So, you had a real bad trade how are you going to handle it?

Discussion in 'Psychology' started by bat1, Apr 17, 2012.

  1. Handle123

    Handle123

    Well, after I thought the worse was over on my Prostrate cancer and I am doing much much better with that, middle of May I had PE, clots in my lungs/organs and EMS took my obese body to Army hospital and stayed 15 days. Between the blood thinning meds, strict strict diet and three times a day exercise, getting a handle on my life again.

    I am back to day trading but only takng the lowest of lossing percentage trades on Crude Oil, Gold and ES, but just an hour of each. Day trading is now fun again, but not doing the size I once did, can't handle the stresses due to size.

    I have had a couple of dumb losses, as I hadn't day traded since January, if you don't use it/you do lose it. Seems like I have forgotten half my rules or the "touch".

    So now when I have a losing trade, I have to add an extra mile of walking to each segment of exercise for that day.
     
    #31     Jun 25, 2013
  2. after a bad trade. shut down the computer at least one day. in case you will get emotional and try to recoup loss.

    forget about it as soon as possible. like nothing happened.

    the same to a big winner. you may think next trade is a big winner too
     
    #32     Jun 25, 2013
  3. With good women and better liquor of course.
     
    #33     Jun 25, 2013
  4. I think this is an important distinction to make as well. Every trader will have a trade that loses money at some point. Even the best strategies have draw-downs and losers, but as long as they were par the course for your technique or strategy, then there is nothing really to be upset about. Take the loss, and look for the next trade setup.

    If you made a trade that lost because it was completely against your strategy, or you fudged the boundaries of your risk parameters, etc, then you need to take a break and work on your discipline. The idea is to trade according to specific trade rules that define your market edge - not to gamble and hope the result works in your favor.
     
    #34     Jun 25, 2013