Explorez tous les épisodes du podcast IG Morning Markets

If you are having trading fatigue and are looking for ideas to stay inspired and trade financial markets with confidence, you’re tuned in to the right station! So how do you find inspiration? One easy way to look up to your trading heroes. If you don’t already have trading heroes in mind, seek traders you relate with and who you can emulate, in terms of their methods, but more importantly, their mindsets.

See omnystudio.com/listener for privacy information.

When it comes to trading outcomes, especially when things go south, we often try to identify the cause and more often than not, attribute blame. This is perhaps one of the most difficult lessons to learn in your trading life. If you do not take responsibility for your own actions, then your trading ability will probably never improve.

See omnystudio.com/listener for privacy information.

How patient would you describe yourself to be? That’s one of five key areas of personality that you can work on to help maximise your trading results. In trading, like in life, your personality can be a driver of what you do and how you do it.

See omnystudio.com/listener for privacy information.

In trading, like in life, your personality can be a driver of what you do and how you do it.  Successful traders recognise when their personality traits could predispose them to make certain decisions and take conscious steps to ensure that their results aren’t being compromised. Here’s a look at five key areas of personality - discipline, decisiveness, patience, rationality and confidence – and how you can work on them to help maximise your trading results.

See omnystudio.com/listener for privacy information.

Successful traders create their trading plans to help set themselves up for success. A trading plan is essentially a framework that guides traders through the entire trading process. It sets the conditions under which a trader enters trades, identifies markets, exits trades and manages risks along the way. 

See omnystudio.com/listener for privacy information.

When it comes to the process of trading, having a consistent trading strategy cannot be understated. This is because uniformity leads to sensible trading decisions, but building an edge in the market has more to do with a consistent method you are comfortable with. We look at some of the steps you can take.

See omnystudio.com/listener for privacy information.

JOMO - or "joy of missing out" - is an important concept for traders, emphasizing the need to take a step back, think, plan and enjoy, rather than rushing into trades due to the anxiety of missing out. There is no single way that JOMO in trading occurs, but it is generally discernible in calm, confident traders – those who are happy with their own strategies. 
Don’t fear missing out – embrace it! Here are seven steps to turn your FOMO into JOMO:

See omnystudio.com/listener for privacy information.

FOMO vs JOMO: that one letter makes all the difference. JOMO substitutes ‘fear’ for ‘joy’, suggesting that not only is it OK to miss out – it’s actually something to be relished. JOMO is an important concept for traders, emphasizing the need to take a step back, think, plan and enjoy, rather than rushing into trades due to the anxiety of missing out. JOMO has been described as the ‘emotionally intelligent antidote to FOMO.’ JOMO in trading embodies calmness and discipline – traits that serve traders well. 

See omnystudio.com/listener for privacy information.

Are your money scripts holding you back? Money scripts are often inherited from your parents and grandparents. It’s like the script written in a play that has been passed down to you - it involves the way you talk to yourself about money and can affect the way you think about trading.

See omnystudio.com/listener for privacy information.

Learning how to manage your emotions is critical to achieving that, because trading emotionally can hamper your success. One way to keep your emotions at bay is to keep a trading log. Doing so will enable you to record all your losses and wins, as well as the emotions that you were experiencing during that particular trade. 

See omnystudio.com/listener for privacy information.

Just as important is to quit while you’re ahead and take your winnings. A succession of wins or one particularly big win can make you feel invincible, and that euphoria could subsequently make you rush into another position to try and do it all over again.

See omnystudio.com/listener for privacy information.

Sometimes after a loss, the best thing you can do is walk away from your trading account for a short while to gather your thoughts and compose yourself – rather than rushing into another trade in an attempt to regain some of your losses. The best traders are those that take their losses and use them as learning opportunities

See omnystudio.com/listener for privacy information.

Before you can triumph, you have to try. But what motivates you to try in the first place? Inspiration can be elusive, but good traders know not to just sit back and wait for inspiration to come along. Rather, they go looking for it – and once they find it, they nurture it. But what is inspiration exactly, and can it help your trading?

See omnystudio.com/listener for privacy information.

While it’s important to have a trading plan, remember that no two days on the markets are the same, and winning streaks don’t exist in trading. With this in mind, you should become comfortable in assessing how the markets change from day to day and adapt accordingly.

See omnystudio.com/listener for privacy information.

We live in the age of instant gratification. We expect everything to come to us instantly - from our deliveries to our work replies. As the saying goes ““Good things come to those who wait.” Indeed, patience is an important trait to have for trading.

See omnystudio.com/listener for privacy information.

There's a popular saying, “If you fail to plan, you plan to fail”. One of the ways you can avoid emotional trading is to develop and follow a trading plan. Planning is always important to identify our goals, and helps to map out what we need to do to achieve them. 

See omnystudio.com/listener for privacy information.

One of the keys to developing successful trading psychology is identifying your personality traits early on. You will need to be honest with yourself and say if you have impulsive tendencies or if you are prone to acting out of anger or frustration.

See omnystudio.com/listener for privacy information.

Gambler's fallacy in trading is the tendency of an individual to think that a trade will go a certain way based on past events – even though there is no substantive evidence to support the trader's thinking. The term originated from the inclination of gamblers to think that a bet might go a certain way based on previous results.  

See omnystudio.com/listener for privacy information.

Loss aversion bias is a preference for avoiding losses over acquiring the equivalent gains. It implies that the fear of a loss is greater than the pleasure of a gain. A key step in preventing loss aversion bias is acknowledging that it exists. When you start to create a trading plan, it is important to consider how much you are willing to lose as well as how much you want to gain. 

See omnystudio.com/listener for privacy information.

Confirmation bias is the tendency for traders to search for, and put greater weight behind, information that confirms their pre-existing beliefs or predictions. This can be prevented by carrying out your own analysis – whether this is technical or fundamental – and trusting that it is correct, even if it clashes with earlier predictions or preconceptions.

See omnystudio.com/listener for privacy information.

Hindsight bias in trading is the tendency for individuals to express that they 'knew it all along', once they know the answer to a question or the outcome of an event that was previously uncertain. The consequence of hindsight bias is that it often leads to a false sense of confidence. One way to minimise the impact of hindsight bias is by keeping a trading diary.

See omnystudio.com/listener for privacy information.

Anchoring bias is the tendency for traders to allow an initial piece of information to have a disproportionate influence on future decisions, regardless of its relevance. For example, research showed that individual's estimates of stock returns were significantly influenced by the starting value they were given – the 'anchor'. The best way to prevent anchoring bias in trading is by performing comprehensive research and analysis of the market to identify your own anchor.

See omnystudio.com/listener for privacy information.

Biases can impact the way traders make and implement decisions. Availability bias - is one of them. It is the tendency to open or close positions based on information that is easily available, rather than sources that are more difficult to find. The most common way to prevent availability bias is to conduct extensive research and analysis

See omnystudio.com/listener for privacy information.

We’ve talked previously about how positive affirmations can make you a better trader. But what’s the catch? Is there some fine print somewhere? Keep in mind that this is one of the areas that responds to consistency. Research suggests that affirmations are the most relevant and effective if you use them before you end up in real trouble. 

See omnystudio.com/listener for privacy information.

Competition is the pressure to make more money or place more trades than others. While trading is considered a competitive practice, traders should have the patience and discipline to follow their own trading rules and plan. You can consider creating a routine that is based on your trading plan and risk management strategy. One popular tool is a trading diary, which helps you keep record of your trades.

See omnystudio.com/listener for privacy information.

The news can put pressure on traders to make certain decisions and interpret information in a particular way. News is a crucial part of information gathering, but it's important for traders to interpret the news objectively. One way to manage this is looking into technical and fundamental analysis.

See omnystudio.com/listener for privacy information.

The social pressure to perform in a certain way can cause errors and lead to traders taking on greater amounts of risk.  Here’s where rumours can be dangerous. Rumours in trading are any type of unverified claim that can influence traders' decisions. This includes making mistakes by influencing them to enter and exit positions based on fear and greed rather than fact.

See omnystudio.com/listener for privacy information.

Social pressures are external factors that can have a direct influence on a trader's psychology, encouraging them to change their attitudes, values and behaviours. Herding in trading is the tendency for traders to follow others without doing their own research and analysis.  We discuss how traders can manage this.

See omnystudio.com/listener for privacy information.

What is rationality in trading? It is the ability to make choices that will result in the best possible outcome given the information available. We look at ways to improve rational decision-making.

See omnystudio.com/listener for privacy information.

Confidence in trading is trust in one's own abilities and knowledge. Every trader requires a certain level of confidence so that they can identify and act on opportunities, as well as bounce back after a losing streak. However, there is a fine line between being confidence and over-confident.

See omnystudio.com/listener for privacy information.

Decisiveness in trading is the ability to identify opportunities and act efficiently – this includes making decisions about when to enter and exit trades, assimilating new information into a plan and learning from mistakes. We chat about how to become more decisive traders.

See omnystudio.com/listener for privacy information.

It can pay off to be patient, but how many of us can walk the talk? We discuss how to become a more patient trader, and wait for the better moments in the markets.

See omnystudio.com/listener for privacy information.

Do you have what it takes to stick to the plan? We explore what discipline means in trading and how you can improve it to be a better trader.

See omnystudio.com/listener for privacy information.

When we get bored - the risk rises of us trying new things to seek new experiences or thrills, which can deviate from our original goals and plan. We look at how we can manage this and improve your trading mindset.

See omnystudio.com/listener for privacy information.

We’ve talked about the power of positive affirmations - where believing in your capabilities and goals helps you achieve them. Here’s an example of how you can make your positive statements even more effective with just a few alterations. 

See omnystudio.com/listener for privacy information.

Many of us get frustrated sometimes - and when it comes to trading, there can be many potential triggers, including when things don't go according to your plan. We look at how we can manage this and improve your trading mindset.

See omnystudio.com/listener for privacy information.

Many of us are familiar with the feeling of hope - which in itself is not a bad thing. However, when it comes to investing or trading, It can be dangerous. We look at how we can manage this and improve your trading mindset.

See omnystudio.com/listener for privacy information.

Greed can often drive us to take excessive risks in the markets. We look at how we can manage this and improve your trading mindset.

See omnystudio.com/listener for privacy information.

Fear is one of the key emotions driving our actions, sometimes holding us back from taking action. We unpack the psychology around this, the best way to manage it and improve your trading mindset.

See omnystudio.com/listener for privacy information.

How do you improve your trading mindset? First is to understand the ways that your emotional state can have a significant influence over the way you react to certain circumstances and triggers. In the following episodes, we explore the psychology of fear, greed, hope, frustration and boredom, and the impact they can have on a trader's performance.  

See omnystudio.com/listener for privacy information.

Self-belief sets the professionals apart in every endeavour. If you weren’t lucky enough to be born with a high belief in your own abilities, there are still ways that you can cultivate this enviable quality. One of the ways is using affirmations, which can guide you toward your goals.

See omnystudio.com/listener for privacy information.

One thing professional athletes and good traders have in common is understanding the value of a solid recovery plan. Looking after both your physical and mental health is important for handling the booms and busts. For effective recovery, you should tap the power of positivity.

See omnystudio.com/listener for privacy information.

Rationality in trading is the ability to make choices that will result in the best possible outcome given the information available. Rational decisions aim to maximise an advantage, while minimising any losses. Although rationality is all about seeking the optimal outcome, studies have been quick to point out that this doesn't always mean making money – a rational decision can involve minimising losses and even accepting a loss.

See omnystudio.com/listener for privacy information.

Every trader requires a certain level of confidence so that they can identify and act on opportunities, as well as bounce back after a losing streak. IG's survey found that investors and traders had higher levels of confidence when it comes to financial decision-making than non-investors. But there is a difference between confidence and over-confidence, which is an unrealistic view of one's abilities.  

See omnystudio.com/listener for privacy information.

In trading, like in life, your personality can be a driver of what you do and how you do it. One big area that affects how traders make certain decisions is their decisiveness. This is the ability to identify opportunities and act efficiently – it includes making decisions about when to enter and exit trades, assimilating new information into a plan and learning from mistakes.

See omnystudio.com/listener for privacy information.