Traders may move from periods of success to periods of loss, but the losses may be created by the trader and not the markets. Here are some guidelines to identifying this problem and how to overcome it.
Realize that you are creating a problem in your trading and that it is not the result of some outside force. If you are experiencing a pattern of negative results in your trading, obviously, something is wrong.
"It still never fails to amaze me how an incident in a trader's childhood can determine whether he can succeed. These incidents, too painful to remember or acknowledge, are often swept under the carpet by sensitive and vulnerable people. While these experiences may be concealed within the trader's consciousness, the damaging psychological issues that result will sabotage his ability to perform. In so doing, his profits are swept under as well."
