Many traders, in my opinion, assume that all they need is a run of good luck before they can move forward with confidence. Is it possible to maintain composure while on the losing end of a trade?
My “confidence” has taken me through many ups and downs, but I’ve now realised that the key to success is not having more winning transactions than losing ones and being able to manage both.
I realised that my optimistic outlook on life was directly related to the way I dealt with disappointment.
I felt optimistic about my ability to recover from defeat.
If I lost more than I should have or went over my daily loss limit, I felt terrible about myself instantly.
So I stopped doing the things that had been giving me that unpleasant sensation.
While I may not be able to influence market conditions, I do have complete say over my individual trades, including when and how much I enter and exit the market, how many positions I hold at once, and how much risk I am willing to take.