Trading Psychology of Highly profitable traders

[RachelFX]

Do you have any automated software to recommend us? Some tested stuff to try on the next week.

I wasn't recommending anything, just trying to clarify what Almacap was asking about

 

[RachelFX]

Like automating your own strategies. Inputting your entry/exit points that you analyze and letting it do the whole "patience patience" work for you?

You can enter you these details through your normal MT4/5 platform.
You can set your stop loss and take profit when you enter a trade, or use a trailing stop if you prefer.
Or set up a pending order to enter automatically when it reaches your desired level, and within this you can set SL and TP as well.

Not sure if that helps, or if I have misunderstood.

 

[AlmaCap]

I was looking at another tool called Capitalise actually, let's you create strategies according to much more than just Price X and Y, also technical indicators and the like - heard of it before?

 

[RachelFX]

I was looking at another tool called Capitalise actually, let's you create strategies according to much more than just Price X and Y, also technical indicators and the like - heard of it before?

No not something i have heard of

 

[J_C_Anderson]

For sure, emotions in trading are extremely important. Sometimes educated and experinced trader could underperform just because of lack of discipline.
There is a good article on emotions https://forextester.com/blog/emotions-in-trading.

One of the best advices on this issue I`ve ever heared is to make a pause for 15-20 minutes (for daytraders) after each extra profitable trade or a large loss. This would help you to deal with emotions, get back to the comfort zone and trade agein without the infuence of emotions caused by that trade.

 

[NVP]

For sure, emotions in trading are extremely important. Sometimes educated and experinced trader could underperform just because of lack of discipline.
There is a good article on emotions https://forextester.com/blog/emotions-in-trading.

One of the best advices on this issue I`ve ever heared is to make a pause for 15-20 minutes (for daytraders) after each extra profitable trade or a large loss. This would help you to deal with emotions, get back to the comfort zone and trade agein without the infuence of emotions caused by that trade.

20 minutes ?.....thats a lifetime in scalping dude

 

[J_C_Anderson]

Exactly!

This time is necessary to avoid the trades when you want to "get money back".

 

[NVP]

Exactly!

This time is necessary to avoid the trades when you want to "get money back".

jees .....i would spend most of the time sitting on my hands ....hahahahaha

I have to be honest ...most of my best scalps come off an immediately previous loser ....mainly i've been too aggressive on entry ....and the second bite finds the turn........trouble is if i just wait for second bites i also miss a lot of first movers

swings and roundabouts..........

N

 

[Stelootse]

This is good in theory, but everyone works out personal rules. Also when we are talking about the risk management, way to deal with the emotions we need to keep in mind that this is very individual and varies on the background, experience, soft skills and even the plan you set up.

yeah so the software allows you to set your rules and trades according to that, or sends you email notifications for scenarios that happen

 

[CertainWay]

JC,
I agree with the waiting time of at least 10 to perhaps 20 or 30 minutes after every profitable or losing trade. Based on my own experience, I have found it to be rewarding to just walk away from my desk once I exit a trade regardless of the result.

For sure, emotions in trading are extremely important. Sometimes educated and experinced trader could underperform just because of lack of discipline.
There is a good article on emotions https://forextester.com/blog/emotions-in-trading.

One of the best advices on this issue I`ve ever heared is to make a pause for 15-20 minutes (for daytraders) after each extra profitable trade or a large loss. This would help you to deal with emotions, get back to the comfort zone and trade agein without the infuence of emotions caused by that trade.

 

[James turtle]

Psychological traits of successful traders

1. Hope is not for trading, focus on your specific setups and Rules

2. Trading should be boring. Exciting, thrilling or impulsive trading is not acceptable

3. Forget about the “Next great indicator or Set Up” and focus on managing risks on every single trade

4. Be aware of the psychology and emotions of other traders on the other side of your trade

5. Be very aware of your emotions. Are you anxious due to your trade?, are you constantly checking? Are you hoping it moves in your directions? Ask yourself, is this rational? Be calm always, the person screaming should be the one on the other side of the trade

6. If you feel too excited – excitement increases risk and clouds your judgement. Peak excitement means you enter no trades and tighten the stops of any existing positions, do the opposite of what your emotions desire.

7. Don’t over trade – Be patient and wait for the few good trades

8. Any belief of making big money should be suppressed immediately and replaced with the belief of consistency.

9. Stop thinking about money, don’t focus on the money, and instead focus on executing the trades well.

10. Focusing on the money will lead you to impose your will on the market in order to meet your financial needs. The successful traders focus on protecting their risks and letting the winners run.

There's many more of cause, all depending on your trading style and personality.

I agree with the 7th point. Sometimes traders get so engrossed in trading that they forget what’s going around them. They just try to earn profit a much as possible at the cost of rational judgments and one of the common downsides is over trading which can have negative impact like biasness, emotions, capital loss etc.

 

[fibo_trader]

Psychological traits of successful traders

1. Hope is not for trading, focus on your specific setups and Rules

2. Trading should be boring. Exciting, thrilling or impulsive trading is not acceptable

3. Forget about the “Next great indicator or Set Up” and focus on managing risks on every single trade

4. Be aware of the psychology and emotions of other traders on the other side of your trade

5. Be very aware of your emotions. Are you anxious due to your trade?, are you constantly checking? Are you hoping it moves in your directions? Ask yourself, is this rational? Be calm always, the person screaming should be the one on the other side of the trade

6. If you feel too excited – excitement increases risk and clouds your judgement. Peak excitement means you enter no trades and tighten the stops of any existing positions, do the opposite of what your emotions desire.

7. Don’t over trade – Be patient and wait for the few good trades

8. Any belief of making big money should be suppressed immediately and replaced with the belief of consistency.

9. Stop thinking about money, don’t focus on the money, and instead focus on executing the trades well.

10. Focusing on the money will lead you to impose your will on the market in order to meet your financial needs. The successful traders focus on protecting their risks and letting the winners run.

There's many more of cause, all depending on your trading style and personality.

Hocus-pocus.

There is only ONE worthwhile trading psychology of ...... "highly profitable traders"

Find the TREND, get on the horse and ride it past 2 sub-stations en route to the major station. Then disembark.

The substations will be related in distance and time by definite % relationships. A hint you are approaching the major station is when you see some big fckup on the road causing net progress to go in an exasperating triangular movement for some time. When smooth sailing is restored, expect the destination to arrive shortly thereafter. Disembark!

 

[scarlet jones]

I agree , it is always better to take a break after closing a trade . It allows me to relax and start with a fresh trade. Also for me what works the best is staying disciplined. As rightly said, its important to be consistent than aiming for profits all the time. Trading is not a get rich quick scheme. Patience is what is required at all times.

Key tip – over trading is dangerous. Avoid it all costs because it comes with the feeling of greed and anxiousness ruining the very objective of trading.

 

[nnash]

What improved my psychology was eventually finding systems and edges that actually work. Before then I was trading based on things that didn't work and blaming it on "psychology" for not working.

Yes, at the highest level golf is a game of psychology too. If you have barely ever went to a driving range though, focusing on psychology is utterly ridiculous. Play a ton of golf and work on your craft for a decade then worry about the mental aspect.