Indices Trading Psychology and Risk Management PDF

Indices Trading Psychology Articles

When it comes to indices trading as a beginner indices trader you will need to execute your stock indices trades like a professional indices trader, without any emotions when trading, or without being influenced by stock indices price movement not that when the stock indices price has moved up so much you decide that you now need to open a buy indices trade because the upward stock indices price move has really moved a lot pips.

So to trade indices like a professional indices trader - as a beginner indices trader you need to transform your trading indices psychology. To transform your trading indices psychology then you will require to write down the indices trading psychology rules in your indices plan which you will follow when stock indices trading.

The indices example explained and illustrated below shows how to write the indices trading psychology rules

Indices Trading Psychology and Risk Management PDF

• I Trade without Emotions (fear, greed, anticipation, bias, impulse, overexcitement)
• I trade what my eyes see on the stock indices charts not what I feel.
• I will be patient when trading.

My job is not to be the indices trading system!

It is not to decide which stock indices trades looks promising.

That is the job of my indices trading system. My indices trading system has a set of indices trading rules which tells me this is what I follow. Do not get caught up in stock indices price action movement and make indices rules as you go along.

MY JOB DESCRIPTION IN Indices TRADING IS

To sit patiently and wait for my indices system to indicate that it is time to enter a trade or it is time to exit a trade. And then with great focus I execute the indices trade as planned on my indices trading plan.

Taking stock indices trades not indicated by the indices trading system, second guessing the stock indices trading system and not taking stock indices trades given by the trading system, hesitating and getting in to a indices trade late, anticipating and getting in to a indices trade early are all common place in stock indices trading and boil down to lack of faith in the stock indices trading system and not having a burning focus on accurate execution of stock indices trades.

Indices TRADING GOAL: To have 100% undivided focus on mastering my ability to execute my indices trading system accurately.

As a indices trader the more you develop the ability to step back from stock indices price movement and watch the indices market dispassionately, waiting for a stock indices signal to trade, the easier it will be to witness the fluctuations of your indices trading emotions without getting sucked into them and allowing these emotions to throw you off your indices trading plan.

By writing indices trading psychology rules like the ones above on your indices plan - then as a indices trader you will start to follow your stock indices trading system and trade more like a professional indices trader would if the indices system you are indices trading with was to be automated.

The more you follow these indices psychology trading rules the easier it will become to trade the indices market without being influenced by the various stock indices market price movements.

As a indices trader always make sure that you are opening a indices trade because the indices rules of your indices trading system have been met and a stock indices signal has been generated and not because you have seen the stock indices price jump and so now you decide it is time to open a buy indices trade.

By following rules a indices trading system then you will be able to trade indices more like a professional indices trader and follow the rules of your stock indices trading system and your trading results will improve.

Changing your indices trading psychology will not be a very easy thing and this is why as a beginner indices trader you must constantly make an effort to follow the indices trading rules specified in your indices trading psychology section on your indices trading plan until the time you master these indices psychology rules and you can trade the indices market without emotions and trade like a professional indices trader.

To learn and know more about indices psychology read the following indices trading psychology and risk management tutorials:

• Indices Trading Psychology Tutorial
• Indices Trading Psychology and Risk Management Emotions Fear and Greed
• Indices Trading Psychology and Risk Management Psychology Principles
• Learn Indices Trading Psychology and Risk Management Psychology

Indices Trading Psychology for Indices Traders - Indices Trading Psychology Course - Indices Trading Psychology Articles - Indices Trading Psychology Books.