Throughout history, there have been 3 bubbles that have had massive impacts on the global market. Those are Roaring Twenties, Dotcom Bubble, and the Housing Bubble.
To master trading psychology, there are six essential keys that you should be aware of. Those include having faith in your strategy to steer clear of greediness.
The keys to success for a trader, similar to a spider, start with patience, calmness, perseverance, and intelligence. Why are these characteristics so important?
Did you know that journaling missed trades could improve your skill in spotting trading opportunities? There are more tips here if you're learning how to never miss out on a trade.
Continuing with burnout trading will have a fatal impact on the trader's psychological condition if left unchecked. Therefore, what are some effective ways to overcome it?
Many traders prefer trading without leverage due to the smaller risk involved. However, it requires bigger capital to be prepared for trading without leverage.
"I have two basic rules about winning in trading as well as in life: 1. If you don't bet, you can't win. 2. If you lose all your chips, you can't bet."
Peter Bernstein
"The fundamental law of investing is the uncertainty of the future."
Ed Seykota
"The elements of good trading are: (1) cutting losses, (2) cutting losses, and (3) cutting losses. If you can follow these three rules, you may have a chance."
Jack Schwager
"There is no single market secret to discover, no single correct way to trade the markets. Those seeking the one true answer to the markets haven’t even gotten as far as asking the right question, let alone getting the right answer."
George Soros
"Markets are constantly in a state of uncertainty and flux, and money is made by discounting the obvious and betting on the unexpected."
Paul Tudor Jones
"I’m always thinking about losing money as opposed to making money. Don’t focus on making money, focus on protecting what you have"
Martin Schwartz
"Learn to take losses. The most important thing in making money is not letting your losses get out of hand."
Mark Douglas
"If you can learn to create a state of mind that is not affected by the market’s behaviour, the struggle will cease to exist."
Alexander Elder
"The goal of a successful trader is to make the best trades. Money is secondary."
Jack Schwager
"There is no single market secret to discover, no single correct way to trade the markets. Those seeking the one true answer to the markets haven’t even gotten as far as asking the right question, let alone getting the right answer."
Bruce Kovner
"I know where I’m getting out before I get in."
Alexander Elder
"Beginners focus on analysis, but professionals operate in a three dimensional space. They are aware of trading psychology their own feelings and the mass psychology of the markets."
Peter Lynch
"In this business, if you're good, you’re right six times out of ten. You’re never going to be right nine times out of ten."
Victor Sperandeo
"The key to trading success is emotional discipline. If intelligence were the key, there would be a lot more people making money trading."
Bruce Kovner
"Novice Traders trade 5 to 10 times too big. They are taking 5 to 10 percent risk, on a trade they should be taking 1 to 2 percent risk on."
Jesse Livermore
"There is a time to go long, a time to go short and a time to go fishing."
Bill Lipschutz
"If most traders would learn to sit on their hands 50 percent of the time, they would make a lot more money."
Bruce Kovner
"If you personalize losses, you can’t trade."
Alexander Elder
"Amateurs look for challenges; professionals look for easy trades. Losers get high from the action; the pros look for the best odds."
Michael Marcus
"Being a successful trader also takes courage: the courage to try, the courage to fail, the courage to succeed, and the courage to keep on going when the going gets tough."
Bruce Kovner
"Fundamentalists who say they are not going to pay any attention to the charts are like a doctor who says he's not going to take a patient's temperature."
George Soros
"It’s not whether you’re right or wrong that’s important, it’s how much money you make when you’re right and how much you lose when you’re wrong."
Warren Buffet
"We simply attempt to be fearful when others are greedy and to be greedy only when others are fearful."
Nicolas Darvas
"I believe in analysis and not forecasting."
Warren Buffett
"Risk comes from not knowing what you're doing."
Jim Rogers
"I just wait until there is money lying in the corner, and all I have to do is go over there and pick it up. I do nothing in the meantime."