Why can not some technical analysts succeed in trading?
2017-07-17 04:47 pm | No Views : 432
Many technical analysts who work in financial markets are able to predict prices accurately, which increases the success of their analysis, but when they start trading they can't make profits and then their analysis is useful to others but they can't benefit from it.
The reason for the inability of professional analysts to benefit from their analysis is self-discipline and psychological balance.
Yes, your experience was high and well informed. If you can't reach the psychological balance, you will be unable to get profits from the financial markets.
The main reason for this is the loss of many traders, who are interested in learning and understanding the mechanics of the markets and ignoring the psychological factor that is the most important reason for success.
The reason for the lack of self-discipline and psychological balance is greed and many enter the capital markets to get rich quick, they think they have found a gold mine, and when they get to the reality of trading, they believe it is a good source of profit when prices are handled properly.
After the trader arrives at the reality of money markets, the second problem is the constant movement of prices, which makes the mind dispersal if it is not strict in executing its trading strategy. For example, the trader may analyze the euro against the dollar and his view is bearish, Sales and after the fall of the pair stands in a place that needs to correct the rise before the landing is complete, and then the trader begins to stress, and then it is possible to get out of the sale and enter into the purchase.
The above example shows that it is possible to analyze correctly and enter the market direction but when the price is reflected slightly to correct, the trader begins to tighten the tension and closes the right deal and opens a wrong deal, causing the losses.
Everyone knows that money markets do not live. Prices are always moving, and one of the solutions that can protect the trader from the tension is to execute the deal and then put the stop loss and the target, and stay away from the trading platform until the deal closes on profit or loss.
Loss of a transaction does not mean loss. Losses are calculated weekly. The number of losing positions can be more than the winning ones, but the outcome of the transactions is a profit because the trader is working with a 1: 2 or 1: 3 capital.
Dear reader If you are facing the problem of self-discipline and psychological balance you can follow the series of articles trading strategy from a different perspective, Fahmi dealing with everything related to the process of trading and how to reach professionalism even if you are a newbie.
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