ATFX Popular Science: Stocking and Anxiety Staring

atfxPopular Science: The fluctuation of prices has magic power. The longer you stare at the plate, the higher the possibility of being possessed. In the state of empty position, if you stare at the plate too much, you always feel that a certain signal is very accurate, which in turn generates a strong willingness to buy and sell; in the state of open position, if you stare at the plate too much, you always feel that a certain signal means that the trend is bad, and you always want to take profits. Concern is chaotic, and there is no shortage of such phenomena in life. Watching others play chess on the side of the road for a long time, if the player makes a bad move, you will always have the urge to remind him; watching a basketball game, even if you are not a fan, as long as you have enough time, you will always be very excited when you score a goal; staring at the lake when fishing, for a long time, there is

Some people may have questions.In the case of a position, the order is marked to prevent a sudden turn in the market, and it is impossible to determine the state of the order without the order.There is no problem with this view. However, there is a difference between keeping an eye on the market and keeping an eye on the market. If you want to know the status of your order, you can pay attention to it once or twice a day. We call this kind of keeping an eye on the market. Most traders do not follow the market in this way. They will keep an eye on the K-line chart, and as the price rises and falls, they will mentally calculate how much they have made or lost. We call this kind of keeping an eye on the market. "Anxiety-watching". After a minute or an hour, your eyes are full of longing and curiosity, and you always feel that your account profit and loss and the market trend have changed greatly. Just like a first-time car buyer, lying in bed at night, always feeling that the sunroof is not closed and the door is not locked, anxious to go downstairs to the side of the car again and again to take a look, if it encounters a rainy day, this anxiety is even more serious. Concern is chaos, instead of being disturbed by the market after placing an order, it is better to cultivate your ability to stay away from the disk. Check the disk regularly, but don't watch the disk for too long each time, and you can generally understand the trends and states of each variety.

Once again, it is not a bad habit to mark the market. Blind tracking is a bad habit. Traders need to know when they need to mark the market and when they don't need to.

1. When major events occur, it is necessary to continuously monitor the market

During the Brexit period, GBPUSD fluctuated very violently. If you have a position in this variety, you must continue to pay attention to the trend of GBPUSD. Moreover, the cycle of attention must be comprehensive, and the 5-minute level, 30-minute level, 4-hour level, daily line, and monthly line need to be viewed in real time. During major events, the marking can make your thinking clearer when analyzing macro issues. The so-called, only after experiencing it can you have a say. Similar events include the US election, the Federal Reserve's interest rate decision, and the release of non-farm employment report data. If you just look at the general reports of the financial media after the event to know the final rise or fall results, then you have lost a good opportunity for a "live exercise". The marking under major events is more difficult for Asian traders. Because most of the shock events happen at night. Typical like the Federal Reserve's interest rate decision, every time around 2 am. Many people can't fight the sleepiness and choose to read the media report after the fact. This is inappropriate. Do investment, this price is not willing to bear, destined to fail to achieve rapid growth of thinking and capital.

2. When the loss range is too large, moderately increase the frequency of marking

From a human point of view, during a floating profit period, people tend to check the market and account frequently, because it will have the pleasure of victory; during a floating loss period, people tend to throw away their mobile phones/turn off their computers, and ignore the loss of the account, because the loss will lead to profound disappointment and pain. The correct way to watch the market is the opposite. When floating profit, you should reduce the frequency of watching the market to prevent yourself from impulsively taking profits and not being able to amplify profits. When floating loss, you should increase the frequency of watching the market (of course, not too often, just moderate), and be aware of the daily loss situation. Some people hold a "big loss" mentality after losing money, neither checking the actual loss of the account nor tracking the trend of the disk, but only sulking alone. When floating losses, constantly review whether your macro logic is reasonable. If the reason for holding the position does not disappear, continue to hold, but do not add to the position. If the reason for holding the position disappears, choose a good rebound point position squaring out while continuing to track the disk. If you are a technical trader, there is no macro reason to support, only the buying and selling points and closing conditions given by the strategy, then you can strictly follow the requirements of the strategy. Technical trading, the most taboo is not to stop losses as planned, because it is easy to fall into a dilemma against orders.

3. When you are overly excited, don't stare at the market

The excitement mentioned here refers to the excitement caused by various things in life. For example, couples have conflicts, children fail exams, quarrel with neighbors, get scolded by trolls on the Internet, etc. When you are overly excited, the ability to think rationally will disappear. It is a pity in hindsight to operate accounts indiscriminately because of anger. Maintaining a relatively peaceful state of mind and having the ability to self-regulate your emotions can play a great auxiliary role in trading. There is a saying among office workers that "don't bring your emotions to work". The principle is the same. The emission of negative energy will affect things around you. So don't bring your emotions to trading.

Bottom line: Staring is still very personal, and we don't require everyone to follow the same pattern.The mentality of free-range monitoring is not achieved overnight. When I first came into contact with trading, I also liked to keep an eye on the market. I always felt that the more monitoring the market, the more diligent it was, and the more diligent it was, the more people could win. Later, I realized that investing is about mentality and realm, and the proportion of diligence is not particularly high, or even very low. Only when the depth of understanding of the market is in place can we be able to use it with ease.