Page 2 - Psychology Course Study Manual

they do not have the proper belief system to trade well, they will lose. In other words, they

lack “The Trader’s Mindset.”

When you encounter a psychological trading issue it is best to recognize the issue, be aware of
it, and don’t deny it. In order to eliminate psychological obstacles we must first become aware

of the problem and issues causing the problem.

This is much of what psycho-analysis is all about. The psychologist or psycho- therapist helps

the client first see the problem and then they must acknowledge that these issues are in fact

causing a problem. The reason this process can take so long, perhaps even years, is because

each individual needs to not only recognize their problems, but must take responsibility for

their problems. There is no room for denial when it comes to trading issues. Not if you want to
be consistently profitable.

Success in trading is a direct result of a sound trading system, efficient money management,
sufficient risk capital, and sound trading psychology. All of these must be in harmony to be

successful in your trading. The “ART” system is designed to focus on all of these areas.

Psychology is one area where you may need additional help to attain trading success.

TradersCoach.com offers consultation services which focus on this aspect of trading and if you
find yourself struggling, you owe it to yourself to get help in this area.

Here Is A List Of Common Psychological Trading Issues And Their Causes:

1. Fear Of Being Stopped Out Or Fear Of Taking A Loss: The usual reason for this is that the

trader fears failure and feels like he or she cannot take another loss. The trader’s ego is

at stake.

2. Getting Out Of Trades Too Early: Relieving anxiety by closing a position. Fear of position

reversing and then feeling let down. Need for instant gratification.