When faced with a bad trade that isn’t working, there is the potential for a severe blow to your psyche. However, with a little effort and the right trading software you can regularly turn things round. Here are 7 pointers to help you rescue a bad trade.
Question Your expectations
Maybe your bad trade move was primarily based on economic news rumors that have no foundation in fact. You could be wrongly considering market dynamics or have a false perception of market structure.
Look For Confirmation
Ask yourself to fill in the holes that are making you lose your grasp on your trading method. Asking questions leads to clarification and potentially a positive result. Never worry about looking for more info. The smartest folk are always prepared to deal with a bad trade by assessing more information.
Are you Dialed In?
When faced with a bad trade, check that you’re listening and not just pretending. Change your point of view, give serious attention to your charts, and demand more of yourself.
Deal with the problem Without delay
Be direct and say out loud that you’re feeling the bad trade isn’t working out. Verbalizing thoughts can solidify them and make you more mindful of fact.
If you frequently have difficulty with a selected set-up or pattern, get help from a trading coach that has experience with your area of challenge. If you do this regularly, you’ll get new revelations you can act on straight away.
Occasionally the timing just isn’t right. Step away from the computer and only come back when you’re better prepared, more rested or not as distracted by other issues. Try to turn a bad trade in your favor when the percentages are stacked against you is tricky and frequently pointless. Get back to it later when you’re feeling abler and, you’ll make better calls – with less effort.
Shoot for Good less than perfect
Often we hold such stringent standards for ourselves that we will never win. If you demand one hundred percent success for every trade, you are setting yourself up for constant frustration. Do your best to learn and improve from each experience. Be kinder to yourself and you’ll be more relaxed in all your trading activities. And, ironically your performance will improve because you aren’t so harsh on yourself when you have a bad trade. Aim for slow continual improvement and you should expect to succeed at a quicker rate.
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