No matter how much you study, learn, or practice, trading psychology is the one variable that will determine your success in the market above all else.

However, if you are patient and able to take control of it, the variable can become a reliable constant.

This core should be your mental state every day when you sit down to trade!

Whether you had a bad night or a difficult morning before starting your routine.

Finding your mental balance and getting it back under control is the most important thing you can do to consistently and effectively execute your trading duties.

A solid trading plan is great and necessary! – But if it succumbs to emotional ups and downs, you will find yourself working outside the framework you have built for yourself.

To stay on top of your game and maintain your mental state, we have compiled a list of 11 of the best trading psychology tips to help you succeed in the mental game.

We mentioned at the beginning of this article that it is great to study, learn and study as many charts as possible, but at the end of the day, these numbers will not help you.

Many new traders come in technically prepared, but not emotionally. Things may go well at first, but when a big loss happens, many new traders lack the emotional strength to cope well.

This inexperience causes many to act hastily and change their settings. The problem is that they just lost a trade; it does not mean that there is something fundamentally wrong with their settings.

Whereas experienced traders will be confident in their plans and understand that it takes time to develop. Trading psychology teaches us that it is about long-term growth, not quick instant gratification! Once a trader understands that it is okay to take losses in the short term, because we are actually focused on the long term, the big picture.

The market is random. Repeat this out loud until it is imprinted in your brain.

No amount of preparation can prepare you for someone halfway around the world making a huge trade and upsetting all your plans.

The only way to deal with the arbitrary actions the market can take against you is to cut all emotional ties. If you can’t change what’s going to happen, you can’t be upset when it does.

Simply accept the fact that the market will do whatever it wants, regardless of the circumstances, and you’ll free yourself from stress and the tendency to cut profits because you believe the market should do a certain thing.

While analyzing the daily trades you make is important, if you are only looking at the micro scale, is it really possible to evaluate the effectiveness of your trading plan on such a small scale?

The answer is probably no.

It is important that when you are looking at the health of your trading, you look at your equity curve before you start analyzing individual trades. This way you will be able to tell if the system is working, if you are processing the information psychologically correctly, or if you are actually sabotaging yourself and the problem is in your mental approach rather than the plan you were working with.

The great thing about the internet is that it provides us with unlimited resources to supplement our trading practice and education.

The worst part is that most of this information is noise that will only distract you and rob you of your confidence in your abilities in the market.

One of the great things about trading is that everyone comes to the market with a different approach. What works for some guru in one corner of the internet may not work for you. It is best to develop your own unique approach that best suits your personality, and then tune out the voices that claim to have found the best or surefire strategies for the market.

You claim that you are not afraid of losing your money and always follow the rules of money management. But when you see the price move against your forecast, you start to get nervous and doubt your decision. You constantly check the chart and mentally prepare for a loss, instead of calmly waiting for the trade to complete. And guess what? Eventually, the price turns around and moves in the direction you initially predicted. Your analysis was correct, but the fear of losing money prevented you from staying calm. You need to be comfortable taking risks and letting trades play out to the end, trusting your analysis and strategy.

Regardless of whether you have a great analysis of what you think the market is going to do, you must have a clear plan for exiting the trade as a winner. Without a clear trigger, many traders will hold on, waiting (and hoping) that the market will move in the direction indicated by their analysis. The problem is, as we have already mentioned, the market does not always go as well as a well-thought-out analysis would predict. Have a trigger in place to take your profits rather than allowing the market to give a clear exit signal.

Now, this isn’t just about trading psychology tips – no matter how well you prepare and execute, you will lose trades from time to time. Losing a trade doesn’t mean your plan was bad or you weren’t well prepared. It may simply mean that the randomness of the market deviated from the outcome you expected. No amount of planning could have predicted that outcome, and you ended up being wrong. Not because you’re stupid or pathetic at trading, but because the market does what the market wants. Admitting when you were wrong will go a long way toward making you feel more comfortable and able to handle your losses.

Take every setup that fits your system as it crosses your path. No amount of over-analysis will tell you whether it will actually work or not, but as long as it fits your setup, it’s worth taking. When we over-examine well-suited setups, we create stress and anxiety that we don’t need to experience. Take every opportunity that comes our way and allows us to trade in harmony with the market and trust our setup, not our overly critical mind.

There is no limit to what you can do in the market. If you take a long-term, consistent view of your income, the sky is the limit to your earning potential. Build a good system, start making consistent profits (there will be losses), scale down, and see the unlimited potential.

When you make a mistake, acknowledge it and accept it. Accept your shortcomings and incorporate ways to compensate for them into your trading plan. Problems in the market usually arise from mental approaches to the market, not from the technical details of the approach. Learn from your mistake or loss, forgive yourself and trade again according to your plan.

In most aspects of life, confidence is the key to everything. You cannot succeed if you are afraid to trade when they meet your parameters. Believe that you are a winner and you will start thinking like a winner!

For some reason, most traders do not focus on the psychological side of trading, although professional traders always say that it is one of the most important parts of a trader’s life.

If you want to take your career to the next level, you need to understand the psychology of trading and how to work with it; use the trading psychology tips in this article to improve your trading!