Stress is everywhere in today’s world. In the workplace, in the car, and in the family. If that’s not enough, then stress can also rear it’s ugly head in your day trading world, and have a direct impact and your trading profits and losses.
Stress can be caused by many different factors. For example, maybe you are constantly worrying about losing money, and you find that you lie awake at night thinking about things going wrong the next day?
The problem with this kind of thinking is that it only ever makes the problem worse. The more you think negative thoughts, the more you get stressed, and the more you get stressed, the greater the chance of bad things happening.
One way way to reduce the amount of stress that you are currently feeling is to have faith in yourself, your knowledge and your experience.
If you are following a strategy that has been proven to be profitable in the past, then you must stay confident even when things are going against you. Things will eventually turn around, and you will be able to deal with any bumps in the road that you meet along the way, now or in the future.
Here are some specific ways that can help you overcome stress:
Something that can build up stress inside of you is when you have to make decision after decision constantly throughout the day. This can lead to your mind becoming numb and a feeling that you are going to explode.
This is caused by making too many trades throughout the day, and the best way to overcome it is to reduce your trading frequency.
Ask yourself if you really need to make so many trades? If the answer is yes, then maybe it’s time to start looking at a different trading strategy, where the the focus is on quality and not quantity.
Increase the winners
A lot of people follow day trading strategies where they are always looking for “home run” winners.
The problem with this way of thinking is that the wins often take a long time in coming. While you are waiting for the big win, it’s natural to become tense, worried and stressed, especially once the small losses start adding up.
Instead, it might be a better option to follow a strategy that focuses on high probability signals, which results in smaller wins…more often.
Start early…finish early
If you conduct your trading activities from home, then it is very easy to slip into bad habits.
One of these habits is staying up half the night and then not getting out of bed until lunchtime. This often leads to feeling like your whole life revolves around trading and it becomes hard to think about anything else.
It can be a good idea to try being an early riser to overcome day trading stress. Doing this, may allow you to finish your trading day by lunchtime, which gives you the opportunity to play a relaxing game of golf or meet with some friends in the afternoon.
This helps to get your mind away from day trading, so you feel fresher and have less stress the following day.