Personal Development, Finance, and Investing For Filipinos
An investment in knowledge always pays the best interest. Financial Education is your best investment.
Emotions can be such a threat to an investor's financial health.
Emotions in trading can affect your portfolios performance
When things are great, we feel that nothing can stop us. And when things go bad, we look to take drastic action. Because emotions can be such a threat to an investor's financial health, it is important to know how to keep your head above water in the cycle of investor emotions.
You can't stop the wave, but you can learn to surf. An investor's worst enemy is not the stock market but his own emotions.
Closing a position at loss is problematic if:
Mental challenges that can arise:
Emotional trading due to losses or gains is one of the most prominent reason why you will rarely find highly emotional people succeeding in trading. Emotional control is the secret ingredient that many are looking for.
Another big problem is when you fall in love with a position and don't want to let go. This affects profits and losses. Often people do not set a stop loss because they are sure they will close the position at a profit.
An investor's worst enemy is not the stock market but his own emotions.
Keep these in mind:
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ABOUT THE BLOGGER
Hi, I'm Ralph Gregore Masalihit!
An RFP Graduate (Registered Financial Planner Institute - Philippines).
A Personal Finance Advocate. An I.T. by Profession. An Investor. Business Minded. An Introvert. A Photography Enthusiast. A Travel and Personal Finance Blogger (Lakbay Diwa and Kuripot Pinoy).
Currently, I'm working my way toward time and financial freedom.