About psychological skills in successful trading.

THE PSYCHOLOGICAL SKILLS NECESSARY TO BECOME A SUCCESSFUL DAYTRADER
are as follows:-

1) COMPELLING PERSONAL MOTIVATION.
-posses the intensity to do whatever it takes to win.
-overcome bad day or temporary setback.
-stick to trading plans.
-not allowing a momentary impulse based on fear & greed to control your decisions.

Many day traders live & die on a roller coaster of inhibiting emotion.This is not the soil in which effective trading flowers.

2) GOAL SETTING.
-goals give direction & focus to trading plans as well.
-know what you are trying to accomplish if you want excellent result.
-must be able to answer without qualification.

3) CONFIDENCE.
-self-trust & being in control.
-expect results based on hard work,discipline & an effective (tested & proven) methodology.

4) ANXIETY CONTROL.
-Day traders main anxiety---fear of failure.
- Perfectionist traders concerned about what others think.
-Traders should focus on applying their methodology,mentally rehearse the mechanics of the trade & convince themselves that trading is not about proving anything to anybody.
-If you are a perfectionist,the more you focus on your methodology,the more you'll feel in control of your anxiety.

Another source of trading anxiety is....fear of success.Traders may lose control & engage in euphoric trading while in fact doubting themselves.

Be in relaxed mode when trading.If you fear losing control,focus on your specific methodology & expect small losses.

5) FOCUS.
-well analyzed & strategical trade ( based on probability)
-automatic execution.( based on highly concentrated focus & confidence)
-successful day trade results.( whether the trade makes profit or loss)

6) STATE OF MIND MANAGEMENT.
-constantly trade from a state of mind that allows you to maintain high level of self-esteem,unshakable confidence & laser straight focus.

This state of mind is characterized by relaxation focus without anxiety,self-trust & resourcefulness.

TRACKING THE DOW MOVEMENT.

Looks like distribution in the final hour of trading with selling pressure.It ends with short covering and a spinning top.Might spill over next day!
http://www.candlesticker.com/Cs03.asp













A bullish candlestick.Any pullback the next day should cover till the half-body due to profit-taking.