truly able to avoid yourself from making irrational decision due to any unusual market condition, such as a sudden volatility spike.
- When you're in a deep drawdowns, ONLY think in-terms of probability and possibility. Question yourself: "If I continue trading, would it lead to a snowfall effect?" OR "If I stop trading, would it affect my long-term expectancy?"
3. Emotional-detachment
- Great traders always have a Poker face, not because they're inhuman, but because they've been humbled by the markets way too many time.
- Sharpen the ability to spot where you have a high tendency to deviate from your plan, then prevent yourself from making impulsive decisions.
- Losing traders are in the blue moon when they've got a good position running, and being extremely negative when they're having drawdowns.
- If you're overly attached to the results or outcome on any particular trades, it basically hints you that you should probably stop trading and focus on your reflective process.
4. Problem-solver
- Avoid being too harsh on yourself.
- Trading is a marathon, not a sprint. So stop excessively blaming yourself based on any particular decision, give yourself a pat in the shoulder, and ask yourself "how can i do it better next time?"
- Being positive is one huge element in becoming a successful trader. You don't want to get so beaten up until a point where you're nervous clicking the bid & ask buttons. Build up the necessary confidence to understand that you may not win this trade, but in the long-term I will always come out as a winner.
Let me know in the comment below what's your worst trading experience!
Hope all of you have a good trading week, take care and trade safe.
If you enjoy the content, make sure you follow my profile and give me a thumbs up for daily fx forecast & educational content.
