Day Trading Forex Currency - Eliminating The High Cost of Fear

Day Trading Forex Currency can be a very emotional occupation and unfortunately, emotions are the cause of more lost money than the unpredicability of the markets. It's easy to see in action too. Every time you hesitate to make the right move, it costs you. Staying in a trade longer than you should and miss taking the profits off the table, you simply hand your capital to the markets. Whenever you get scared and cut your winner short is another indicator of the high cost of emotions.

"Once bitten, twice shy." is experienced often in day trading Forex currency. The source of many emotional problems in day trading Forex currency is fear. Because you've been bitten before, there's the fear that it will occur again. That fear is what causes the hesitation, the hanging on too long, the getting out too early.

There are other emotions that come into play for sure, like hope, guilt, confusion, pride, anger, greed, despair, shame, anxiety, and a host of others. Revenge is a big one too. Often when you take a regrettable loss that has you reeling from the pain, revenge often comes to mind. You want to get even with the markets and get your money back. It's a natural human response.

In many regards, day trading Forex currency runs counter to our human nature and all that we've been taught growing up and that's a big problem. In trading, emotions tend to work against you, in their function as part of your survival mechanism. It is un-natural for you to step into a potentially high-risk situation, experience pain (take losses) a significant portion of the time, just accept it, and then ask for more. Our inherent response is self-protection. In day trading Forex currency, you're dealing with the unknown behavior of the markets, along with trying to absorb a substantial body of information along the way..

Getting your emotions in alignment with your trading, or at least to the point that they no longer interfere with your ability to make good decisions and to act without hesitation at the right time takes more than just will. Trying to 'force' things only works temporarily if it works at all.

As your confidence builds, your fears will subside, plus you'll find that it becomes easy to have the discipline to do the right thing when the time calls for it. Remember though, forcing it won't work. You have to develop a specific skill set, including a critical one called Emotional Intelligence - as a trader.

Since for most, trading is an entirely new activity, this can be quite a challenge. In any occupation, to be good at it and have the confidence you need, and like all new experiences, you have to develop the skills for day trading Forex currency. Most of the time when you move into a new occupation, you get trained for the job. The company wants you to do well, so they make sure that you have the skills you'll need. Most traders never get that opportunity though. It's 'train-yourself" on-the-job training, which in any occupation would be seriously short-changing you if you want to be successful, but especially so in day trading Forex currency.

In the past, about the best you could do was to buy a book on 'Trading Psychology', which is a conceptual approach to trading, and many books on the subject were written by psychologists, not traders. Skills, not just concepts are what Emotional Intelligence is about. Skills are developed from specific actions, not from reading. Experience is what grows your skills, not just acquiring new knowledge.

Training on how to become a successful trader has been largely non-existent until now. How to develop your Emotional Intelligence as a trader is often just a side note in most training currently available with at least 90% of the focus being on the trading system. There is real trader training now available through the Trading P.I.T. Club by Inside Out Trading. To eliminate your fears and give you the confidence to trade well without the emotional interference, the training consists of 26 weekly lessons specifically designed to build your emotional intelligence in day trading Forex currency.

How much have your fears and other emotions already cost you in your trading?

Get your FREE six-lesson mini-course on Emotional Intelligence for Traders by going here,

http://insideouttrading.com/pit/