I have studied, am studying and will study trading endlessly! 
There are profitable trades, there are unprofitable ones! There are good investments and failed ones! As I work on myself, I increasingly fall into the rabbit hole of my demons, which if you do not stand face to face with them, will catch up with you every time again and again!
What I noticed from the last! There are two traps
After a series of stop losses, new trades are carried out with fear of entering a position, or by reducing the stop loss, for example, from the standard 1% to 0.25%, which entails even more stop losses, but short ones, and their number still takes as much money as standard stops! Even if you have a clearly written strategy, I realized that before the trading day you need to not only follow the rules, but also create your own checklist for the day, trade arguments! And it should include emotional, news and psychological moments! Your mood also affects decision making! I'm working on it

The desire to take the movement right down to the last cent! When you leave a position early, then there is a desire to enter and finish the trade, or emotionally then regret during the day that it was possible to take more! I'm working on this too! I can't take all the great trades, 1/2 trade is already cool, a question of a deposit or trading leverage! Plus, when you close small trades with such a win rate, it can be psychologically easier for you at a distance, since expectations become lower, you trade more calmly! At least for me it is! When you look at social networks, it seems to you that everyone takes 1 to 10 take profits every day, and you start chasing, but all this in most cases is a beautiful picture - nothing more! And I trade for myself, and not to surprise some stranger on the other side of the monitor or the continent!
Both of these traps can lead to losses, the market does not care which of these 2 traps torments you and why you lose your deposit! The market doesn't care who you are or how you trade, you are the biggest obstacle to yourself to become successful in trading!
The sooner you realize this, the sooner you will come to terms with the fact and start working on overcoming the obstacle! The obstacle is not the market, not CEX, SEC, FOMC, Elon Musk, not your laptop, not the wifi, not money, not your girlfriend and not anyone else but YOU!
Reflection and conversations with myself and my demons personally help me in trading!
#Write2Earn! #psychology #TradingTips

A well-structured trading plan is essential for beginners to navigate the financial markets and minimize risks. Below is a simple trading plan that a beginner can follow:

### 1. **Define Your Goals and Motivation**
- **Why do you want to trade?**
- Understand whether you're trading to build wealth, earn additional income, or simply out of curiosity.
- **Set financial goals:**
- Are you looking for short-term gains, long-term wealth building, or both? Set clear, measurable, and realistic goals like earning 5% return per month or growing your capital by 20% over a year.

### 2. **Choose Your Market**
- **Stocks:** Best for beginners due to the wealth of resources available.
- **Forex (Currencies):** High liquidity, but volatile and risky.
- **Cryptocurrency:** Popular but extremely volatile and risky.
- **Commodities/Indices:** Great for diversification but require specific knowledge.

Start with one market and gradually diversify.

### 3. **Set Your Trading Capital**
- **Risk only what you can afford to lose.**
- As a beginner, set aside a small amount, such as $500 to $1,000, to learn the ropes.
- **Position sizing:**
- Never risk more than 1-2% of your capital on a single trade.

### 4. **Time Commitment**
- **Day Trading:** Requires a full-time commitment as you need to monitor trades constantly.
- **Swing Trading:** Less time-intensive, trades last days to weeks.
- **Position Trading:** Long-term strategy, minimal daily monitoring.

Choose a strategy that aligns with your availability.

### 5. **Develop a Risk Management Plan**
- **Risk-Reward Ratio:** Aim for at least a 2:1 ratio. For example, if you risk $100, aim to earn $200.
- **Stop-Loss:** Set a stop-loss level to exit a trade if it goes against you. Example: 2-3% below your entry price.
- **Take Profit Levels:** Have predetermined levels where you’ll take profits.

### 6. **Choose a Trading Strategy**
- **Trend Following:** Buy when prices are rising, sell when they’re falling.
- **Breakout Trading:** Trade on a break of a significant price level.
- **Range Trading:** Buy at support and sell at resistance levels in a sideways market.

Stick to a single strategy at first to avoid confusion.

### 7. **Practice on a Demo Account**
- Before risking real money, practice on a demo account offered by most brokers to gain confidence and refine your strategy without financial risk.

### 8. **Use Tools for Analysis**
- **Technical Analysis:**
- Learn to use indicators like moving averages, RSI (Relative Strength Index), and MACD (Moving Average Convergence Divergence).
- **Fundamental Analysis:**
- Focus on the financial health of companies (for stock trading) or the macroeconomic environment (for Forex or commodities).
- **News & Sentiment Analysis:** Stay updated with major financial events or reports that could influence the markets.

### 9. **Journaling**
- **Keep a trading journal:**
- Document every trade, including your entry and exit points, the rationale for the trade, and what you learned. This will help you identify patterns and improve over time.

### 10. **Review and Adjust**
- **Regularly evaluate:**
- At the end of each week or month, review your trades, performance, and whether your goals are being met.
- **Adapt as needed:**
- Adjust your strategy based on your review, market conditions, and risk tolerance.

### Sample Beginner Trading Plan

1. **Goal:** Earn a consistent return of 5% per month over the next 12 months.
2. **Market:** Focus on stock trading.
3. **Time Commitment:** Swing trading with 2-3 hours of market analysis per day.
4. **Risk Management:** Risk no more than 1.5% of capital per trade, use stop losses.
5. **Strategy:** Follow trends using the 50-day and 200-day moving averages.
6. **Capital:** Start with $1,000 and only add more as you gain experience.
7. **Journal:** Track every trade and evaluate performance monthly.

---
This beginner’s trading plan will help you build discipline and consistency while minimizing losses. Always remember that trading comes with risks, and continuous learning and adapting are key to success.
_Chanu_Crypto_
#TradingPlan #RISK_MANAGE #psychology

The reason is not even Bitcoin dominance, but that the market is oversaturated with millions of daily meme tokens and projects!
But the reason is also quite simple, each project, regardless of what solution they are trying to sell to people, builds the success of their project on a marketing campaign!
Remember how easily a token grows with a positive movement of Bitcoin and an upward trend in general! As it grows, the project releases collaborations, updates, announcements on time and only because the market is growing up, the crowd thinks that this team is working so hard on another conditional L2 solution and this is the reason for the growth of this fancycoin!
I have already given an example with the music industry! An artist works on an album, and then when the album is ready, a PR campaign begins, singles, videos, concert announcements are gradually released, and the final concert at the stadium, which completes the entire cycle of promoting the album! Having collected all the money in the world, the artist goes to rest and work on a new concept!
Unlike music, in cryptocurrency, having collected money after the bull cycle, no one needs this project anymore! After all, this is just a banal financial pyramid! And if you think otherwise, ask yourself why Starknet and $ZK have 2-5 real users after the airdrop distribution? Yes, because tomorrow you can create hundreds more of the same projects and solutions!
So all these projects are now waiting for the market situation to stabilize and Bitcoin to start showing signs of life! You will see sudden appearances of cool updates, news, partnerships from these projects that seem already dead! That's when marketing campaigns will enter the arena, market makers of these projects will compete for your attention and your money! And you will really believe that the next $ZRO is many times cooler than $DOT , which in 2020 was many times cooler than ETH! Then the hype passed, so to speak, the team will roll out its cryptocurrency tour, collect the cash and leave, always hiding behind a black swan on the market, and will periodically remind of itself as CHIA so that people do not forget about the project, because you can always milk a cow for several years, even if it is almost dead, and the quality of this milk is the same
Moral - marketing is a powerful thing in the world, make balanced decisions when at the peak of the market you want to wait for an extra x2 from the token! Now the entry points into altcoins are at the level of 2022! Some sectors will bring more profit, some less! Not everyone will make you rich! As I said earlier, in a bull market and alt season, people will lose as much money as in a bear market! 🤝
#psychology

Frequently, we encounter situations where individuals do not express their own market opinions but instead relay others' viewpoints. This is typically evident in the way they present their analytical arguments. Such instances are manifestations of collective sentiment, providing subtle hints about potential future price movements, even if within the context of manipulation. This is why the skill of working with market sentiment is essential for any trader or investor.  Sentiment analysis in financial markets holds significance for several reasons. Understanding socially active individual market participants: Every trader or investor makes decisions based on their personal beliefs, experiences, and emotional state. Analyzing the sentiments of influential individuals allows us to comprehend the factors influencing their decisions and anticipate their behavior in the market.  For instance, when influencers exhibit fear or overconfidence, this can influence public opinion, which will eventually impact the market in terms of open interest and liquidity flow.  Understanding collective influence: The collective emotional state of the market is reflected in the crowd's reaction to specific price movements. The sentiment of the crowd creates a bias about market participation. When the crowd is highly enthusiastic, and discussions are bustling, open interest tends to increase. Conversely, when apathy prevails among a large audience, open interest stagnates, and prices may interact with prior key levels. When widespread sentiment leans towards confidence in a particular price movement scenario, this can result in the emergence of a significant layer of liquidity, making it a focal point for potential manipulation. Understanding collective sentiment aids in assessing potential risks and opportunities.  Personal bias: Working with sentiment is closely tied to self-analysis since every market participant is influenced by market sentiment, sometimes even externally imposed biases, which can distort one's perception of price action. Recognizing personal biases and being open to self-critique is vital to making more rational and well-justified decisions.  Social volume measures the attention a specific asset receives in terms of published posts, threads, and articles.  Trending words are indicators of hype and the frequency of specific words mentioned in discussions. These terms reflect the sentiment of a particular group of people, mainly the crowd. A discrepancy between the influencers' opinions and prices often leads to manipulation. Additionally, the crowd tends to support an asset's growth, so the trending words curve typically mirrors price movements closely.  

Have you ever faced a situation where, despite having a well-designed trading plan and a carefully crafted trading strategy, your actual trading day turned out to be completely unpredictable? In such instances, your actions deviate from the original plan, and momentary weakness casts doubt on the effectiveness of the entire trading session.

These unexpected emotions can catch you off guard.

One of the reasons for this is a lack of recognition of what is happening. Emotions often arise as immediate reactions or reflexes triggered by certain events, which traders often misinterpret as problems.

Let's consider the example of a loss from a trade. Many traders may become furious and enter positions without following proper trading patterns. However, this doesn't happen to everyone. Instead of expressing anger, some traders easily cope with failures, instinctively understanding the situation and turning it into opportunities. Therefore, a crucial aspect of developing a trading plan is identifying and addressing your own internal struggles, which serve as the underlying cause of the problem.

It's important to note that in many cases, the initial trigger for these emotions is subtle and barely perceptible consciously, yet it already impacts your mental stability and your habitual interaction with the market.

Even if the trading day starts off on the wrong foot, by regaining composure at the right moment and avoiding impulsive reactions, you can prevent basic mistakes and maintain control over your psychological state, ultimately improving your performance. The secondary arousal occurs when a trader becomes aware of or reacts to the impulses, thoughts, and actions that occurred initially. In simple terms, the mind and thoughts amplify the emotions that have already emerged.

In everyday life, people often don't differentiate between these experiences. However, if the source of the reflex is not identified, along with the secondary causes, finding a solution to the situation becomes challenging. Triggers will continue to generate more and more emotions that need to be managed.

Awareness of the initial impulse and the subsequent reaction are the two starting points that enable progress. After all, stressful situations can accumulate and overlap, creating a precedent for a cumulative effect.

#emotions #psychology #tradingtipoftheday

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 expectations or demands from the market or other participants. In the world of trading, no one owes anything to anyone, and this principle applies universally. When trading, you have the freedom to express yourself, and you can approach it in various ways. However, this freedom also reveals how humans can be irrational creatures, often struggling to control their thoughts, emotions, and actions. The key challenges faced by all traders are taking excessive risks and lacking self-control, which ultimately leads to financial losses.

The feeling of missing out is a common trigger that can push traders to make unwise decisions. It begins with a sense of having missed potential profits. When observing a favorite asset's price surge, traders may start fantasizing about the potential gains and become obsessed with buying more, driven by the desire to earn even more due to a larger volume. Such emotions can lead to entering trades without proper awareness or acceptance of the potential consequences, which can be detrimental.

The main point to remember is that successful trading relies on understanding probabilities, maintaining emotional discipline, and not allowing emotions to override rational decision-making. Traders should approach the market with a calm and rational mindset, following a well-defined trading plan that includes risk management strategies. By controlling emotions and adhering to systematic approaches, traders can increase their chances of success in the volatile world of trading.

Reflecting on your trading journey and evaluating your achievements so far is a crucial aspect of being a successful trader. It is essential to be honest with yourself about the level of risk you are willing to take. If you realize that you are not prepared to risk everything you have, it is vital to question the impulse that drives you to consider such high-risk actions. Often, the desire to take extreme risks stems from the longing for significant life changes. However, it is crucial to fully comprehend the risks involved before making any impulsive decisions.

The "filter of perception" refers to the cognitive biases that arise when traders have specific expectations of positive trade outcomes. Once you create such expectations, your consciousness may become biased, and you might unconsciously ignore information and market signals that contradict your preconceived notions. This phenomenon is akin to putting blinders on your perception, preventing you from objectively evaluating market conditions.

The danger lies in holding onto false expectations throughout a trade, leading to potential losses or missed opportunities. This filter of perception can be difficult to recognize until you close a trade and look back, realizing that your expectations were not in line with reality. To overcome the dangers of expectations, it is crucial to approach trading with objectivity and discipline. Stick to a well-defined trading plan, follow your risk management strategies, and avoid making decisions based solely on emotions or impulsive desires. By doing so, you can maintain a clear perception of the market and make more informed and rational trading choices.

Trading is not a suitable endeavor for everyone. It requires continuous self-improvement, emotional control, critical thinking, and strict adherence to established rules. Success in trading is not guaranteed, and it demands a level of dedication and mental fortitude that may not resonate with everyone. If you find that trading does not align with your strengths, interests, or personality, it's essential not to be disheartened. Each individual has unique talents and passions, and success can be achieved by pursuing endeavours that truly align with your inner potential and aspirations. In essence, trading is a probabilistic game, and having the right attitude is crucial. It involves making decisions based on probabilities, understanding that outcomes are uncertain, and embracing a systematic approach. Emotions should not dictate trading decisions, especially when experiencing stop losses. Instead, employing a methodical strategy with a certain success rate allows you to stay on track and eventually realize profits over time.

It's important to enjoy the trading process and feel positive emotions while engaging in it. These positive emotions can help you navigate the challenges and avoid falling into the "trader's cycle," where emotional turmoil can hinder your decision-making and overall trading performance. In summary, trading requires a unique set of skills and characteristics. If trading does not resonate with you, it's okay to explore other avenues that align better with your natural inclinations. Success can be found in various fields, and the key is to focus on your true passions, continuous improvement, and leveraging your inherent strengths.

System trading involves following a specific set of conditions to enter a trade. These conditions can encompass various elements, such as chart patterns, candlestick formations, indicators, and even unconventional factors like astrological dates. The crucial aspect is that the trading system has a high percentage of success (working out) and a favorable risk-reward ratio. Once you have developed your own trading system, it is vital to maintain a trade diary. In this diary, you should meticulously record the rules of your trades, including the circumstances that prompt you to enter a trade. Regularly self-testing your decisions against these predefined criteria will elevate your trading skills, leading you to become a top-tier trader and empowering you to profit from the market consistently. By adhering strictly to your trading rules, you will achieve a balanced mindset. Whether a trade results in a take profit or a stop loss, you will understand that you acted systematically and followed your predefined strategy. Recognise that the outcome of each trade is not a reflection of your worth as a trader; it is simply a consequence of adhering to your rules and facing the inherent uncertainties of the market. System trading provides a structured approach to trading that relies on predefined conditions for entering trades. Keeping a trade diary and consistently self-testing against your established rules will significantly enhance your trading capabilities. Embracing a systematic approach will help you achieve a more balanced outlook, and the ultimate goal is to achieve consistent profitability by leveraging your well-designed trading system.

Fear and doubt are common emotions that can hinder a trader's decision-making and lead to destructive outcomes. It is essential to acknowledge and reject these emotions to maintain a clear and rational mindset while trading. One primary reason for fear and doubt before opening trades is the fear of risking too much capital in a single trade. Drawing an analogy to a coin toss, where tails come up 70 percent of the time, we understand that even with a high probability of success, there will still be occurrences where heads come up multiple times in a row. Similarly, in trading, there might be instances where a series of stop losses occur despite following a systematic approach. To overcome this fear, it is crucial to manage risk effectively. Traders should risk only a small percentage of their capital on a single trade, ideally one to two percent. By doing so, even if a stop loss is triggered, it will not significantly impact emotional balance or overall trading performance. The objective is to prevent falling into the "trader's cycle," where emotional reactions drive decision-making rather than a systematic approach. Before determining the optimal risk amount, traders should ask themselves what the purpose of their trading is. Is it to relentlessly increase the size of their capital at any cost, or is it to steadily grow and protect their capital? By prioritizing capital preservation and consistent growth, traders can achieve a more disciplined and sustainable approach to trading. In conclusion, managing fear and doubt is vital for successful trading. Utilising a systematic approach, managing risk, and focusing on capital preservation and growth will help traders stay emotionally balanced and make well-informed decisions in the dynamic and unpredictable world of trading.

Trading frequency is an important aspect that new traders should carefully manage to avoid "overtrading" and prevent "trading burnout." The key is to exercise patience and wait for the formation of a new system setup on the chart before entering a trade. Checking the chart excessively, like every ten minutes, can lead to impulsive decisions and emotional trading, which are detrimental to a well-thought-out trading strategy. Instead, traders should define specific timeframes for entering trades, focusing on higher timeframes for more reliable signals. Higher timeframes offer a broader perspective of market movements and reduce the impact of short-term noise and volatility. When it comes to managing take profits and stop losses, consistency with the trading system is paramount. Regardless of the number of stop losses received in a row or consecutive take profits, sticking to the pre-established rules of the trading system is essential. It is crucial to avoid deviating from the system, even during challenging market conditions or moments when technical analysis may seem ineffective.

Maintaining a systematic approach and being in control of emotions during trading can help traders endure a series of stop losses without significant emotional distress. A well-designed trading system should have a statistically validated edge, such as a 70% probability of working out, and a favorable risk-to-reward ratio of at least 2 to 1. With such a system, even if only 27% of trades are successful, profits can be generated over the long term. In summary, managing trading frequency and adhering to a well-defined trading system are vital for success in the trading arena. Practicing patience, controlling emotions, and maintaining a systematic approach based on statistical probabilities will help traders navigate the markets with more confidence and consistency.

#tradingtipoftheday #psychology

Fear is a natural human response to potential threats, serving as a vital psychological mechanism that safeguards us from danger. This reaction shouldn't be a source of shame, yet it's also crucial not to let fear dominate every aspect of life. Excessive worry about potential outcomes can lead to a diminished quality of life. However, fear can also be a valuable tool that keeps us attentive in specific situations. Fear can be referred to by various names, such as apprehension, unease, concern, or tension. When an individual perceives a threat, one of these emotions comes into play. It's simple: no threat, no fear. This emotional and physical sensation should be recognized as having its limits, and the key is knowing how to manage it effectively. Now, how does fear manifest in the realm of trading? In trading, fear is a common experience for every trader. It's universal! However, some traders learn to master it, while others are overcome by it. One of the most significant fears in trading is the fear of initiating a trade. The thoughts and emotions that urge you to enter a position can be forceful enough to sow doubt in your trading setup. This can be due to a lack of chart data, the fear of financial losses, or the simple fear of making an error. Pervasive self-doubt won't lead to favorable outcomes in the long run. Overcoming this fear is essential, and having a well-defined trading strategy is pivotal. It's a place where elements like risk management, trading timing, factors, timeframes, triggers, tools, and the rules you must adhere to are clearly outlined. If any of these components are absent from your setup, then what's the point of continuing? Why establish a trading strategy if you don't intend to follow it? It's essential to set clear boundaries and acceptable losses, fully understand them, and accept them. When a 1% loss of your capital no longer feels emotionally burdensome, you'll be in a better position to analyze situations rationally and make informed decisions. Another common fear among beginners is the trepidation of trading with real money. This fear is essentially the fear of losing. While practicing on a demo account is beneficial for gaining experience and refining your trading style, it's crucial to recognize that a demo account can't fully prepare you for real trading. Don't be afraid to transition to real money trading. Some traders profit, while others pay with time. Consider your long-term prospects and where you envision yourself in one, five, or ten years. Challenge yourself to step out of your comfort zone. Control your emotions, including fear. Make confident and well-informed decisions, and consistently adhere to the rules you've established. Remember, every journey starts with that initial step.