Gradually growing into the mood of panic and fear, uncertainty is generated by emotions in Forex trading. A series of unreasoned actions are undertaken by the trader contributing to the effects of momentary impulses. This manifests in the following ways: • Fixation of profit before time • Exposing of unreasonable transactions • Stop losses dragging • Money management in Forex having no compliance
Due to the strenuous management of trading process the consequences of such behaviour are manifested in the loss of a deposit. This is rather caused by the inability to control him and not by the absence of skills and knowledge.
Why such occurrence?
Only when the nature of their occurrence is well understood, learning emotions management in Forex trading is possible. Forcing a person to yield to uncontrolled impulses the several factors can be singled out. After discharge of adrenaline, the absence of final satisfaction and narcotic influence is created by the chemical reactions that occur in the body.
Accompanied by the discharge of dopamine into blood a person becomes addicted to this condition continuous yielding to the influence. Often producing emotions, when yielding to this condition and Forex trading down to the ground the organism, in due course, needs larger doses and gets used to the level of discharged chemical substances.
Defining drug addiction with the criteria the indicated reasons completely coincide. Addiction is developed from the discharge of dopamine that is termed as the standard of satisfaction and continuous increase of a dose is required. The mode of operation of nicotine, alcohol, and drugs is this.
Control Based on Theory
Insistent recommendations to stop deifying impulses are given by the first theoretical rule linked with the control over the condition. The loss of the ability to control the situation is resulted from following continual cravings and the dependence on feelings.
A person begins to act instinctively and becomes similar to an animal. Helping control emotions in Forex trading and in life, developing the awareness is recommended by that.
On the theoretical level the main recommendation is the following:
• Resulting in momentary impulses recognize the occurrence of the condition • For your actions take responsibility • The current condition must be deprived of individuality.
Predominantly, by fear that appears in case of a fear of negative results linked with the loss of funds in the trading course results in the occurrence of such negative condition. Initially, the adequateness of the feelings that appeared must be realized. Question what the global consequences will be must be answered and assess the current situation. There is no sense in taking inconsiderate actions and in being nervous if there are no fatal threats.
Based on the overestimation of the negative effect is the main reason of this disruptive reaction. The feeling of discomfort that leads to a breakdown and is gradually accumulated is resulted from experiences occurring in the trading course.
Managing yourself with practical tips
The following tips will help you manage emotions in Forex:
• Will power development • To the desires to which emotions lead them actions that are opposite must be taken • Reality acceptance • Meditation practice