It is well known that emotion has helped define the results of our transactions. In ability to monitor and regulate their emotions can be fatal. Because the emotions of the person tend to be fickle, I need a system to manage and control. Management with emotion management emotions (SMEs) system or a system is one of three main pillars in the business plan, as well as trading systems and money management system.
Adjustment and control of emotions is a subsystem that you have planned. Planning must be able to absorb the potential strong emotion-emotion are destructive (destructive emotions) that could move away system and strengthen the emotion-emotion this benefit (beneficial emotions) that could follow the system.
The emotions are very likely to get out of trading systems and money management system must therefore put mute, although they cannot be eliminated altogether and emotion which is that they always tend to adhere to the system must be strengthened 2. You should always practice to bring out the emotions that this lucrative trade.
The Foundation of SMEs is each type of emotion resulting from the use of the reserves of mental energy, which is limited and must not be dissipated to things that hurt. The emotion is the transformation of an idea into a mental action, therefore, the mental energy is necessary. Trade results is not directly related to the mental, only commercial emotions result may make you ill mentally.
Mental energy is indispensable to achieve the marketing systems and money management system and of course not dissipated in response to the destructive emotions of emotion that does no commercial advantage. If he had to know the fact that the evolution of market prices have been distributed randomly, then we need not care about trade performance while we adhere to marketing system sand management system of money that has been tested.
Emotion-emotion destructor
Destructive emotions are the most powerful and dangerous is the fear of losing money. Fear comes from the consciousness that was wired for us that money is limited and that it is a very valuable asset. Undeniable almost all believe that money as a symbol of life and independence. This association is very strong mentally and we tend to have an automatic mechanism to survive desperately to protect this precious. Fear is what causes of closure of the dealer position is recommended before his time (premature exit) or reduce the size of the position of their own systems of management of money, because of the fear of loss. This happens usually after defeats consecutive.
Other destructive emotions is greedy. Also comes from the consciousness that has been continuously and therefore the importance of making money. Many traders are changing the level of income in the middle of the road, or let the advantage of open positions and do not respect the rules of the trading system are used. This is a little extreme, traders are afraid of losing the opportunity to enter the market in the absence of an open signal a trading post, or suddenly increase the size of the position that it should because they expect a bigger profit. This happens usually after that merchants gain in a row.
To overcome destructive emotions into 2 types, you must:
Knowing that the 2 types of emotion exists in itself which allows to anticipate all whenever one of the two types of emotions that come to the surface.
Knowing that market price movements are distributed randomly if never can be sure trade that would benefit and which not.
Is of the opinion that the trading systems and money management system use is the best. If you do not respect the system, does it mean that you do not trust your self. And when you lose trust, you should stop and the subsequent restoration trust business.
Emotions that benefit
We always believe in trading systems and system of management of the money that is used is the emotion which is very profitable. It will always follow the system to make the implementation of the operations you really accurate according to the rules of the system that created it. The emotions that are supposed to repeat before actually entering a real market. Instead of little faith in the trading system will cause the execution that you always spread the rules of the system, which ultimately will affect the stability of your emotions.
Discipline is a very important factor in trade, and this can be measured by the quality of execution in accordance with the rules of the trading system. If you make the formulation, disciplines are: (methods of bargaining unit) or (when running do not trading signals). Rather than ignore trading signals less will be confidence in the trading system that you made, which means that you get is not disciplined. If the problem persists then you will lose the confidence of marketing and systems of management system of money that has tested. The discipline to always keep the trading system is necessary, especially when you encounter a consecutive loss (loss of streaks).
To enhance this type of emotion that you get should be able to avoid the involvement of emotions with each transaction you make. Emotionally, you must be equally good at the time of the gain or loss at the time. In the long term, marketing systems and management system money uses and has been tested in the field, no doubt will produce a profit.
Methods of manipulation of emotions
In order to strengthen the emotional benefit, you must program your subconscious mind always wait in a commercial systems that you created. One of the ways is to embed the orientation in the trading system is not in a position to trade. No matter if the price move is currently it would break the high or the break low if your trading system show signal buy or sell then you should not respond. In addition, always instilling that negotiation and system of money management systems use the result you will get in the long term.
A change in the way of thinking that you can do it with:
-You will be satisfied if the corresponding trade reports that satisfied because the advantage that would give you an open position.
-Always you will see your balance in long term development to see the results of each transaction you make.
J ' have fear losing the opportunity of signals according to trade, rather than to a fear of the loss of each transaction, make you trade.
If you think always negatively, with any trading system, it will be difficult to make profits in the long term. He must also practice and time briefly to manage and control their emotions in the trade.
Custom Search
0 Response to "Emotional Management System To Achieve A Profit In Trading"
Post a Comment
Please leave opinions, suggestions, criticisms and comments in here...