This is a good illustration of the emotional roller coaster that you will be experiencing when you trade. To be successful, it is of the most importance to know where you are in these phases and act accordingly.
The trading rules / system that you use must be tailored to identify where you are and adjust accordingly.
For me, I track these phases for the $SPX and I try to use the result to adjust calibrate the control knobs of my system. More in future posts.
From a presentation by Jeffery Gundlach. CEO of Double Line. 10/11/2011