Trading Psychology Risk and Money Management
Master trading psychology and risk management with this module. Learn to manage emotions like greed and fear, set stop-loss orders, and understand drawdowns. Build a solid trading plan with money management strategies and maintain discipline. Track trades and analyze performance using journals and paper trading. Enhance your skills with practical examples, and group discussions and analyze trading style with the successful trader case studies, and tips for live trading.
- Introduction to Trading psychology
- Understanding the psychology behind trading decisions
- Emotions in trading : greed, fear, FOMO
- Confirmation Bias, Overconfidence in trading
- Techniques to manage emotions
- Discussion on Emotions experienced faced while making first trade
- Importance of Risk Management in trading
- Importance of using correct Stop Loss
- Setting risk tolerance and define risk parameters
- Position sizing strategies
- Introduction to Stop Loss orders
- What is a Drawdown?
- Understanding and managing drawdowns
- What is Money Management?
- Building a trading plan with clear rules of money management
- Setting realistic goals and expectations
- What is Diversification?
- Why Diversification is important?
- Importance of maintaining trading discipline
- Reviewing and adjusting trading plan if needed
- Importance of maintaining Journals
- Using Journals to track trades and analyze performance
- Backtesting trading setups
- Fronttesting trading setups
- Importance of Paper Trading
- Setting up Trading routine
- Identifying and Avoiding common pitfalls
- Discussion on any Practical example and good habits of a trader
- Market cycles and psychology influences them
- Case studies of famous and successful traders and investors
- Group Discussion
- Recap of Key concepts during the course
- Important points to keep in mind while Trading Live
