Trading Psychology  |  JUL 1996

The Emotional Volatility Trap by Adrienne Laris Toghraie

Here are some simple guidelines for avoiding volatile emotional swings due to the stresses of trading. By Adrienne Laris Toghraie Traders are placed under unique stresses, making them particularly susceptible to emotional swings, and as a result, they may exhibit certain signs of the stress from which they suffer. Over the years, I have asked many traders this question, and if you have found yourself under such stress, you may ask yourself the same thing: You’re probably not a manic depressive, so why are you acting like one? What causes such emotional extremes? If you liken your mind and body to a bank account into which you deposit your accumulated assets of health, vitality, strength and energy, then everything you do or say or think will determine your daily equilibrium. A substantial balance will provide you with the mental and physical assets you need to trade with a clear and steady mind and complete emotional control.

by Adrienne Laris Toghraie