Are You Able To Accept Losses In Trading?
You do trading but you don't make mistakes, that is not going to happen. No matter how much you learn before starting trading, you will make some mistakes. Even though you know you should do a specific thing at a specific time, you may neglect that or don't do that at all.
When you make mistakes in trading, you lose money. Yes, it's painful to see your money disappear in front of your eyes. You are going through a learning curve. In case things do not go in your direction, you have to take a small loss, and that's part of the strategy in trading.
Sometimes it's hard to accept that loss especially when you are a beginner. If you don't want to take any risk, simply don't do trading. At the time of taking entry to make a profit, you have to be ready to accept loss as well. If you are not ready to accept loss, it is better to avoid trading because you cannot see the future.
Stop loss sounds like a negative thing. But it is not what you think it is at the beginning of your trading career. Stop loss is a good thing. It saves your capital. If you don't put a stop loss in trading because the market is on an uptrend or positive news about the asset or whatever the reason, you take a huge risk. And it will not take a long time to destroy your capital.
There is a difference between when you read about something and when you actually do that. For example, you don't take a small loss and hope the crypto market bounces back and starts going up. The only thing you see is everything goes down. Now you look at those positions of trades that you did not close and exit from the market. It's down 98%.
You lost almost everything in that trade. You will have to wait for 2 or 3 years and there is no guarantee that the crypto you took entry will survive this bear market. Now you feel how good a stop loss is when it comes to trading.
So what do you think? Please feel free to leave your comments. Thank you for reading this post. That's it for now. Please subscribe if you like my posts. I'll be back with another post.
You know, that's the consequence. You will not succeed unless you try!