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| Yes losing IS part of the game if you're a trader. Accepting losses calmly and being ready for the next trade is the psychology you HAVE to have. Being able to buy scary dips and sell scary buldges is also a mark of the successful trader. Doing all of this CONSISTENTLY (not perfect consistentcy but high % of the time) is another big hurdle for the wannabe successful trader.
It is SO EASY to buy buldges and sell dips--just the opposite of what you must do. As one trader put it: "You have to be able to do the hard things." And, again: Consistently. These things are no small task !
I recall reading about an older, very experienced trader showing a new trader how you must take a loss. He and the new trader were on the floor of the CBOT and the old trader took a position. Small amount of time passed and he calmly offset his position. The new trader said: "But you took an 1/8 cent loss." The old trader told him that's how you take a loss: quickly and calmy and keep them small. He was agreeing with SeniorCitizen: Taking losses and keeping them small is the first thing for the beginning trader to learn. Not how to win but how to lose! Without "good losing" consistently winning--over time--is impossible.
Don
Edited by getitdone1 1/17/2008 17:10
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No. 9 post position
