Stay Motivated during Losses

Trading Discussion Trading Lifestyle
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How do you stay motivated during periods of losses?

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Here are some tips to stay motivated during losing periods in trading: Stick to your plan, keep a positive mindset, take breaks when needed, learn from your mistakes, and stay connected with supportive people. Remember that losses are a normal part of trading, and it’s important to stay focused on your long-term goals.

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This is still tough for me, too. What helps me is to analyze my trading journal. I see a clear statistical edge there and i try to keep calm and tell me that this period of losses is only temporary. That the expectancy of my trading is positive. And that the result of a great number of trades matters rather than an individual trade or a couple of trades.

This works better if you have already seen live trading success. At the beginning of my live trading i looked at demo results and it didn’t work like that. i told myself “it was just a demo account” all the time.

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Never allow losses to undermine your motivation.

If they arise during your running of a strategy which is profitable over the long-term, they are just business overheads. Unless you have a strategy with a 100% win rate, some losses are statistically unavoidable. Your motivation is to stick to your strategy and keep trading. Your reward will be a return to profits.

If they come from any other kind of strategy, stop using money, go back to research, study and demo trading. Your reward will be a better strategy.

If the losses come from your errors, find these and eliminate the possibility of repeating them.

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Hi @Amy95

My advice to you would be to try and always think in terms of your anticipated long-term expectation. With that in mind, you should then recognise individual wins and losses for what they really are: mere variance.

A good visual reminder of this, perhaps, would be a chart showing numerous simulations of your anticipated equity curve based on different levels of variance. Looking at the numerous equity curves fanning across the chart would hopefully remind you that your losses are all within normal variance (just Google ‘equity curve simulator’ to see the type of chart I mean).

Hope this helps.

Dan

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Thank you I appreciate.

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Hmmm. :thinking: I guess for me, it has a lot to do with accepting that forex really is like that. :sweat_smile: You win some, you lose some. :woman_shrugging: Maybe it’s better to look at each loss as a learning opportunity and see how you can grow from it. :blush:

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I just take a break. At this time I also review what went wrong. It’s impossible to win all the time so I just treat my losses as part of the learning process.

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Yup. This.

I just had a long streak of losses several weeks ago and you can’t let it get to you. Identify what the causes are and then work on it. See what can be improved if any. My streak of losses has ended and so far I haven’t run into another one yet!

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During periods of losses, it is only natural for a person to feel demotivated. This can be attributed to the production of harmful hormones in the brain, which can diminish confidence and enthusiasm. Consequently, these hormones may interfere with the brain’s ability to coordinate rational thought processes.

To maintain confidence, motivation, and mental sharpness, consider the following strategies:

  1. Engage in physical exercise to help flush out harmful hormones and promote the production of chemicals that counteract their negative effects.
  2. Solve puzzles or play strategy games, such as chess, to activate the part of the brain responsible for rational thinking and maintain mental acuity.
  3. Alternatively, take a break and allow time for the negative chemicals in the brain to dissipate naturally, restoring mental balance and well-being over time.
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Thanks Dan, helpful and comprehensive as always.

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Wow, I never thought exercising would be optimal for trading!!!

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By the way, if you choose to play chess to stimulate the part of your brain responsible for rational thinking and maintain mental sharpness, it is important to strive for victory. Losing the game may result in a negative impact on your brain, potentially worsening your mental state.

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interesting , thanks so much.

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I like your perspective! :+1:

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Just like in real life, there will be times when you lose and times when you gain in Forex. It’s important to remember that even experienced traders experience losses. Don’t underestimate yourself and keep learning. Good luck!

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i don’t stay motivated during losing streak , i curse i depress and think out quitting like a normal human .but somehow i will come back as a new person . my point is ,pretty normal for even constant winners have emotions ,your emotions are actually try to save your ass most of the time.

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When I lose I think about leaving all the time. If it is not possible for me even I win in 80%.

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By focusing on long-term goals and maintaining a disciplined approach. :slight_smile:

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I guess how to form a disciplined approach is the main question here. I could never tbh…

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