On the way of trader's formation starting from acquaintance with trading platforms and to the moment of getting stable Forex profit, trader's psychology undergoes through cardinal changes. In other words, psychology of a specific trader evolves according to the market so that trader starts getting positive results. Let's analyze main stages of that evolution.
It lasts until half of year approximately depending on individual characteristic. It is when psychology fully controls trader. It seems that the future, when they can afford themselves everything is round the corner. They accept victories with joy, fitfully forecast their future returns and falls into depression after a loss. On this stage, they enter market in a chaotic way, because are under the influence of momentary emotional state. Trader works without Stops not being able to accept a possible loss.
Lasts from 3 to 5 years. Trader gradually takes off rouse-coloured spectacles and starts to understand that their entrance to market are led by emotions. This understanding gives brings trader to the new point in evolution. Psychology adopts to the process. It can be observed on the example of attitude to loss-making trades. Trader accepts a certain number of losses and maybe lost deposits and partly accustomed to the fact that losses are not catastrophic but are a usual costs of this activity. In this regard, trader starts evaluating market healthier and psychology starts adopts to recurring trading results.
It starts from the 5th year of activity. By that time many traders elaborate their view on market and start feeling pulse of that market, trading become routine. On this final stage, psychology is weather-worn because of a great number of loss-making and profitable traders, and estrangement to outcome of trading situation was worked out. In the most part of cases traders trade almost automatically, because do not treat loss or profit is something special and do not let mind spending additional resources to digest results of trades.
Duration of these stages may vary insignificantly depending on individual features.
One stock trader told that you can sit in front of him the whole day and stare him, but anyway you won't guess if he won or lost $2000 today.
That is the highest stage of trader's psychology evolution.
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