Ninja Talks EP 3: The Two Fears
There are two fears that rule you and in reflection, the market.
The first is obvious to most, FOMO aka The Fear of Missing Out.
The second not so obvious fear is FOL aka The Fear of Loss.
Most people take a trade because they fear of missing out on an opportunity.
Let's say this trade starts to make money (rare, but indulge me) - that same fear that got them into the trade remains but now it is triggered by greed. A trader will stay in a position too long because they fear that they will miss out on more profit.
Eventually (and inevitably) the trade turns, hits stop loss and sends the trader into despair - that is until they FOMO again.
FOMO is fear disguised as HOPE.
The second fear (FOL) makes you money.
You must have a fear of losing your money before, during and after your trade.
FOL is defensive.
FOL is cunning.
FOL does NOT gamble.
All great traders fear losing their wealth MORE than making extra wealth.
I'll repeat;
In order to be a successful trader you must fear losing your wealth MORE than making new wealth.
The defensive trader wins, it's that simple.
That's all for this episode Ninjas!
Follow for more Ninja Talks.
Nick
The first is obvious to most, FOMO aka The Fear of Missing Out.
The second not so obvious fear is FOL aka The Fear of Loss.
Most people take a trade because they fear of missing out on an opportunity.
Let's say this trade starts to make money (rare, but indulge me) - that same fear that got them into the trade remains but now it is triggered by greed. A trader will stay in a position too long because they fear that they will miss out on more profit.
Eventually (and inevitably) the trade turns, hits stop loss and sends the trader into despair - that is until they FOMO again.
FOMO is fear disguised as HOPE.
The second fear (FOL) makes you money.
You must have a fear of losing your money before, during and after your trade.
FOL is defensive.
FOL is cunning.
FOL does NOT gamble.
All great traders fear losing their wealth MORE than making extra wealth.
I'll repeat;
In order to be a successful trader you must fear losing your wealth MORE than making new wealth.
The defensive trader wins, it's that simple.
That's all for this episode Ninjas!
Follow for more Ninja Talks.
Nick
Exención de responsabilidad
La información y las publicaciones que ofrecemos, no implican ni constituyen un asesoramiento financiero, ni de inversión, trading o cualquier otro tipo de consejo o recomendación emitida o respaldada por TradingView. Puede obtener información adicional en las Condiciones de uso.