90 percent of success in trading depends on psychology!
One of the integral components of any type of trade is psychology. In turn, the psychology of binary options trading involves a number of mandatory points, which in no case should be overlooked on the way to the desired success.
What to consider if you really want to succeed
In principle, like any other principle, the psychology of binary options trading is based on a tough fight in general competition, and in the fight against self-discipline. The latter aspect is closely related to the foundations of scientific psychology and is argued by a series of primitive temptations, expressed:
- in greed,
- in unjustified excitement,
- inability to correctly assess the situation and their own capabilities,
- in pathological disbelief in one’s strength.
These four points are the bone basis of the beginning of beginnings. If you disassemble in detail, then the essence is this:
- Greed makes you achieve profitability in results, missing such a nuance as an assessment of the market situation.
- The result of the state of gambling affect after the failure just obtained is tangible losses.
- Well, the wrong position in relation to self-esteem and assessment of the existing potential completes the mosaic of the trader’s unsuccessfully drawn-up type.
Of course, these factors are not a complete list of reasons that need to be eradicated in “your beloved” in order to reach your goal. But it is precisely on this that the “deserved” profit size depends.
Trader’s discipline is expressed in excerpt
So, the main task of a beginner and “experienced” trader is self-discipline. This means that you need to be able to exercise restraint and composure, analyzing the situation in the dynamics of the market. In addition, it is necessary to use all existing methods so that none of the above items become a stumbling block.
Why greed is dangerous, and how to deal with it
The psychology of each person is created in such a way that greed is almost an ordinary formality in him. However, those who fail to calm her down are forced to periodically face its consequences. In the field of binary options trading, this aspect is especially dangerous for beginners. They, with a weak status, but already aware of the taste of victory, mistakenly believe that literally everything is subject to them, and for whatever they take – unprecedented success simply must fall on their heads like thunder from a clear sky. As a result, it turns out that traders are absolutely illogical in violating the strategy built and tested in action, as a result of which they will face almost complete failure.
What brings unjustified excitement
By and large, this fact is a dangerous trap for “newcomers”. As a rule, after they conduct their first transaction and get real profit for it, the indescribable joy is replaced by the euphoria of self-awareness as the “guru” of their field. The idea that talent and reason have reached perfection, therefore, profit is inevitable, creeps in so deep that, for the commonplace reason of excess self-confidence, in most cases, the loss of a deposit becomes guaranteed.
The bottom line is that at the initial stage, traders trade in insignificant capital. However, as they increase, the psychological burden also increases. And here begins the “breaking”. After all, it’s one thing to say goodbye to five dollars, and it’s another thing when real thousands slip out of your hands.
Psychological uncertainty can be a serious obstacle to the implementation of trading operations. Its first signs begin to appear almost with the very first failures. It grows like a snowball and reaches its climax at the most crucial moment, making it difficult to concentrate on an important analytical analysis of the market condition. And if you do not curb excitement in time, everything will go to dust.
In order not to succumb to unnecessary stress, you must strictly follow the rules of the chosen strategy. Then, a loss of deposit will not threaten the trader. And the experience gained will be a good hardening for the future.
What does it mean not to believe in yourself
It often happens that after reading forums with different positions of opinions and perceptions of situations, a newly successful trader suddenly has sharply doubts about himself and his abilities. Moreover, the effect of this state is not long in coming, and in a well-developed strategy, by some miracle, he simply does not find any accompanying signals. It looks something like this: the strategy chosen by the trader strongly states that you need to buy the Call option. But the opinions of forum interlocutors with the same confidence say that the goal should be the Put option. Here’s what to do? First of all, it’s rational, since it’s not at all a fact that “one’s own strategy” is wrong. It is necessary to follow precisely her calculations, and even when the trader makes a mistake, he will carry out the “work on the mistakes” carefully working through the omissions that have been made.What does it mean not to believe in yourself
In trading binary options, the basics of psychology and its influence play no less important role than conducting the same fundamental and technical analysis. So make a bet on it and study the materials on how to make money on this exchange in more detail.