How do traders see their initial gains turn into huge losses? In return, a commonly used expression is “not sold is not lost.” In fact, when a holding is held, as long as it is not sold, the loss is not realized. Many traders believe that the loss is virtual, but it is not, it is real. It is usually dangerous to be in a losing position waiting for the market to return. We should not confuse confidence and stubbornness. Knowing how to cut a position, losing or gaining is part of the trader’s life. The https://newmillioner.com/ happens to be the best option for this kind of works.
How should I manage emotions?
- Is it really possible to remain impassive in the face of events? The trader’s problem comes from his own human nature. In fact, the power of trading robots is due to the fact that they are precisely machines, without consciousness or emotions, and are not human beings. However, the trader may use some techniques to reduce the negative psychological aspects.
The First Thing for You
First, the best defence is the emotions of risk management. For example, dealing with small amounts reduces the overall risk. Also, talking about addiction, if the trader’s need is so great to trade, that he cannot afford to take a position, and then it is recommended to actually manage small volumes, and so the trader will satisfy his desires with risk reduction.
On the other hand, having an established trading plan and following it, developing a strategy and after methodically applying, allows any trader to not be influenced by the psychological aspects of trading.
Profit and loss
Crypto: In Crypto, you will never know what the maximum profit you can get in a trade. You can set a limit, or stop the order, to ensure a certain percentage of profit. Crypto losses can be controlled with the limit / stop control, in the same way that profits are managed. The maximum Crypto loss may exceed your initial investment.