miketranz
969 posts
msg #140752
- Ignore miketranz
modified |
1/8/2018 8:06:06 PM
Losses,drawdowns,preservation of capitol.How to take a loss,quick & painlessly:Large losses almost always,start off as small losses.You're going to be wrong most of the time.The easiest thing to do is enter a trade.The hardest thing to do is exit it.The times you're right, you want to capitalize on to the max.Stay in it until the market indicates otherwise.Keep your losses to a bare minimum or you'll just keep bleeding money into the system.I want to be wrong,not at a certain percentage of my capitol,but at a certain trading level,where I know for a fact,the trade is going against me.For me,it's not that far below my entry point on a long side trade.Whether you're trading breakouts,moving average crossovers,if the position isn't following through in the intended direction,scratch the trade.Always use a hard stop.Most traders don't have the mental discipline to scratch a trade without one.That's where they get into trouble,time and time again.The sooner one developes the mental competency to scratch a trade quickly and painlessly,the much closer one gets to becoming a profitable trader.Best,Miketranz....
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Cheese
1,374 posts
msg #140757
- Ignore Cheese |
1/9/2018 2:55:50 AM
Thank you, mike.
I also like the following excellent posts on exit strategies by you, Tuan Pham and nikoschopen:
http://www.stockfetcher.com/forums/General-Discussion/Exit-Strategy/83724
http://www.stockfetcher.com/forums/General-Discussion/5-Year-Anniversary/111234
https://www.stockfetcher.com/forums/General-Discussion/The-ABC-of-Stock-Speculation/40321/30
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