As posted earlier, to achieve higher rewards (profit), you must take on more risk (uncertainty).
But how do you know how to analyze your risk-taking behavior? In short, it comes from taking risk and writing down your responses - physical (sweating, increased heart rate, shaking, etc) and emotional (doubts, fear, negative thinking, anger, etc). […]

“No pain, no gain.” “No risk, no reward.” In order to achieve success and realize your dreams, you must take on risk and manage it properly, despite the biases of your previous experiences and your personality. Some of us love risk while others hate it.
Assuming the right amount of risk not only […]

Do you run an internal dialog with yourself that oscillates between praise and criticism? Encouragement and discouragement?
While we can’t always stop this ‘inner critic,’ we can redirect its questions from negative criticism to positive encouragement with a few tactics.
First, you must identify your internal thoughts and call them to attention. What is that […]

I wanted to highlight a crucial post by Brett Steenbarger at his TraderFeed blog entitled “Resilience and the Courage of Your Convictions.”
In trading, there are so many uncertainties and so many “head-fakes” and false moves that true success may arise only from confidently holding your carefully analyzed (or even intuitive ‘gut’) position in the face […]

In his book Technical Analysis and Stock Market Profits, Richard Schabacker - also known as “The Father of Technical Analysis” - wrote parting comments to naturally conservative or risk averse investors that I wanted to share. Keep in mind, these words were written in the 1920s.
He states that most market students need words of […]

A key book that helped me address my own fears of trading and risk-taking was a book by trading psychiratrist Ari Kiev: The Psychology of Risk Taking.
Kiev worked with many traders through his career, and found the number one problem facing professional traders was that they did not take on enough risk in their […]

When beginning this blog, I think it is important to highlight one of the classic ideas from Price Headley concerning “The Four Fears of Trading”
1. Fear of Loss
2. Fear of Missing Out
3. Fear of Letting a Profit Turn into a Loss
4. Fear of Being Wrong (not being right/perfectionism)
Links come from Price […]