Thursday, May 13, 2010

Emotional Overtrading Hazard

Closed the AUD/USD trade with 27 pips loss after a two hour long emotional vs logical debate on the trade setup. As much as I had wanted to recover my earlier losses, I had to admit that I have made an irrational and careless trade. Anger and frustration are not the emotions you should experience when you enter a trade. That was the fourth trade of the day. Shortly after closing the trade, I scalped 17 pips from 2 GBP/USD pair. Altogether there were 6 trades.
Two major mistakes today, emotional and over trading.

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