Mel Robbins - 5 Second Rule Applied to Trading
Trading losses are unavoidable. How you deal with losses, though, is what separates the professional traders from the amateurs. A single loss is one thing, but a string off losses resulting in a losing streak can wreak havoc on a trader's psychology and confidence.
A developing trader on a losing streak, who once executed as if on autopilot, now hesitates. They see a trade set up, but then doubt, and maybe even fear, take hold. The trader pauses, finger hovering over the mouse, seemingly unable to click submit. They glance once again at the chart, studying the setup and looking for something they may have missed - a key level of support or resistance, a divergence or a buy/sell signal that would indicate it's not as good a setup as originally thought.
A moment passes, price moves in the expected direction, hitting the would-be entry and then continues to run without you. You missed the trade, but at least you were (hopefully) disciplined enough not to chase it.
Sound familiar? We've all been there.
This is a great video containing concepts that can help you avoid the psychological pitfalls all traders encounter and maintain a winning attitude by focusing on your passion and utilizing one simple strategy to consistently take action. 5-4-3-2-1. Watch the video and then buy the book.