Taken a hit?
If yes, at least admit it… to yourself and for your own sake.
People take hits at various times in their lives.
That’s the way of the market.
That’s how it teaches us to make money next time.
Think of your loss as tuition fees.
In my opinion, the best way forward is to take lots of small hits in the first seven years.
Then, in nine cases out of ten, you won’t fall for the big ones.
Big hits can decapacitate a player, especially when they come late, since there is no time for full recovery. Besides, emotional breakdown at a late stage is very difficult to get out of.
Make it a point never to take a big hit.
That’s only possible, if at any given time, the capital that is risked is within reasonable limits.
Let’s say you risk not more than 1% of your networth at any given time. What’s the maximum hit you will take at one time? Right, 1%.
That’s something you can shake yourself out of, and move on.
Moving on is a huge quality to possess in the markets.
Taken a hit?
Move on and make your next trade.
All this while, you are putting any remnant emotional hurt in cold storage.
Yeah, there’s a certain portion of emotional hurt that won’t be nullified by family time, vacations, hobbies etc. We’re talking about the hurt to your ego. Only a big win will wash that away. Only then is your emotional recycling complete.
Put yourself in line for that win.
After a hit, rest, recuperate, grab your wits, focus, and…
… put on the next trade.