Trading is a job that requires the ability to analyze and draw conclusions
Trading is a job that requires the ability to analyze and draw conclusions; requires endurance, patience - on the one hand, quick reaction and willingness to take risks - on the other; this is a lesson for those who are at least a little versed in psychology - all this depends on your success or failure in the Forex market. Even if you decide to switch to system trading - it will not relieve you of the emotional burden of making a trading decision. Most Forex traders believe that the less emotions, the more successful trading, they say, emotions interfere with making the right decision. But feelings of anxiety, fear of losing money, hope and faith in luck, repentance, joy, disappointment and joy again - all these feelings inevitably accompany trading. Restrain emotions during feelings that overwhelm you? But how not to pay tribute to intuition or enlightenment, finally! It is known that the release of emotions is not only the reinforcement of joy, but also the processing of negativity, and the analysis of emotions gives us a valuable flow of information.
We focus on this information, we act under the impression of this information. Analysis of the reaction to our own or other people's emotions, in turn, gives us the opportunity to control these same emotions, and hence actions. There are several ways to manage emotions: First, you can change your emotions by changing the object of concentration of emotions. This is usually a very effective method. What we pay close attention to becomes more effective for us. Change the direction of thought, change the attitude to the situation. You can consider the probability of taking a loss, and you can - the probability of making a profit. The second way: By changing your beliefs, you will change your emotions. All the beliefs that we acquire during life are a kind of filter that gives a certain color to all the information that enters our consciousness. These beliefs also affect the interpretation of events. The third way: We can change our emotions, ie "psycho", by changing the "catfish" - the body.
Changing facial expressions, postures; transition to diaphragmatic type of breathing (abdomen); changes in prosody - tone, timbre, voice and tempo of the speech - all this on the principle of feedback leads to a change in the physiological, and hence emotional component of the body, which affects the work of a Forex trader. Concentration. Concentration is one of the most important components of our emotional and mental state, because what you focus on when trading in the Forex market, becomes not only the object of reality, but also an understanding of reality. Everything that happens affects your analysis of the situation, interpretation of events, your emotions, and they dictate the manner of behavior, the choice in favor of a decision. In this case, you should set the right priorities: Do you assume the possibility of losses? Or do you expect a profit? We must always remember that trading is an attempt to maintain a balance between extremes.
The trader should focus on both the possibility of profit and the possibility of loss and try to maintain a balance between them. The trader must constantly assess the reliability of their methods, analyze the information provided by the market, because it is accurate and reliable information. Physiology. It is proven that the body controls emotions, and emotions affect thoughts. The easiest and right way to change the emotional state is to change your physiology: pace and depth of breathing, heart rate, temperature of arms, legs; language, facial expressions, posture, in the end - after all. Pay attention to how you sit, how you breathe, whether the muscles of the face, shoulders, whole body are tense. If you do not feel comfortable, you should just sit more comfortably. The simplest and most unpretentious physiological manipulation can be an effective tool for changing your emotional state and managing it. Control your emotions and this will definitely make you a more successful trader.