Have you ever experienced an emotional roller coaster ride when it comes to trading the markets? In most cases, most traders have experienced this otherwise. The most common experience for an aspiring market participant is feeling a plethora of emotions before executing a trade; afterward, the trader cannot enact their well-planned transaction.

There are also other occurrences that a trader both undergoes a plethora of emotions before executing an unplanned or impulsive trade while also being unable to perform the said transaction. It’s a double whammy, as they say. The said situations are called Analysis Paralysis. 

Despite all these similar events that transpire every day, many individuals still think that their system is their main problem. It seems that several traders do not value the aspect of Trading Psychology in their respective systems, thinking that it isn’t mechanical in the sense that it isn’t a buy and sell strategy towards financial assets. 

It is a non-negotiable for aspiring market participants to heed their mentality when performing their trades. Experiencing the Analysis Paralysis is a taxing occurrence, and the solution to the said problem is quite simple, yet many find it hard to do.

Traders should plan their trades during cold hours or outside market hours. Moreover, traders should accept that we won’t grasp every opportunity in the markets as it happens every day. Once you have embraced these facts, you can avoid solely using unnecessary emotions in trading.

Discipline and patience also play a significant role in this step. The trader must follow their trading plan with 100% accuracy and the patience to enact their trades once the opportunity presents itself. The thinking and planning part of this endeavor must be initiated while the said market sleeps. 

Besides mastering your strategy towards the markets, one must start from the premise that the solutions are in your head and not in the market itself. As the say, trading is 80% psychology and 20% methodology.

A market participant’s strategy is nothing if the end-user is perhaps afraid to execute their trades. One must see the financial markets from an objective perspective while eradicating unnecessary emotions that distort your trading methodology. 

Then again, this is easier said than done. It is impossible to learn and accept these concepts right away. Trading the financial markets is a lifelong endeavor that requires an individual to commit their so-called deliberate practice or 10,000+ hours to this craft.

Managing their emotions will take time, but the individual must put in their conscious effort to apply the change. Individuals who accept the inevitable aspects of trading, such as the risk involved and the occurrences that we don’t have control, such as price behavior, do not perceive anything about the markets as unpleasant. To function as a professional trader, the said market participant must align their mental environment this way.

IN A GLIMPSE:

Intro

• We often overlook investing on ourselves
• Money isn’t the only resource you invest
• Self enrichment is as important as wealth accumulation 

Body

• Read a book
• Pay attention to your Health and Wellness
• Push yourself to something new
  • Business / Side Hustle
  • Learn a skill
• Expand your network
• Hire a business or career coach

Conclusion

• Improvements will feel just as good, if not better, as clinching that 50% gain in the stock market
• Don’t overlook yourself, you are more important than your wealth

In our persistent attempts to get out of the rat race, we become fixated on businesses, the stock market, our careers, and many other things. We often overlook investing on the most important asset there is, ourselves.

Stocks, bonds, and real estate aren’t the only things that appreciate over time. Furthermore, money isn’t the only thing that we invest, time and effort are also things that we invest to generate more of a particular something. Self enrichment is just as important as wealth accumulation, but how exactly does one invest in his/her self?

One of the best things that you can do to invest on yourself is to push yourself to new experiences. Perhaps something that you’ve never done before, a fear that you haven’t conquered, making a side hustle, or even as simple as attending a workshop for a particular skill. Pushing yourself to these new experiences and learning makes you feel more in control of your life, and makes you more equipped in your career or business. Not everything can be learned in school or in the workplace. Sometimes you just learn useful things in the most unexpected sources.

Another self investment that could really pay off is expanding your network. Attend networking events, get to know people and make a connection with a variety of professionals in different industries. A lot of business opportunities and jobs never make it to LinkedIn or even on the internet, that is why it is vital that you connect yourself to these people. Maybe you’ll land an awesome managerial position or take part in a startup with the cool people you’ve met. You’ll never know.

If you already have a large network and a wide arsenal of skills and experiences, then maybe the next thing that you can do is to hire a business or career coach. Even the greatest athletes and businessmen have coaches or mentors. Coaches can be useful in identifying more areas of improvement and further increasing the quality of your work. Remember that there is always room for improvement.

Lastly, and perhaps the most important investment on yourself is paying attention to your health and wellness. Miller (2014) mentioned in her article for the National Career Development Association that healthy individuals are more productive and tend to be better in the workplace. After all, you do want to live long enough to spend the money you’ve earned and enjoy the rewards that you worked so hard for.

In sum, investments aren’t just about stocks or the like. Investing in yourself is just as rewarding, if not more, as clinching that 50% gain in the stock market. To put it in investment terms, don’t put all your eggs in one basket, diversify your investments in stocks, bonds, real estate, and most importantly, yourself.

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