Saturday, October 19, 2013

Trading Psychology – A Pillar Of Successful Trading

15 OCTOBER 2013
Trading Psychology – A Pillar Of Successful Trading
By Simeon Ang

Investing in stocks can be a daunting task and recent developments have not helped stir confidence amongst investors. Take your pick, there are so many negative developments out there that one wonders if investing in stocks is really a good way to preserve capital, let alone earn income.

Case in point, the drastic fall of Blumont, Asiasons and Liongold. Did the stocks fall because of a trading anomaly or was it because of malicious rumors? Could mass crowd psychology have something to do with it? In particular, did psychology have anything to do with the rapid ascent of a counter like Blumont?





A classic case of mass crowd psychology

Gaining Control Of Your Psychology To Trade
One of the key pillars of Online Guru Trader’s trading methodology includes Trading Psychology and how you can control your trading impulses to turn a trading profit.

Online Guru Trader has been conducting courses on its methodology periodically for traders and retail investors. Besides Trading Psychology, the methodology weaves technical analysis as well as money management into a sound and proven trading strategy.

In essence, trading psychology is an extremely important pillar of the methodology, and the reason for that is fairly simple. A trader is often buying in and selling out of stocks in a short period of time. The trader is also forced to make very quick decisions.

To accomplish this, the trader requires a mindset that will allow him or her to be disciplined in his or her trades. This includes sticking to previously established trading plans and knowing when to take profits and cut losses. Emotions simply have no place in a trader’s mind.

Fear and Greed


Fear and greed are supposed to be two of the main emotional motivators of stock markets and business behaviour, and one of the cause of bull and bear markets as well as business cycles.

When fear and greed take over, stock markets can move. Succumbing to these emotions can have a profound and detrimental effect on traders’ portfolios and the stock market.

Avoiding such sentiments can be difficult and it is largely easier said than done. There is a fine line between controlling your emotions and being just stubborn.

Trading Psychology – A Baptism Of Fire
Many traders have tried and failed to control their emotions. Almost every trader will have to go through such a baptism of fire before they can actually turn out profitable trades over an extended period of time.

If this is so, is it not more wise to seek out traders who have already been through the process of eliminating emotions from their trades?

Perhaps, it is more of a question of who does one want to follow or learn the ropes from? Surely, you would not want to learn from any Tom, Dick or Harry?

In comes veteran trader, Thomas Yin. He has been trading stocks since 1996 and has spent more than $60,000 learning from other trading professionals and experts.

Drawing on his experience and lessons learnt, Thomas derived a simple trading methodology that encapsulates Trading Psychology as one of its pillars for trading.

That was all in 2009 and he has since been using this methodology, refining it and proving that it works through his actual trades. For a list of his executed trades and the independently verified results, you can click here .

He is now keen and eager to share this methodology with you through a series of absolutely free seminars starting from 16 October 2013.

For two and a half hours, find out how the methodology can help you earn regular positive returns on shares investing and how you can control your emotions during your next trade!



Source/Extract/Excerpts/来源/转贴/摘录: http://www.sharesinv.com/
Publish date: 16/10/13

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Warren E. Buffett(沃伦•巴菲特)
Be fearful when others are greedy, and be greedy when others are fearful
别人贪婪时我恐惧, 别人恐惧时我贪婪
投资只需学好两门课: 一,是如何给企业估值,二,是如何看待股市波动
吉姆·罗杰斯(Jim Rogers)
“错过时机”胜于“搞错对象”:不会全军覆没!”
做自己熟悉的事,等到发现大好机会才投钱下去

乔治·索罗斯(George Soros)

“犯错误并没有什么好羞耻的,只有知错不改才是耻辱。”

如果操作过量,即使对市场判断正确,仍会一败涂地。

李驰(中国巴菲特)
高估期间, 卖对, 不卖也对, 买是错的。
低估期间, 买对, 不买也是对, 卖是错的。

Tan Teng Boo


There’s no such thing as defensive stocks.Every stock can be defensive depending on what price you pay for it and what value you get,
冷眼(冯时能)投资概念
“买股票就是买公司的股份,买股份就是与陌生人合股做生意”。
合股做生意,则公司股份的业绩高于一切,而股票的价值决定于盈利。
价值是本,价格是末,故公司比股市重要百倍。
曹仁超-香港股神/港股明灯
1.有智慧,不如趁势
2.止损不止盈
成功者所以成功,是因为不怕失败!失败者所以失败,是失败后不再尝试!
曾淵滄-散户明灯
每逢灾难就是机会,而是在灾难发生时贱价买股票,然后放在一边,耐性地等灾难结束
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