Understanding your own trading psychology is critical to being a successful portfolio manager.
Are you focused on trying to make money? Or are you more focused on trying not to lose money?
The truth is that making money is the easy part. It is keeping it that is so hard.
Statistically, you are going to make money half the time anyway as I have found that discretionary traders make money on approximately 45-55% of their trades. That is not my opinion - that is what the data say.
The difference between being profitable and not profitable or modest and substantial returns is not about the frequency of being "right." It is about how much do you MAKE when you are right and how much do you LOSE when you are wrong.
Don't trade to be right. Trade to make money. In order to make money, you have to lose less.
As a trading psychology coach, the formula I use with my clients is as follows:
H + W + P = E™
Hoping + Wishing + Praying = EXIT THE TRADE! ™