This is what kills my average pnl. Averaging into a position that is too large for my account is a habit I must change if I want to preserve my account. I know eventually it will catch up with me but it is still difficult to cut a losing position when I know the position will revert to profitability.
I have been on the long side because I've found entries at perceived lower risk levels. However, I transitioned into a short position "knowing" that price will retrace/gap fill eventually. Initial day trade position became a swing trade and my averaging ended up in a size that made me nervous. Due to margin restraints, the position was reduced at an unfavorable price today. I ended the trade in the black; however, I missed much more in opportunity costs as the last few days presented itself with solid opportunities.
Anyway, I presume most here already have vast experience regarding risks. I guess I feel compelled to share my experience as a warning to the novice traders who read this thread. You are not alone in your experience.
btw, thanks for your post of the market profile image, Ammo. I always look forward to your posts.
