Fear - The biggest enemy of traders
Emotions that represents Fear: Greed, Hope, Regret, Impatience
Fear is the biggest hurdle for anyone to become a trader. It can show itself in different forms as stated above.
Why we become fearful while trading in stock market?
Answer is - due to human psychology and it can appear from two different factors
(i) Mental: How human mind works
(ii) Physical: How human mind is connected with physical body and how hormonal balance can be messed up while trading and we loose our control on everything due to market uncertainty
A trader is mostly trading alone, so he has to face the market and deal with the consequences alone . Our mind creates unnecessary scenarios and generates too many emotions, which overwhelm our clear thinking process.
When our mental and physical state becomes hazy, we become fearful and we can not observe whatever that is happening in front of our eyes.
How to fight the fear?
Fear is built-in feature of animal mind. It is a protective mechanism necessary for survival. Hence we can not eradicate it completely.
Our only option is to detect it, become aware and control our mind to manage our response.
There are to options to fight our fear
(1) To fight the mental part - Knowledge
Learn about market structure and practice one setup. Be patience and be ready to wait for 3-5 years before you start earning profit from trading.
(2) To fight the physical part - Meditation and social support
Don't trade alone. Share your journey with someone from your family or friends. Learn about mindfulness.
I am also a struggling trader like most of the members here. But I am constantly learning and improving myself. Not profitable yet. I use very little capital while day trading and I will increase my capital only after I become profitable at least for 3 months.
I will share things I learned in last 3 years if people are really interested. Do check out my posts in /Daytrading sub for some simple tips.
Keep learning and keep growing.