Fear of missing a trading signal - better not to make money than to lose

On the difficult road to stable profits Beginner trader There are many obstacles to overcome. One of these is the fear of missing out trading signal - market entry point. Often, beginners make losses due to the triggering of a stop loss just because they are afraid to "miss" an entry into the market, which promises a potential profit.

Chasing unrealized profits from missed trading signals

Many novice traders enter the market before the final formation of a clear trading signal to open a position when they see signs indicating a possible position opening point. This happens because of the fear that the market will go in the right direction, and a profitable entry into the market will be missed. Very often such "early" entries end up with a loss on stop loss. How to protect yourself from premature position opening and possible losses on them?

What thoughts come to a novice trader when the first signs of a potential market entry point appear? As a rule, a beginner begins to have fears that a trading signal to enter the market will be missed due to inattention or for some other reason. And the longer the trader is waiting for the signal to appear, the greater will be the fear of missing it, because the logic of the beginner trader simply does not allow him to accept the missed profit.

As a result, the trader begins to look for confirmation of the need to open a position, or, as it happens more often, opens a position, and then begins to look for an excuse for his actions. As we know, the one who looks will always find. Despite the fact that a clear signal to enter the market according to the strategy has not yet been formed, the trader necessarily finds a confirmation of his rightness, seeing the desired rather than the actual. As a rule, technical lines begin to rearrange, draws technical analysis figureswhich in fact do not exist, there is a pseudo-analytics and so on.

Events can develop in two ways:

• The trading signal happened a long time ago and the entry into the market is missed.
• Entry into the market is missed, the trader has received a loss on the stop loss.

In the first case, the beginning trader has an overwhelming desire to rehabilitate. "How could it be, because I calculated everything correctly, the price went in the right direction! As a result, the trader opens "chase", which, as a rule, violates the competent stop-loss/stake-profit ratio and, often, leads to the former.

In the second case, it can be even worse. The trader is fired up with the desire to take revenge on the market, starting to open positions without observing the conditions strategiesThe result, of course, is the same: "I won't wear a hat to spite my grandmother and I'll freeze my ears off. The result, of course, is the same: "I won't wear a hat to spite my grandmother and freeze my ears off.

How to get rid of the worry of a missed trading signal?

The problem of fear of missing an entry into the market, depending on the type of trading, can be solved in different ways.

For example, for the medium term traderThe number of trading situations can be increased, then the number of trading situations will increase, which will reduce the psychological stress associated with the waiting for and fear of missing an entry point. As an option, it is possible to expand their number, then the number of trading situations will increase, which will reduce the psychological stress associated with the expectation and fear of missing the point of entry into the market. For a trader who practices intraday trading, there are more than enough trading situations during the trading day, so more attention should be paid to the emotional component and the strict observance of the rules of the chosen strategy.

A universal and basic solution to the problem of fear of missing an entry into the market at the initial stage of a person's formation as a trader is to temporarily stop trading in order to eliminate any option of chasing a missed profit. It is very good to be distracted for some time by some other activity.

By entering the market by a trading signal that has not fully formed, the trader voluntarily assumes additional risks. There is no need to rush, the opportunity to make money in the market will appear all the time. Before earning, it is worth learning not to lose.