How to manage emotions in trading?

How to Manage Emotions in Trading

Emotions lead to impulsive trades and bigger losses. Reduce them with rules: set stop loss and take profit before entering, size positions so one loss does not hurt much, and do not trade after a big win or loss (revenge or overconfidence). Avoid FOMO: do not chase pumps. Keep a trading journal to see patterns in your behavior. Take breaks. In India, emotional trading does not change tax: you still need to report every taxable event. Discipline and a written plan help more than emotion.