Traders Mind

You probably know about the times when your approach to trading has been emotional rather than rational. You've probably read the books about the great traders, and know you should stay calm. But knowing is one thing, doing is another.

Managing your mind to manage your money

As Noel Whittaker the great financier said: "Becoming wealthy is not a matter of how much you earn, who your parents are, or what you do... it is a matter of managing your money properly." And to do that you need to manage your mind properly too.

Disruptive emotions

Many people have bad trading habits fueled by ignorance, but also by the clouding effects of emotion and the wrong way of looking at things.

When emotions engulf us we experience what is known as an 'emotional hijacking'. This means that the more fear or greed or depression you experience around your trading the harder it is to think clearly. The part of your brain which thinks logically (your neo-cortex) is swamped by emotion and loses the ability to operate properly. You literally become more stupid. You need to be cool and able to detach when necessary to be a top trader.

The Trading fear/greed cycle

It's easy to get hooked into the fear/greed cycle when it comes to trading. The trading fear/greed cycle is:

• You buy stock
• Stock value increases reaches its peak but you don't sell (because it might go higher and you want to hit that 'home run') This is where greed kicks in.
• The value drops but you still hang on to it because it might go up again to its peak (and now you'd settle for that!)
• The stock goes back to original (or even lower than original) price and then you sell it out of fear you're going to lose money.

This is the opposite to 'professional trading'

Wherever you feel your trading weaknesses lie, Traders Mind will give you the tools to approach trading calmly and strategically.

Download Traders Mind now and manage your mind to manage your money.