Definitions
Currency trading nowadays is certainly a job that requires from person’s ability to analyze the current situation and to make conclusions concerning past events. In addition, the efficient trader should be sustained, patient, have a good reaction, as well as the willingness at the right moment to take the risk. In fact, all these qualities are quite peculiar to the man that at least a little versed in psychology. Success or non-success of currency trader career depends on his temperament, character and type of thinking. Trading with expert advisors and robots, or sale within a rigid system still does not relieve you from psychological nuances, which anyway will affect the efficiency of trading. As a rule, traders think that emotion is a big problem on the way to success because the strong or inappropriate emotions interfere to make clear and informed trading decisions. This is partly true. However, sometimes it is very difficult for a person to mobilize all available intellectual resources without fear, feelings of anxiety, and finally faith and hope. After all, it is the only way to awaken your intuition and trading flair. Strong emission of any emotions gives not only a feeling of joy and release from the accumulated goods, but also helps to work out the negative feelings.
As is known, there are a number of ways to control your emotions.
The first way is in switching or changing of the key object of the concentration of your emotions. Often, this method works very well, but it needs to be constantly maintained, so you won’t be back again to the old object, causing strong and sometimes negative emotions. This object on which we focus is the main generator of emotions and mood. Change the object of concentration, expand the direction of your thoughts, and attitudes toward the current situation, including the trading, and it will be changed to a more acceptable. After all, the emotions and mood depends on what you are thinking about and what you are preparing yourself to – to the profit or losses.
The second way is to change your current beliefs and expectations. It is a change of opinions, even stereotypes regarding currency trading on the Forex market, it will help you to cooperate with your emotions that prevent you to keep a clear and balanced trading. Our beliefs and established views help or hinder us for correctly interpret these or that events, including events on the Forex market. So if you have any prejudices regarding the foreign exchange market and trading, it is better to change or simply abandon them, so it would not interfere you for sober and cold-minded calculation approach to any trading situation, both positive and going against you.
The third way of controlling the emotions has psychosomatic basis, and consist of physical exercise, such as sharp change of facial expressions and/or posture, loud speech or talk in different voices, a breath-holding, pronunciation of words in syllables and with long pauses – all this is old as the world exercises of removing the emotional spasm, which is usually accompanied by either a laugh or ironical smile. But the main thing is that such somatic techniques are working. They do not relieve you from the emotions completely, but help you to knock down the main center, the top of tension, so you can take a break from the emotions and continue the work.
Using any of these methods or all together will certainly not relieve you of emotions completely. And, it is not necessary. Emotions, as not surprising, are also helping to trade successfully instilling optimism and bringing not only financial, but also moral satisfaction. But if these emotions going wild or too negative color, the above techniques will help in part to deal with them.