In the last post we began discussing how our new website can help meet your needs as a trader. Our Premium Membership Deep Practice offers a direct and meaningful way to improve your technical trading skills. We meet each week to hone our chart reading skills. Reading price & volume is incredibly helpful to a trader. But we do more. Much of our trading centers around price and volume as it interacts with support and resistance, both local S/R and especially higher time frame support and resistance. This is where the choice trades set up. When we can bring the higher time frames into our trading, the odds of making successful and profitable trades goes up dramatically. In our weekly Premium Membership training in chart reading, we will show you exactly how to use support & resistance to significantly increase the odds of your trades.
But skillful chart reading isn’t enough. If you’ve been trading for any length of time, you know psychology plays an enormous and critical role in competent trading. TradeMindfully.com is one of the few places where you can develop both technical mastery and mental skills to handle the psychologically challenging aspects of trading. Trading psychology is a big part of Premium Membership and we train in the full range of trading psychology, which has three major components:
- understanding that the mind’s normal decision-making process actually causes poor trading
- learn to skillfully handle strong emotions such as stress, fear, greed, & hope
- learn to apply psychology to improve your overall trading.
Trading Psychology. The adage is that 90% of trading is psychological. That’s true, and one important reason why trading is so challenging. Trading psychology is multi-faceted. A trader needs to understand and know how to handle these different psychological challenges:
- Thinking & Decision-Making. Often, we see a trade set up, enter a position, see it fail, and then wonder why it failed. Many times, it’s due to the way in which we normally think. Yes, that’s right, normal thinking and decision-making can cause difficulties in trading. This is due to the fact that we have flaws in the way we make decisions. These flaws blossom in the trading environment where outcomes are uncertain, and risk is high. Because it’s the way we normally make decisions, we easily get blind-sided and trapped by own thinking process! We teach you what to look for and the mental skills that promote better trading decisions.
- Strong Emotions. Fear, greed, hope, anger, frustration, boredom – all these emotions arise in trading and often cause unskillful trading and unnecessary losses. The trading industry encourages you to control and eliminate emotions from trading. Ha! Fat chance! In fact, the notion that we should control how we feel has a paradoxical effect: trying to control them actually amplifies the emotions and their intensity and causes erratic trading.
We teach you several effective ways to handle whatever strong emotion arises and minimize emotional hijackings. These are the same methods and techniques we use with fund managers and proprietary trading firms. You get the sane critically important psychology as the pros.
In the third and final post to this series, we’ll discuss how trading psychology can significantly improve your overall trading and what we offer to you as a trader in that regard.
Free Webinar: A reminder that we’ll host a free webinar on October 19th. We will cover both the technical and psychological aspects of trading that we teach. We will do some deep practice where you’ll pick up useful technical tips and information. We’ll also talk a little about trading psychology and how our everyday thinking patterns can get us into trouble when trading. This is valuable stuff to know.
Below is link to details and register.