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Revengetrading

India Cements - Revenge Trade 101 :) :) :)A Beginner's Guide - How to do Revenge Trading :) - Inspired by True Story !!! Few years back, when I was naive in Technical Analysis, I took an Intraday position in India Cements basis someone's Call in Social Media. It ended up hitting a SL resulting in a Loss of Rs. 111 :) Back then I used to lose money on everything F&O, Intraday, Equity - because "I was always dependent on Calls from someone... When the market goes other way - I used to Panic because that Someone won't respond to our queries or there would be no option for us to ask questions in those Telegram Channels" As a "Smart Trader" I used to do Revenge Trading in F&O by taking Opposite positions because the market went the other way earlier. And the Market so Humbly and with Full Love and affection - SLAP ME ON BOTH SIDES - Ha ha Later - I spent time on Learning and finally decided to take my real Revenge To Avenge my Loss of 111 (Rs.)... Took Revenge Trade at an entry price of 222 (Rs.)... And personally Set up a %Target of 111% :) :) :) Today - the price has reached 374 which is 68% from my entry of 222. One of my student said India Cements - Looks Very Scary from Fundamentals Perspective and he said 111% Target looks too steep and extremely Risky Really ??? Look at the Chart again. The Price has Beautifully completed a Breakout of a 17 Year Rounding Bottom Pattern for Targets of 394, 430, 470 and 586 Look at the Quarterly Chart - Are there any sudden Crashes / Volatile or Erratic Moves ? Despite having a Crappy Fundamentals - how can the Chart be so Neat and Clean ? Understand the Reality - the market does not move as per Fundamentals - its just a Perception. Let's quickly review the Math: Entry Price: 222 CMP: 374 Profits: 68% already done Now that the Breakout is completed on Weekly Closing and also if the price sustains at CMP for another 3 days - it would confirm the Breakout at Monthly closing - setting the 68% on Stone. It won't fall below after that To reach the 111% Target from my Entry price of 222 - its just a matter of 25% more upside from CMP. After a 17 year Monthly Pattern Breakout - is it that hard to get 25% more ? Looks much simpler than before - No ? Worrying too much about Fundamentals might make you a Mental :) (sorry - this is Hard reality) Summary: 1. Don't take Revenge Trade with you loose - your Emotion will make you a Fool - same day 2. Wait for Opportune time - if I can Avenge my Rs. 111 loss with 111% gain - so can you Learn First, Understand how the Market really moves (Don't have any Bias that Fundamentals, Valuations, PE, ROCE, ROE, EPS would offer best results) and Wait for the Right Entry point from the Market (Not from any Call Giver in Internet) and Avenge your loss Taking the Side of the Market (Not Against it) Happy Trading :) Disclaimer: 3+ Years Teaching Experience in Stock Market - Technical Analysis, Behaviour Analysis, Advanced Patterns, Emotional Management, News based Trading... We are NOT SEBI Registered and Our focus is NOT providing Buy/Sell Recommendations/calls. Primary Objective is to provide detailed analysis of how to review a chart, explain multi-timeframe views purely for Educational Purposes. We strongly suggest our followers to "Learn to Ride the Tide irrespective of its Side" *** Important *** Consult your Financial Advisors before taking any positions If you like our detailed analysis, please do rate us with your Likes, Boost and share your comments -Team Stocks-n-Trends
NSE:INDIACEMLong
by Stocks-n-Trends
Revenge Trading is Lethal - 5 Reasons Why!Do you feel it in your bones. Where do you want to: Take trades to make up for losses? Take trades for the sake of trading? Take trades out of emotions and gut (gat feel)? Take trades to make a quick buck? If so, you have felt the power and dangers of Revenge Trading. TO put it blunt. Revenge trading is detrimental, dangerous and just plain stupid for any traders to succumb to. I feel like I can finish the article already as I have said what I needed to. Not just yet! You need to understand why Revenge Trading is to your downfall. Let’s start with these: #1: Impulsive decisions are dangerous In the heat of the moment, you just want to take an impulsive trade. This can lead to disastrous outcomes. Revenge trading happens when you want to try recoup losses quickly. And so traders abandon their strategies, systems and rules. And they take on unwarranted risks. This will stop you from making good, calculated, logical and well-informed decisions based on sound reasoning and market research. Don’t do it! #2: Trading on emotions is deadly Emotions such as fear, greed, and frustration have no place in trading. Revenge trading is fueled by these emotions. And this causes traders to deviate and steer way from their plans by instead acting irrationally. What then? Bigger losses, unnecessary risks to the portfolio and skewed results on your trackrecord. Your hard earned and timely worked on journal! Is it worth it? I think not. Cut out your emotions and work at being calm and take on the more logical approach, devoid of emotional interference. #3: Violating trading rules is damaging Every trader should have a set of well-defined trading rules in place. Not just rules but also a list of criteria. Revenge trading typically involves disregarding these rules and just going against everything you should do. Basically, what the average dumb retail trader does which results in 98% of traders losing in this financial endeavour. Violate your rules and there will be severe consequences. Loss of confidence. Bigger losses More losses Erratic wins (which make you want to do it again and again and again) Not worth it. Don’t do it. #4: Too much unnecessary risk You know you’re using your hard earned cash to trade and build a portfolio right? So why are you burning it and cutting it up like it’s nothing? This reckless behavior can lead to bigger drawdowns and can even wipe out trading accounts entirely. Don’t do it! #5: Creates an ongoing cycle of doing it again Great! Once you have violated your rules, gone against your strategy and pretty much gone ape or rogue on trading – it takes a lot to gain ones integrity and discipline back. One of the most dangerous aspects of revenge trading is its cyclical nature. Break the rule, you’ll break it again. Cheat, you’ll cheat again. Enter a gambling mentality and you’re in trouble. Bank a winning rogue trade and you’ll succumb to the trading world of discretionary action. However, if these subsequent trades result in further losses, the cycle repeats, trapping traders in a never-ending loop of revenge trading. Breaking free from this destructive pattern will then need a ton of discipline, self-awareness, and a commitment to sticking to one’s trading plan. So please be careful. Trade well! Don’t trade like gambler. Avoid the perils of revenge trading by all means, starting from today. And when you feel the need to do it (like a junkie), come back and read this article. Had to be said.
TVC:SA40Education
by Timonrosso
Trading Mindfully: Letting Go of Revenge for Financial Success Sometimes the market can really wear us down mentally and emotionally. Imagine this scenario: you enter a trade feeling confident, having carefully considered and calculated everything. You're in a fantastic mood, already envisioning the profits. And then, unexpectedly, everything goes wrong. In moments like these, even if you have a solid system and strategy in place, anger and resentment can take over. You might feel the need to seek revenge on the market for what you perceive as an injustice, and impulsively open positions with the intention of punishing it. However, the outcome of such revenge trading is almost always regrettable, resulting in significant financial losses. Let's take a closer look at what revenge trading entails and why it is so dangerous. Revenge trading occurs when we believe that the market has taken "too much" from us or treated us unfairly. Instead of stepping back and regaining composure, traders act contrary to every rule and guideline, driven by anger and a desire to prove themselves. Fueled by a mixture of frustration and determination, traders tend to fall into one of two scenarios: they either open large positions that further amplify their losses, or they manage to recoup some of their losses if luck is on their side. However, the best course of action in such situations is actually to take a break and reflect on the situation at hand. Attempting to take revenge on a market that is infinitely more powerful than any individual trader is inherently irrational. Moreover, this type of trading has several other negative consequences. When you trade out of revenge, you are driven by emotion rather than logic and strategy. This approach is destined to fail and can result in even greater losses over time. At this point, you lose touch with reality, forgetting everything you know and have learned about the market. Your well-thought-out strategies and trading algorithms that used to bring you profits are abandoned. Effective money management and risk compliance become distant thoughts. You throw all your resources into the blazing fire of revenge. As a result, you find yourself trading based on intuition, which is no longer a disciplined approach but akin to gambling. How to Overcome the Urge for Market Revenge There is a simple yet crucial mechanism that can help traders overcome the desire to seek revenge on the market. The most challenging part, however, is remembering to apply it in practice. Here are some steps to follow: 1: Take a Step Back: When the desire for revenge arises, it's important to slow down your emotions and actions. Step away from the computer and engage in activities that involve fine motor skills, such as solving puzzles or engaging in a hobby. It's detrimental to continuously look at the screen that displays recent losses, as it only amplifies your emotional state. By diverting your attention to non-trading activities, you allow the frontal cortex of your brain, responsible for rational decision-making, to activate. Going for a walk or connecting with a friend can also be effective ways to shift your focus and regain composure. 2: Analyze the Situation: To regain a conscious state and process your emotions, conduct a written analysis of the situation. It's beneficial to do this manually on a plain sheet of paper, utilizing your fine motor skills once again. Describe the entire incident in detail, including your thoughts, emotions, and actions. By gaining a comprehensive understanding of what threw you off balance emotionally, you'll be better equipped to recognize and control those triggers in the future. 3: Evaluate Your Trading Strategy: Every trader relies on a specific algorithm or trading system to make decisions. Take the time to thoroughly examine your trading system and ask yourself some important questions: - Does your trading system genuinely work? - If you had followed your system entirely (which you didn't do when seeking revenge), would it have helped minimize losses? - Are the losses that angered you a result of system losses or a breach of the system's rules? In addition to studying your trading system, it's crucial to assess your money management rules and ensure you are effectively managing risks. Proper risk management acts as insurance, protecting you from substantial losses. Regardless of market fluctuations, you can confidently close trades when necessary. Effective risk management is what distinguishes profitable traders from those who suffer losses. Final Thoughts: To overcome the desire for revenge, it is essential to understand what triggers it and address the underlying reasons. When we view the market as a reflection of our self-image and attribute personal meaning to our trades, it often leads to an emotional storm. In such a state, we may disregard trading systems and risk management principles, making foolish mistakes that can devastate our trading accounts. It's important to remember that the market provides only factual information for analysis, and behind the price quotes lies nothing more than information.
Editors' picks
Education
by FOREXN1
24
Revenge Trading is Catastrophic - Here's why!Do you feel it in your bones. Where do you want to: Take trades to make up for losses? Take trades for the sake of trading? Take trades out of emotions and gut (gat feel)? Take trades to make a quick buck? If so, you have felt the power and dangers of Revenge Trading. TO put it blunt. Revenge trading is detrimental, dangerous and just plain stupid for any traders to succumb to. I feel like I can finish the article already as I have said what I needed to. Not just yet! You need to understand why Revenge Trading is to your downfall. Let’s start with these: #1: Impulsive decisions are dangerous In the heat of the moment, you just want to take an impulsive trade. This can lead to disastrous outcomes. Revenge trading happens when you want to try recoup losses quickly. And so traders abandon their strategies, systems and rules. And they take on unwarranted risks. This will stop you from making good, calculated, logical and well-informed decisions based on sound reasoning and market research. Don’t do it! #2: Trading on emotions is deadly Emotions such as fear, greed, and frustration have no place in trading. Revenge trading is fueled by these emotions. And this causes traders to deviate and steer way from their plans by instead acting irrationally. What then? Bigger losses, unnecessary risks to the portfolio and skewed results on your trackrecord. Your hard earned and timely worked on journal! Is it worth it? I think not. Cut out your emotions and work at being calm and take on the more logical approach, devoid of emotional interference. #3: Violating trading rules is damaging Every trader should have a set of well-defined trading rules in place. Not just rules but also a list of criteria. Revenge trading typically involves disregarding these rules and just going against everything you should do. Basically, what the average dumb retail trader does which results in 98% of traders losing in this financial endeavour. Violate your rules and there will be severe consequences. Loss of confidence. Bigger losses More losses Erratic wins (which make you want to do it again and again and again) Not worth it. Don’t do it. #4: Too much unnecessary risk You know you’re using your hard earned cash to trade and build a portfolio right? So why are you burning it and cutting it up like it’s nothing? This reckless behavior can lead to bigger drawdowns and can even wipe out trading accounts entirely. Don’t do it! #5: Creates an ongoing cycle of doing it again Great! Once you have violated your rules, gone against your strategy and pretty much gone ape or rogue on trading – it takes a lot to gain ones integrity and discipline back. One of the most dangerous aspects of revenge trading is its cyclical nature. Break the rule, you’ll break it again. Cheat, you’ll cheat again. Enter a gambling mentality and you’re beeped. Bank a winning rogue trade and you’ll succumb to the trading world of discretionary action. However, if these subsequent trades result in further losses, the cycle repeats, trapping traders in a never-ending loop of revenge trading. Breaking free from this destructive pattern will then need a ton of discipline, self-awareness, and a commitment to sticking to one’s trading plan. So please be careful.
JSE:J200Education
by Timonrosso
STOP being a Revenge Loser in 3 WaysSo you’re down $200 for the day… Your poor heart strings have been pulled and your ego has been shot down… In 23 minutes, the stock market will close, which will leave you devastated with a losing trade! You decide to pump up your chest, make an animal grunt sound and try to make up for this loss… And so, you take the ‘not-so-perfect trade’, because the market now ‘owes you one’. You lose again… This time it’s not $200, it’s a $450 knock. Well done! You’ve just fallen into the most common Revenge-Trading-Trap… And you’ve just become what I call a “Revenge-Loser”… Let’s make sure that never happens again, shall we? Here are three solutions to help... Solution #1: Let bygones be bygones Trade losses come with the territory… Take them, own them but make sure they are not so big that you feel the need to cry about it… Drop your risk from 5% down to 2% or even 1% per trade… Until you get to the point, where you can easily just let your losses slide. Solution #2: Grab a cold one This is my favourite… When you feel the need to jump on the next trade, without a good setup – the next tip is guaranteed to help. Step away from your computer and grab a drink, watch Netflix go make Ice-cream… Whatever you need to do, to stop trading for the day – DO IT… The markets will be here for you tomorrow and for whenever you’re ready to trade again… Solution #3: Follow a successful trader If you feel you: DON’T want to struggle taking a trade. DON’T have a trustworthy trading strategy DON’T have the right experience to know when to buy or sell DON’T have the time-less money management rules to execute your trades well… It’s for these reasons and more, I’ve decided to send my personal BUY and SELL weekly trade alerts, tips, videos and market updates for you… When I send out a trade, you know what I’m buying or selling for the day, week and month… And when I profit you profit… It’s really a win-win… If you have any trading questions I'm here to help. I've been in the markets since 2003. Trade well, live free. Timon MATI Trader
NASDAQ:NDXEducation
by Timonrosso
1
3 Sins of a Revenge Trader!Listen, there are only two types of market environments… FAVOURABLE – Where the price movements yield high probability trade setups… UNFAVOURABLE – Where the movements in the market do NOT offer high profitable trade setups… For example… With my breakout MATI Trader System, I need a market that has broken out of a sideways range in order to ride and profit from it… If the market stays in the sideways range, and I want to revenge trade… Whether I buy or sell, I will LOSE every time… That’s why you need to remove the emotions and personal opinions from your analysis COMPLETELY. The markets have no idea who we are and they don’t care whether we won or lost… WAKE UP! There is no catch-up If that revenge is flowing through every inch of your body, and you think you can play catch up – WATCH OUT. Most revenge losers, will just try to reverse their trading positions and swing the other way… This is JUST as dangerous for your portfolio… You’re committing three sins when you try to revenge trade… SIN #1: You’re going against your proven trading strategy You’re tempted to trade on impulse rather than following your logical and winning trading system. SIN #2: You’re over-trading This is when you take more trades, to try to feel better about your loss you made… SIN #3: You’re trying to play catch-up This is where you’ll take try to make up for your losses, by just taking trades by chance You’ll need to stop the revenge trading before it becomes a habit… Trade well, live free, Timon MATI Trader PS: Next article I'll share my solutions to Revenge Trading
JSE:J200Education
by Timonrosso
Are you revenge trading 😖🤔Revenge trading! It all catches us all out at some point in our trading journey's. The markets don't care about your loss and neither should you! Losses are a part of trading and have to be accepted. No one can be right 100% of the time regardless of method used. Revenge trading will add to those losses and compound that account draw down even more. Irrational emotions have no place in trading and they are what lead to revenge trading. The way to eradicate this issue is by going about your trading a logical manner. First off is build or use a strategy with a known proven edge. Second is follow that strategy to the letter and only enter trades when all your parameters/confluences are met. The markets take from the impatient and give to the patient ones. The example I am using on chart is using a trend following strategy of our own. This strategy is a good win percentage and I know that as the built in strategy tester shows me all the stats. As always the report box is at the bottom of the idea showing those very stats. A 61% win rate means losers still happen and as you will see on the chart the buy trade hit stop loss before price went on an upward trend. The old trader in me would of been pouring over this chart trying to guess which way will it go? What should I do enter a long again? That would of paid of in this instance but not the logical thing to have done it would of been luck and luck only. Who knows with emotions at play would I of had a thought the price was going to head down? Then place a sell order? Luckily I didn't have to make any of those choices with emotions at play. I accepted the loss on the fact I know I'm trading a proven strategy and I simply waited for the next trade alert and let probability play out. The next trade was a short that found it's intended take profit target. This process is more simpler for those who are using a mechanical trading system like the one on chart. But regardless of system or approach in use if you are following the trading plan to the letter revenge trading shouldn't occur. Find an edge, apply that edge, stick to the proven plan and revenge trading won't be your issue. Instead you'll be one of the patient ones that the market is giving to 👌👍 ------------------------------------------ I try and share as many ideas as I can as and when I have time. My trades are automated so I am not sat in front of a screen daily. Jumping on random trade ideas 'willy-nilly' on Trading View trying to find that one trade that you can retire from is not a sustainable way to trade. You might get lucky, but it will always end one way. ------------------------------------------ Please hit the 👍 LIKE button if you like my ideas🙏 Also follow my profile, then you will receive a notification whenever I post a trading idea - so you don't miss them. 🙌 No one likes missing out, do they? Also, see my 'related ideas' below to see more just like this. The stats for this pair are shown below too. Thank you. Darren
Education
by pow_removetheguesswork
NOK+LUMN+INO: a big LONGS SQUEEZE for the small investors Hedge funds circumventing every rule of technical and fundamental analysis were indulged in a vindictive trading against small investors from around the world who invested in NOK, LUMN and INO stocks. These companies are financially sound, with excellent fundamentals and brilliant prospects and have nothing to do with other companies with problems. Is this how Wall Street wants to attract investors from all over the world? If that's how things work on Wall Street, investors can also visit a casino to ‘invest’ their money. Prompt: New traders should take some time and carefully read the post entitled 'You can't beat the market' that is located in my profile. Disclaimer The author of this text is not an investment advisor. The preceding content is intended to be used for informational and educational purposes only. It is not an advice or inducement for the purchase or sale of the products mentioned. Before making any investment based on your own personal circumstances, it is very important to do your own research and analysis and also take independent financial advice from a professional to verify any information provided here.
NYSE:NOK
by Gnothisafton
4