03/04/2024
Financial Psychology -GREED AND FEAR & HOPE
YOU i.e. your subconscious mind
YOU i.e. your subconscious mind filled with greed, fear, anxiety, hope, positive attitude, negative attitude, confidence ,lack of confidence etc called as your personality trades in the market . Whenever you trade, every hidden emotions existing in your subconscious mind comes out.
Greed .
Greed ......................blinds you to take entry of buying or selling
Greed without following the rules is gambling & with rules is an opportunity to take trade.
Take as much time as you like for analysis and observing the rules while taking the initial trade, instead of falling prey to greed.
Hope without rules is gambling.
Fear
Fear..........................blinds you to take Exit.
Fear with rules is an opportunity for closing the trade.
Once the trade is taken then the fear of
1) profitable trade turning to losing trade,
2) loosing trade etc will strike the panic to square off the trade. Remember price will either go up, go down or sideways.
Here you have to think as a chess player who evaluates his position at every move. Here you have to think what is most likely and probable under the given rules.
so don't let fear create panic.
Current high is not maximum price and current low is not minimum price.
Trading is Not What You Think, itтАЩs a whole package.
