How many articles and reports have you seen or read in the past telling you that stress does not do the body good? The answer most likely is a lot. There are numerous emotional and physical disorders that have been linked to stress including depression, strokes and heart attacks to name a few. Now don’t get me wrong, everyone feels stress from time to time particularly as a trader. Stress can be a motivator but it can also be very harmful. As a trader, let’s look at a few things you can do to avoid unnecessary stress.

When there is extra stress in your life, you should consider taking a break from trading. Extracting money from the market is difficult enough with a clear mind, but adding stress to the mix makes it almost impossible. The pressure traders put on themselves to make money or even to have a “winning” trade can cloud their judgment. This allows the “emotional” trader to make the decisions, which usually does not end well. The good news is there are a few things you can do as a trader to combat being stressed.

Have a trading plan and follow it. We have talked so many times about this in the past. You need a plan so decisions can be made easily and with, let’s hope, limited stress. Trust me, nothing takes away stress more than following a well-thought-out trading plan.

Something simple that you can do to relieve stress as a trader is to take some time off. I see this all the time, the belief that there is a need to always trade especially for traders who trade full time. The market will always be there. Yes, you cannot make money if you are not trading, but if you are stressed what is the likelihood you will be successful?

Have you ever meditated? A simple meditation routine that you can get for free almost anywhere can relieve stress and not just for trading. It may be difficult to do at first or to find the right time, but if you find some time to do it, I guarantee it will help.

These are just a few things that a trader and person can do to relieve stress. Trading is difficult enough and stressful enough so you need to make it easier if you can. By doing the few things above, you will help yourself physically and mentally.

John Kmiecik, Market Taker Mentoring