Why Trading Is Like A Deadly Drug?

Basically, trading is potentially addictive. Stock trading is very different from trading passion. With passion, you will end up with the market. You want yourself to reach the highest level in the candlestick chart. And to achieve that, you are constantly hone your skills and thinking success. On the other hand, addiction trading is simply finding everything to enter the order and into the order. The "addiction" to find the "sublimation" acquired during the trade. In other words, addiction trading is addiction to emotions in trading. And almost every trader has at least experienced this "addiction" feeling once. It is different in that trader is quick to get out and become more disciplined, but many are still immersed in emotions. But why trading can be so addictive?

Ambiguity of randomness

The main feature of trading is the probability game. You probably know that, no matter how high or new, no one can achieve 100% probability of winning or losing. There is a parallel between these two possibilities. Because of that, any command that is executed also creates a nervousness, anxiety about the result. This, in turn, has "stimulated" our emotions, making us curious about the results, even though we know very well about the random nature of the market. This suspense will create emotions regardless of whether you win or lose. Because when you lose, you feel regret. When you win, you feel happy. Both scenarios cause strong feelings. And of course, trader is not just a trade, in a lot of trade. The more emotional, the more "sublimation. "

Reward and risk can be changed straight into cash

Only the probability of the above is not enough to make the trader addicted. One more element is needed. That is financial, or real money in the live account. Compare your feelings between demo and live accounts. There is a huge difference right? With the demo, though everything is still the same, from the candle to the indicator, everything matches the live except virtual currency - real. But demo does not create any "sublimation" emotions at all. By the simple fact, you understand from the first thought that the results of the demo do not change your account whether the results win or lose. In contrast to live accounts. Balance fluctuates ie your cash also changes accordingly. This creates an attraction in psychology. If you win, you feel rewarded, just like the reward. Lost, it seems you have been punished with risk. This game can not make you bored. As the result will make you stress by just punching with reward and then risk and reward and then risk.

How to limit the emotions that can lead to addiction trading? The profound cause of the addiction trading I have analyzed above. To solve it, we need to "kill" the root from the root. Before each trade, you make up the script loses and wins. Always draw the script. With win, what will you do? How will you lose? This does not help you raise the odds, but it is the psychological trick that helps you resist the temptation of emotion. By going ahead with the market with scripts, you will not be surprised when there are results. In other words, this way you can create "boredom" as you trade with the demo.