💡 Conquer Your Greed!

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Happy Friday, my friends!

📊 The market continues its climb back into "greed territory," with major indices like the Nasdaq and S&P 500 nearing their all-time highs following the tariff-driven sell-off.

🏦 Futures are wrapping up one of their strongest weeks this year, fueled by easing global tensions between the U.S. and China, and growing optimism that the Fed will step in to help avert a recession.

💡 Yet, remember: the market is always forward-looking. Rather than obsessing over current prices, it’s crucial to focus on market sentiment and future expectations for the clearest picture.

With the quick update out of the way, let's dive into today’s powerful mindset topic - Overcoming Greed.

Lessons from the Trenches

Greed isn't inherently bad - it’s just your brain's dopamine alarm ringing non-stop, like a relentless jackpot bell. But if unchecked, it chips away at your trading edge.

  • ❌ "I must have more!" → ✅ "I know exactly what's enough."

1️⃣ Why Greed Captures our Mindset

  • The Dopamine Wave
    Winning a trade activates your brain similarly to sweets or casino jackpots - your mind immediately demands more, despite increasing risks.

  • The FOMO Trap
    Social media showcases big profits from peers, transforming healthy ambition into stressful competition - "everyone's winning except me."

  • The Scarcity Illusion
    Feeling every trade is your last opportunity? Reality check! Markets open 252 days a year. Choose quality over quantity.

2️⃣ Classic Pitfalls

🚩 Pitfall

👀 How It Appears

📉 Real Cost

Chasing

Entering trades after a rapid price spike

Emotional exhaustion & poor fills

Oversizing

Increasing size to quickly recoup losses

Rapid account destruction

Ignoring Plan

Adjusting stops to allow "extra room"

Loss of discipline & confidence

Win Stacking

Believing you're unbeatable after gains

One loss wiping weeks of profit

3️⃣ Weekend Detox

Step 1: Practice Box Breathing (4 seconds inhale, hold, exhale, hold).

Step 2: Limit yourself to 3 trades per session, forcing strategic selectivity.

Step 3: Cap each trade’s risk at 1% of your equity. If it still feels stressful, greed - not skill - is driving.

Step 4: Record when you feel tempted to chase, increase size, or move stops. Awareness breaks subconscious impulses.

Step 5: End your week noting 3 non-market wins (health, family, hobbies). Refocus from "earning more" to "living better."

Ask yourself honestly:

“If all trading screens went dark for a month, how would I define my success?”

Remember, greed signals your passion for success. Each disciplined decision builds your equity curve into something powerful, sustainable, and rewarding.

Market Rundown

Nasdaq100

🚀 Nasdaq 100 jumped sharply at this week's start, boosted by aggressive tariff cuts from China.

📈 The Impulse held firm for five consecutive sessions without any gap closures, positioning price less than 5% away from record highs.

🔮 Next week’s sessions will be pivotal - continuation higher or setting the stage for a bear reversal?

Major Headlines:

  • US-China Trade Truce Sparks Market Relief Rally; 90-Day Tariff Suspension Announced

  • Trump Signals Further Unilateral Tariff Actions; Stocks Remain Resilient

  • Technology Sector Shines, Up 8.1%; Super Micro Computer (SMCI) Skyrockets 44% on $20B AI Deal

  • First Solar (FSLR) Climbs 27%, Boosted by Analyst Upgrades and Favorable US Tax Policies

  • Tesla (TSLA) Surges 17%, Plans Cybercab and Semi Truck Component Imports Following China Trade Deal

  • Fox (FOX) Jumps 12%, Q3 Earnings Beat Expectations Boosted by Super Bowl Ad Revenue

  • Health Care Sector Flat (+0.3%); UnitedHealth (UNH) Plunges 23% Amid Medicare Fraud Investigation

⚡️ Another thrilling week of trading is in the books!

If you've navigated volatility and executed trades - it’s time to pause, reset, and recharge your mental batteries for what's next.

Greed isn’t your enemy - it’s a strong indicator that you care about success.

Each brick you lay builds your equity curve into something sustainable.

Partners

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Until next time,
Steve B
Founder, The Daily Impulse

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