Trading Psychology Basics

Your mindset can make or break your trading career. Psychology is often the biggest hurdle.

Common Emotional Pitfalls

Fear

• Missing entries
• Closing winners too early
• Not pulling the trigger

Greed

• Overtrading
• Moving stop losses
• Taking excessive risks

Revenge Trading

• Trying to recover losses immediately
• Taking low-quality setups
• Increasing position sizes recklessly

Building Mental Discipline

1. Create a Trading Plan

- Define your strategy

- Set clear rules

- Follow them consistently

1. Keep a Trading Journal

- Record every trade

- Note your emotions

- Review regularly

1. Accept Losses

- Losses are part of trading

- Focus on process, not outcome

- One trade doesn't define you

Healthy Habits

• Take breaks from screens
• Exercise regularly
• Get adequate sleep
• Don't trade when emotional
• Set realistic expectations

"The goal of a successful trader is to make the best trades. Money is secondary." - Alexander Elder