Posted by Paula Coombe on March 17, 2010 at 10:08am
Sometimes you can have bad run, but do not get upset and keep going.Just reduce your trade size and keep going with less risk and more control of your trading poitions.Once you get your confidence back and the winning streak returns, then go back to normal.Money management is the key function for proper and successful trading.If your trading hits a stop loss, who cares. If it hits the target, then it is very good and it means success.If the stop losses get you down, chin up and move on to the next trade and you will have a good run eventually.I have had 12 days without stop loss being hit in the past and sometimes I get my stop losses being hit several days consecutively.Ensure that the good days make up for bad days and that you win on more days than you lose thus maintaining a winning ratio.If you have a trading setup that is rubbish and your arguments for entering trades are poor and your stop losses are hit, then you must be upset and rectify situation and learn to trade properly.If you are not prepared for trading, it is like having a boxing fight and not training for it. Of course you will get knocked out in 3rd round and you will not last.So the question is how is your training going? Are you ready and fit to last 12 rounds? Can you take the punches? Learn to take small punches and you will survive 12 rounds?Those who get KO do not train properly. Those who train properly and who still manage to get KO will go back and train harder and come back with a vengeance?
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