Reply With QuoteI struggle with this almost everyday and since taking coaching lessons with you and having more confidence in the trades I make I hope that I can get over the next hurdle.
Tom
Trading Rule 16: Stay In Trades Until You Have A Reason To Exit
Say I enter a trade that goes up 10 cents then down 10 cents then back up 10 cents. A lot of new traders would close out of this position at their entry price after this occurrence, or at unchanged. There is a lot of noise and manipulation that exists in the markets, and it is important to set a predefined stop loss and profit target and stick with them.
All too often when I was a new trader I would get nervous and think the trade was going to go against me and I would close out of the position prematurely with either a very small loss or a very small profit. I'm in trading to make money--not to make pennies on each trade. And after I would get out of the position 9 times out of 10 it would turn around and go in my favor, doing exactly what I thought it would do.
It is extremely important to follow your stop loss and profit target, and not close out of your trades before it is time to end the trade. This can be very difficult for some people to do, so if you need help with this concept drop by 123LearnToTrade.com and sign up for a free coaching consultation so we can talk over the issue.
I struggle with this almost everyday and since taking coaching lessons with you and having more confidence in the trades I make I hope that I can get over the next hurdle.
Tom
Hey Tom,Originally Posted by Tomross58
I figured you would like this one. Most traders struggle with this at some point in time and sometimes all you need is an extra boost of confidence in your analysis and some coaching to try and get you out of this hole.
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