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The Psychology Of A Market CycleThe psychology of a market cycle refers to the emotional and psychological states that investors and traders go through as they react to market conditions. Here is a short summary of each stage of the market cycle: 🔵 Disbelief: At this stage, market participants are skeptical about the potential for a market rally or recovery. They may be hesitant to invest or trade, as they do not believe that the market has the potential to improve. 🔵 Hope: As market conditions begin to improve, investors and traders may start to feel more hopeful about the future. They may start to see opportunities for profit and become more willing to take risks. 🔵 Belief: At this stage, market participants start to believe that the market will continue to improve. They may become more confident in their investment decisions and become more willing to hold onto their positions for longer periods of time. 🔵 Euphoria: As the market continues to rise, investors and traders may become overly optimistic and start to believe that the market will continue to rise indefinitely. This can lead to excessive risk-taking and overconfidence. 🔵 Anxiety: As market conditions start to deteriorate, investors and traders may become anxious about the potential for losses. They may start to question their investment decisions and become more hesitant to take risks. 🔵 Denial: As market conditions continue to worsen, some investors and traders may start to deny that the market is in a downturn. They may continue to hold onto their positions in the hope that the market will recover. 🔵 Panic: At this stage, market participants may become panicked about the potential for further losses. They may start to sell their positions in a rush to get out of the market. 🔵 Capitulation: As market conditions reach their lowest point, investors and traders may give up hope and sell their positions, even at a loss. This is known as capitulation. 🔵 Anger: After the market has bottomed out, some investors and traders may feel angry about their losses and the perceived market manipulation or wrongdoing that they believe caused the market crash. 🔵 Depression: After experiencing significant losses, some investors and traders may feel depressed and lose motivation to engage in further investment or trading activities. 🔵 Disbelief: As market conditions begin to improve again, some investors and traders may return to a state of disbelief and skepticism about the potential for a sustained market rally. 👤 @AlgoBuddy 📅 Daily Ideas about market update, psychology & indicators ❤️ If you appreciate our work , Please like, comment and follow ❤️
Education
by QuantVue
2
Trading Psychology: 4 Dangerous Emotions Traders Must AvoidWhen I was a naive, newbie trader, I didn’t pay much attention to my trading psychology. I was more focused on the technical chart patterns and trade setups. However, I soon found out the hard way that… Ignoring the psychology of trading was destroying my trading results. That’s when I began making a serious effort to master my personal trading psychology. I started reading trading psychology books, and even worked with a personal trading coach. I was definitely on the right path to mastering trading psychology, but wished I would have started learning sooner. That’s why NOW is the perfect time to start getting your trading psychology edge. But why is it important to understand stock market psychology? Understanding stock market psychology paves the way for your long-term trading success. That’s why this exclusive new mini-lesson of top trading psychology tips is just for you. How do you develop trading psychology? Some trading sites advise new stock and crypto traders to gain experience by paper trading with a simulated account. This can be helpful to learn the basics of trading, but it’s a much different ball game when real money is on the line. Your true emotions in trading will only be revealed when risking your own money with actual trades. Therefore, the best way to develop your trading psychology is simply by working your way through hundreds of live trades with real capital. Keep a basic journal and note when you feel the dangerous emotions below start creeping in. This is the only way to truly identify your personal strengths and weaknesses in trading psychology. 4 Most Dangerous Emotions to Avoid: Fear, Greed, Hope, and Regret Investing decisions in any market in the world are driven by 4 powerful emotions of Fear, Greed, Hope, and Regret. Left uncontrolled, these emotions can have a seriously negative impact on your trading account—but only if you let them. Your personal ability to master these key emotions directly determines your long-term trading success. So here’s a quick rundown of how fear, greed, hope, and regret can harm your trading results. Most importantly, I have also included actionable ways to avoid these emotions in your trading. FEAR – The most powerful human emotion that affects your trading Fear is a distressing emotion caused by a feeling of impending danger. This results in a survival response, regardless of whether the threat is real or imagined. Traders consistently report fear as the emotion they struggle with the most. Fear has even caused people to jump off buildings during market panics. FEAR is the reason markets typically fall much faster than they rise. It took the Dow Jones Industrial Average 24 years (1983 until 2007) to rally from 1,000 to 14,200…BUT it only took 2 years (2007-2009) to lose HALF of that multi-decade gain. Why? Uncontrolled fear rapidly leads to panic—which leads to poor decision making in the markets. When traders become driven by panic, they often sell their positions at any price. That’s why stocks frequently cliff dive when group fear starts kicking in. Fear can also rear its ugly head after you experience a string of losing trades. After suffering many losses, fear of “yet another loss” can make it mentally challenging to enter new swing trade setups. When paralyzed by fear, you miss out on profitable trading opportunities. If it’s a quality trade setup, then don’t let fear prevent you from buying (be careful not to confuse this with revenge trading). Remember that each trade you enter is completely independent of the previous trade. Therefore, losing money on a prior trade does not necessarily mean you will lose on the next trade. Fear is not always bad, as it can help keep losses small. For example, fear of a bigger loss can get you out of a bad trade you should no longer be in. If you immediately sell your stock or crypto when it hits your preset stop price, then the fear of a bigger loss protects you from major losses. When there is fear, steer clear! If the market is in a state of panic, don’t fight the downtrend. If you’re in doubt, get out! Don’t try to rationalize or come up with excuses to stay in losing positions beyond their stop prices. HINT: Ignore the news and internet forums to prevent lame rationalizations for staying in losing trades. When there is too much fear in the markets, our flagship swing trade alerts service simply shifts to cash until a new buy signal is received. This prevents fighting strong downtrends in unfavorable conditions. GREED – Too much greed decreases your trading profits Greed is an excessive desire for money and wealth, but is a natural human emotion. A healthy amount of greed can help drive your trading profits, but too much greed will have the opposite effect. How to know when it’s too much greed Greed is when you have already made a large profit on a trade, BUT are still obsessed with how much more you could have made if you stayed in the trade longer. The mistake with this reasoning is that all gains are not real until the position is closed. Until then, a winning trade is only a profit on paper. Greed can also cause traders to make bad trades by ignoring solid risk management rules, which signals a lack of discipline in your trading or investing. To keep greed at bay on a winning trade, sell partial share size to lock in profits, then trail a stop higher on the rest. Proactive trade management like this is why our exclusive Wagner Daily stock picks have been consistently profitable over the past 20 years. HOPE – A fake friend who will take your money (but only if you let it) Hope, a feeling of anticipation and desire for a certain event to happen, may be the most dangerous emotion for traders. If you are an active trader or investor, the feeling of “hope” in your day to day trading activities must be avoided at all costs. Why is hope so dangerous for traders? Hope may prevent you from immediately selling a losing trade that hits its stop price—which is the top rule with most trading strategies. When you blow a stop, you will usually wind up with a much bigger loss than you planned to risk. You may get lucky with a second chance to exit (especially in a forgiving bull market). However, this is definitely not a situation you want to be in. A weak stock typically continues much lower before bouncing, which is why you must always honor your stops. Otherwise, that’s when hope can really sneak up on you! Hope will convince you to just “hang in there a little longer” because: “Big news is coming soon” “This stock will surely rally after their next earnings report” (Insert your favorite bullshit excuse here) Meanwhile, while you’re busy hoping, the price plummets and has a catastrophic effect on your entire trading account. Rest assured, the market will eventually punish you by taking your money when you slip into “hope mode.” But the good news is that YOU alone can easily prevent this scenario from happening. Simply always set protective stops to pre-define your maximum risk per trade. Be rigidly disciplined to follow your trading plan, and hope will never become an issue in your trading. Plan your trades, and trade your plan. REGRET – Remember the next opportunity is always just around the corner Regret is defined as a feeling of sadness or disappointment over something that has happened—especially when it involves a loss or a missed opportunity. It is only natural for a stock trader to regret entering a losing trade or missing out on a winning trade. But to master your trading psychology, do not hyper-focus on losing trades or missed opportunities. If you lose money on a trade, then simply evaluate what went wrong, learn from it, and move on. Don’t waste time regretting your original decision to enter the trade. What’s done is done. Conversely, you may feel regret when you miss an opportunity. This is human nature. However, you must train your mind to simply move on to the next trading opportunity—which is always just around the corner. When you allow this type of regret to control you, it becomes too easy to “chase trades” with risky entry prices. If you chase, your risk/reward ratio of the setup no longer meets the parameters of healthy trade management. Let’s say you plan to buy $DUDE stock at a $60 buy trigger price, with a swing trade target around $70. If you buy it, you plan your initial stop at $55. This gives you a 1:2 risk/reward ratio (risking $5 to gain $10). $DUDE stock rallies, but you miss your original $60 buy and instead chase the price to an entry at $65. If you don’t significantly raise your initial stop, you now have a negative risk-reward (risking $10 to gain $5). In this case, your regret of missing the $60 entry caused you to chase it to $65 (next time, just wait for a pullback). Avoid feelings of regret to ensure the math of trading is always in your favor. We always target a bare minimum risk/reward ratio of 1:2 for swing trades in our stock and crypto swing trade alerts services. Successful traders keep their minds disciplined to avoid remorseful thinking. original source
NASDAQ:QQQEducation
by rp-mtg
US Market Sentiment: Risk ModelGeneral Market Update Stock market uptrend continues to show strength and shrugged off Big Tech losses. The stock market made a show of strength by surging despite disappointing Big Tech earnings reports. But it is still too early for investors to be getting excited, with another Federal Reserve meeting rapidly approaching. The Nasdaq composite turned in a 2.9% gain for the day and is on track to end October with a 5% gain. It still sits 1.9% under the key 50-day moving average, a key resistance area to watch. The S&P 500 turned in a 2.5% gain for the day. Using the SPDR S&P 500 ETF (SPY) as a proxy, it is up 8.9% for the month with one more session left in October. The index has made a move above its 50-day line, an encouraging sign. Breadth was also positive, with advancers outnumbering decliners by about 3-to-1 on the NYSE and by more than 2-to-1 on the Nasdaq. Volume fell on the Nasdaq, and early data showed lower NYSE volume. Blue-chip stocks also excelled, with the Dow Jones Industrial Average popping 2.6%. Its 14.4% gain so far for October is on track for its best since January 1976. t closed above the 200-day line for first time since Aug. 1 However : The coming week will be crucial, with speculation rising that the Federal Reserve may be considering slowing the pace of rate hikes. Investors should remain wary until this meeting is behind us. Update Risk Model: Several technical indicators significantly improved their reading in course of last weeks' trading sessions. The following critical indicators are now showing green light: - New 52w Highs / Lows - Stocks above / below their 200d MA - Up/Down volume - Advance/Decline-Line Additionally, key psychological / contrarian indicators still showing reading which could suggest that we have reached the bottom already, or are at least close to that. Margin debt is negative which means there is a lot of buying power in the market to push individual stocks much higher. Also, we still habe a very bearish sentiment which is very good considering this being a contrarian indicator - exactly when most investors give up and make more and more bearish comments, the bottom of a correction / bear market might be very close. Remember, there will be another FED announcement next week. At the very least, we have to expect increased volatility. Swing-Traders should be invested by 30-50% by now but only further increase exposure on the back of gains in their own portfolio. While the risk model has significantly improved, we are not out of the woods yet. Stay cautious and remain disciplined!
BLACKBULL:SPX500Long
by JS_TechTrading
Actual end of an era. And it is happening fast.Western interest rates starting going back up in the end. Looks like the whole "new paradigm" is over. Money is not free anymore. To sum up: - Boomers got 110% of the wealth (other generations are in debt), they are aging and getting more conservative, covid got them even more scared and conservative (risk averse); - Generally investor outlook on the economy which was not even positive for the last 20 years (buybacks and money printing were the bulls) is now rather negative; - Average people are starting to notice the money printing. Memes and permabears are doing their jobs. And those that do not notice want to go far right or far socialist even thought they have no clue why they want to. So central bankers cannot continue to print to infinity; - All the indicators clearly show people are not spending or lending their money since early 2020, they are hodling, no arguing is possible (unless the data is somehow incorrect), it is necessary to somehow entice them (with higher rates) to get that money; - And boy does the west need the money Bonus (technical): - Well just look at it go I'm going to go straight to the point and not go into a lenghty explanation about every point. i doubt many beginners are reading about the bund anyway. A shame, might be easy money... The TA/chart reminds me of the typical textbook stairs up elevator down chart. Reminds me of AUDJPY when the "housewives" were mass buying the AUD because of high rates, and then all ran for the exits in just months. In the case of bonds people are not running for the exits but it's the same idea mirrored. People with $$$ are not as eager to lend it anymore, and euro governments need as much magical ponzi beans as they can get to bounce back from the whole covid thing, and maintain fake prosperity and power for a few more years... or months. Well french president Emmanuel Macron said "abundance is over" and warned we should get ready, so at least he is honest. Germany has been teaching its population to warm itself without electricity last year. France relies on nuclear power but hey guess what french nuclear worker are on strike, french favorite national passtime. People have been spending less as you can see in this chart. So it takes a bigger carrot on a stick to get them to lend it. Reminder: velocity of money is the frequency at which it is spent. Lower value on the chart means people are holding tight on their liquidities more. Hey, people thought the USD not going to zero with all the printing and government spending and usstock bubble getting inflated would have no downside. Ye investors were buying us dollars because they were optimistic and just super bullish on this awesome not-a-scam currency and us economy right. I am also short on oil price will go down but for all the bad reasons, I'm feeling like the barrel price will be low low low but price at the pump will be high high high which won't even matter since the gaz station probably won't even have gaz. Boomers got all the money and boomers are aging, and scared to die soon, they are starting to not care about progress. Average humans stay in denial so long, but once panic starts to hit does it go fast. Any herd thing goes fast. I mean ask anyone that studies crowds. Mindless reptilian brains (85% of the population) at a concert watch a dozen people dancing like they are martians, they think they are so weird, then a few zombies start to dance and it's like a nuclear chain reaction all the zombie-sheep dance in seconds, only a dozen people are not dancing and the zombies stare at them and think they are weird stuck-up psychopaths. One could potentially take at least 5R, even 10-15 if it accelerates down (/up). Does it get harder and harder to find people to lend money (especially as high IR makes people/boomers scaaaared we are becoming Argentina)? Or will the increasing rates convince more and more people to lend? No one actually holds cash do they? Apart from boomers people have between $0 and 50k in debt and I am not making that up (most experienced traders know this). A handful of people we call traders have cash and they definitely are going long the interest rate (short the bund contract) - a few hundred retail traders going countertrend is like a few hundred mosquitoes trying to stop a herd of thousands of raging elephants, ye good luck guys just #HODL. They could continue to monetize the debt and rob poor people, but poor people even thought they have no idea what is going on are starting to get pissed, want to destroy everything and go socialist or far right. When I say poor people I really mean middle class, from low middle class to upper middle class. So every one except hobos collecting food stamps and Bezos & friends. Plus with the democratization of trading in part because of crypto and Robinhood, as well as permabears Peter Schiff and Mike Maloney reaching millions of people on social media, people are starting to figure out what is going on. Even the US socialists have mentionned taxing unrealized gains, I am scared, why do they know about this? Guess what happens when old people hold all the money? Guess what happens when those were promised they would live forever with magical futuristic cyber hearts? Guess what happens when hospitals are getting more and more expensive and they might (immediately) need all the money they have to afford lifesaving intervention (or they could just stop overeating but we all know this is not going to happen). I wonder if covid reminded them of their mortality and they are done investing for the long term, or at all. I wonder if some lost trust in the west capacity to pay back, but I do not have the answer to that it is not part of the analysis. I know "10/10 AAAA++++" France got downgraded years ago. They should all get downgraded really but will they? In 2008 junk bonds did not get downgraded... Well anyway... I don't want to predict the future or be a lifetime permabear I just want to make some money. We are traders we do not care if everything implodes do we?
OANDA:DE10YBEURShort
by MrRenev
Learned helplessness in tradingBINANCE:BTCUSDT A classic situation for a trader is the fear of opening a position, dictated by the negative previous experience in an identical situation. How usually manifested after a series of failures (losing streak) and leads to ignoring further trading setups. Let's look at this case in more detail. The material will consist of three components: The biological component describes the possible mechanisms of the brain in the field of decision making, touching on the cognitive error described above. This cluster is of no practical use in the context direct solutions to the problem, but brings the understanding that not all mental processes can be felt at the objective level perception, but can latently contribute their own changes in behaviour patterns. And the psychological component describes the mechanisms problem in terms of psychology person. The release of adrenaline does not necessarily lead to reaction, according to the strength of the corresponding reaction “beat or run", but to some extent capable induce a general mobilization of organs and systems. This is manifested in an increase in heart rate and respiratory rate, dilated pupils and other reactions directed to fight stress. Similar episodes of stress are also recorded by the cortex hemispheres and hippocampus with the formation associations. In the future, these associations will intensify, if negative outcomes prevail over positive. Association cortex conditionally "compares" the number of positive behavioral patterns and positive emotions with quantity negative, preferring to slow down the launch behavior that led to stress. Learned helplessness is a state in which an individual does not attempts to improve his condition, although he has such an opportunity. The key factor causing this condition is imaginary inability to influence the situation, and lack of connection between actions and results. However, if the negative situation is repeated repeatedly, there is a feeling that there will be more only worse. To begin with, it is very important to understand that there is no magic a method that will restore confidence in one's own actions. One way or another, you have to do it on one's own. Psychology cannot solve your problems instead of you. It can only point out some points that worth considering in order to form the correct an approach to accept negative situations and help find a way to solution to this problem. So, what to do if it works for you psychological "feet" before making important decisions based on the previous negative experience? Here are some practical tips. Catch yourself by the hand every time thoughts visit about failures that are not related to a specific situation, but projected from the past. The brain accumulates sums up negative experiences, which is common cognitive error. Although due to feelings of learned helplessness in humans and may give the impression that his chances of success after a series of failures, much lower than it really is, In practice, they are not at all diminished by the fact that was earlier. Your chances of success in this particular moment are always static and depend only on the cold mind and clear calculation. While this may not be easy, it is necessary get rid of emotions and conduct a substantive assessment their results. At what point was your result positive and why was it so? And in what moments your result was negative and,Of course, just try to find out. Probably, if you analyze your failures, you can visually observe that between your failures there was no relationship, but the fact that they went in a row, or the fact that lately there are too many of them - not more than a coincidence. If you determine that the reason for your failures was specific (impulsive decisions/exceeding risks/ignoring your own rules), you you can learn from this experience and, in the future, avoid repetition of such situations. No matter how banal and paradoxical this may seem advice, but it really works in practice. Our the brain is designed in such a way that when we give in to problems, we lose faith in ourselves and our own success. This does not mean that one should act recklessly. However, if you objectively assess the situation and decide that acting now is a good option which fits within the framework of the strategy, do not ignore such possibility. In case of failure, you will gain experience, and afraid to try, you will only start stronger believe in your own helplessness. The problem is sometimes not the situation, but the loss of will and belief in the significance of their actions. The “act when you decide to act" allows you to save or regain a subjective sense of control over situation. If accumulated failures have undermined your faith in success, false beliefs about their abilities. Since it didn't work out before, will succeed in the future. In time, man pays more attention to the experience that confirms this assertion. It only focuses on negative results, ignoring exceptions when he did it all. These fears of failure kill future success. Due to the formed negative thinking patterns in the human imagination is drawn only sad turn of events. In such situations it is important to find special cases of your own success in past. If you lack self-confidence, remember when did you get it right? Think about these sensations. It is necessary to learn to see alternatives, positive developments that form a new self-image opportunity to influence what happens in positive key. In the end, I would like to say that failures happen with absolutely everyone. And it's up to us how we We respond to them and deal with them. Do you lose confidence in yourself and your abilities? or accept failure, analyze, learn from it experience and continue to work, developing on professional field, looking forward to the future success? Hope you enjoyed the content I created, You can support with your likes and comments this idea so more people can watch! ✅Disclaimer: Please be aware of the risks involved in trading. This idea was made for educational purposes only not for financial Investment Purposes. * Look at my ideas about interesting altcoins in the related section down below ↓ * For more ideas please hit "Like" and "Follow"!
Education
by Crypto4light
Don't let the dopamine get you 🥴Do you feel excited? 😅 This is why. It's all down to the chemical reaction in your brain. Dopamine. Dopamine is a chemical in the brain that makes us feel good. Should you be feeling excited when trading?🤔 No.🙈 As this isn't gambling and shouldn't give you the same dopamine rushes like a gambling win does. What's starts as initial excitement will move to fear, anxiety, stress and excitement again. 🤷🏻‍♂️ You become irrational and unable to stick to your plan.🤯 Entering trades through boredom for the 'rush' and closing profitable trades too early because of fear of the profit disappearing - all because you risked too much for that 'buzz'. 'So what can I do about it?' I hear you shout loudly....📢 Well this depends on if you really want to change or not, the downside is you'll think you will make less money .... Think about it - you have a £5000 account right? Option 1 - you trade 15 pairs at 0.5 lot size and your account is up and down like a yo yo - but it's exciting right? Option 2 - you trade 3 pairs at 0.01 - your account movement is marginal. Option 2 is less exciting for sure, but if you want excitement go and jump out of plane. Option 1 will eventually lead to a blown account. Option 2 will give you sustainable consistent trading - you'll let your winners run and you'll lose less on the losing trades. A win win. Only when you get this bit right will you start to see positive change. Emotional control is key Be present doing other things without checking your phone to see how trades are going. Exercise patience by sticking to your plan and letting your trades run instead of closing them early. The only thing you can control in trading is YOU Just don't end up letting the dopamine take control! Have a good weekend everyone and thanks for looking Darren👍
Education
by pow_removetheguesswork
5
4️⃣ Trading habits that have to go 👋We've all done it. At some point in your trading journeys bad habits set in. Here is my four trading habits you've got to kick in order to stay profitable. 1. Overtrading We all been there with this one. We think we have to be in the market all the time. We don't and its okay to be flat at times. No strategy should have excessive trade volume. More time in the markets the more chance of catching a cold. Overtrading can happen when we also start revenge trading. You've caught some losses and your trying to get it all back. Don't overtrading combined with revenge trading is a no no. Take a break. Trading with no strategy or system Should never be in the markets with out a plan or system. More importantly no trader should be entering markets with out a proven edge. Back test and forward test your strategy and make sure you are entering markets with a proven plan. Psychology wise it makes trading so much easier to deal with. No plan will lead to nothing but stress and losses. No stop loss Trading with no stop loss is biggest sin of all. It's just not worth risking huge amounts of your trading capital on the line. One big crazy move in this uncertain world could do damage. Plus how can you develop a proven plan if stop loss is not included. Also moving your stop loss should not be part of your trading. As you've just altered any strategy being trading into the unknown category. No risk management So I've mentioned stop loss but that is only one element of risk management and it doesn't stop there. Risk management includes many aspects you'll need to consider. That includes position sizing relative to your capital size. The psychology behind losing runs and how they are factored into your trading plan. Work to set and proven trading rules as part of your risk management. Be sure not to add to losing positions. Know when you are wrong and move on to the next. Failure to follow risk management means you will essentially be gambling. Be realistic in expected returns is a big factor in risk management. Sticking to all of the above and not allowing these habits to enter your trading will ensure you keep that trading account growing. Thanks for taking the time to read my idea. Darren 👍
Education
by pow_removetheguesswork
1
Four trading fears you will have to overcome 😱The stats for retail traders are not pretty. It's no secret around 80% of all retails traders lose money. The reason most fail is the four fears not being overcome. Fear of being wrong! We are emotional creatures and lets be honest none of us like being wrong. This trait shows in some more than others but there is no place in trading for this trait. It's impossible to 100% right all the time it's not even possible being 90% or 80% right all the time. Once the reality sets in your not going to be right all the time we then as traders have fear of being wrong when seeking our trades or strategies. Fear of losing money We all suffer this fear at some point. What we need to understand is all accounts suffer periods of drawdown. I firmly believe the 80% of all retail traders stat is so high due to people losing money and quitting. The reason money is lost is due to poor strategy or no strategy. Once in a whole the fear of losing more will push people away from trading. Fear of missing out It's probably the fear of missing out that led you here in the first place. You see all the lambo's on social media and the life style and fear of missing out is already in play. Then comes seeing what everyone else has profit wise. Then comes paying attention to everyone else and full blown FOMO instead of sticking to your own game. Fear of leaving money on the table. No better feeling than seeing your trades run in profit. The screen is lit up blue and your loving it. But now comes the fear of letting them trades play out. Your leaving money on the table and it's now a fear you'll lose that money. It's one of the biggest mistakes a trader makes! Cutting winning trades to soon and letting losers run for to long. So how to overcome these fears? There's many elements to overcoming the four fears . There's so may and then even sub elements of those. Hence why this idea had the two brainstorm bubbles on the chart of what fears haunt us as traders. Followed by the bubble of all the thoughts you need to take in to consideration as a trader. It's imperative as traders we build a robust tested plan. Sticking to your own plan and lane is crucial. Just avoid others that blur your plan. Losses are a part of trading quicker you accept this as a cost of business quicker that fear of losing money disappears. There is many more on the chart drawing but quicker these behaviours are followed as a trader the quicker the four fears will disappear. Here's to a good rest of the week🥂 Thanks for looking at my Idea Darren 👍
Education
by pow_removetheguesswork
7
Trader comfort zone journey 🥴➡️😊Let's end the week on a thoughtful note. On the chart is a visual I see the other day that I feel relates to trading massively. It's called the comfort zone map. This can be applied to many situations in a person's life as a generic visual map. But I really do think it represents the journey every trader must take in order to become successful. COMFORT ZONE It's where we all start any journey Sat in the comfort zone not wanting to leave as we dont want to fail or get hurt. Some will stay in this zone forever but will never progress. If you are on TradingView looking at this idea then chances are leaving this zone is already being explored. We all like this zone put you have to take the leap of faith in order to progress. As traders we all have to leave our comfort zone in order to start our trading journey. FEAR ZONE This is the worse zone for any human on any sort of journey but more so for traders. Things are really uncomfortable in this zone and pain will be felt. Mistakes will made, as traders money well be lost but key bit is learn from those mistakes. Plenty of people will turn their backs at this point and jump back into the comfort zone. Those who carry on trying to achieve will have other people questioning what are they doing. Don't let opinions sway you and find a way to find your feet in this zone. You will lack knowledge, You will lack skills at the start but traction comes with hard work and persistence. LEARNING ZONE The traction gained and hurdles overcome in the fear zone leads you to this zone. Once in this zone it's now all in the eye of the beholder. This is now the new comfort zone but don't drop the ball you can end up dropping back in this zone. Now's the time in this zone to really kick on but it can take time. You are now laying the foundations of an exciting future. Take the base knowledge gained and gain even more in this zone. Problems are no longer holding you back as you are able to overcome. You enjoy the challenges and tackle them head on while still learning. Putting the time in here takes you to the next step but also stands you in good stead for rest of lives hurdles. GROWTH ZONE This where the fruits of your labour are felt but not just in trading profits. Mindset and contentment are on point. Due to the above continued learning never stops. Objectives are now smashed. Purpose and fresh identic is now found within yourself. Continued Personal growth as well as financial growth is now a element of life. In this zone the end game is infinite but shouldn't be taken for granted. Hard work has got you here but don't get complacent. Treat everyday as an opportunity to fulfil your life even more in many ways not just money. You earnt the right to be in this zone so enjoy. But be grateful in this zone and take nothing for granted. Stay level headed and with the right mindset this becomes your new comfort zone to enjoy forever. Enjoy the weekend folks and see you next week 👍 Darren✌️
Education
by pow_removetheguesswork
52
Getting Over the Agony of LossesHey Guys! When a trader takes a loss, it can be quite hard. It can strip you of your motivation to trade. Or perhaps even sway your quality of life. But that doesn't have to be the case. Do you ever wonder why experienced traders don't have a fit after a loss, whilst beginner traders can go into a chatic godzilla-like tantrum? No, it's not because they're enlightened in some way or simply not prone to anger. It's because they understand what trading is "truly" about. Trading is simply about refining your strategy and honing it until it is capable of extracting consistent profits from the markets. Moreover they understand that in order to refine a strategy they will have to take losses from time to time. How else will they know if their strategy needs refining or not? Thus the experienced trader views a loss as an opportunity to further refine their strategy and more importantly views these losses as a necessary component to propel their trading to the next level. Now, viewing losses from this perspective, who in their right minds will throw a fit every time they take a loss? So just some advice to the beginner trader. If you don't have a specific strategy that you're working on and are hopping from strategy to strategy; consider making your own strategy. Of course this can be a mixture of strategies you came across in your trading education, but ultimately the strategy must be constructed with your original signature. This means that you understand the nuts and bolts of the strategy and thus have the ability to refine it when necessary. Once you begin this refinement process, upon a loss and the anger starts to kick in, you'll find that refining your strategy with the lessons learned from the loss will diffuse that anger that erupts inside of you. It will become an antidote that if persisted, will get you on the peaceful road to trading success. I hope this helps! Have a great day guys! Ken
Education
by TradingForexPriceAction
5
Trade like a casino! 🎰🎲💵Yep you heard me right you need trade like a casino 🎰 Key bit here is trade like the casino operates their business model. Don't trade like the clients that frequent the casinos. Why should you trade like a casino? Profitable traders understand how casinos are successful. Casinos are profitable and make money because they have an edge which they let play out. They know probability is in their favour. How many times have we all been at a roulette table thinking we have a 50% chance of winning betting on red or black. We all seem to forget about that green zero on the table and here in lies the casinos edge. With having an edge they let play out it's impossible for them not to make money. The casino is comfortable with every outcome on the bets placed knowing the edge will play out. Losses are seen as a cost of business, risk is controlled and emotions to are in check. This is why the house always wins! 🎰🤑 If you as a trader apply the same logic's to your trading strategies the end results will be the same as the casino. If you choose to trade like one of the clients in the casino with no fixed rules you essentially are gambling with you trading. Subjectivity and emotions will come in to play. Random winning and losing runs will occur which will impact trading psychology. This way of trading will only end in one way and that's by giving everything to the house or in this case your broker! Development of a strategies with proven mathematical edges ensures you will become the house 🏦💰 Once an edge is established trust your strategy and let that edge play out. ----------------------------------------- Please hit the 👍 LIKE button if you like my ideas🙏 Also follow my profile, then you will receive a notification whenever I post a trading idea - so you don't miss them. 🙌 No one likes missing out, do they? Also, see my 'related ideas' below to see more just like this. Thank you. Darren
Education
by pow_removetheguesswork
DXY price action psychological support and resistance setupPresented is my 1 hr chart set up for DXY based off support and resistance. As you can see I target whole numbers that play true in psychological zones. I sentiment a bull push to target 90.200 and then 90.500 with a push to breach for continuation. Indicators are current towards a bull run as MADC?SIGNAL is correlating high volume with lines crossing in the zero line zone. RSI slow movement with high volume close outs is positive sentiment towards continuation into the overbought zone. Through a fundamental point of view COVID-19 dwindling and summer in the air, consumer spending is going to soar while the hermits will be inevitably forced to search for jobs. The domino effect of increase spending will play out as entertainment will grease the the rust off establishments that create tourism and events. Please comment with your thoughts and ideas about the future trend direction. Thank you.
TVC:DXYLong
by Pika7993
Technical Analysis, lets go short.TREND LINES: The establishment of the downward direction of prices is evident in the recent price chart. Paying attention to the upward trend line, it is obvious that from the moment it broken from the exchange rates, it did not maintain its limits because the prices did not return within it. The evolution of this fact is the development of a trend channel in which prices are falling. SUPPORT - RESISTANCE - FIBONACCI LEVELS: Observing the support and resistance levels as well as the Fibonacci levels, a lag in the downward dynamic of the last days is obvious, which nevertheless is expected. However, this development following the events creates an irritation in the market participants and gives the impression that the exchange rate is looking to find its way. The formation of the spinning top that was created in Friday's session may be a result of that nervousness. The most important part of the analysis is the sideways trend channel that has been created and the consequence with which the values follow the levels that have been created. In particular, the downtrend was stopped at exactly 61.8 FR at 1.1900 creating a strong psychological support level at this point as it was tested twice, and the prices failed to break it. Also, a strong resistance that has been tested twice and is still maintained is that of 1.1985 which coincides with 50.0FR. However, the secondary trend that has been created will give the necessary rest to the market participants. Also, from this study emerge some significant levels of resistance a) 1.2080, b) 1.2175 as well as support a) 1.1860, b) 1.1630 and c) 1.2000. TECHNICAL INDICATORS: The conclusion that emerges from the averages used to detect the direction of the trend, white and green averages, is the positive difference in their sign which indicates the beginning of the downward direction of prices. Another indication, apart from the support-resistance levels, for the lag of the downward dynamic is the path followed by the average which smoothes the price noise, yellow average, and as it seems the path followed through the bodies of the candles prevents the possibility of safe sell order. The deviation of the Bollinger Bands and in particular, the wide deviation of the lower band leaves enough room in the scenario for prices to fall to lower levels. An additional factor that currently needs time to develop is the momentum that the MACD has which is currently relatively small. PLACEMENT REQUIREMENTS: Summarizing the technical analysis, the most common scenario is that of placing a sell order. But there are three factors that must be fulfilled. First, breaking the support level of 61.8 FR at 1.1900, which is a very important psychological limit, is imperative. Second, the price must be below the yellow average, it acts as a short-term trend line. Third, the MACD must acquire a significant momentum, which also indicates the momentum of the trend, and lead faster to the required result.
Short
by UnknownUnicorn214400
Clover Health Continues To Track The Broader Market Very CloselySince the market started selling-off late February due to disturbance in the bond market, the movements of $CLOV has since been mirroring the direction of the overall market relatively tightly. With the closing of the market earlier today after a considerably sideway and mixed trading day, S&P 500 rose by 0.60%, NASDAQ fell by 0.04%, while Dow Jones Industrial Average rose by 1.46%. Similarly, $CLOV also had a relatively mixed trading day, showing green for the first half of the trading session, and later closing slightly red on the second half. These movements can be attributed to the general market condition as well, where during the first half of the trading session, the release of bullish CPI data edged the market higher, while a relatively average and within expectations $38 billion 10-year notes auction brought the action back down to trade relatively sideway. I expect $CLOV to continue tracking the overall direction of the market closely, at least for tomorrow, where we await for the result of a $24 billion sale of 30-year bond that can potentially move the market significantly in either direction, should anything unexpected occur. Regardless, it is good to note that on a technical perspective, $CLOV is approaching some key trading area that we need to take note of. We are currently resting just below the dynamic resistance formed by the bottom of the previous bearish channel that were trading in before this bond-induced market correction. While we may have already rejected this area once (likely due to the broader market movement as mentioned above), if we are able to break back into the bearish channel, our next target would be the next Fibonacci resistance and the top of the aforementioned bearish channel at around $9.92. However, if we fail to break back into it, we could be looking at a re-test of $7.78 or even $6.67. As such, tomorrow's trading session will likely be a very important one as it will give us an indication of where we are headed short-term. Invest safe. This is not investment advice so please do your own due diligence! Support this idea with likes and share your thoughts below.
NASDAQ:CLOVLong
by AntrePoint
Technical/Fundamental AnalysisPresented is a technical directional analysis based off the 1 hour chart with some fundamental sentiment. While the MACD/SIGNAL have crossed and made its way up through the zero line, our MACD/SIGNAL on the four hour chart are initiating a cross right below the zero line. I mapped out a bottom trend line serving as a potential base for an ascending channel. BTC/USD is a major psychological pair that immediately establishes Key levels once breached. Our next key level to breach for continuation is 50K with a pullback support line at about 48100.00 to stay within ascending channel. A breach of 50 K will then retest 52600.00 with a support retest of 50 K. a breach of 52600.00 will then retest our high of around 58300.00to retest for 60 K. I am seeing a lot of traders questioning a stock market crash flashing confusion within the trading community. I strongly believe the crash we saw last year was heavily due to the uncertainty of the future of COVID. As soon as there was stimulus relief confirmation we saw likes of BTC and XAU skyrocket. Logic explains that those gains served as inflation haven for the dollar. Historically when inflation occurs we see a a spike of the dollar followed by a huge drop. We are in a different predicament this year as COVID has already been established a a relief has been talked about well before Biden's inauguration. Furthermore, my sentiment in the the recent spike in DXY is a preparation for the stimulus which will drop DXY price allowing Buyers in BTC and XAU to load up as an inflation safe haven. It is hard to argue that shoveling out $1400 to million of Americans is a form of inflation. As an ending statement, the Bitcoin Mempool is also is at a support are where unconfirmed transactions pile up which in turn raises thee price of Bitcoin. Hopefully my directional analysis brings us to our high for a retests in long-term continuation. Let me know what you think and please comment with thoughts and ideas. Thank you.
BITSTAMP:BTCUSDLong
by Pika7993
2
Clover Health Rallies Despite An Early Sell-off Into A $6.31 LowThe movement of $CLOV continues to mirror the condition of the overall market. Today, the tech-led sell-off took a pause, with S&P 500 rising by 1.95% and NASDAQ Composite rising by 1.55%. Similarly, Clover Health ended higher by 7.54%, closing above the previous day's close. Going into next week, I expect $CLOV performance to continue reflecting the overall market condition. Nevertheless, these are some notable resistance and support area that you should take note next week, with key areas highlighted in Bold: Psychological resistance: $8.00 , $8.50 , $9.00 Psychological support: $7.50, $7.00, $6.50 , $6.00 Fibonacci resistance: $9.92 Fibonacci support: $7.78, $6.67 , $5.07 Dynamic resistance: Bottom of the previous bearish channel that we were trading in before this market correction ( ~$8.50 ) Dynamic support: Top of the very tight bearish channel that we just broke out of (~$7.10) Once this correction is over, I expect $CLOV to emerge as one of the winners. Invest safe. This is not investment advice so please do your own due diligence! Support this idea with likes and share your thoughts below.
NASDAQ:CLOVLong
by AntrePoint
6
Pivot off Psychological Resistance This a great low risk trade set up as a breach of our psych resistance of 1.92000 will tell us long continuation. This is a psychological level as we have seen pivots at this level since November. Our MACD/SIGNAL lines are headed to cross 0 line to push RSI further away from overbought. NZD is currently taking gain in strength and sentiment which will help our indicators play out. There are multiple take profits as each level serves as a strong pivot point. This is another trade to place sell stops below our supports in the case of continuation. Please comment with thoughts and comments. Thank you.
Short
by Pika7993
2