The charts and the price tickers are humming all the time. So why sleep if there is a trade opportunity? Maybe there is one. You go to your computer and you see one. But is your high profitability setup really there?
Perhaps there is a good setup awaiting you, but there’s a very good chance that you don’t want to miss out on being inside, even if it’s not worth it. If you’re lucky, the result is only a big waste of time. But it can also lead to very unnecessary losses.
Here are the some of the reasons for such moves, and what you can do to avoid them.
So, take a break.
And in more detail, allocate time for checking out what you did and for education, and separate time for trading. Make these time frames fit into your life, and not take over them. It doesn’t mean you’ll never lose again, but it will make your decisions much more rational, and each position will be carefully taken, and not impulsively made.
Perhaps there is a good setup awaiting you, but there’s a very good chance that you don’t want to miss out on being inside, even if it’s not worth it. If you’re lucky, the result is only a big waste of time. But it can also lead to very unnecessary losses.
Here are the some of the reasons for such moves, and what you can do to avoid them.
- Too much screen time: When you’re attached to the charts all day, and sometimes late at night when everybody is sleeping, you might start seeing things. Did you happen to bend some lines on the charts? Round some corners? If you see every small move as a big event, you might be missing out on the really important ones, and taking the absolute wrong decision.
- The feeling that you’re missing something: You’re not missing on anything if you miss out on a bad trade! The feeling that you must be in the market in order to gain may turn out absolutely wrong – you may lose your gains by being in the market at the wrong time. The need for action can turn into more losses.
- Now you’ll show them!: You think that after you’ve spent many hours by your screen and burnt some money on the wrong trades, you’ve learned and now you’ll take revenge. Well, you’re not only exhausted and overwhelmed by all your trades, but the feeling of revenge is also harmful and in many cases leads to final burnout of the account.
So, take a break.
And in more detail, allocate time for checking out what you did and for education, and separate time for trading. Make these time frames fit into your life, and not take over them. It doesn’t mean you’ll never lose again, but it will make your decisions much more rational, and each position will be carefully taken, and not impulsively made.
Editors’ Picks
EUR/USD holds below 1.0750 ahead of key US data
EUR/USD trades in a tight range below 1.0750 in the European session on Friday. The US Dollar struggles to gather strength ahead of key PCE Price Index data, the Fed's preferred gauge of inflation, and helps the pair hold its ground.
GBP/USD trades on a softer note below 1.2530 ahead of US PCE data
GBP/USD trades on a weaker note around 1.2502 during the early Asian trading hours on Friday. The modest rebound of the US Dollar weighs on the major pair despite weaker US GDP growth numbers. The US Personal Consumption Expenditures Price Index data on Friday will be in the spotlight.
USD/JPY stays firm above 156.00 after BoJ Governor Ueda's comments
USD/JPY stays firm above 156.00 after surging above this level on the Bank of Japan's decision to leave the policy settings unchanged. BoJ Governor said weak Yen was not impacting prices but added that they will watch FX developments closely.
Editors’ Picks
EUR/USD holds below 1.0750 ahead of key US data
EUR/USD trades in a tight range below 1.0750 in the European session on Friday. The US Dollar struggles to gather strength ahead of key PCE Price Index data, the Fed's preferred gauge of inflation, and helps the pair hold its ground.
USD/JPY stays firm above 156.00 after BoJ Governor Ueda's comments
USD/JPY stays firm above 156.00 after surging above this level on the Bank of Japan's decision to leave the policy settings unchanged. BoJ Governor said weak Yen was not impacting prices but added that they will watch FX developments closely.
Gold price oscillates in a range as the focus remains glued to the US PCE Price Index
Gold price struggles to attract any meaningful buyers amid the emergence of fresh USD buying. Bets that the Fed will keep rates higher for longer amid sticky inflation help revive the USD demand.
Bitcoin Weekly Forecast: BTC’s next breakout could propel it to $80,000 Premium
Bitcoin’s recent price consolidation could be nearing its end as technical indicators and on-chain metrics suggest a potential upward breakout. However, this move would not be straightforward and could punish impatient investors.
US core PCE inflation set to signal firm price pressures as markets delay Federal Reserve rate cut bets
The core PCE Price Index, which excludes volatile food and energy prices, is seen as the more influential measure of inflation in terms of Fed positioning. The index is forecast to rise 0.3% on a monthly basis in March, matching February’s increase.
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