Trading Psychology Subject Test — TradeSmart Academy

Question 1 of 20

What is boredom trading?

A

A profitable strategy

B

Opening trades out of boredom with no valid setup

C

A type of scalping

D

A momentum strategy

0 of 20 answered

Question 2 of 20

What is the trading journal used for?

A

Recording only winning trades

B

Tracking all trades to identify patterns and improve performance

C

A legal requirement

D

Social media posts

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Question 3 of 20

What is the casino mindset for traders?

A

Gambling with large positions

B

Focusing on edge over many trades rather than individual outcomes

C

Never taking losses

D

Always doubling down

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Question 4 of 20

What is the best action after a losing trade?

A

Open a bigger trade immediately

B

Take a break and review what went wrong

C

Double down on the same direction

D

Increase leverage

0 of 20 answered

Question 5 of 20

What separates professional traders from beginners?

A

Better indicators

B

Emotional discipline and consistent risk management

C

More capital

D

Trading more frequently

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Question 6 of 20

What is anchoring bias?

A

A type of chart pattern

B

Being too attached to a specific price level from the past

C

A moving average strategy

D

A risk management mistake

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Question 7 of 20

What is overconfidence in trading?

A

Having a good trading plan

B

Risking too much after a winning streak believing you cannot lose

C

Being confident in your strategy

D

Using proper risk management

0 of 20 answered

Question 8 of 20

How does fear of losing affect trading?

A

It has no effect

B

It causes traders to exit winning trades too early or avoid good setups

C

It improves decision making

D

It reduces position size correctly

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Question 9 of 20

What should you do when you feel FOMO?

A

Buy immediately

B

Wait for a pullback and proper setup

C

Double your position size

D

Check social media for confirmation

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Question 10 of 20

What is FOMO in trading?

A

A trading strategy

B

Fear of Missing Out — buying impulsively after a big move

C

A type of indicator

D

A risk management rule

0 of 20 answered

Question 11 of 20

What is herd mentality in trading?

A

Trading alone

B

Following the crowd and buying because everyone else is buying

C

A contrarian strategy

D

A risk management approach

0 of 20 answered

Question 12 of 20

What does thinking in probabilities mean?

A

Every trade will win

B

No trade will win

C

Focusing on long term edge rather than individual trade outcomes

D

Calculating exact win rate

0 of 20 answered

Question 13 of 20

What should you do when you feel emotional during a trade?

A

Make quick decisions

B

Trust your original plan and avoid impulsive changes

C

Add to the position

D

Check social media

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Question 14 of 20

What is a trading plan?

A

A set of rules for when to enter exit and manage trades

B

A list of coins to buy

C

A profit target only

D

A broker agreement

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Question 15 of 20

What is greed in trading?

A

Taking profits at target

B

Holding too long hoping for more profit and giving back gains

C

Using stop losses

D

Having a trading plan

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Question 16 of 20

What is revenge trading?

A

A profitable strategy

B

Trading impulsively to recover losses quickly

C

A type of scalping

D

Using high leverage

0 of 20 answered

Question 17 of 20

What is confirmation bias?

A

Confirming trades with your broker

B

Only looking for signals that confirm your existing belief

C

Using multiple indicators

D

A trading strategy

0 of 20 answered

Question 18 of 20

What is the main cause of most trading losses?

A

Bad indicators

B

Poor risk management and emotional decisions

C

Wrong timeframe

D

Too many trades

0 of 20 answered

Question 19 of 20

When everyone on social media is buying — what should a smart trader do?

A

Buy immediately with maximum size

B

Analyse the chart independently and be cautious

C

Follow the most popular influencer

D

Ignore price action

0 of 20 answered

Question 20 of 20

What is recency bias?

A

Overweighting recent events when making decisions

B

A type of FOMO

C

Using recent indicators

D

Trading based on news

0 of 20 answered