When to quit?

Here's an interesting one for everyone.

When I re-started trading earlier in the year I set total amount of risk dollars that I would expose and if I dipped below that then I'd quit and find something else to do.

Now I have just dipped below that amount so if I have the discipline to follow my own trading rules I should quit right now. On the otherhand, you cannot expect to become expert at anything without perserverance, so it's a conundrum.

We all have to face the fact that we might be succesful at this job and there is lots of other things to do in life but at what point do you stand up and say 'I gave it my best shot but I need to find another sport'.

Any thoughts?

Cheers
Mike

 

make money with a regular job, and day trade on the side. or become an investor.:eek:

 

if you don't have the discipline to quit then you don't have the discipline to trade either.

I would quit for at least a few months and go back and examine every LOSING TRADE, not the winners. The winners teach you nothing, you learn from getting your fingers burned. Also, don't quit your day job, you will probably need it for several more years.

 

Thanks Lundy,

Actually I do have a job and daytrade part time and the risk money I set aside is not money that I actually need. My decision is made but just opened up the discussion because I'm wondering what full time traders use as their uncle point.

It's got to be a tough call if you have nothing else to fall back on.

 

how much was the risk? 20K 50K

I feel if you can't afford to risk at least 20K you shouldn't trade. Many traders will loose much more than that before the light goes on. Did you pay any one for a class?

 

Nowhere near, it was 5k.

Interesting thought though.

 

$5000.00.....consider yourself lucky......

 

Actually my decision is stop daytrading and go back to position trading which I am relativley succesful at. My risk capital was set aside for a particular style. I'm sure I'll come back to it.

My point is, regardless of $$s, % or whatever, how do you all set a break point and do you stick to it. If you do not have a criteria by which you will cease trading (applies to any business) then surely you run the risk of just trading your way to the poor house.