No one is safe from FOMO. Fear of missing out affects our daily lives and not in a positive way. It becomes especially harmful when it starts affecting your trading routine. Without any doubts, it is incredibly tempting to try and hop on that buying or selling train.

What is FOMO when applied to trading? Most traders have felt this emotion. Once there is a solid trend on the chart, it’s common to want to join right away and get your profit. And yet, you need to ask yourself - is it reasonable enough to do it at this exact moment?

FOMO makes you forget your trading strategy and subjects your balance to significant risks.

So, how do you recognise and fight it?

What to be mindful of

Certain emotions can fuel your fear of missing out and make that desire to hop on a trend even stronger. Those are: 

  • Greed

  • Excitement

  • Fear

  • Impatience

  • Anxiety

Minding your emotions is incredibly important while planning your future deals.

Intrusive thoughts

There is a particular thinking pattern that is characteristic for traders when it comes to FOMO. Here are some typical phrases you can catch yourself thinking while there is a massive trend:

  • I could make so much money on that trend

  • Everyone is trading that asset

  • I don’t want to miss a great opportunity

  • They know best, I should follow

  • I’ll just give it a go

These assumptions indicate insecurity and that fundamental fear of missing out. If you notice similar thinking patterns, it’s time to reevaluate your trading decisions and check your initial trading strategy. Does the current situation fit your plan? What about risks?

Triggers to avoid

Certain market events can put you in the FOMO mood:

  • Profit streaks. Once you made several successful deals in a row, this success can get into your head and mess your perception. Heightened endorphins and adrenaline might cloud your judgement and make you more prone to risky decisions. 

  • Volatile market. Seeing sudden spikes in prices can make you act in a rush. You can feel the need to follow the immediate trend disregarding your current trading strategy. 

  • Rumours. Hearing any rumours about upcoming financial releases or major news might make you feel left out.

  • Social media. It’s easy to follow the crowd, especially if their online presence is strong. Remember, those are their trading decisions, not yours. 


Here is a list of things to remember when you feel caught in that FOMO loop:

  • There will always be another trading opportunity.

  • Managing your emotions is just as crucial as managing your risks.

  • You can only invest the amount you can afford to lose.

  • Monitor the market before making any trading decisions.

  • Keep a trading journal that will help you track your plans, strategies, progress, and emotions.

We are all affected by FOMO - one way or another. The only thing we can do to keep those emotions at bay is to be mindful and rational. Turn your fear of missing out into the joy of missing out: follow your own plan and believe in your trading skills. Don’t let the crowd dictate your next move.