How true this is.
You can know the strategies however if your psychology is not right you will lose or if you manage to profit you will soon donate it to your educational fund (the market).
In applying the correct psychology to your trading you can begin to master the 80% mindset.
I say this as applying the correct psychology to my trading halted my self-sabotage and donations.
Obviously I still have losing trades as the market does what it wants when it wants. I simply reduce the impact of those losses. How to reduce your losses will be revealed in a later lesson.
It is never an easy thing to correct. Plenty of guru`s will sell you a trading system.
Ask them about mindset or psychology and they will tell you trading is 80% mindset.
Well thanks very much, we are getting the message. However no one tells you where to find the information to correct trading psychology. Mainly as it has zero to do with trading. It is all about your state.
Welcome to the methods which work for my trading.
After refilling the trading account on several occasions and generating handy amounts in trading, then donating them back to the market, I made up my mind to investigate and research the 80% mindset.
Any wonder most traders soon give up on trading after continually refinancing their account or going bust.
You figure best to learn 80% first.
However, as is the case with most things, the psychology is presumed correct.
We find things are not that rosy after commencing trading when our trading accounts go from say a healthy $20k down to a desperate $5k or lower.
You see the problem with other people`s trading system`s is they have been built to suit their personalities or at the very least altered to fit their psychology. So when you start trading any system you bring your personality into it which will not work without alterations to the system.
So let`s see what we can do to correct the psychological aspect of our trading before we attempt the 20% strategies.
In the next installment
The NUMBER ONE thing your need to know and apply to improve your trading.
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