Trading Psychology Discipline

I. Self-Check Before Entering the Market (Mandatory)

1. Are you feeling calm right now?
Irritated, angry, anxious, excited → Do not open a position
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2. Did you just lose money and want to recover it?
Want to revenge the market → Do not open a position
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3. Is there no signal, but you’re itching to make a trade?
Bored and want to trade → Do not open a position
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4. Is your position size within a range that allows you to sleep peacefully?
Can't sleep → Position is too large, reduce immediately

II. Iron Rules for Holding Positions

1. Only focus on the rules, not profit or loss
When it rises, don’t get cocky; when it falls, don’t panic. Only watch if the exit conditions are triggered
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2. Don’t watch the screen obsessively until your mindset breaks
Set stop-loss and take-profit levels, watch less intraday charts
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3. Never change the rules mid-trade
Adding positions, canceling stop-loss temporarily, or holding through losses → 90% of big losses come from this
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4. When profitable, don’t be greedy; when losing, don’t be lucky
Take your profits when it’s time, the market won’t sympathize with you

III. Correct Mindset After a Loss

1. Losses are part of trading, not a failure
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2. Consecutive losses of 2-3 trades → Force yourself to stop and rest
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3. Don’t add funds to “recover”
The more anxious, the more mistakes; the more you add, the deeper you go
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4. Review the reasons, don’t attack yourself
Blaming yourself for being useless only makes the next trade messier

IV. Correct Mindset After Profit

1. Don’t get cocky after making money, don’t think you’re “god”
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2. Don’t enlarge your position size just because you made a profit
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3. Take some profits off the table, don’t give it all back
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4. Stay humble: the market can teach you at any time

V. Minimal Daily Trading Mantra

- Don’t understand → Don’t trade
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- Not calm → Don’t trade
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- Hit stop-loss → Exit immediately
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- Have profit → Hold on
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- Too itchy → Stay out of the market