One of our members is struggling with the fact, that he has fear to put the trades on when he should. Sounds familiar? ...then read on how you can get rid of these feelings fast:
Let me make this crystal clear: More Traders then not have to deal with this one special emotion.
I learned from myself and from Mentoring other Traders, that the fear of loosing money in trading has three main roots:
1) you're not a profitable Trader and you loose more then you win over the long run - and you know it.
2) you had a very bad experience once, and you're afraid it could happen again.
3) your account is too small
And this is your personal solution for all three occasions:
...trade ridiculous smaller
...if you where trading the S&P 500 E-Mini, stop trading it. Switch over to the SPY and trade just ONE Stock!
...if you where trading the FOREX Market with 5,10,20 or more contracts before, switch to the absolute smallest possible contract size your Broker allows you.
What is the reason for this downsizing?
Well, even if you loose 10 or even 20 times in a row, it doesn't bother you anymore and you just continue to put on trades (...if you have your controlling instruments in place).
This way you can build your confidence if you stick to it for at least 3 Months!
At this stage of your trading it's not important anymore to make profits - this comes later in bigger steps then you ever had thought. But it's important to (re-)build your confidence. It must be built so strong, that nothing can ever hinder you to put a trade on.
Here's your plan:
1. downsize to the smallest amount of risk possible at trade-entry.
2. start your one statistics - record your trades. Write Trade-Sheets before you take a trade. Write down your Tradeplan. You need to know if your strategy, your setups work. If not, there is no f.... Reason in the world that you continue to trade it. You must prove yourself that it is profitable over the long run.
It's simple, isn't it?
...yes, but not easy, I know.
And here is your personal cross-way: If you do it, you are a real Trader, if not you are a Gambler, which is OK too. But as most Gamblers are looking for fun, real Traders look for a way on how to make a living with trading.
Which way you may ever go, I wish you just the best...and hey, come back from time to time ;-)
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