Contingency or backup plan?

Beginner Questions
1

Hello, I am a new trader still learning the ropes and need some insight into one particular aspect I am still unsure of.

With my demo account I have been practicing with varying styles of trading trying to develop a trade style that suits me. Well, on three demo accounts I have been very successful which I am delighted with, but the crux here is that some of my success comes from trades that have gone bad, then I rode out until they recovered.

My question is, is there a trading method that utilizes a backup or some sort or contingency strategy to compensate for your trade to go outside the boundaries of your initial trading plan?

The reason I ask is because it seems like most of the time positions on a trade can be recovered; Although, I realize conventional practice stats that traders should stick to their stop losses.

I humbly implore that a wise trader will impart some of their vast wisdom upon my lowly self! :slight_smile:

Thank you in advance for your help,

JM

2

Have a plan before you open the trade.

If the market is not doing what you expected it to do, close it at the earliest and smallest loss possible.

Try not to gamble. You do not need for it to hit your stoploss.