When you are operating in the binary options or Forex trade market, it becomes easy to get overwhelmed by all the upheaval and internalize any losses. This trade market is among the most dynamic and unpredictable ones, so a loss may be because of several reasons from a badly devised strategy or a depression in the market overall.
Whatever may the reason be; losing money despite the hard work and effort would push anyone to the brink of anxiety and panic. In this competitive market segment if you are not vigilant about the impact of various market events on “you”, it is very swift ride to a downward spiral and you can end up feeling burned-out, frustrated, drained and may even start considering ‘giving up’. Below are some tips to counteract this trade anxiety and market overwhelm…
Counteract the Negative Thoughts…!
As a trader, you must stay very attentive to how the market environment affects you at a time and counter any negative thought patterns that may emerge. Taking care of yourself and the psychological impact of overall market pressure also relates highly to the success in this market because the successful ones are determined, focused and calm. However, it is “OKAY” to feel panicked or overwhelmed and get caught up in whatever may be happening in the market, but it is crucial to learn to manage and balance it out.
A good rule of thumb is to always focus on the goal or the bigger picture. Various traders in this market segment make an error of letting their emotions get the best out of them and let the everyday market events direct their feelings.
Is Binary Options Trade all about Profits?
Obviously, profits matter a lot! However, as a binary options trader you must strive to active counteract such conventional thought patterns because a zero-profit score may not mean ‘failure’ or ‘a week wasted’. A lot of times, traders must focus on learning and testing new strategies of this trade (e.g. trade journaling or back-testing) and would earn little to no profit but they have gained very useful insights that they may apply later and end up earning good profits.
However, people who might be struggling with such an issue may think that if they are earning a certain percentage of profit in a day, only then they are performing satisfactorily in the market.
On the contrary, they may think that by losing money they undermine their performance and may consider them a terrible trader. This is a very restrictive thinking pattern and may even function for a regular office job, but when it comes to forex and binary options trade markets you may not be able to secure enough profits for the efforts that you invest and that is how everything function in this trade.
So, a person struggling to accept this uncertainty in the binary trade may struggle with their self-worth and motivation if they are failing to meet the restrictive profit goals.
Set Trading Goals to Keep the Stress at Bay!
Like any business, binary options and forex trade markets also require a set of goals that aids in pursuing the desired results. Goals may not seem much at the beginning, but they not only represent the trader expectations but act more of a connection of dreams with the reality. When you invest time and specify the goals, you acknowledge the “need” for bringing in some organization to your trade routine. They would also be a good place to start seeing and mapping out your progress as a binary options trader.
However, despite the apparent simplicity of goal setting, a lot of traders find it hard to meet their goals. One of the reasons for this struggle with goals is that the goals they set may not be specific, realistic or action based. If you are a newbie trader, it would be a good to make ‘learning goals’; that encourage you to stay focused on the overall process of trade and not be too obsessed with the outcome. Binary options trade sector has many dimensions that require dedicated learning, because your aim should be to learn the tricks of binary trade.
For the traders who have been in the game for quite a while, it is advisable to set outcome-goals, that are focusing on the result (e.g. learning about the automated software or robots). This goal differentiation is very important because in the binary options market you have to pay attention to the presenting needs as a trader and adapt accordingly. With goals you escape a feeling of overwhelm because you have segmented a bigger task into smaller sub-tasks and by achieving each one after the other you enhance the level of motivation and determination.
Keeping the above enlisted strategies would help you get started with managing the trading stress better and make progress as a trader.
So, keep your eyes on the bigger picture, set specific goals and don’t give the steering wheel to your emotions (i.e. counteract the pessimism).
As a binary options trader, share in the comments (below), any strategies that you employ to handle the trade-stress or anxiety.