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During trading everyone experiences a number of emotions such as fear, greed, hope, anxiety, etc. All these emotions cause stress. There are 2 types of stress – positive and negative. Positive stress can help you develop, be stimulated to take important actions. But if the stress is too much so it exceeds your ability to cope, it can have a negative impact on your mental and physical health. Negative stress can be diagnosed through a variety of symptoms such as irritability, lack of confidence, difficulties in breathing, concentrating, decision making etc.
To know how to deal with trading stress you should understand the reasons. Let’s see what can cause you feeling stressful.
To know how to deal with trading stress you should understand the reasons. Let’s see what can cause you feeling stressful.
- Trading is your only source of income.
- You take too much risk and trade with the amount of money you cannot afford to lose meaning that if you lose it you will be in trouble.
- You are still learning how to trade, don’t have enough experience and have not properly mastered your trading system.
- You are trading on behalf of others (with others’ money).
- You trade without setting proper and reasonable stop loss points for your trades.
- You already have experienced losses in trading and hurry to win back your money as soon as possible.
- You work with the small time frames that make you to hurry in making decisions and taking the positions.