Page 3 - Module 2_The_Human_Element
P. 3
Contents
1. the human element ........................................................................................................................ 1
2. the psychology behind fear & greed .............................................................................................. 2
3. dealing with psychological trading matters ................................................................................... 3
Fear of being stopped out or fear of taking a loss: ............................................................................. 3
Getting out of trades too early: .......................................................................................................... 3
Adding on to a losing position: ........................................................................................................... 3
Wishing and hoping: ........................................................................................................................... 3
Compulsive trading: ............................................................................................................................ 3
Excessive joy after a winning trade: .................................................................................................... 3
Limiting profits: ................................................................................................................................... 4
Not following your proven trading system: ........................................................................................ 4
Not trading the correct position size: ................................................................................................. 4
Trading in excess: ................................................................................................................................ 4
Being afraid to trade: .......................................................................................................................... 4
When trading with money you can’t afford to lose:........................................................................... 4
4. reverse psychology ......................................................................................................................... 4
5. accepting loss .................................................................................................................................. 4
6. locked patterns ............................................................................................................................... 5
7. breaking a pattern .......................................................................................................................... 5
8. mechanical trading systems ........................................................................................................... 6
Goals of your mechanical trading system ........................................................................................... 6
Benefits of mechanical trading systems ............................................................................................. 6
