The last week of April ended with a profit of $319. So, the series of making money with the T.L.S strategy has completed the set target in April. This is a statistical process of winning and losing probability within 1 month. Although short, I have drawn many good things. And what I want to tell you is to throw away your emotions when trading in Olymp Trade.
Emotions are to throw away in financial trading
Emotions are not necessary when trading in financial markets. If you let your emotions interfere with what is considered to be the highest risk, then something bad is very likely to happen.
Greed is what always exists in every human being. However, that desire depends on the situation. For a trader, greed will give us much motivation to move on. However, you must be reasonably greedy. Do not set expectations too high or you will be disappointed.
In trading, if you have made a relative profit compared to your initial balance, you should stop. Do not let greed lead you and then you have to set a goal of doubling or tripling your balance. It can still happen but if you want to get there, you have to know the risks well.
Some traders have a one-day trading profit equal to 50% of the total capital. But he does not feel enough because his greediness is too great. He has been frantically trading to blindly seek for greater profits. In the end, he goes back to the starting line of 0.
=> Be the one who knows what is enough. Do not let greed obscure reason. In order to do that, it is necessary to set the target of the profit percentage over the total capital. When we reach that level, we should stop trading.
For investors, the fear comes from a series of continuous losses. If you try to avoid facing failure, you will never succeed. If you stick to the fear of previous lost orders, you will slowly be left behind when others are advancing.
To no longer fear of lost transactions, analyze it carefully. Ask yourself why you lose that order and what else you can do to win. When clearly understanding a problem, fear will no longer exist in your mind.
If you are in a series of continuous losses, stay calm, don’t look at the loss, or think negatively. What you need to do is analyze to avoid the risks once facing that problem again.
=> Choose investment assets that you know best. Avoid investing in too many assets that you don’t know well enough. Focus on what you are best at to get the best feelings in trading.
It is very common to get angry about losing your previous profit and urging to get it back. This is called “market revenge” when it comes to unacceptable failures. If you can get your profit back, there is nothing to discuss. But how’s about failure? Try to accept it as a matter of nature because this is a game of probability.
When angry emotions arise in trading, the worst will happen soon. An investment that is definitely profitable but suddenly becomes a lost one. In that case, if you lose your temper and rush into trading to satisfy your anger, you will likely burn out your balance. Because at that time, the anger has taken control of you.
=> Accept failure and draw yourself lessons. From there, don’t make the same mistake. If you cannot accept failures, temporarily, you should not enter the market. Because here, anything unexpected can happen that makes you lose your temper.
Set principles for effective emotional control
– Do not open more than 5 orders a day. This will set a limit on your trading so there is no chance for emotions to interfere.
– Do not open too many orders at once. Please trade according to the set principles. Do not increase the investment amount to recover the previous loss. Only trade according to the original set investment amount.
– Do not go against the trend. If you do, you likely lose your temper. Follow the trend. Take your time, no need to be impatient.
– Only trade with 1 assets pair: Only trade with the EUR/USD pair. Because through the recording and statistical process you can understand how it works. From there, you can know how it reacts at different time frames and trade effectively.
– Do not trade 30 minutes before and after breaking news released. Because at that time, the price movement is unpredictable. If the fluctuation is too high or too low, it will make you feel uncertain when opening orders.
– Set out the acceptable risk level: Set the level of risk that you can accept.
Review on trading orders using the T.L.S strategy in Olymp Trade on 27/04/2020
Method of capital management: Classic.
Trading strategy: T.L.S (Trend -> Level -> Signal).
Open a maximum of 5 orders and invest $50 for each one.
Only trade with the EUR/USD currency pair.
1st order: Downtrend + resistance + test candlestick at the level just passed Opened a DOWN order and won. Received a profit of 82% of the investment.
2nd order: Downtrend + resistance + test candlestick at the level just passed Opened a DOWN order and won. Received a profit of 82% of the investment.
3rd order: Downtrend + resistance + the price created a gap and tested the level Opened a DOWN order and won. Received a profit of 82% of the investment.
4th order: Downtrend + resistance + strong bullish candlestick but exhausted when touching the level. Opened a DOWN order and won. Received a profit of 82% of the investment.
5th order: Downtrend + resistance + the price tested the level the second time Opened a DOWN order and won. Received a profit of 82% of the investment.
5 wins – 0 loss
Review on trading orders using the T.L.S strategy in Olymp Trade on 29/04/2020
1st order: Downtrend + resistance + Evening Star candlestick pattern (continuation of downtrend). Opened a DOWN order and won. Received a profit of 82% of the investment.
2nd order: Downtrend + resistance + test candlestick Opened a DOWN order but lost.
3rd order: Continuation of downtrend + resistance + (Shooting Star) test candlestick Opened a DOWN order and won. Received a profit of 82% of the investment.
4th order: Downtrend + resistance + test candlestick Opened a DOWN order and won. Received a profit of 82% of the investment.
5th order: Downtrend + resistance + (Doji) test candlestick Opened a DOWN order and won. Received a profit of 82% of the investment.
4 wins – 1 loss
So we have finished the journey to make money in April in Olymp Trade with the T.L.S strategy. One month is not enough to fully evaluate objectively. However, a better start than expected has brought a certain sense of security when using this strategy. Experience the T.L.S strategy on a demo account as it will probably help you to earn regular profits just like me.