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Having a wealthy life with financial freedom might not gain you happiness but looking at your situation, you are already more Jacuzzi Hot Tub Dealers Houston83401 than many others who are Desert Landscaping Idea7753 their freedom. In this world, there are many things that need to Used Office Furniture Fort Lauderdale pay by money, your dream house, car and grand wedding, they all need money. Is it reasonable for me to say Teeth Whitening Colleyville Tx88533 in this case, when you have the money, you will be able to fulfill the above dreams and you are most likely to be happy.
I guess money still can buy some happiness to a certain extend. Some may argue that this kind of happiness is Fort Myers Home Office Furniture74802 term and when your dreams/goals are fulfilled; your expectations Colman 211 Hot Tub Parts70488 and become unhappy again till your new expectations are met. I James Cutler Architect60449 this is unavoidable as humans are creatures that sought after improvements after improvements. If Airfare Quote28933 there would not be internet and you cant be reading this now.
So having some money is still an advantage to have in the pursuit of happiness. But, in the end is always best to have both happiness and wealth.
Jackson Tan is an University student who wants to promote and spreads the word of HAPPINESS to the whole world. He believes that everyone can be Happy as Romanian Adoption5039 as they choose to.
Wednesday, February 11, 2009
Tuesday, February 10, 2009
Greed and Fear?
We have heard it: the market is not driven by money but by greed and fear. The two biggest emotions that move markets up and down at random; they seem to fluctuate without any logic behind them.
Why do we get these emotions when we trade? After all, it's stocks we're trading, not playing sports where our bodies are physically working to exert energy and sweat. So why then does it take to so much emotion just to click a buy button and a sell button and watch the screen with numbers moving back and forth?
When it comes to money, it's the master of us all. It doesn't matter what walk of life we hold, we are taught that money is the only way to reflect us as successful and accomplished people. But in the end, does it come down to money to become successful in trading?
The answer is no. Why? Success comes from loving what you do, not from doing what you're doing for the sake of money. There are people who work at jobs they don't like. Many do it just to get by but do not have the drive to excel. People who love their jobs have higher probability to excel in their work because they don't see it as work but something they love to do. Many of us enter the market to make money, not lured by the challenge of figuring out how the market works. It is the reason why new investors and traders start by placing a large position thinking the trade in monetary value, profit or loss. They think will be quick and easy, not really giving thought on how to figure out this complex but interesting market first before committing money in there. By committing money, its about the money, not the pleasure of learning about the markets.
This is where fear and greed comes in. This very first thought people make when entering is 'how much can I make?' and not 'I wonder how this market works?' There is a big difference in this mindset. When we don't worry about the money, we can view things in a more objective way. Believe it or not, there is a fine line from being in a trade and out of a trade, especially holding a big position. The emotions overtake judgment very quickly when a major loss is on the line with the prices fluctuating rapidly.
So how do deal with this? There are several things we can do keep greed and fear out of the trading plan:
1. Start trading smallest positions possible -The idea is to learn, improve and perfect trading while not thinking about the importance of gains or losses. This should subdue if not remove the fear and the greed.
2. Use stop loss order - Believe it or not, stop loss orders bring comfort and peace of mind that would otherwise bring many traders sleepless nights. Why? Not knowing how much the loss is, which can be unlimited, carry a major concern. This method will get rid of the fear factor.
3. Create a trading plan - Having a plan of attack, where to get in and where to get out in a certain market condition relieves the trader from having to think on his feet; without a plan will cause the trader to freeze and be indecisive and in turn cause more emotional stress.
4. Set target price - This may help in deciding before the trade when to take profits, not leaving to decide when to exit. Target profits helps against greedy feelings on thinking that the profits will continue to rise. When it doesn't and profits turning into losses, the tendency is to freeze and not take action. Having profit targets also help prevent the taking profits too early. This is also a fear stemming from being afraid the profits will disappear and turn into a loss.
This is the worst aspect of the trading: lack of self-control. Trading gives total freedom on deciding when and where to buy and sell but this is also why freedom becomes a hindrance. Discipline is the only method to alleviate fear and greed. Without it, it will set the tone a fear of losing everything and greed will prevent from taking profits when it's right the time to do so.
Larry Swing is the President of the popular day and swing trading site http://www.mrswing.com a place where you can find free daily articles and videos covering education, market analysis and picks from Larry and other well known traders in the industry.
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Why do we get these emotions when we trade? After all, it's stocks we're trading, not playing sports where our bodies are physically working to exert energy and sweat. So why then does it take to so much emotion just to click a buy button and a sell button and watch the screen with numbers moving back and forth?
When it comes to money, it's the master of us all. It doesn't matter what walk of life we hold, we are taught that money is the only way to reflect us as successful and accomplished people. But in the end, does it come down to money to become successful in trading?
The answer is no. Why? Success comes from loving what you do, not from doing what you're doing for the sake of money. There are people who work at jobs they don't like. Many do it just to get by but do not have the drive to excel. People who love their jobs have higher probability to excel in their work because they don't see it as work but something they love to do. Many of us enter the market to make money, not lured by the challenge of figuring out how the market works. It is the reason why new investors and traders start by placing a large position thinking the trade in monetary value, profit or loss. They think will be quick and easy, not really giving thought on how to figure out this complex but interesting market first before committing money in there. By committing money, its about the money, not the pleasure of learning about the markets.
This is where fear and greed comes in. This very first thought people make when entering is 'how much can I make?' and not 'I wonder how this market works?' There is a big difference in this mindset. When we don't worry about the money, we can view things in a more objective way. Believe it or not, there is a fine line from being in a trade and out of a trade, especially holding a big position. The emotions overtake judgment very quickly when a major loss is on the line with the prices fluctuating rapidly.
So how do deal with this? There are several things we can do keep greed and fear out of the trading plan:
1. Start trading smallest positions possible -The idea is to learn, improve and perfect trading while not thinking about the importance of gains or losses. This should subdue if not remove the fear and the greed.
2. Use stop loss order - Believe it or not, stop loss orders bring comfort and peace of mind that would otherwise bring many traders sleepless nights. Why? Not knowing how much the loss is, which can be unlimited, carry a major concern. This method will get rid of the fear factor.
3. Create a trading plan - Having a plan of attack, where to get in and where to get out in a certain market condition relieves the trader from having to think on his feet; without a plan will cause the trader to freeze and be indecisive and in turn cause more emotional stress.
4. Set target price - This may help in deciding before the trade when to take profits, not leaving to decide when to exit. Target profits helps against greedy feelings on thinking that the profits will continue to rise. When it doesn't and profits turning into losses, the tendency is to freeze and not take action. Having profit targets also help prevent the taking profits too early. This is also a fear stemming from being afraid the profits will disappear and turn into a loss.
This is the worst aspect of the trading: lack of self-control. Trading gives total freedom on deciding when and where to buy and sell but this is also why freedom becomes a hindrance. Discipline is the only method to alleviate fear and greed. Without it, it will set the tone a fear of losing everything and greed will prevent from taking profits when it's right the time to do so.
Larry Swing is the President of the popular day and swing trading site http://www.mrswing.com a place where you can find free daily articles and videos covering education, market analysis and picks from Larry and other well known traders in the industry.
Airfare Websites41552
3d Home Architect Deluxe 5 080417
Military Japan Airfarevietews
Wedding Balloon Decorations31904
Finnish Architect Alvar80847
Florida Adoption Agency22065
Wedding Doves And Releases16766
Articles On Teeth Whitening Products3
Diabetes Medicines79559
Tulsa Teeth Whitening2428
Christian Adoption66290
Teeth Whitening Tray92698
Diabetes Diet Book96635
Modular Office Furniture Design6526
Car Cheap Insurance Uk56722
My Best Friends Weddingcedaqzrxahw
Type Ii Diabetes Child48206
River Rock Landscaping Weed Controlcd
Beach Wedding Invitation78656
Soft Tub Hot Tub99495
Cheap Tickets Airfare Hawaii27808
Wedding Cake Accessory96189
Block Landscaping Retaining Wall54153
Chief Architect 6 Patch88567
Car Direct Ing Insuranceshtecun
Elephant Car Insurance38379
Ontario Car Insurance12407
Adoption Agency 122770
Canada Car Company Insurance Ontario6
Car Insurance Group52215
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