Not sure what to do. Made probably a costly mistake ..

[MrGlick]

I did not realize that playing on scaling (or attempting to sounds more appropriate), even on 0.3 or 0.5 could become a big Loss.

I scaled down on buying positions every 10-15 pips starting with a 0.01 then 0.03 and then 0.05. Pairs USDJPY and GBPJPY. You probably guessed what happened if you followed these pairs today.

I placed all the orders this morning and left home without Stop-Losses. At the time I write this they total -£150.

I imagine it is a human reaction to not dare closing them and hoping a little up will help reducing the bill.

But looking at the big picture. I fear it will not go up. The plan was for a daily action. Not even overnight.

What I am asking is, if you have ever been in my position, what did you decided?

Shall I be patient and wait, or close everything down ? What did you do? What would you do?

I detailed everything happening today here:
forexbeginnersjournal.blogspot.co.uk

Thank you for advises (rather than lessons to the naughty little Mr Glick. My balance is already giving me a painful one right now).

Thank you
Mr Glick

[wmorris3825]

Oh yea I've been there! I got hit hard on a position by news and averaged in as it dropped and was down about 300. I did however have faith in the underlying trend so I hung in there and ended up closing out at -100 once I lost faith in the move. Good thing too, I woke up to see the Eur/usd down about 70 pips the next morning! I'd pick an amount your willing to lose or a level to watch, put a stop there and see what happens. It's always hard! Good luck!

[Danielb]

I don't want to make your decisions but I like to share this paragraph out of 'The Market Wizards - Jack Schwager'.

"Respect for risk is not just a matter of trading; it applies to any type of business decision. I once worked for a firm where the company president, a very nice guy, hired an option trader who was brilliant, but not stable. One day the option trader disappeared, leaving the firm stuck with a losing position. The president was not a trader, and he sought my advice. "Larry, what do you think I should do?" I told him, "Just get out of the position." Instead, he decided to hold on to the trade. The loss got a little worse, but then the market came back, and he liquidated the position at a small profit.

After this incident, I told a friend who worked at the same firm, "Bob, we are going to have to find another job." "Why?" he asked. I answered, "We work for a man who has just found himself in the middle of a mine field, and what he did was close his eyes and walk through it. He now thinks that whenever you are in the middle of a mine field, the proper technique is to close your eyes and go forward. Less than one year later, this same man had to liquidate a huge delta neutral spread position in options [a balanced position whose value will change very little for small price moves in either direction]. Instead of just getting out, he decided to get out of the position one leg at a time. By the time he finished liquidating that position, he had gone through all of the firm's capital."

[purplepatchforex]

So MrGlick you know what to do now yes?

....learn from it...., learn from it, move on, improve, think about risk, and do it all over again, about 5,000 to 10,000 times.

[luiz]

You know "losers average losers", it's rude but it's a hard reality.

If you are comfortable with it, then leave it be; if you can't sleep at night, cut it down to the sleeping level.

[yunny1]

if according to your strategy you do not see a rebound soon, then you better close all losing positions and take it as a lesson learned.

always use stoplosses.

[PipNRoll]

Please close it now (if you haven't done so). It is painful I know because I've been there.

Take the lose now then learn from it and move on. Wait for the next opportunity to get in then work your way up little by little. There is always another day and another opportunity. Or simply take a break and analyst what you could have done differently like placing a stop loss.

Good-luck on your next trade

[samys]

Exit your positions immediately.

Errors like this will cause you untold psychological damage as a trader.
Namely by creating fear when you enter and exit positions in the future.

Good luck.

[Shr1k]

If you dont close it and it comes back it will give you a dangerous idea that its ok to let a bad trade ride. You know some times they come back some times they dont come back until ALL your money is gone. Get in the habit of setting your risk on a trade before you enter. Averaging down can be part of a strategy only if the increased risk is factored in and there is a final point be it a $ amount or a pip loss even a chart level that will end the trade if it goes bad.

[MrGlick]

Thank you for all the returns. You take the time to come here and provide a wise advise. I heard and agreed. You did not waste time.

Cut the risk and close positions! Message copied. It hurts but I eventually set very very tight Stop-Loss (I did on purpose, not another bad habit), knowing what would happen. Kind of, was not me closing the orders.

In fact they were closing while writing this message,

Oh Dear...

Mr Glick