Excellent post. So many new traders over look this. They right away try to rely on trading from signals given out from a wannabe guru or try to use some EA that guaranteed to have X% win rate. A: decide the possible outcome (s). B: Accept the fact that you may be wrong as a very real probability. C: Accept the risk or don't trade. D: If the trade does win, take profit early, don't hold on for more than you planned. Don't let euphoria make you greedy and turn a win into a loss, while holding on for more. I think a saying my kenpo karate master used to tell me about being in a fight: "If you get in a fist fight expect to be punched in the face. IF you get in a knife fight expect to be knifed. If you get a gun fight expect to be shot.... Why? That way when it happens you are mentally prepared. You won't roll up into a fetal position and cry. Even though you are wounded you can keep your wits about you and keep fighting for your life. You expected the worst to happen, so your little ego isn't crushed. Or, another way of saying this from a samuraii battle mindset: "I am already dead, therefore in no danger of death, there is nothing to lose."...........the risk of the battle is already assumed to have happened and been accepted unconditionally. The worry about the risk doesn't interfere with performance.

Awesome post and great comment by ThePhoenix. Love the samuraii comparison.

Thank you Dr. Pipslow

Dugg for Chuck Norris.

Thank you Dr. Pipslow thats some firm advice.

Thanks, Dr. Pipslow!! learning the psychology of trading was the biggest hurdle to my success. Since we're talking Chuck Norris, here are a few "Chuck Forex Facts" Risk Aversion has been officially changed to "Chuck Norris Aversion" since its impossible to trade against him....and live. Furthermore, Chuck Norris can Borrow Aussies & Lend Yen, and still make %100,000 profit annually. Lastly, the CHN/USD (Chuck Norris/US Dollar) is currently valued at 456,678,012.1154/1 with a spread of .00000001 pips. just so you know.