Common psychological emotions in trading

Based on my personal experience over the years, many people's mentality has exploded at this time. Why should the price of the currency continue to fall after falling by tens of thousands of points? In fact, the market is like this. The more you think it will not happen, the more likely it is to have an accident. In the trading process, most traders often have the following psychological problems:

1. Overly speculative mentality is serious. Investment is a process of wealth appreciation, but many people regard it as a shortcut to getting rich, thus turning investment into gambling.

2. Abandoning familiar varieties, blindly following the trend and comparing with others, and failing to stick to trading principles.

3. Plans are often changed. As soon as the subject matter fluctuates slightly, adjustments are made from time to time, resulting in a worse mentality.

4. Pay too much attention to profits and losses and ignore the transaction itself. Only by formulating corresponding countermeasures can the transaction be done better. Otherwise, because of impatience or pressure, you will be unable to withstand fluctuations and rush out, thus missing opportunities or failing to decisively stop losses.

5. Independent thinking and excessive conformity. The truth is often in the hands of a few people. Think and judge independently.

6. Go with the flow. Some traders rigidly use the investment logic of "others are afraid, I am greedy", deliberately bearish when the market rises sharply and bullish when the market falls sharply. But generally speaking, whether it is a sharp rise or a sharp fall, they will not be able to keep their profits in the end, and they will fall into the vortex of thinking they set and cannot extricate themselves.

7. Be patient and be fickle. In the trend market, everyone has their own expectations and rhythm. As long as the trend does not change and the technical side supports it, try not to switch targets frequently.

Before trading, you must have an overall expectation for the future, including market expectations and psychological expectations. Market expectations refer to a clearer goal for the market's position and future direction, and target expectations refer to the trading opportunities and risk status of the target at its current position. Without the above psychological basis, nothing can be discussed. #美联储何时降息？ #比特币大会 #美国以太坊现货ETF开始交易 #美国大选如何影响加密产业？ #拜登退选