Handling Losses Properly
Losses are a part of trading. No matter how good you are, you're going to take them. What matters isn’t avoiding losses — it’s how you respond when they happen.
Key things to remember:
Losses aren't personal. Losing doesn’t mean you're bad at trading. It's part of the game. Even the best traders lose often.
No revenge trading. After a loss, it’s tempting to "make it back" quickly. This almost always leads to even bigger mistakes. Step back instead.
Review every loss. Was it a bad trade, or just a good trade that didn’t work out? Learning from losses is what actually makes you better over time.
Accept risk before you enter. If you can’t emotionally handle losing what you’re risking, you're probably sizing too big.
Move on. One loss doesn't define you. Don't let it sit in your head. Focus on the next good setup.
Bottom line: Losses are tuition. Pay it, learn the lesson, and keep moving forward.
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