Trading psychology and TA

[crwth]

Exactly, why have a debate on which is more important when the truth is both psychological and technical analysis is related or a combination, you see in order to plot a good technical analysis with small margin of losses and a good profit potential you will need knowledge and also your strong psychological, because when it comes to execution you will contradict yourself by being afraid to take the risk or questioning yourself if you can take the risk, that's when the psychology part comes, if you can manipulate or control your mind then you can think straigj you can decide where you are going to earn or things will be on your way and also because of the markets volatility it is necessary to have a strong mind and psychological mindset in trading. Try doing a trade without a strong and built-up psychology; I'm sure you will panic and find it hard to decide as your mind will think of other scenarios or be an overthinker.

There might be reasons why he is finding the answer but it just doesn't make sense to me. Why make it different or have like a difference in both just because they are different fields? All I know is that trading requires a lot of things and both of it, Technical Analysis and Psychology, are the pillars. You can add experience if you want to as well.

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[Hamphser]

I have observed great number of traders debate on the issue of having a solid psychology and right approach to trading better pay off than just relying on some Strong Technical Analysis but others don't believe in psychology they base there points on having a winning strategy and proper risk management
What's your take guy's...
Does Psychology exist or is just an illusion of you not  having the right approach and risk management, fundamentals...that affect your trades

Why would really be needing to have some argument on which one? if you could really be able to have two?.Trading psychology + having that TA knowledge then this is something that
would really be giving out that kind of advantage on your part and this is something that you would really be needing up to learn on this way so that on the time that you would really be
deciding on dealing up with this market. Its not something a skill or knowledge that you could be able to obtain so easily but at least you do already know or having at least the awareness on what it is.
You would really be needing in all sorts of stuffs all together so that you would really be able to make yourself at least be that knowledgeable on things on which you could apply
into your trading and this is something that you should be mind on.

[JayTrain]

From my experience as a trader, I believe that both psychology and technical analysis play a crucial role in successful trading. Psychology helps control emotions and make informed decisions, but without a winning strategy and risk management, results can be unpredictable. Thus, it's essential to strike a balance between psychological resilience and technical knowledge.

[kamvreto]

Psychology will be the determinant where decisions will always be based on feelings and feelings are played by trading psychology. when someone does not have a stable psychology about how to make the right decisions, this will have an impact on the profits and losses obtained in the end. Therefore, adjustments to psychology are needed and this also needs to be trained. Trading professionals will also experience unstable mental fluctuations when they are under strong stress levels. Therefore, keep your mood good and do not affect your psychology when trading.

[Volimack]

Trading psychology is definitely important. The reason is that if one's mental condition is not good, then he will definitely make wrong decisions and here psychology helps people to make the right decisions. This is why I think it is important to be mentally healthy while trading. If you are not mentally healthy then it is not possible to make the right decision and manage the trade properly.

[goaldigger]

Does Psychology exist or is just an illusion of you not  having the right approach and risk management, fundamentals...that affect your trades

It exist and it plays and important role when you do trading. Your emotions are also based on your psychological trait and we cannot deny the fact that emotions is very important and when you are too emotional in trading that can be more risky. Risk management are also part of your psychological behavior as you intend to manage your decisions based on your emotion as well. You have to consider everything in trading and you have to be more aware of it than just ignore it.

[Zigabel]

I have observed great number of traders debate on the issue of having a solid psychology and right approach to trading better pay off than just relying on some Strong Technical Analysis but others don't believe in psychology they base there points on having a winning strategy and proper risk management
What's your take guy's...
Does Psychology exist or is just an illusion of you not  having the right approach and risk management, fundamentals...that affect your trades

It's almost impossible to take out psychology when discussing trading because it has got such a great role to play that you literally can't just lay it aside, as humans once we are involved in anything and it has a way of affecting our finances, there's always this psychological struggle around it too which you can't seem to down play even if you may think it's not important but it actually is and for sure we know it is. Your winning strategy is paramount no doubts but you still need a good and strong psychology to maintain that strategy because no strategy works all the time in the market but your psychology helps you hold on to your strategy and wait to apply it at the wright time.

Most traders may want to ignore the impact of a good and strong psychology but in the long term they still come back to working on their psychology as if you don't have a good psychology you are definitely going to get a whole lot of things wrong while trading even with the winning strategy.

[traderethereum]

Trading psychology is definitely important. The reason is that if one's mental condition is not good, then he will definitely make wrong decisions and here psychology helps people to make the right decisions. This is why I think it is important to be mentally healthy while trading. If you are not mentally healthy then it is not possible to make the right decision and manage the trade properly.

If someone feels that his mental condition is not good, he does not need to force himself to trade. He will find it difficult to analyze market conditions if he is mentally disturbed, which will cause his analysis to be unable to find the right coin.
We can trade again after everything is resolved to analyze it well and find the coin. Even though we still need time to find the coins, we can still analyze them well and can focus on the analysis we do.
First, make sure your mentality is good so you can focus on analyzing the market and finding the right coin.

[el kaka22]

You need to have a solid psychology, an emotionally rock that doesn't flinch at any movements and can do what they need to do, but also remember all that you study from TA as well, and you should study TA because even though that may not be the answer at every turn, it is still by far the best way to make some money in the crypto trading world. These are not mutually exclusive things, but you need to be perfect on both of these. Mastering them can be achieved one by one as leaning them simultaneously not necessary as long as you just paper trade.

I have never seen someone make consistent money for years by trading daily without knowing TA, that doesn't exist and can't be done. This is why it is better to put some decent efforts on this always as much as we can. Would make it a lot more entertaining for all rather than getting a feeling like going back to school.

[o48o]

I have observed great number of traders debate on the issue of having a solid psychology and right approach to trading better pay off than just relying on some Strong Technical Analysis but others don't believe in psychology they base there points on having a winning strategy and proper risk management
What's your take guy's...
Does Psychology exist or is just an illusion of you not  having the right approach and risk management, fundamentals...that affect your trades

Can you elaborate what you mean by psychology existing there?

The whole ta revolves around psychology and reason we use charts to predict the markets, is that humans and their emotions are predictable and repetitive. We can see fear from the charts as well as greed, trust and hesitance.

There's a whole trading principle build around crowd psychology that studies the repetative patterns we see on the charts, that are reflecting market mood swings. You might have heard about it. I am talking about The Elliott wave principle. I see every TA indicator doing the same thing. Only difference that elliot wave theory is openly admitting it's purely representing crowd market behavior psychology.

[synchronym]

I have observed great number of traders debate on the issue of having a solid psychology and right approach to trading better pay off than just relying on some Strong Technical Analysis but others don't believe in psychology they base there points on having a winning strategy and proper risk management
What's your take guy's...
Does Psychology exist or is just an illusion of you not  having the right approach and risk management, fundamentals...that affect your trades

op never mind this is kind of funny to me because when i buy bitcoin the price will be low and when i want to sell bitcoin the bitcoin market will be up it's absolutely ridiculous. It is never possible in bitcoin investment psychology trend will depend on something good or bad. Of course we need to have enough knowledge about bitcoin and have enough understanding about bitcoin market so that we can profit through bitcoin. If we invest bitcoin at wrong time then we must suffer a lot for that if we patience is very important in bitcoin we always have long term plan and if we invest patiently we will be successful one day.

[Sebas.tian]

Crypto trading required psychology to know your direction like when to trade in the market to be comfortable with what you are going to achieve at the end of your trading, and when not to trade not to engage yourself in lost in the market. As a newbie in the system, try your possible best to acquire solid psychology which are part of some of the things that is giving some potential traders wisdom to continue doing well in their crypto trading. Having a winning strategies is very important, but how to make it function whenever you trade in the market is the major challenge many traders in the community are facing today, and if you want it to function on the time try to always exercise patience.

[Julien_Olynpic]

Psychology in trading is important, but it is still of secondary importance. After all, this is just what we need to execute our strategy. No matter how clever your strategy is, once you stop following it, it will not bring you profit. Putting a strategy into practice requires discipline. Discipline allows you to manage your emotions. If emotions control your discipline, then sooner or later losses will come. It's unavoidable. Thus, we often understand trading psychology simply as emotional discipline. Of course, the very concept of psychology is very broad and, in addition to the emotional sphere, it includes a lot of things, for example, worldview, but it is emotions that prevent us from trading.

[fullhdpixel]

Crypto trading required psychology to know your direction like when to trade in the market to be comfortable with what you are going to achieve at the end of your trading, and when not to trade not to engage yourself in lost in the market. As a newbie in the system, try your possible best to acquire solid psychology which are part of some of the things that is giving some potential traders wisdom to continue doing well in their crypto trading. Having a winning strategies is very important, but how to make it function whenever you trade in the market is the major challenge many traders in the community are facing today, and if you want it to function on the time try to always exercise patience.

What about knowledge? Technical analysis is a part of knowledge that one needs to acquire before they get into trading because no matter how strong your psychology is, you can't get success alone with it and you need knowledge alongside a strong psychology to become an effective and successful trader.

Your psychology will help you decide what time is best for making a trade and your knowledge will help you determine which cryptocurrencies you should focus on and then you can do your analysis on those cryptocurrencies to see if they are in a comfortable trading zone or you need to wait or look for other options. So, it's a combination of psychology and knowledge that can make you an effective trader.

[Saint-loup]

The mindset is very important in trading because even if you have defined a trading strategy and decided a game plan, you have to be strong enough to respect it without panic selling or panic buying by fear of missing out. FOMO is common feeling known by most traders, but it mostly leads to make mistakes, because whalesand exchanges know how to trigger this feeling in small investors and traders heads, and trap them at the end. Some people depict that as the enrichment of the smart money by the dumb one.

[jaberwock]

First of all, explain what you meant as psychological trading.

Is it a type in which a trader will trade without having any bases of analysis? If that is it, it means the person is just gambling. Or does it mean a trader will not trade at all until the price of bitcoin has fallen so significantly? That is a good type of trading if that is what you mean.

But this would be good only for swing traders and holders. As for scalpers and day traders, technical analysis is very important.

According to what he wrote, yes that is what he mean by that but even when there are analysis included, there is still a risk so we are still gambling here although that is much better because at least we did an extra effort. If the price of BTC is falling, it's only best to buy it and not sell because we can't be able to profit there but that approach was like investing already, not trading. Swing trading is a type of trading so analysis might still be needed there and for investing/hodling, there is also for them but it was not mostly technical rather it was fundamental. Maybe there are traders too who use fundamental analysis apart from technical.

[Hamza2424]

I have observed great number of traders debate on the issue of having a solid psychology and right approach to trading better pay off than just relying on some Strong Technical Analysis but others don't believe in psychology they base there points on having a winning strategy and proper risk management
What's your take guy's...
Does Psychology exist or is just an illusion of you not  having the right approach and risk management, fundamentals...that affect your trades

YUP, Psychology exists bro this is why the market shows many swings in every zone, With every skill in the market you need one as mandatory the Price Action understanding because without analysing the price action you cant execute even basic trade.

Psychology exists, and that's the reason people take trades against the trending whether they lose or win is another debate but they trade in the opposite direction and mostly lose because the common phycology is if the price is already appreciated high now it will make some correction and that's a fact but against the trend traders with their weak phycology ignore that, they dont know how much more capital is coming in next frame, and they get an SL hit.

Explaining the whole this trade scenario was an idle situation to prove that we make trades based on phycology and that you need to master to be a big trader... hehe good trader...

[GreatArkansas]

(....)
Does Psychology exist or is just an illusion of you not  having the right approach and risk management, fundamentals...that affect your trades

Psychology is important in trading, crypto or non-crypto.
For example is a market cycle, which can be driven by psychological phenomena like greed, fear, overconfidence, etc. which can result in bubbles and crashes.

although psychology plays a significant role in cryptocurrency trading, it is not a massive barrier if you want to do trading.

[KingsDen]

I have observed great number of traders debate on the issue of having a solid psychology and right approach to trading better pay off than just relying on some Strong Technical Analysis but others don't believe in psychology they base there points on having a winning strategy and proper risk management
What's your take guy's...
Does Psychology exist or is just an illusion of you not  having the right approach and risk management, fundamentals...that affect your trades

What do you mean by psychological trading and the way you used it is somehow confusing. You mentioned it alongside technical analysis, making it look like (technical analysis and psychological analysis), while in the real sense, it is technical and fundamental analysis. We need to understand that whether technical analysis or fundamental analysis, psychology is both required. You cannot be successful in trading by only reading the charts and candlesticks without using your consciousness. In the real terms, psychology exists and not an illusion.

From my experience as a trader, I believe that both psychology and technical analysis play a crucial role in successful trading. Psychology helps control emotions and make informed decisions, but without a winning strategy and risk management, results can be unpredictable. Thus, it's essential to strike a balance between psychological resilience and technical knowledge.

Where then is the position of fundamental analysis. All these while, I have always read about fundamental and technical analysis debate and not technical and psychological.

[wxa7115]

The mindset is very important in trading because even if you have defined a trading strategy and decided a game plan, you have to be strong enough to respect it without panic selling or panic buying by fear of missing out. FOMO is common feeling known by most traders, but it mostly leads to make mistakes, because whalesand exchanges know how to trigger this feeling in small investors and traders heads, and trap them at the end. Some people depict that as the enrichment of the smart money by the dumb one.

The markets are driven by emotions, however the trader that lets themselves be dominated by them will never succeed, since those that have great influence over the market are experts at pushing the right buttons so people take decisions that go against their own interests.

And FOMO and FUD are two perfect examples of this, as we see traders buying and selling at the worst possible time, when in fact they should be taking the opposite decision.