Trading Errors , Reason behind it and Solution to overcome it :
Many of novice traders after learning profitable and historically proven intra day trading strategy , are not able to follow it. Reason behind not able to follow trading rules is Trading Errors.
I define trading errors as simply not following your trading rules.
Typical Trading errors are :
1.Early entry : entering trade even though signal didn’t generate
2.Early exit : Exiting from profit trade too early
4.Late entry : waiting for more and more confirmation and then entering trade late
3.Late Exit : Exiting from loss trade too late
Now lets understand REAL REASON behind all these trading errors . The only reason behind all these trading errors is Operating Under Belief that You know what is going to happen next?
When you enter trade , before your signal generate , Just pay close attention to your thoughts , Consciously or unconsciously you believe that prices are going to move in direction which you are assuming , that’s why you are entering trade early even though signal didn’t generated from your trading strategy.
Same way booking profit too early , not using actual stop loss , using only imaginary or mental stop loss, are result from same belief that You Know what is going to happen next?
If you want to become completely, absolutely and permanently free from all kind of trading errors , Then you must have to make yourself free from belief – You Know what is going to happen next?
To make yourself free from this belief – You should know and understand How prices move ? who are the players behind it ? and How our profit and loss is depend upon them?
Once you understand , How stock prices move from one tick to another tick , then automatically you stop expecting anything from market. And you just focus on process of execution of trades. Then only you able to follow your trading rules…..And once you start to following your trading rules….Money start to follow you….
There are tools and technique available to make yourself free from trading errors. Trading without errors is one of the important psychological skills required to become CONSISTENTLY successful day trader.
Successful day trading is all about being in NOW moment and following your trading rules without any trading errors. To be in NOW moment is completely psychological skill.
You just have to be conscious….Just THINK about your THOUGHTS , and you will automatically becomes conscious…..
Only problem with thoughts is : “You can THINK about THOUGHT , But you can’t UNTHINK about that THOUGHT…..”……..
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