The consistency of investor behaviors stems from the fundamental aspects of human psychology, which remain largely unchanged over time.
Achieving proficiency in investing requires not just a surface-level understanding of psychology, but a deep and nuanced comprehension that can only be acquired through years of observation and study. And you need work with your...
The difference between a gambler and a player, as well as the similarities between a player and a trader.
The player and the gambler are very often confused; if we are talking about gambling itself, then this is a psychiatric problem. If you come across conditional roulette, then you will always catch the trigger, absolutely every time it will cause the same...
Overtrading is a common issue in trading and can lead to significant losses. It occurs when a trader excessively opens and manages positions, often due to psychological and emotional factors. To avoid overtrading, consider the following strategies:
Establish a Solid Trading Plan: Having a well-defined trading plan is crucial. Your plan should outline entry and...
😌 If being smart was enough, there would be a lot of people making money.
But in Forex trading, psychological control is essential for success.
Almost everyone participating in the market knows that "we need to control our trading psychology" and its importance, but knowing is one thing, being able to do it is another.
🙂Controlling trading psychology is one of...
FOMO is the lost profit syndrome.
Now it is especially common due to the popularity of smartphones and social networks. Many are simultaneously afraid of social isolation and worried about lost opportunities. A similar situation is possible in trading. As soon as traders see a bullish trend, they start opening trades and buying those assets that match their...
BINANCE:BTCUSDT
The proper attitude and understanding of trading principles are fundamental to achieving success in the trading world. This article is aimed at aspiring traders who want to thrive in this field.
Trading is a probabilistic game , where outcomes are based on probabilities, either happening or not happening. It's crucial not to have rigid...
📍Journey Of a Successful Trader
No one started as a good trader. Every profitable trader was once a newbie. The journey of a successful trader is filled with challenges, hard work, and perseverance. It begins with a strong desire to learn and a commitment to become an expert in the markets they are trading.
📍The Right Path To Reach The Top
🔹Learn the basics of...
Biases that influence your investment decisions
Most people who invest in the stock market don't reach their goals. The top 1% of investors can double or even triple their returns from the market.
Reason: how investors think
How this article will help you avoid these biases: * Awareness -...
The important point is to describe your psychological state in two cases:
When you are not in a trade.
When you are in a trade.
In the first case, the common problem is missed profit. Often, novices take this very painfully and think about the missed opportunity that could have brought them potential profit. However, the market, especially the cryptocurrency...
See how price reacts at 1000 pips increments (1, 1.10, 1.20, 1.30) and their quarters (1.25, 1.05, 1.075 and so on).
The reaction at those levels is nearly guaranteed. Once price hit 1.10 recently, we saw a pullback of 350 pips to the downside.
Those psychological levels will be highly useful to any trader. They work well on majors (USD baed pairs), less so on...
The iceberg illusion in trading refers to the perception gap between what people think trading is and what it actually means. Many people see trading as a simple way to make quick profits and accumulate wealth, with the idea that all one has to do is buy low and sell high. However, the reality is far more complex. Under the surface of what appears to be a...
Greetings Dear Investors and Traders, today CryptoQueens, an educational post regarding the so-called Psychology of a Market Cycle.
When making investment decisions, investors have a wide variety of tools at their disposal. While these tools can form the basis of a sound investment thesis, their effectiveness is limited by one’s emotions. Allowing emotions to...
📉Fear Of Missing Out (FOMO) / SHORT scenario.
Fear of missing out, or FOMO, is the feeling of anxiety or regret that can occur when someone believes that they have missed an opportunity to invest in a stock or crypto currency that is increasing or decreasing in value.
This feeling can be triggered by seeing others making money from a particular investment, or...
The psychology of a market cycle refers to the emotional and psychological states that investors and traders go through as they react to market conditions. Here is a short summary of each stage of the market cycle:
🔵 Disbelief:
At this stage, market participants are skeptical about the potential for a market rally or recovery.
They may be hesitant to invest or...
Set clear goals and limits:
Before you begin trading, it's important to have a clear idea of what you hope to accomplish and how much risk you are willing to take on. This will help you make informed decisions and avoid making impulsive trades based on emotions.
Control your emotions:
Day trading can be stressful, and it's easy to let emotions like...
When I was a naive, newbie trader, I didn’t pay much attention to my trading psychology. I was more focused on the technical chart patterns and trade setups.
However, I soon found out the hard way that…
Ignoring the psychology of trading was destroying my trading results.
That’s when I began making a serious effort to master my personal trading psychology.
I...
BINANCE:BTCUSDT
A classic situation for a trader is the fear of opening a position, dictated by the negative previous experience in an identical situation. How usually manifested after a series of failures (losing streak) and leads to ignoring further trading setups. Let's look at this case in more detail. The material will consist of three components:
The...
