You have to cut your losses immediately. The longer you wait the harder it gets.
It is like going to the dentist, the more you try to avoid doing what needs to be done, the worse it gets and you might lose a tooth that could have been saved if you hadn’t trying to avoid doing what is uncomfortable. The more you try to avoid going through the pain, the more painful it will become.
The quicker you cut your losses, the easier it is, the bigger your chances are to keep your teeth aka trading bank and as a consquence the greater your chance to build an amazing trading career. Will it turn the moment you closed your losing trade? Most probably! – 9 out of 10 times. But that is not the point. The point is to practice good habits that are sustainable for a long satisfying trading career, the point is that the 10th time when the market doesn’t turn, that is the time when you blow your account. The point is you rarely know when the 10th time happens. And yes, the 10th time can happen 5 times in a row.
So, yes could you have a better win – loss ratio if you let the trade run into a loss and hope it will come back? Yes you will. But it will kill your profit loss ratio and your trading bank over and over again. And that is neither sustainable nor satisfying. Especially when the 10th time happens 5 times in a row.
Cut your losses, my friend – do it now!
With a toast to your trading profits
Mandi
