10/07/2022
If you haven’t found out yet, trading is a game of probability.
You will never be able to know what the outcome of a single trade can be. That would be too easy, wouldn’t it!?
But there is something you can do to make sure your winners are bigger then your losing trades. Yeah you will have losing that’s a fact!
is something that you put togheter when planning your trade. You will need a plan and most importantly you must know how much are you going to lose if your trade doesn’t go well.
Having already a predefined levels/prices, where you are going to buy or sell with the right amount of shares will tell you what your max loss could look like.
Before thinking about making money you have to know how much are you losing!
Now based on how much you are going to lose when you lose, you will have to make sure when your trade is going in the right direction that you won’t cap your trades by selling too soon because afraid of losing what you already made.
If you do that you will be another of thousands of traders who falls into that spiral of a bad risk/reward.
Try to cut off your losses without waiting to be too late, and try to at least make more then you were gonna lose in that specific trade.
I know easier said than done!
Go out there and practice. Not real money though!
