Smart Concept for the Best Crypto Trading
The concept of psychology in trading is often presented to explain and illustrate the behaviour that a trader can adopt in your company. Studies also show that psychology accounts for 80% of a trader’s gains or losses. Of course these aspects are not just a detail, but the backbone of the negotiation. From https://royal-t.online/ reviews you can have the best options available with.
- The emotions a trader feel when his or her activity is the main factor of success or failure.
- In this case, emotional control needs to be on the side of the winning trader.
Emotions and negotiation do not mix
Stress, fear, moodiness and anger are some of the factors responsible for the cause of failure. From the moment the mind is not present, the decisions taken may be bad. Stress and fear will make you cut positions too soon, moodiness and anger will make you take a very big risk. That’s why we often hear that patience and calm are often good traits for a trader. In general, self-control is necessary. We have to be able to analyse our emotions and put them aside so that logic is at the top. Controlling emotions makes daily work essential in order not to win, but above all, do not lose.
Just like some games, trading can become addictive when we win or lose. The trader, therefore, needs to be constantly in the market, almost feels obliged to have positions open, even if there is a valid analysis that justifies them. The trader has his daily dose of adrenaline and cannot stop buying and selling.
This of course, is the very dangerous behaviour, which will lead to a certain loss.
The feeling of invincibility
Winning is desirable for any trader, and making a profit very quickly can be the source of future disappointments. In fact, a trader before he starts to make a lot of money, believes that he is the best, and that most of the positions he takes, will provide him with always winning and nothing bad will happen to him.