Stress-related illnesses and the so called “burn out” syndrome are widespread among employees in the twenty-first century, traders are especially affected. Many traders had to terminate their trading career because they were psychologically and physically devastated – the “burn out”. If you do not want to belong to this group of (ex-) traders the below guidelines could be helpful for you. Are you among the group of traders who become very tense once you open a trade and does this tension only go away when the trade is closed? Provided that you followed your trading plan and also provided that you did not take a huge position which far exceeds your normal position size you should not become stressed though every time you put on a trade. Setting a fixed stop loss and a fixed take profit target should take out most of the stress ideally – once you have put in the stop and the target order the outcome of the trade is not in your hands anymore, the market will decide if the position gets closed with a loss or a profit. As a trader you are frequently under a lot of psychological pressure. But even if you are of the opinion that taking trading decisions is not stressful you should actively work on relaxation during the trading day. In order to stay healthy and take good decisions you need to find the time to relax while trading. This is crucial for your trading career. If you spend 14 hours in front of your screens each day without any break your trading career will very likely be a short one. Throughout the trading day you should develop routines which allow you to take frequent small breaks. A few minutes each hour are usually sufficient to clear your mind and refuel your batteries. Getting some fresh air and taking a short walk is certainly the best method. But there are also relaxation exercises which can be conducted at your desk such as breathing exercises and muscle relaxation. Consciously stretching and relaxing your limbs is a good start here, getting up from your chair and distracting yourself with something else for a few minutes is certainly a good idea, even if you are a scalper on a one minute chart. When the trading session is terminated stress can be relieved with relaxation techniques such as meditation, yoga or autogenous training. Practicing some kind of sports on a regular basis is recommended in order to reduce stress and refresh your mind. Visiting a sauna, taking a hot bath or receiving a massage can also be very helpful. You will have to find out for yourself which technique works best for you. One thing is certain though – if you do not consciously take a break and relax on a regular basis you will sooner or later encounter difficulties. Join the Forex Competition today and start trading with no stress as it is a risk-free Contest!
Thank you for sharing this. Stress is not good no matter what you do, whether the stress comes from working at a job or trading in stocks. Stress makes people sick eventually and can actually shorten your life span.
Stress will kill you. You are confident that you are making the correct trades but then there is a slight fluctuation. Then you panic that your whole portfolio will take a hit. Sometimes I envy those who only have large mutual bond funds.
Those are great suggestions! Thanks. For me, trading should be like running a business. You get your system going, make sure it is sustainable such as setting a fixed stop loss and a target profit at which point you sell, and only monitor it occasionally to make sure your system is doing well or to pump in/take out money. Because in the long run, a sustainable and well oiled trading machinery will last longer and have the potential to make more money compared to short highly intense trading sessions which can have adverse effects on health and more devastatingly to a trader, judgement.
Anyone that gambles needs to meditate daily. Close your eyes and clear your mind. Life is about being balanced and having stress unbalances you. Meditation will keep you balanced. You will feel better doing it. You will also have a clear mind which leads to making smarter decisions. Everyone should meditate.
All those numbers can definitely be draining to anyone. You need to clear your mind as mentioned above in order to not get completely burnt out. When your mind's all jumbled it can't think clearly. Everyone needs a break and some rest to fully function properly.
Exactly. Its hard to function if you are stressed out. When you feel your best, you do your best and that is because you are feeling less stress. When you feel your best, you have a clearer mind then when you are angry.
The traders should really clear their minds from all of the stress. They really can't take good decisions with the stressed mind. The traders should take regular breaks and have some meditation to free their mind from all of this stress. After all, only a stress free mind can make good decisions
I also believe, yoga and relaxing techniques,can help with this kind of stress, also the fact that you shoul be able to balance the fact that you can gain or loose, be ready to accept the worst at times.
The market can most definitely have a stressful affect on many traders. I totally agree that the remedy for these individuals is to have a solid system, establish stops, and wait for the results (but do something else until it is over). The ups and downs is what makes traders so excited. It is like watching a horse race where your horse keeps losing and gaining the lead.
