How To Break a Losing Streak
The first thing you need to do is to deal with those pesky emotions.
[As always I have a setup at the end]
Let me tell you a story on my experience with this.
When I first started trading I hit a massive winning streak.
It was beginners luck on a grand scale.
I took my account from $50 to over $3,000.
I was on top of the world and felt like I cracked the code to unlimited riches.
Can you guess what happened next?
Disaster!
I kept increasing risk and I ended up losing the entire account in one trade.
I was devastated!
I bet you have never done anything like that, Right?
If you have you know how bad I felt.
I lost all my confidence.
It was so bad I think when I look back on it I couldnt win a trade after that for months.
My head game was so bad I was shaken up.
I think I had trading PTSD
I didn't break the losing streak until I got my confidence back and dealt with my emotions.
Here is what I did:
- Acknowledge My Emotions: Recognize that trading can trigger strong emotions like fear, greed, or frustration. Identifying these feelings is the first step toward managing them effectively.
- Reflect on Past Successes: Remember your successful trades and the strategies that worked for you. This helps rebuild confidence by focusing on what you did right.
- Reassess Your Strategy: Analyze your recent trades to identify patterns or mistakes. Adjust your trading plan to minimize risks and avoid repeating the same errors.
- Start Small: After a losing streak, reduce your position sizes. This allows you to rebuild confidence gradually without the pressure of large losses.
- Practice Patience and Discipline: Stick to your trading plan and avoid impulsive decisions. Consistency and discipline are key to regaining control over your emotions and trading effectively.
The key to SP right now is a double resistance level if we get good price action could see a short develop.
The the resistance breaks we are back to the bull market.
Check out my live training this week for more tips and a hot trade that could generate profits.
I know that if you keep learning and do not give up you
To Your Trading Success,
Casey Stubbs
