1. Make a choice

To begin with, make your own different choices for the situation you are facing.

For example:

If you are wondering if you should close your order at this time, give two options:
  • Close the order, because there are many signals against the trend, closing soon is less painful.
  • Continue to keep the order because from the beginning you have followed the set and forget rules, it's best not to break the rules.
On a side note, it is advisable not to give too many options to a situation, as it will confuse you, preferably two options.

2. List the benefits

Once you've made your options, you need to list the benefits for each option.

Also in the above example, you give the following benefits for the two options in turn.

Close an order:
  1. Keeping the profits already
  2. Avoid trading from win to lose
  3. Knowing the signals against trading, after closing the order, consider entering another order with a new trend
Hold an order:
  1. Adhere to proper discipline (keep the principle of set and forget)
  2. Manage Risk Reward results easier, and unify results
  3. Avoid being influenced by emotions
3. Refute a choice that you really want

The next step is the most important and also the most difficult, that is, you must refute the very choice you really want.

Continuing the example above, assuming you really want to keep the command, make your own arguments against this very choice.

Also, highlight the benefits of holding options

For example, holding the order at this time is inflexible, there are many signals that the price will reverse even though following the original rule is beneficial for the long-term outcome.

4. Motivate yourself to make a decision

Don't procrastinate, push yourself by asking yourself:

"In short, should I keep or close the order?"

Once you have contradicted the choice you want, most likely, when you are in a position to make a decision, you will decide to choose that very choice.

Psychology works based on the psychological principle of liking obstructed, forbidden things.

That's why when you contradict a choice, but it comes with so many tempting things, it's easy to come to the very choice.

Situations should apply reverse psychology

Some of the trading situations you should use this technique are:
  • Affected by emotions: You use reverse psychology to come to the best decision
  • Confusion: Reverse psychology will help you make a quick decision
  • Avoid being swayed by the views of others: There will be times when you are influenced by the opinion of others trading, if this is what you do not want, reverse psychology can help you.
Situations should not use reverse psychology

Psychology in reverse is a double-edged sword, overusing it will cut your hand.

These are situations where this technique should not be used:
  • When you are unsure of the right choice: If you know that large volume trading leads to high risks, then you should not use reverse psychology in this case. Because the saying: "Take a risk a bit okay." can make you convinced and lead to a loss.
  • Don't apply this technique to other people's trading decisions: Trying to convince others to follow your decision with the reverse mentality can cause more problems than you think. The person you convince may have a harder time making decisions for himself.