Finally, after months and months of working on a strategy, a trading plan – the number one most important thing a trader is armed with – I am ready to set off and go live.
I open my account. And bam – one loss after the other.
What is going on?
I know what I’m doing. Why am I losing?
Fear has taken full grip of me and has me self-sabotaging all the right moves and jumping into all the wrong trades.
I stare at the screen cursing at myself. Not the charts – the charts don’t lie. And can’t understand for the life of me why I would want to hurt myself so deliberately.
And it’s not even me. It’s my kids, my family.
When I don’t stick to my carefully worked out plan, I lose. And I lose big.
So what is the problem?
Trading Psychology of Day Traders – Why this is the Most Crucial Component
Every trading day I wish with all my heart that I didn’t care about the money. Once I stop worrying about the money, I will trade like a complete and total badass.
But let’s face it. It’s all about the freakin’ money! At least it is for me. For now.
Did you know – the best traders don’t care about money.
Really! They have long ago forgot to even think about it. They are so into the technicals, the price action and indicators that money has lost all meaning.
And it should.
If you watch the chart, all the signs are there. It should have nothing to do if I have $1 or $100,000 on the trade. If it is done properly and my trading plan is fully in action, than I shouldn’t care. All I should know is that it is the right decision.
And if I get stopped out, which is part of the game, so be it. I simply look for the next set up and reload.
Easily said than done!
If only I can simply do that my life will be soooo much easier and more fun.
But no, I have this nasty thing called fear that takes control of me and leaves me almost paralyzed at times. It keeps me from getting into good trades.
And when I see I missed the good one, my reverse psychology runs in, and what do I do? Revenge trade.
And let me tell you, revenge trading never EVER works.
The Solution is Simple – the Implementation, However, Is Psychologically Challenging
The solution to this problem can be summed up in one word.
And this isn’t only for me, but for every trader who has a well worked out trading plan:
That’s it, trust. Trust your plan. Trust your charts. Trust.
Now to implement it, that’s the hard part.
What’s your greatest obstacle? Tell me the comments.
Marina 'The Trader Chick' Villatoro