Hardest Part of Trading – Mentality
Let’s face it, we are human and we make mistakes. Typically, whenever we make mistakes, although we may feel like it is the end of the world, after discussing it with co-workers, bosses, or friends, our view of the mistake changes. Instead of being seen as this huge catastrophe we can see the mistake as a learning experience, learn from it and move on. However, when trading, finding others that have experienced the same mistakes will be harder so the mistakes weigh more heavily on traders, especially because their money is on the line. This is what makes trading so difficult — traders must learn how to deal with these mistakes, in solitude, and see the mistakes for what they really are — mistakes that they can learn from and then move on.
Other times, the trader does everything right but still loses money because the market does what the market wants, when the market wants to. In other words, regardless of how great of a trader you are, you can never control the market and, quite often, the market will surprise you. This is why money management and risk management are so important — these concepts allow traders to withstand the draw-down (periods of losing trades) and survive another day, however, they do little to overcome the trauma of suffering a losing trade, which is why having a winning attitude is so important for traders to maintain.
With it being the beginning of a new year, this is a perfect time for new traders to learn techniques that enable them to have a winning attitude. The article, What Makes a Successful Trader, explains how binary options help traders to develop a winning attitude. Then on Wednesday, at 11 am EST, I will be presenting, “Overcoming Trading Psychological Issues Using Nadex Binary Options” in a free Nadex webinar that shows traders how to conquer a winning attitude even when trading is not going as anticipated.