Ahmadreza Jabalameli

Trading experience

12 +
Since 2004

Teaching experience

1 +
Since 2018

Teaching to

8563 +
Students

Online Training

3000 +
Hours

Serotonin and its effect on stock trading

In this article, we are going to consider one of the keys to success in trading. Many people may not care about this matter or even aren’t aware of it. It is serotonin. Let’s talk about the importance of serotonin, the ways to maintain its proper level in our bodies and amazing effects of serotonin on trading.

Serotonin is not a hormone, but it is known as “the hormone of happiness” because of its effect and function that are extremely similar to hormones. It is produced in the body, when we are happy and have a pleasant feeling. It is extremely useful and even necessary for our mind. We should remember, if traders have a lack of serotonin, it may lead to overtrade. When traders make money in the market, make a withdrawal, or make profit in their bank accounts, they get excited due to the success, they feel great, they do feel happy. We all have different reactions – someone may even jump up, sing or scream. Our minds enjoy, so we need that sweet feeling over and over again, and the brain unconsciously seeks for the similar situation to experience those happy events repeatedly. Therefore, a trader trades to make profit again, and often neglects to find a clear position.


Whom do these conditions occur mostly to?


Those people, who are drawn in trading only and have no hobby or other fun, think that they have to stay in front of their screens watching the charts and they can continuously make money, as they’ve already made profit in the market. Those people become slaves to money. This condition occurs when serotonin is not released in traders’ bodies away from the market and their mind unconsciously forces them to do what was done before, and it is overtrade. This gradually makes traders addicted to trading, so they do not focus on the quality of trades and the particular positions in the market. Hence, we need to get serotonin out of the market, so that when we want to sit in front of a chart, study the market and trade, we are not affected by the lack of serotonin. The release of serotonin varies from person to person and each person may respond to it in different ways and with different actions. Some people, for example, buy clothes, jewellery, cars, houses, others enjoy sports, entertainments or parties. Traders should have something out of the market that makes them happy. Otherwise, it may cause to take trading positions that are not defined according to their trading plan, which means trading with a very low probability.


Serotonin out of the market


The secretion of serotonin in a trader’s body causes him or her not to trade for the sake of happiness, but for the expertise, love, interest and purpose, and feeling of satisfaction. We should always remember, if we trade without serotonin, with no happiness, we will not succeed.  We will get good results, only if we are happy in a trade. Fortunately, there are many ways to get serotonin. Those aren’t just your hobbies as mentioned above. Would you like to know what else causes serotonin to generate in the human body?

If you want to have serotonin continiously, you need to be in successful relationships or be happily married. You may be surprised, yet bananas and yogurt also help keep serotonin level in the body longer, so you can increase serotonin while eating them.  

With all the ways mentioned above, always be sure of your stable and peaceful mental state before trading. Trade with vitality and positive energy.

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