Trading Emotions works more for new traders. They try to make a lot of money in a short period and this is the main reason for their loss. Greed and fear destroy trading careers. The trader who trades greedily never qualifies to be a successful trader.
This is where the one can make or break it. A small profits in the beginning and the greediness for more can lead top losses as well.However one should try controlling the emotions and play safe with sense of responsibility.
It is hard for the newbie to not let the greed get the best of them, since they are new to market and they get tempted into thinking they can make money easily, they will easily fall for it. So it is important to note that newbie should try to focus everything else other than money.
hello sir. thank you for this thread. i know money managment is really needed for any strategy. and i asked some questions about it. also emotions are difficult to me. but i only have demo account. not real even. but it is too hard to me now. sometimes i think i can't trade. i wonder to meet the experienced trader who can teach me. or trade with my money.
Greed destroys the trading career. To trade, the greed of every trader must be given up. New traders are more greedy which is why their losses are also higher. It is not possible to survive in trading if you are greedy. It is not possible to be successful if you do not work according to discipline and plan.
If you want to be greedy, do it in a professional one, that is you risk just 1 percent of your accountand aim for 10 percent in return, now that is called controlled risk as you will only lose 1 percent If trades goes against you. I sometimes risk 2 percentand aim for 6 percent on a trending market. But don't go and risk 100 percent for 2 percent, that is call get thing greedy, or using high lot sizes and finish up you margin because you are chasing unrealistic huge profits, that is called greedy. If you want to be greedy,always do it in a proffesional way.
Most of the new traders want to earn money quickly. and almost every new traders want to make huge money in a short period. This put them into the losses. They loss all their money because of their greedy nature. If you want to become a good and profitable trader, you have to control your greediness.
Greed is a common feeling experienced by traders both new and existing I believe. Once you lose control, greed is what follows and its results are always unfavourable. So we have to be disciplined and avoid greed for being successful.
Shelby10 posted: New traders are always try to make money quickly. Because of that, they make wrong decisions and lose their money.
Exactly. The problem is that they do not grasp concept of the trading psychology and the moment they made a profit in one trade, resulting the ever increasing adrenaline rush making them to trade in hoping to make another profit. But alas, that is just a greed and you will be losing money.
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