How to begin trading without allowing fear to control you

[ndutndut]

2. Open a Demo account:It’s better to practice trading with fake money first, learn different strategies, and gain confidence before you start using real funds. I can say you should try it for about 2 to 3 weeks, then later switch to real funds. Start with the little money you can afford to use. Don’t let anyone confuse you. Always follow your rules and only put in funds you can afford to lose 100%.

Demo mode can be a trap for some people because they think that they feel that they are ready for real trading in just few tries because of the good result with the demo account.
Instead of using demo account, I will prefer to use real money but started with small amount of money only so we can really feel the risk, we can really practice our emotion and obviously it gives real experience compared to demo account.
Demo account is good to practice some trading strategies but people should not use the result as a proof that they are already ready for the real trading.

Yes. I also agree with you. Indeed, a demo account is very useful to learn how trading works or to test strategies and it can even build a knowledge foundation without the risk of losing money.

However as you mentioned, good results in a demo can often be misleading because when we use a demo account, it doesn’t involve real emotions regarding losses, so we don’t experience the same pressure as when using real money. So it’s really better not to treat a demo account as proof of our readiness to trade, meaning don’t use it as a benchmark that we’re already fully skilled in trading, because this can be dangerous when you start trading with real money.

We really should start with real money but in a very small amount because this way we immediately feel the risk, which will train us in discipline, controlling our emotions and getting real experience rather than using a demo account. The key is just one thing: stick to your own trading rules and never force yourself beyond your financial ability when starting to trade with real money.

[SamReomo]

Demo mode can be a trap for some people because they think that they feel that they are ready for real trading in just few tries because of the good result with the demo account.

I will say the same because I also think that learning trading using a demo account won't be helpful because a new comer who learns trading from a demo account won't be able to do well when it comes to real money trading.

The ones who trade with demo account can't control their emotions when they use real money account. I would also say that the ones who start trading with small amount will perform better than the ones who start with a demo account.

A trader who's new should avoid leverage trading or shorting at any cost because most traders end up losing their funds by doing leverage trading and by shorting alt coins of low marketcap that can go way up in value when pumped by whales.

[Hamza2424]

Social media has created a generation of traders because traders who make some profitable trades by chance can't stop themselves from showing it to everyone, but they can easily hide their losing ones. That's why any viewers seeing them will be excited rather than doing their own analysis, they will follow them, buy their courses, and waste their money.

I like the point that we should focus on our process rather than daily profit because when we set a target in our mind, we feel emotions, like when not hitting that target.

We can develop remorse and feel frustrated, which can influence our next trades, and we can lose, and thus we become emotional here.

[Ojima-ojo]

Demo mode can be a trap for some people because they think that they feel that they are ready for real trading in just few tries because of the good result with the demo account.

I will say the same because I also think that learning trading using a demo account won't be helpful because a new comer who learns trading from a demo account won't be able to do well when it comes to real money trading.

The ones who trade with demo account can't control their emotions when they use real money account. I would also say that the ones who start trading with small amount will perform better than the ones who start with a demo account.

A trader who's new should avoid leverage trading or shorting at any cost because most traders end up losing their funds by doing leverage trading and by shorting alt coins of low marketcap that can go way up in value when pumped by whales.

I don't agree with employment of demo account for newbie trading, if you are looking for some beginners trading help, you should spend time researching and studying such before venturing into trading.


Instead of the time you have to be wasted on trading with demo account, you can start up trading with a very minimal amount of capital I mean your own money, that way you learn the risks and portfolio management using real money and not just some figures that doesn't exist in reality.

[Bitcoin_people]

Focus on each trade, not always the money:Let’s not be thinking, This is the amount I want to get from trading today, like making $100 return today. Instead, think, "I’m just risking 1% of my capital in the market today. That can keep you going and stop you from being scared to lose.

In trading, if you are thinking about a certain amount of profit and taking additional trades, it is an unnecessary risk where there is a greater chance of losing money than gaining it. In trading, it is most important to pay attention to how much risk is being taken on each trade and how much control is over it. When trading with 1% risk, even if the market situation is bad, the fund will not be completely lost but only a little. We must remember that it is not about making a profit on each trade, but learning from it and consistently protecting long-term capital. In trading, an experienced and intelligent person will never overthink it, but will trade with a certain amount of money within his control.

[Olatundespo]

Demo mode can be a trap for some people because they think that they feel that they are ready for real trading in just few tries because of the good result with the demo account.

I will say the same because I also think that learning trading using a demo account won't be helpful because a new comer who learns trading from a demo account won't be able to do well when it comes to real money trading.

The ones who trade with demo account can't control their emotions when they use real money account. I would also say that the ones who start trading with small amount will perform better than the ones who start with a demo account.

A trader who's new should avoid leverage trading or shorting at any cost because most traders end up losing their funds by doing leverage trading and by shorting alt coins of low marketcap that can go way up in value when pumped by whales.

I don't agree with employment of demo account for newbie trading, if you are looking for some beginners trading help, you should spend time researching and studying such before venturing into trading.


Instead of the time you have to be wasted on trading with demo account, you can start up trading with a very minimal amount of capital I mean your own money, that way you learn the risks and portfolio management using real money and not just some figures that doesn't exist in reality.

You have given very good advice. Using a demo account is a waste of time and not very useful for a new trader. In real trading, there is a fear of losing money and a desire to make a profit. The mentality associated with trading cannot be absorbed by using a demo account. A new trader will be gain experience by starting with a small amount of funds to start trading and by making small purchases and sales.
Another thing I would add to your advice is that as a trader becomes more experienced, he will take risks from time to time and learn to understand through market analysis what is the right decision and what is the wrong decision. Most traders learn from losses and trading mistakes.

[RockBell]

In trading, if you are thinking about a certain amount of profit and taking additional trades, it is an unnecessary risk where there is a greater chance of losing money than gaining it. In trading, it is most important to pay attention to how much risk is being taken on each trade and how much control is over it. When trading with 1% risk, even if the market situation is bad, the fund will not be completely lost but only a little. We must remember that it is not about making a profit on each trade, but learning from it and consistently protecting long-term capital. In trading, an experienced and intelligent person will never overthink it, but will trade with a certain amount of money within his control.

This is clear enough for people to understand because when you want to trade you don't need to rush things and starters love to create illusion about unrealistic figures and they need to do better than what they are doing now and there is no need for additional trades just do the little you can but some will want to impress there self and in the process of doing that it will cost you and that is why you need to be ready because trading is actually very risky because every decision have its own consequences so this is why I feel like trading can not be for everyone.

No matter how good you are you can not always be right when it comes to trading and that is why traders will tell you not to give up because as a beginner you have a long way to go because it will take you time to be able to trade well so it's not something you feel you can make quick profit from so there should not be any form of pressure.

[terrific]

No matter how good you are you can not always be right when it comes to trading and that is why traders will tell you not to give up because as a beginner you have a long way to go because it will take you time to be able to trade well so it's not something you feel you can make quick profit from so there should not be any form of pressure.

The best traders know this well.
They can't be always profitable and time will come that some of their trades will lose.
But when the times of profitable traders come, that will show how good they are in managing those profits.
Either they'll take out the capital from their first trade and will go on with another one or completely use all what they have for another trade.
So the risk management is important and this is what the good traders have while the beginners need to learn.

[TheUltraElite]

The solution to fear is knowledge. Knowledge on how trading works and how you can get ahead of yourself. Experience comes hand in hand with this, more experienced the person becomes about how trading works and how to manage the market, the person will fear less and less.

Also a cushion of money to back yourself up when the market goes haywire is also an important thing reduce the upcoming fear.

And another thing is the avoidance of any sort of borrowed money to trade.

[Barikui1]

The truth is that the best way to begin trading without allowing fear to control you is by trading with what you can afford to lose, because once you know that this margin you enter the trade with is what you can afford to lose, you will trade with confidence because you know that even though the worst happens, you will still be fine emotionally and financially, but the moment you trade with what you cannot afford to lose, you will panic at every given time, especially when the volatility in the market is in full swing, so the best way to maintain composure when trading, is by trading with a funds you can afford to lose.

[masulum]

I don't agree with employment of demo account for newbie trading, if you are looking for some beginners trading help, you should spend time researching and studying such before venturing into trading.


Instead of the time you have to be wasted on trading with demo account, you can start up trading with a very minimal amount of capital I mean your own money, that way you learn the risks and portfolio management using real money and not just some figures that doesn't exist in reality.

well, this depends on each person perspective. For me, demo trading still remain important part of the process before becoming a real trader. even not making fear of losing money, a demo account allow people to take practice to learn how to avoid fear taking control when doing real trading. For example, during a flash crash, someone can learn what to do, whether to hold the position or close it. Demo trading can also help to learn to analyze the market, both technically and fundamentally. If you think this is just a waste of time, that’s fine because it just your own perspective about demo account. and i agree for some people, they believe using their own money just making them feeling to fear faster than using a demo account. But in other side not everyone feels using a demo account before trading with real money is a waste of time.

[ObeyKnock]

I don't agree with employment of demo account for newbie trading, if you are looking for some beginners trading help, you should spend time researching and studying such before venturing into trading.


Instead of the time you have to be wasted on trading with demo account, you can start up trading with a very minimal amount of capital I mean your own money, that way you learn the risks and portfolio management using real money and not just some figures that doesn't exist in reality.

well, this depends on each person perspective. For me, demo trading still remain important part of the process before becoming a real trader. even not making fear of losing money, a demo account allow people to take practice to learn how to avoid fear taking control when doing real trading. For example, during a flash crash, someone can learn what to do, whether to hold the position or close it. Demo trading can also help to learn to analyze the market, both technically and fundamentally. If you think this is just a waste of time, that’s fine because it just your own perspective about demo account. and i agree for some people, they believe using their own money just making them feeling to fear faster than using a demo account. But in other side not everyone feels using a demo account before trading with real money is a waste of time.

A demo account is useful for getting to know the platform and testing the waters with your strategy. However, demo accounts give a false sense of security and don't take into consideration market conditions. For example, there's no slippage. Orders are usually filled at the given price and there's no consideration for liquidity and thin books. Especially during a flash crash, for example, stop orders may be filled at prices well below the stop level. Also, since it's not your money, it's easier to manage positions on demo accounts.

My suggestion is that once you're confident about your strategy, start with micro lots with a live account. A loss is unpleasant but won't kill. This will give a sense of trading with your own money, which is another aspect that can't be simulated.

[WilliamCarter]

demo accounts are alright for getting a handle on the platform buttons and running basic strategy tests, but that fake money pressure ain't real life. instead of building a false sense of security in demo land, you're way better off throwing a tiny micro lot on a live account just to feel the real tick. keep your risk small and manageable so your head stays clear, and you'll actually build the mental toughness to handle real drawdowns.

[Obari]

You did great with your post and yes I think there is something a lot of us don't take serious why reading and thy is having another source of income to help us at in check especially as a newbie trader because it is very difficult to start trading with hopes on depending on profits from the trades which to me, I think might send down some sort of pressure to the trader and that might affect his trades more negatively.
So a trader with a more stable life and a more trading power and supporting capital, would always approach the market in a direct perspective as compared with someone who depends solely on the trades especially as a newbie.

[Rengga Jati]

Essentially, you should prepare yourself as thoroughly as possible before you begin trading. This includes mental readiness, knowledge, and the use of cold money. this is also about the capital that you can afford to lose. These three elements are the fundamental requirements. Further details on this can be found in the original poster's (OP) post. Which already includes a comprehensive explanation.

From a technical standpoint, traders must possess in-depth knowledge for both technical and fundamental analysis. It should be going well beyond general knowledge about cryptocurrency. And focusing specifically on trading preparation.

Mental readiness also influences your mindset. It also influences risk management and decision-making. Especially when the market moves against your expectations or your initial position. You must be truly ready. As this can exert an immense amount of pressure.

Yes. I also agree with you. Indeed, a demo account is very useful to learn how trading works or to test strategies and it can even build a knowledge foundation without the risk of losing money.

Some traders may not use demo accounts. Because they think this is useless or different. But, personally, I use this. At last, I can learn several things before in real trading. But, from the start, I had to understand that the risk levels were clearly different.

[Yeesha]

Essentially, you should prepare yourself as thoroughly as possible before you begin trading. This includes mental readiness, knowledge, and the use of cold money. this is also about the capital that you can afford to lose. These three elements are the fundamental requirements. Further details on this can be found in the original poster's (OP) post. Which already includes a comprehensive explanation.

From a technical standpoint, traders must possess in-depth knowledge for both technical and fundamental analysis. It should be going well beyond general knowledge about cryptocurrency. And focusing specifically on trading preparation.

Mental readiness also influences your mindset. It also influences risk management and decision-making. Especially when the market moves against your expectations or your initial position. You must be truly ready. As this can exert an immense amount of pressure.

Emotional stability is actually very important. As a trader it is actually very important to consider your the stability of your emotions and prioritise it, before even ensuring financial stability. Because as a trader, if you are not in your right state of mind you won't be able to handle your finances, talkless of growing it. Your mental state is everything, as long as you are mentally stable, financially stable and properly or fully ready, you will be able to handle everything amicably. Is not always about your capital, the most important thing is how to protect, preserve or utilise the capital in order to achieve your dreams.

[Mr Reporter]

I don't agree with employment of demo account for newbie trading, if you are looking for some beginners trading help, you should spend time researching and studying such before venturing into trading.


Instead of the time you have to be wasted on trading with demo account, you can start up trading with a very minimal amount of capital I mean your own money, that way you learn the risks and portfolio management using real money and not just some figures that doesn't exist in reality.

Sorry bro!!! Is this supposed to be a good advice, hope you should understand the danger of telling a newbie to skip the process of learning which is okay, helpful plate forms making use of demo and go straight to the real money which I see as a waste of time….

Now I want you to understand that for a start up starting with real money brings a lot of emotional settings….in demo account newbie’s are  entitled to learning how the platform works, how to place stop loss, take profit, how leverage works, without paying for every silly mistake think of it as that…

[Royal Cap]

Sorry bro!!! Is this supposed to be a good advice, hope you should understand the danger of telling a newbie to skip the process of learning which is okay, helpful plate forms making use of demo and go straight to the real money which I see as a waste of time….

Now I want you to understand that for a start up starting with real money brings a lot of emotional settings….in demo account newbie’s are  entitled to learning how the platform works, how to place stop loss, take profit, how leverage works, without paying for every silly mistake think of it as that…

Well, when we trade on a demo account, we can learn technical things but we cannot build up our psychological skills. Because in a demo account, we do not have the fear of losing money. That money is not our own hard earned money, it is just a number on the screen.
But when someone goes to trade on a real account, they fall victim to FOMO and fear works. So for this reason I think that after practicing on a demo account for a few days and learning the basics a trader should trade on a real account even with 10 to 20 dollars.  In this way he will be able to learn to control FOMO without the risk of big losses, which is never possible with a demo account.

[Mr Reporter]

Well, when we trade on a demo account, we can learn technical things but we cannot build up our psychological skills. Because in a demo account, we do not have the fear of losing money. That money is not our own hard earned money, it is just a number on the screen.
But when someone goes to trade on a real account, they fall victim to FOMO and fear works. So for this reason I think that after practicing on a demo account for a few days and learning the basics a trader should trade on a real account even with 10 to 20 dollars.  In this way he will be able to learn to control FOMO without the risk of big losses, which is never possible with a demo account.

I would still say it is fair enough, the demo cannot teach everything in fact when it deals with psychology on trading, Fear, FOMO, greed, revenge trading, none of that exists when it's fake money.

Back then I had a friend who was a demo hero and when he was still learning he blow up an account worth $20 in just 10min because his hands were shaking…

But I would still disagree on this point few days is not enough to learn  technical basics of trading. If in just 3 days you go with real money worth of $10, you haven't learned, let just say you are just gambling with small money and calling it psychology training….

[Cossyblack]

But I would still disagree on this point few days is not enough to learn  technical basics of trading. If in just 3 days you go with real money worth of $10, you haven't learned, let just say you are just gambling with small money and calling it psychology training….

There's no way you can learn trading in a few days, that is not realistic. Trading isn't like investment where you only need to invest and hold. Trading is far more complicated and complex to understand within a few days. This might be what those fake traders sell to people and they buy it, if trading is that easy to learn in a short time,  many people would have been traders today.

The minimum time to master trading is 4-6 months but if you are someone who learn fast, then it might take you 4 months but learning it in just a few days is  just unrealistic.