Negative trader emotions: Fear, Greed, FOMO, Ecsta

Negative trader emotions

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1- Fear: This occurs during the decline in the price of a particular currency or when corrections occur. This is a normal thing, but in such cases the novice trader experiences a state of panic and makes the decision to sell at a loss.

2- Greed: By this we mean the psychological state that a trader experiences when the price of a certain currency rises, but he desires to make more profit, and soon the market turns, and the price suddenly drops, so the trader in this case loses the opportunity to profit and may sell at a loss.

3- FOMO: FOMO is an abbreviation for the English phrase: (Fear of missing out), which means the fear of missing out. This state occurs to the trader when there is great momentum to buy a certain currency, so the trader feels a psychological state that tells him that he will miss this opportunity, so he enters with The herd thus buys at the peaks, and this is a big mistake, as the market quickly turns, and the price suddenly drops.

4- Ecstasy: This is a psychological state that a trader feels when he achieves profits in successive deals. He feels a kind of euphoria that resembles the euphoria of a drug, so he continues to enter into other successive deals until he enters with all his capital and thus loses everything.

5-Rashness: which is entering into deals hastily without prior research.

6- Frustration: This is a psychological state that a trader experiences when he enters into several losing trades in a row. He feels a state of psychological frustration, which prompts him to make incorrect decisions.

热点： FEAR FOMO GREED