As you’ve probably heard by now, we are in what is commonly referred to as a “Traders Market.” This type of market is tricky, even for the elite traders out there which is why I want to to give you four tips to help you improve your trading psychology.
1) Take a Tactical Approach
Once you have established your trading thesis, you are going to want to play close attention to where you get in and get out of the trade. Like a sniper, you have to have laser sharp focus because one mistake will cost you big time.
2) Get in Bigger, Quicker
A “Traders Market” will not allow you the luxury of scaling into your positions. That means becoming great in these markets requires excellent timing. To do this, you have to be patient, wait for your ideal setup and then when it appears, hit it BIG, without hesitation, because that may be the best entry level you get for the trade.
3) Use Tighter Stops
Yes, stops are always important for risk management in any trading environment; but in a Traders Market, tight stops will keep you in the game longer and the traders out there that are making the most out of this market volatility are the ones who are able to survive the quick moves.
4) Let your Intuition show you where the Profits are
Intuition plays a key role in trading success, but really separates the mediocre from the elite in a Traders Market. By focusing on your trading psychology, you can learn how to listen to your intuition, trust it and then execute the trade when that gut feeling pops up.
As the premier trading coach to the Elite on Wall Street, one of the biggest mistakes I see traders make is that they have a great trading idea; a solid trading plan but they lack the confidence to put it into action.
Do Not Be That Guy!
Trade well,
Dr. Doug
