Manage your expectations

Yael Warman

My good friend Pam, love her to death, she’s the ultimate single girl. If you were to meet her, you would think of her as the coolest, I-never-want-to-be-married, free-like-a-bird, quintessential single gal. I know better though. We go way back and I know her story. Yes, she is enjoying her single lady life to the […]

Trading Forex? Manage your Expectations

My good friend Pam, love her to death, she’s the ultimate single girl. If you were to meet her, you would think of her as the coolest, I-never-want-to-be-married, free-like-a-bird, quintessential single gal. I know better though. We go way back and I know her story.

Yes, she is enjoying her single lady life to the fullest, but there is a reason why she is single. It was the summer of 2001. As juniors in college, Pam and I decided to go all out on our last summer before having to start adulating and travelled to Italy.

We would spend a month eating pasta and salami, drinking cheap red wine, sun tanning in pebbled beaches and staying in less-than-glamorous hostels. That’s the summer Pam met the love of her life (aka the Italian who broker her heart).

Italy has this way of making everything seem more romantic than it really is and promises of a “together forever” from a tall and handsome Italian with a broker English and a sexy accent took away Pam’s better judgement. I blame that summer for Pam’s seemingly fabulous single life.

What in the world do Italian summer flings have to do with trading, you must be wondering. Well, you see, Pam set too high expectations that summer and no other guy since has been able to meet those expectations, plus the fact that she will at all cost avoid pain, has kept her single through the years.

In trading, you’ll find that if you set too high expectations, you may find yourself blocking any information that would go against your strategy and trying to rationalize or diminish the significance of conflicting information, if or when your strategy doesn’t meet your expected goals.

If you don’t meet your expectations time and time again, you may begin to see that the feeling of disappointment and frustration will grow to such extent that you begin resenting the market, causing you to stop trading altogether.

Managing your expectations can be a key factor in determining your trading success.

It can help you to easily modify your view of the market conditions according to what price action is showing. You can learn to expect that the market will take a negative move and act accordingly, rather than being stubborn and keeping your opinions, even when the market is showing you different.

My wish to both Pam and you, the trader is: May you have the serenity to accept the things you cannot change (like the market) and the courage to manage those you can (your expectations).

Read this next

Retail FX

Malaysia regulator exposes OctaFX clone, shady FB profiles

Malaysia’s financial regulator today warned online investors about the risks of following investment tips made on social-media platforms.

Digital Assets

Crypto trading volume spikes at Swiss bourse amid FTX collapse

The shockwaves from the historic collapse of Sam Bankman-Fried’s crypto empire are still being felt across the industry, but some trading venues are actually doing better because of it.

Executive Moves

CMC Markets adds Camilla Boldracchi to institutional sales

UK’s biggest spread better, CMC Markets has promoted Camilla Boldracchi to take on an expanded role within its institutional sales desk.

Institutional FX

FXSpotStream reports $1.48 trillion in monthly volume for November

FXSpotStream’s trading venue, the aggregator service of LiquidityMatch LLC, reported its operational metrics for November 2022, which moved higher on a yearly basis but reflected weak performance across executed trade volumes when weighed against the figures of the prior month.

Retail FX

Interactive Brokers’ client activity drops 30% YoY

Interactive Brokers LLC (NASDAQ:IBKR) saw 1.95 million daily average revenue trades, or DARTS, in November 2022 compared to 1.96 million transactions in the prior month.

Digital Assets

The rise of Crypto ETPs in traditional exchanges as crypto winter deepens

Institutional investors are increasingly looking at traditional regulated exchanges as their first route into digital assets amid market turmoil caused by the crypto winter and the collapse of several big names within the space, including FTX. Acuiti and Eurex surveyed 191 buy and sell-side firms on their views of the digital assets markets in order […]

Digital Assets

TP ICAP’s crypto arm receives FCA’s go-ahead

UK interdealer broker TP ICAP has received a regulatory go-ahead to launch its cryptocurrency services in the UK. The bid shows that the recent collapse of FTX exchange has done little to damp the interest of big names in running their own crypto business.

Industry News

Coin Signals founder to pay $2,847,743 after prison sentence over crypto Ponzi scam

The U. S. District Court for the Southern District of New York has ordered Jeremy Spence, founder of Coin Signals, to pay $2,847,743 in restitution to victims of a fraudulent virtual currency scheme.

Digital Assets

CME Group goes DeFi: Reference rates and real-time indices of Aave, Curve, Synthetix

“These rates are designed to provide traders, institutions and other users transparency and price discovery across a much broader range of tokens, allowing them to confidently and more accurately value cryptocurrency sector specific portfolios and manage price risk around various blockchain-based projects.”

<