First Loss In 2 Months - Important Lesson
We just took our first trading loss in two months on the GBPJPY short that we initiated a couple of days ago. I always welcome losses when they are controlled and within the confines or our trading system, which this GBPJPY short was.
Why is that?
Because I know that every loss is one trade closer to the next big win. And having a 81% success rate since the last loss at the end of May 2019 tends to make any loss much more bearable ;)
How do we remain unwaiveringly confident even in the face of losses? Easy. Trade with a system that has a proven edge. Not over one month. Not two month. Not even just one year, but a system that has a consistent track record over at least two years of backtesting. It should be rooted in sound technical analysis so that you know the odds are always in your favor when you place that next trade.
Because we have so much data for this system we know all the stats related to it. Therefore we will start experimenting with even bigger position sizing in a separate "High Risk" account. It will ask to stomach much bigger drawdowns but for much bigger returns as well.
More to follow, be safe and good luck!
Why is that?
Because I know that every loss is one trade closer to the next big win. And having a 81% success rate since the last loss at the end of May 2019 tends to make any loss much more bearable ;)
How do we remain unwaiveringly confident even in the face of losses? Easy. Trade with a system that has a proven edge. Not over one month. Not two month. Not even just one year, but a system that has a consistent track record over at least two years of backtesting. It should be rooted in sound technical analysis so that you know the odds are always in your favor when you place that next trade.
Because we have so much data for this system we know all the stats related to it. Therefore we will start experimenting with even bigger position sizing in a separate "High Risk" account. It will ask to stomach much bigger drawdowns but for much bigger returns as well.
More to follow, be safe and good luck!
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.