Traders work in a fast-paced environment where the tiniest of errors can result in a huge loss on their part. The constant worry and the need for decisiveness in execution makes trading a very stressful practice. Working as a trader means your daily schedule will not fit into the regulars of other workers since you are tied to working in different time zones. The struggle to keep up with time zones that are far apart makes trading a stressful exercise. Working irregular hours exposes a trader to irregular sleeping patterns that further fuel stress. Attention required to capture all market moves from different time zones takes a toll on traders.
Trading is a risky activity that does not offer the luxury that comes with safe investments. When trading, you’re constantly worried over how your trade is performing. The idea that an executed move might turn against you bagging losses is a reality you have to entertain with every move you make in trading. Unlike most professions that offer security in the promise of a retirement plan and monthly pay, a trader does not enjoy such perks. This uncertainty in what the future holds is the leading contributor to elevated stress levels among professionals in this field.
In a regular work set up, an employee knows how much money is paid for a month's worth of work. Armed with this information, employees can plan and budget with a figure in mind. Traders do not enjoy such a set up since a person makes money based on how skilled you are. Although traders stand a higher chance of making more money, the uncertainty around market performance makes it a stressful venture. Participating in trade does not offer a constant range of income since some months will be better than others.
Working in the financial market means an individual will encounter factors that are not within his control. Factors such as government money policies have a huge impact on the financial market. While such policies are outside the jurisdiction of a trader, they influence market performance. Worrying over elements that you have little control over can prove to be stressful. The financial world depends on a range of factors for stellar performance. Instances of civil unrest and extreme weather affect trade, ultimately disrupting the flow of money. A person in this field of financial trade is heavily invested in different societal factors.
Price movement patterns tend to be unpredictable in nature, keeping you on your toes as a trader. There are different factors that influence the price of currency. Price might react to sentiments held by participants, making it highly unpredictable. The politics of the day have a way of influencing the choices people make in executing trades. If you factor in all these influencing elements, you realize that the work of a trader is more than just a gamble. It takes a considerable level of skill to accurately predict the direction that a price is going to shift to. Making the right move is a delicate execution that might lead to stress.