[Trading Tip] How to deal with losses

Maybe the losses you’re taking have something to do with each other?

Maybe you are adjusting your SL and increasing your losses when you should be cutting them mercilessly?

This is an example of how the psyche worsens the performance of a system by creating in us the short-term but toxic hope that the market will turn around.

It does not make sense, if the trade stops meeting the assumptions it is better for the overall result to run away from the trade and not to code in your psyche that “you can wait because the market sometimes turns”.

It may even happen that the market will reverse one, two or five, but not the sixth time, and you will lose 30-40% of your account.

A trade closed at SL, performe according to the system rules, is ten times better than a trade held and closed on the reversal but with no respect of the rules of the system. Math doesn’t lie.

This simple thing should be periodically reminded to traders so that they are not tempted.