What do you do after a losing trade?

[Trader Curt]

I like to be 100% sure of my decision making. And when I exit a losing trade, I can't help but look back and see if I could have held longer. I also think this is a bad idea because it could affect me psycologicly. But then again I also think it could be a good idea because I could learn from it. What do you do after a losing trade?

 

[Nighthawk]

Throw a screen through the room and cursing! LMAO!

 

[smallfil]

I like to be 100% sure of my decision making. And when I exit a losing trade, I can't help but look back and see if I could have held longer. I also think this is a bad idea because it could affect me psycologicly. But then again I also think it could be a good idea because I could learn from it. What do you do after a losing trade?

Accept it as a loss and move on. However, you should be reviewing past trades to see if you made mistakes and avoid them in the future! Careless mistakes cost you monies! If you are less careless, you will have less losses and more monies!

 

[Stockolio]

I like to be 100% sure of my decision making. And when I exit a losing trade, I can't help but look back and see if I could have held longer. I also think this is a bad idea because it could affect me psycologicly. But then again I also think it could be a good idea because I could learn from it. What do you do after a losing trade?

Look at the winning trades ? It helps me not be too down about it... Also important I believe, in the thesis or research that led you to the trade, try to figure out what changed in reality compared to thesis, and figure out how you could of spotted it as it was immediately happening. The trades are out of our control at the end of day, can't be down about being wrong

 

[speedo]

If you trade, you're going to have many losses. Given a well tested and viable trade plan, you simply wait for the next signal....and take it.

 

[Trader Curt]

Look at the winning trades ? It helps me not be too down about it... Also important I believe, in the thesis or research that led you to the trade, try to figure out what changed in reality compared to thesis, and figure out how you could of spotted it as it was immediately happening. The trades are out of our control at the end of day, can't be down about being wrong

I try to think of a losing trade as saving money. But when I look back and see the price moving up after I sell, it makes me think of reevaluating my strategy. But if this strategy gives a 70% success rate then maybe I shouldn't even look back at all. But the thing is I don't know if it really is a 70% success rate

 

[Option_Attack]

 

[fan27]

This of yourself as like a pit boss at a casino. He does not care if some people are winning some of the time as that is part of the game. He will however, pay very close attention if someone starts winning a bit too much or one of the dealers is not performing.

 

[WeToddDid2]

 

[soulfire]

I like to be 100% sure of my decision making. And when I exit a losing trade, I can't help but look back and see if I could have held longer. I also think this is a bad idea because it could affect me psycologicly. But then again I also think it could be a good idea because I could learn from it. What do you do after a losing trade?

The one prime question you should ask yourself after ANY trade,winning or losing, is did you follow your trading plan fully with no deviations?

Your trading plan based on your analysis should have your specific entry area, profit target price, and stop-loss price all determined in advance before you pull the trigger.

As long as you followed your plan, it was a good trade. Conversely, if you didn't follow your plan, it was a bad trade, even if you made a profit.

Without a good trading plan and the discipline to religiously follow it and not deviate, the odds of reaching the level of consistent trading profits over time dramatically drop.

Always focus on planning the trade and trading the plan.