Trading Emotions

Yesterday was a brutal day, panic and fear hit the street hard. Despite the emotions on the street I did not set any trade based on the move we had, not because of my emotions. Emotions are sometimes a hard thing to handle when things don’t work out the way you thought, or the thought of uncertainty is a main focus. Fighting the emotion fear is probably the hardest, because let’s face it we don’t want to be wrong. There is one thing that sets the men from the boys and that’s:

“The winners have attained a mind-set-a unique set of attitudes-that allows them to remain disciplined, focused, and, above all, confident in spite of the adverse conditions”

“Traders who make it beyond the threshold of consistency usually experience a great deal of pain both emotional and financial before they acquire the kind of attitude that allows them to functions effectively in the market environment”

Both of the quotes above come from a book that helped me through some emotional times when I first started trading. I over came my trading emotions, and so can you. I recommend "Trading in the Zone" by Mark Douglas. This book is full of inspiration and it will help if you are an emotional trader.

Today the big jobs number is coming out and it will move the market so be prepared for another rocky day if the number is not in line or better.