If the key to successful trading is a disciplined approach — developing a trading plan and sticking to it — why is it so hard for many traders to practice trading discipline? The answer is complex, but it usually boils down to a simple case of human emotions getting the better of them. Don’t underestimate the power of emotions to distract and disrupt.So exactly how do you take the emotion out of trading? The simple answer is: You can’t.
As long as your heart is pumping and your synapses are firing, emotions are going to be flowing. And truth be told, the emotional highs of trading are one of the reasons people are drawn to it in the first place. There’s no rush quite like putting on a successful trade and taking some money out of the market. So just accept that you’re going to experience some pretty intense emotions when you’re trading.
The longer answer is that because you can’t block out the emotions, the best you can hope to achieve is understanding where the emotions are coming from, recognizing them when they hit, and limiting their impact on your trading. It’s a lot easier said than done, but keep in mind some of the following to keep your emotions in check:
_ Focus on the pips and not the dollars and cents. Don’t be distracted by the exact amount of money won or lost in a trade. Instead, focus on where prices are and how they’re behaving. The market has no idea what your
trade size is and how much you’re making or losing, but it does know where the current price is.
_ It’s not about being right or wrong; it’s about making money. The market doesn’t care if you were right or wrong, and neither should you. The only true way of measuring trading success is in dollars and cents.
_ You’re going to lose in a fair number of trades. No trader is right all of the time. Taking losses is as much a part of the routine as taking profits. You can still be successful over time with a solid risk-management plan.
[ForexGen Demo Account]
ForexGen demo account advantages:
* Innovated trading with no request for a quote for up to 200 lots (20 million).
* The client is provided by a simple system with included options that are easily grasped and used.
* Real time prices are usually modified and provided.
* [ForexGen] provides Real time charts with the most famous indicators.
* Daily reports for the account status.
* Summarization of the current client's orders, account equity, profit and loss ranging.
* Exclusive technical analysis provided daily to your mailbox in the Trading Platform. The trading real time technical analysis by Capital Management is sent daily to the trader’s mail
* Streaming News headlines are supplied by AFX News.
* The ability to form the traders own strategies using the Expert Advisor.
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