Scared of all the changes? Don't be!
- by Anna K.
As you might have noticed, 2020 didn’t really start in the best possible way. No matter how much we would like it to be more calm and more favorable to our trading, it seems that for us as traders it is going to be as far away from calm, as it is possible. There are too many changes coming in this year and we can do but to make our peace with it.
Сhanges are almost always scaring us. That is a natural way of things. People get used to world as it is. And when we are faced with changes and alterations, we can start panicking and making irrational decisions. But is that the best thing we can do? Is panic, although the most natural response, the best one?
Surely, we can come up with numerous examples for panic causing too much destructions. Take recent events, for example. US-Iran-Iraq war conflict. Man, was that a scary one, wasn’t it? We were on the brink of another devastating war in the Middle East, only now all sides of the conflict have nuclear weapons and that could turn the situation into the wrong direction.
But we are talking about trading.
The situation causes us to panic and to look for ways to protect our money. As a result, assets and funds have been withdrawn from the market which caused a selloff for several important instruments. Surely, one chart going down means that another one is going up, but isn’t that nice, when we have the possibility to trade with multiple assets and multiple brokers? When we have a broader choice of assets?
Surely, the more there are possibilities to earn, the happier we are and in a crisis situation, our possibilities shrink to a very low number of safe havens only.
That is just one example. And bear in mind that we are going to have a lot of such occasions this year. Will we panic and sell off everything as soon as changes hit the news? We have to restrain ourselves from that as much as we can and for as long as we can.
No matter the changes, we have to keep a clear and open mind and we have to be very calm for our trading’s sake. Of course, there is no point in waiting for too long and seeing your winning slip away from you, but premature selling can cause a lot of damages as well – remember that.
So, even though we are going to face a lot of changes in the nearest future, we have to be strong and calm. That is when we are going to find our winnings and our success.