Taking losses is not as easy as it seems. Anybody could easily said the magic words "cut your losses" and yet, failing to do it as per say.Is this common? Is it that difficult especially to amateurs? or is this all about self-control?
Yeah yeah yeah bla bla bla... there are thousands of articles out there talking about this topic, and yet on personal basis, still people or traders (to be more specific) fail to see the simplicity behind this phenomenon. Why?
Because greed and fear are everlasting... it is there, was there and will always be there... perfect answer I supposed...
I believe the root to this situation, and in all trading skills requirement is all about the ability to control yourself. That is why it is vital and being thoroughly elaborated by professionals on how important it is to know who you are in the first place. The reason for you to trade and the study of one-self...
And yet so many traders jump straight away to the vehicles of trading, system etc. They fail to see that the real enemies are nothing else than himself. As per mentioned by Ed Ponsi in his Forex Pattern & Probabilities, in the end it is all about knowing and controlling yourself in executing a proper trading plan. A plan is of no value if you don't have the discipline to stick with it. Further to that, if you fail to care on your well-being in the long run, there is a possibility for you to self-sabotage your trading decisions and accounts.
Hence, once again the keyword here is... self-control, since there is no way you can control the market. It is easy to jump blindly into another trade after your stop loss is being hit or your account has been on margin-called. But the ability to stay cool, calm down, relax and come back with a better market perspective is all it takes to become a successful and profitable trader in the long run.
So, who should control the beast within you? Isn't it you?...
Yes it is not easy but definitely you and only you can do it...
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