Major Reverse!

Today’s entry required a lot of balls to publish and I’m sure a lot of people out there are ashamed of sharing their losing trades in public because it puts them in a position where they seemed to be incompetent in what they do. So if you are in my shoes right now, and you feel it’s necessary to put a bag over your head, do so but keep reading! Hahaha.

I wanted to share my experience on my 6th and 7th loss, and the biggest of all losses in a trade that I have encountered.

I had 4 trades running simultaneously both on a buy and sell. When I told my mentor about this, the advice was simple and straight forward. Do not put multiple trades when you are not confident.

And the second advice was, should’ve exit the trades and just take the loss when the direction is against your analysis. Which obviously I kept the trades, hoping that I would close in the next few days. As a result, suffered a loss of 7730 pips.

The question is why am I still forcing the trades when I knew the rule was to exit after a certain limit of reversal?

On my demo account, I stared of with USD 10,000, grew it to about USD27 000 in span of less than 3 months. Now it’s back to USD 10,000 where I started.

If this was a live account, hope you are still breathing! So was the loss caused by lack of skill or poor psychology?

10% Skills and 90% Psychology

Anyhow, it’s always a good idea to consult your mentor about any losses. Yes sometimes it’s difficult to admit that we make mistakes but that only shows that we’re still human. In SRDC we nurture our traders to be good at not just trading but to be able to fix our psychology, to lessen the EGO, to stay humble and of course to build each other up so that we can reach our goals.

I hope by now, you have removed the bag off your head (lol!) and let’s start over with a positive mind.

Cheers everybody and have a smashing weekend!

SRDC. Trade Different.