Stock Market For Beginners - Understanding the Cycle of Pain and Euphoria
When we first start our trading careers, we will inevitable vacillate between extreme disappointment, and euphoria.
When we are experiencing a string of winners and all is going well we are bound to think of ourselves as very successful in our chosen career.
Then comes the days when every trade you place, in the market takes a sharp turn and you lose your hard earned money, faster than you made it.
Folks, that is the market, it is ruthless, alive and non-biases.
The market really does not care about your feelings nor does it worry if you have enough money to pay your bills.
The pain that day traders and investors experience is due to the dreams that are created when the trader is making money.
When you as a trader are on a role, you think about all the beautiful things you will buy, all the magnificent vacations you will take and about the scrumptious, fancy dinner you will be able share with your spouse in the south of France this coming summer.
Then the losing days start.
The first day is OK, then you experience 3 more and you still have the confidence, after the 7th day in a row of losing money, you have lost all faith and are now starting to fight to get your money back.
This is when you have to take a step back and reevaluate your position in the market.
Whether you are a investor or a day trader it doesn't matter, after a string of losing days, one should take a break and revisit their trading plans.
What ultimately happens to stock market traders when they begin to lose a lot of money is that; they experience so much pain and the only way they know how to get out of the pain, is by making their money back from the market and in turn that brings back the euphoria.
The pain and euphoria cycle is a vicious cycle.
This vicious cycle can ultimately damage a stock market trader's self confidence.
Once a trader no longer has confidence, their career is gone, gone forever.
One of the best stock market trading tips that can be offered is: At all times be present.
Never allow your mind to start dreaming about all the fabulous adventures you will experience during the summer as a result of your hard work.
Remain present in the NOW.
When you are present you focus on what is happening now and don't put unnecessary pressure on yourself to either over trader, or force trades that don't exist in the stock market.
When we are experiencing a string of winners and all is going well we are bound to think of ourselves as very successful in our chosen career.
Then comes the days when every trade you place, in the market takes a sharp turn and you lose your hard earned money, faster than you made it.
Folks, that is the market, it is ruthless, alive and non-biases.
The market really does not care about your feelings nor does it worry if you have enough money to pay your bills.
The pain that day traders and investors experience is due to the dreams that are created when the trader is making money.
When you as a trader are on a role, you think about all the beautiful things you will buy, all the magnificent vacations you will take and about the scrumptious, fancy dinner you will be able share with your spouse in the south of France this coming summer.
Then the losing days start.
The first day is OK, then you experience 3 more and you still have the confidence, after the 7th day in a row of losing money, you have lost all faith and are now starting to fight to get your money back.
This is when you have to take a step back and reevaluate your position in the market.
Whether you are a investor or a day trader it doesn't matter, after a string of losing days, one should take a break and revisit their trading plans.
What ultimately happens to stock market traders when they begin to lose a lot of money is that; they experience so much pain and the only way they know how to get out of the pain, is by making their money back from the market and in turn that brings back the euphoria.
The pain and euphoria cycle is a vicious cycle.
This vicious cycle can ultimately damage a stock market trader's self confidence.
Once a trader no longer has confidence, their career is gone, gone forever.
One of the best stock market trading tips that can be offered is: At all times be present.
Never allow your mind to start dreaming about all the fabulous adventures you will experience during the summer as a result of your hard work.
Remain present in the NOW.
When you are present you focus on what is happening now and don't put unnecessary pressure on yourself to either over trader, or force trades that don't exist in the stock market.