Emotion Storm

Hi everyone. I take this trade today, see the image below.

Why I take this one? Because the Fibonacci level of 88.6% looks really good for me, and I expect take a minimum of 30 pips, the double of my risk 15 pips, below of the recent higher low. Sometimes many newbie’s traders feel uncomfortable taking this type of trading; they learned about Fibonacci levels, but when they identify this entry, they feel a lot of fear thinking I’m wrong the price movement (high to low) unmotivated to take a buy position. They begin to forget what they learn and want to entry selling with the argument: the price is strong. They plan is drop to trash, and many of them make a mistake selling. At this time we not have the super powers to see the future so, the next happened.

At this time, the trader who’s change him plan (about to entry under Fibonacci criteria), feels like a winner, because he was right, the price movement is strong and he or she sell. In the other side the trader who’s entry buying, starts to feel very uncomfortable, like a loser, the market ever be against he or she, they make the worse decision buying… Feels terrible at this time and the emotional storms begins to increase inside the mind of he or she, whatever. The mind play tricks and is natural have that emotions, as a trader needed to control that’s emotions; trading emotionless is the right. Emotions can destroy your trading career also you trading account and your stomach. The answer of all of this is really simple. Just follow your plan. Take a loss or profit doesn’t matter.

Actually this works property; provide us more of 30 pips (my plan was earn 30 pips as a minimum. Remember?). Nothing to do if I was wrong and take a small loss, anyway 50 pips are really good for me, I just risk 16 pips in this trade. Have a great week!