We
keep going and we get to greed. That is the
leading sense in trading, but not only. Even though you have
read in advance that it is very important to follow the chosen strategy and
close the deals when you get a signal or the price reaches the specified level,
it's not that easy at all. By seeing the profit, besides the sense of
satisfaction, you will feel another - called greed. Greed will try to keep you
in position because you can win more. Of course, in most such cases, the price
goes in the opposite direction, and the trader loses some or all of the profit
gained so far.
The objective data on the stock exchange is only 10%
and the other 90% is psychology. We can summarize that demo trading is very
useful, but it should not be overwhelmed with it because it leads to false
confidence in less experienced traders. Those who manage to control their
emotions can be profitable.
„Individuals who cannot master
their emotions are ill-suited to profit from the investment process.” – Benjamin Graham
No comments:
Post a Comment