One of the most significant challenges in trading is dealing with losses.
It’s easy to get emotional and feel like you’ve done something wrong when a trade doesn’t go your way…
However, you shouldn’t take losses personally.
They’re just part of the game.
Trading is based on statistical probabilities, and success in the long term is embedded in these probabilities.
Winning and losing are both parts of this game.
It doesn’t matter if a trade is a winner or a loser because you need a sample size of at least 20 trades to see the statistical probabilities starting to play out.
Losing trades are part of this sample size and part of the statistical game.
As traders, we must avoid short-term thinking and the temptation to judge our performance based on every trade.
Instead, we must adopt a long-term view and focus on building and executing robust trading strategies.
Don’t take losses personally – they’re just part of the game!
This is it for today’s tip…
Watch this video to learn more:
Until next time,
Tomas
