Category: Money Tips Date: 2007-01-15
Trading psychology is very important to many people the root causes of loss attributed to: poor mentality. Simulation trading is generally easy to secure a firm offer can be once you start trading situation would be quite different. Loss followed to see if the right did not do, do not hold, a mistake was made, it did not just stop because of hesitation, but, when the approach appeared afraid, with a total fear of the wrong and so on and so forth are numerous, all these are related to transactions related to state of mind! Mentality is whether the transactions are ultimately the key to effective implementation can be said that you have to do all the efforts around the exchanges eventually need a good mind to implement, can stop in time, can make the profit growth will also depend on the full state of mind! To maintain good trading mentality is every investor pursuit of the goal, I think that should do the following aspects: one, a good money management is the foundation 2, the correct understanding of loss is the key 3, pegged to the stop-loss, without regard to profit about the measures.
First, fund management
Good money management is to maintain a stable basis for trading mentality. Investors hold large positions Crimping shoulders the burden as a pedestrian, a slight obstacle on the road is enough to make it fall. The fundamental reason is that his position for him, has become a burden beyond his endurance. So why do investors beyond the scope of his ability to do transactions? Because of the desire of profit it can not correctly judge himself, he has plunged into the trap of being profitable. Lured by the aura of profit, he has seen a loss of trap. Trap losses are generally in the dark, but profits shine, as investors entering large positions later, he will immediately find the trap full of loss, desire to approach the good moments before being crushed by market fluctuations, he will find that the market was far from gentle as he had imagined at this time, profitability has become the desire of his disaster, a large number of positions has become a huge burden on fund management, caused by improper exposure to the mentality of problems began.
I personally believe that good financial management should pay attention to three points: one, the market spent most of the disastrous situation. When the market is catastrophic situations, such as circuit breakers Quotes to running the way, your loss is not enough to affect your financial account continued to trade capacity, which is a special case. 2, in normal circumstances, you can only do what you can afford to lose the transaction, your loss should be within the carrying capacity you can. Therefore, the use of funds can be the size of your stop-loss amount is based on the largest, but can not calculate the expected profits. 3, the size of your use of funds and your trading capabilities to be combined. Transaction capability can use the larger proportion of funds, or you'll think you are too small and the mentality of poor profitability; while poor investors who trade the best a little more cautious, otherwise, your loss would exceed the capacity of your imagination and make your mind chaos.
资金管理仅仅是保持良好交易心态的基础，但远不是全部? I personally think that a good deal to keep the key is to correctly understand the mentality of a loss, this is the most critical.
Second, a correct understanding of a loss of
Refusal led to a loss of trading the underlying causes of bad attitudes! Loss is a normal transaction, losses are bound to emerge. Profit and loss as people left and right feet, the success of profit and losses by profit formed. The composition of trading profit and loss, no one can split profits and losses of the portfolio, the market does not exist only the profit or loss transactions. The key is to regard the loss of the vast majority of investors, to treat the transaction as an error that the loss was their mistake, and thus repeatedly asked his accurate analysis and forecast the market, thereby reducing the number of stop-loss. However, the market simply can not predict the losses as investors look wrong can never be out of the fear of uncertainty on the Quotes, Quotes of the perpetual state of uncertainty so that investors jittery state of Jin, played very hesitant, stop-loss is more is not decisive, even if no matter how good money management will not dare to make mistakes because of fear of an effective implementation of the trading scheme, and thus the loss of trading opportunities.
