Taking the L with a grain of salt

[unconventional wisdom]

chasing losses - don't do it

 

[murray t turtle]

When you trade the stockmarkets, you will lose monies. That is a truism that you cannot change. Nobody wins 100%. Bernie Madoff claimed he placed 77 trades and all of it winners but, that was a big, fat lie. Stick to your rules. If your bankroll risk for the day is 1%, you should ask yourself, is the trade a losing one? If it is, close it out and save your capital. That is a no brainer. Now, if you are convinced it would be a winning trade, wait till the end of the trading day and close out with a profit or with a 1% loss. That was your rule, wasn't it? Trading is like owning a casino and playing the percentages. Provided your reward to risk ratio is several multiples of the risk, you should come out ahead. Your gains should be several times the size of your losses. So, you let the other traders (gamblers) try and beat you but, they are going against the percentages and will lose out in the longer term.

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I don't like the word ''losses'' also;
so I call them business expences Deal with a loss/business exspence for one day??
One day is a small part of 10 years; do not over weight one day or week..
Try looking @ charts much more, Bugsy.
Good way to blow up or grind down an account to zero; use a stop loss but then you increased your stoploss by 100%.[from 1% to 2%]Swing traders risk $8 to make $24; but they don't change it intraday to risk $16 to make $48...………………………………………………………………………………………………..

 

[Bugsy]

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I don't like the word ''losses'' also;
so I call them business expences Deal with a loss/business exspence for one day??

I like that philosophy. Especially since deep down inside I already know it is the case. I ended up making my loss back the next day time 4. Thank you for the perspective.