Winning in demos and losing in real trading. Can this cause serious psychological issues?

<p id="isPasted">In my experience with teaching thousands of traders the most common reason why a trader has success on the simulator or demo but then starts having losing trades when they are live in the market are:</p><ul><li>You have changed something in your Trading Process.</li><li>You are trading stocks that are either higher priced or higher risk than you did when you were simulator trading.</li><li>You are trading with “scared money” meaning you are so afraid of losing money that you set your stop losses too tight. This is very common.</li><li>You are making mistakes in your calculations for entry price, exit price or run gain potential.</li><li>You are trading too often and not being selective enough in your stock pick select.</li><li>You are trading in a market condition that has recently changed but you did not realize you needed to alter your trading style strategies for the current market condition.</li><li>You are listening to news, peers, chatrooms, or others who are distracting your attention on your trader or are influencing your buying decisions.</li><li>You are trading stocks that are too expensive for your Risk Tolerance.</li><li>You are missing a critical part of the technical analysis. Did you alter your indicator settings?</li><li>Are you so eager to trade that you choose weaker technical setups?</li></ul><p>Usually it is one to a few of these mistakes that cause the successful simulator trading experience to turn into a losing trade situation when you go live in the market.</p>