In the last few years I've seen a lot of discussion centered around the psychology of trading. A quick perspective. 1. The discussion of the psychological aspect to trading is rarely written by someone with any experience in that medical field. They have all kinds of opinions on how this or that makes you feel but no clinical research (basis). 2. Most of the research I've read on Behavioral Finance tends to address the different biases we inherently have and how they affect our decision making, research, testing, etc.. I almost never see conversations surrounding this. What I mostly see are threads that describe how to keep your emotions in check while trading... 3. If you want to keep your emotions in check while trading, get your risk profile in check. This often means having realistic goals in place. Here's a pretty simple rule of thumb; If you're excited with your returns, you're going to be depressed with your eventual losses Dial the leverage down, reduce your trading frequency and come to terms with the honest potentials of trading and adjust your âhopes and dreamsâ around it in an appropriate way. With the exception of those black-swan events, trading doesn't have to be, and shouldn't be an emotional roller coaster. If it is, it's not likely something you're going to be able to endure for very long, and it's all about the long-term gains.