We always say that a good technical analyst is not on a scale of 1 to 10, more than a 40% chance of success in the marketplace if no accompanying analysis a significant emotional balance that allows to abstract from the emotions we all have by nature, but are harmful in the analysis of financial markets.
Sure, it is not easy to achieve this balance, which in all cases be accompanied by a system, which is formed by a method of work habits, discipline and perseverance, and a marketing strategy, i.e. fundamental and technical elements to be used in their daily operations.
A novice operator usually make mistakes that can most certainly correct, in that embark on solving them, and this is through a proper analysis of their work.
The first mistake is thinking that the market will turn to the side that has chosen to operate simply by divine fortune. This is because it has not yet developed a complete trading system, and suffers from an efficient and comfortable.
In all cases, and to avoid irreparable damage to, what you should do is to protect the position of placing stop loss and limit profit.
However, it is also very common to observe the state of anxiety of the operator, either before or after entering the market. When you do not have armed an efficient system, the operator works on any time of day without a serious analysis, and seeks opportunities to operate where there is none.
What happens then? Enters the market following the price point by point. And when you see that a price has been "fired" for a particular direction, there is. Most of the time, only achieved a point, or worse, when the price will go to the opposite direction in the market expect that such a movement, which has very little news, then join him.
The same applies to a loss or gain. Spurred by a significant gain, the operator often finds a new opportunity in the market, which has not analyzed, or has done so very superficially. On the other hand, is that the market has gone before, resigned points gain, and re-enter the same in the same direction. Fatally, is lost.
When assuming a loss, unfortunately, there is no worse form of remedy to seek a new signal within a few minutes, seeking to recover the loss. It is best to close the platform, a new analysis, and wait.
Anxiety is often a strong enemy to the operator. Try to eliminate it, and you will see results soon.
This type of disorder, leading the operator to have two defects is very common: l to operate a compulsion, or fear whatsoever to do so. In the first case, to operate unchecked, without rhyme or reason, invariably leads to lose money, and very quickly. In the second, not lose, but also create opportunities, and analyze the market many times, it will be too late when you enter it. On both faults, the second is less harmful in the short term, although the loss of confidence that generates is very important.
As you can see, these defects, or sensations also generated by not having a specific plan. This plan is not something to be armed with sophisticated features, but made a conscience, and needs and operator comfort.
As we say in the commandments below, build your plan, follow it strictly, not away from him and see how the market, which sometimes seems a maze of numbers, begins to join him.
