Fear Of Missing Out – FOMO
January 24th, 2018 | 3 minute read (Repost from We The Market)
Fear of Missing Out applies to many areas of trading. Signs of FOMO are over trading, regret that you didn’t take a trade and not trading in a simulator when you should be. I mention this because I don’t want to trade in a simulator because I believe if I make money then it was only simulation money. I would be complaining that money could have added to my bank account. Right now, I should definitely be trading in a paper account because I have not broken even YET.
Why FOMO Fails, excerpt “Buying strength in an uptrend and selling weakness in a downtrend is a great way to underperform in a trend market that is not a momentum one.”. I try scalping but more often I get caught with a negative position. Yes, I can improve on getting out faster but the situation feels like I should be doing something different.
I used to follow Investors Underground and Bear Bull Traders and see them buy the dips. I still have not got to that point and that is most likely why I am not making any positive progress. Actually I am doing better at 4.5 months as a new trader. I have other areas to improve such as my losing trades are larger than my winning trades.
Back to the topic of FOMO. Get over it. There are so many trading opportunities that will come your way. Be patient and let the trade come to you. You will recognize a great trade. I too need to ignore my missing out feelings and return to the simulator for a while to improve my trading.
Stay green out there.