Lesson 15 of 15
Trading Psychology
Psychology is responsible for up to 80% of a trader's success or failure.
**Common psychological traps:** - **FOMO** — Fear of Missing Out (entering late) - **Revenge trading** — increasing size after a loss - **Overconfidence** — after a winning streak - **Paralysis** — fear of taking any trade
**How to stay disciplined:** - Follow your strategy every time — no exceptions - Accept that losses are part of the process - Trade small until you are consistently profitable - Take breaks after losing streaks
Knowledge Check
7 questions
1.What percentage of trading success is attributed to psychology, according to the lesson?
2.What does FOMO stand for?
3.What is revenge trading?
4.What psychological trap often follows a winning streak?
5.What is paralysis in trading psychology?
6.What should a trader do after a losing streak, according to the lesson?
7.What is a key rule for staying disciplined mentioned in the lesson?