Controlling emotions in investment securities

"There is nothing new on Wall Street or speculative stocks. What has happened in the past will repeat forever. That is because human nature does not change, and human emotions depend on their ability to understand. What I certainly "Jesse Livermore

- Control your emotions is the most fundamental factor when trading in the market. Do not ever lose control emotionally when market movements against you. And do not ever feel excited about your success to the market easier than you think to make money. Never fight the market, it's true ... upon the market.

- Do not predictable! Wait until the market for your clues, signals, hints, before you join. Join only after you see the confirmation. Prediction is very difficult. It is your greed and hope. Do not decide based on the prediction. The market always gives you time. If you wait for clues, have more time to perform transactions.

- All human beings share the same, with different personalities: aggressive, shy, impulsive, impatient, blunt, obtuse, classic, modern, rational and irrational. Research stocks you human studies, a moment later, their response to specific circumstances can guess. Some transaction limit their transactions with shares in the quote.

- Do not take time to learn the price movement of individual stocks. Rather, the main consideration of the fact that stock. The answer lies in what the market is going, do not try to find out why, the most important thing - do not ever argue with the market.

- The transaction can be persuaded away from his comments upon hearing the advice of others, was convinced of his assessment was wrong. Listen to others can cause hesitation and misjudged. This hesitancy can lose confidence, this could mean losing money.

- Tips come from multiple sources - relatives, who loves, friends who want serious investors and increase his property. They can also be the mercenary, crime. Remember: all tips are dangerous - do not listen to advice!

- Eliminate the dictionary expect from your trading. Hope shares a form similar to real gambling. If you do not have solid reasons for holding stocks, then move on to more reasonable transaction. Hope to share, or to cause collapse of stock speculators. Hope always associated with greed.

- Always get your feelings out - but not too confident about success and not bored with your failure. You must remain calm and balance in action.

- Nothing changes in the market. Only one thing, change is the participants and new participants have no memories of the financial cycle occurs in the large front, like the collapse in 1907 or 1929 because they have not gone through that period. It started with the new - but not new to the market.

- Always have the first method, an attack plan cong.Va keeps abreast of ban.Dung plan your plans change constantly. Please find an efficient method of emotional and intellectual, and compliance methods - follow the rules you should build.

- Speculators are not investors. His aim is to ensure profits are over a long period of time. Speculators profit from an increase or decrease in the price of whatever he decides speculation.

- Independent transactions. You decide to make money for themselves. Keeping secrets and silent about his dealings. Do not disclose your shares increase or decrease you.

- Investors do not always successful market participants - sometimes you have to hold all cash. If you lack the confidence of market trends, wait.

- There are four characteristics of mental strength to become better trader:

· Observation: observation capabilities are not biased.

· Memory: the ability to remember important events accurately and objectively.

· Mathematics: learn the numbers easily at home.

· Me and learn from your experience.

- The emotions must be understood and controlled before the first success can be:

· Greed is human emotion is defined by Webster's dictionary as excessive desire to achieve or property, wants more worthy needs. We do not know the source of greed, all we know is that it exists in every human being. · Fear is willing to appear in a heartbeat, if it happens it distorts reasons. The lack of insight would act reasonably when they are afraid. And they were afraid when they start losing money. The judgment becomes weak. · Hopefully when aligned with greed exists in the stock market. After participating in a transaction, hope appeared. It is the nature of man's outlook, positive, hope for the best. Hope vital to human existence. But hopefully similar to its cousin in the stock market, ignorance, greed, fear, distorts reason. Hope obscured reality. Stock market just facing reality. Like the spinning of the wheel, the little black balls for results - not greed, fear, or hope. The result is the ultimate objective and not attractive ... like nature.

· Stupidity. To research and understand the market, not in the usual way, in a way understood. Unlike other entities, stock market, with glamor make money easily and quickly, as the name fool people do not manage their money. Conversely ignorance is knowledge, knowledge is power.

· The stock market is never obvious. It is designed to fool people into more time. The rule is usually based on thinking against human nature.

· You do not always participate in the market. Sometimes you should stay out of the market, emotionally as well as economic reasons.

· When the market is not in accordance with the decision of your purchase or sale, wait until it happens. Never give a reasonable explanation of your position with what is happening in the market.

· Do not give or receive advice, just remember it. In stock markets generally rose up, in a bear market they often giam.Do is everything that a person needs to know, or for you to tell them so.

· Do not break your rules. Speculators often share a mistake, and he knew that but continued violation anyway, then only themselves to blame for breaking his rules.

· Never become inadvertently investors holding shares fell.

· Never buy stocks and never falling stocks are rising.

· Do not use words increase or decrease.

Source: Collected