Protecting Your Capital At All Cost! Risk Control
Hi Traders. Today's topic on Risk Control is probably one of the most important elements to elevate your trading performance instantly.
Yes. If you're a full-time trader with over several years of experience you probably have been through situations where you went on tilt, and just non-stop smashing the buy & sell buttons - huge trait of a gambler.
I still remember there was once where i had a bad trading day in the morning, and I immediately turned into an outcome-oriented trader.
I was so focused on my P&L, and i was staring at my equity high.
It's almost like my whole attention is focused on the numbers, rather than aiming for high quality/ probability setups.
And as you could've expect, i turned that particular trading day far worse than I can ever imagined.
I lost about 5% in the morning, and by the end of the night i was down a total of -30% on my equity.
Then for the next few months after that 'horrible' trading day, i was constantly blaming myself for that one day of emotional decisions, that caused me to give back about my half year of hard earned profits.
Afterwards, I forced myself to run through the 3R process (Review, Reflect, Revise) every single trading day. As a reminder to myself that emotions only works in two ways:
1. Either you control your emotion
2. OR your emotion controls you
And trust me, that half year of recovering phase was brutally tough.
The lesson that I'm trying to share here, is to remind all of you that we're all humans, we have emotions, for those 'gurus' who say you can totally eliminate emotions, i think it is a false statement.
There's no way we can completely eliminate our emotions, but we can always use that emotions element + instinct as advantages for us to get out of ugly situations.
Positive Thinking + Positive Behaviour = Positive Outcome
"The outcome of a trade cannot be controlled, but we can always organize our brain to control our performance."
If you enjoy the content, make sure you follow my profile and click the like button.
Take care and trade safe.
All the content I've posted are for educational purposes, please perform your own research and only take it as a reference.
Yes. If you're a full-time trader with over several years of experience you probably have been through situations where you went on tilt, and just non-stop smashing the buy & sell buttons - huge trait of a gambler.
I still remember there was once where i had a bad trading day in the morning, and I immediately turned into an outcome-oriented trader.
I was so focused on my P&L, and i was staring at my equity high.
It's almost like my whole attention is focused on the numbers, rather than aiming for high quality/ probability setups.
And as you could've expect, i turned that particular trading day far worse than I can ever imagined.
I lost about 5% in the morning, and by the end of the night i was down a total of -30% on my equity.
Then for the next few months after that 'horrible' trading day, i was constantly blaming myself for that one day of emotional decisions, that caused me to give back about my half year of hard earned profits.
Afterwards, I forced myself to run through the 3R process (Review, Reflect, Revise) every single trading day. As a reminder to myself that emotions only works in two ways:
1. Either you control your emotion
2. OR your emotion controls you
And trust me, that half year of recovering phase was brutally tough.
The lesson that I'm trying to share here, is to remind all of you that we're all humans, we have emotions, for those 'gurus' who say you can totally eliminate emotions, i think it is a false statement.
There's no way we can completely eliminate our emotions, but we can always use that emotions element + instinct as advantages for us to get out of ugly situations.
Positive Thinking + Positive Behaviour = Positive Outcome
"The outcome of a trade cannot be controlled, but we can always organize our brain to control our performance."
If you enjoy the content, make sure you follow my profile and click the like button.
Take care and trade safe.
All the content I've posted are for educational purposes, please perform your own research and only take it as a reference.
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