I’m going to be sharing with you how to handle forex trading loss. Okay. When you have a loss or you have losses, how do you handle it, what do you do, how do you go from there, what are the options that you have so those are the things we’ll be discussing.
You know, loss will come, losses will come in forex or anything you’re doing at all in life. I mean losses comes, people suffer loss. The prayer is that we don’t suffer major loss in our life so the same thing in forex trading. The question is okay can you lose money? Absolutely yes, people lose money. I always say it and i have a slogan that in life will win some you lose some. What keeps you going is your winning must be greater than your losing.
Possible reasons for forex trading loss
You know at times in life especially, in forex trading we observe some losing it could be as a result of maybe inefficiency of yourself. It could be as a result of volatility in the market. It could be as a result of not following trading plan. And the one of the most painful ones also is if you use it maybe like a robot or artificial intelligence and you are not there and one way or the other you just burn out your account. It could be painful. We will be looking at how to handle loss in this video.
You know that I’m creating this video for myself because this is also what affected me – okay. Just last week, I lost a huge amount of money in fact there’s this artificial intelligence that I use that burnt out three of my accounts. Will I stop trading? Absolutely no so when something that nature happen you have choices, you have three, okay three choices.
Forex trading loss – 3 choices to consider
Choice number one is okay, you put yourself, you know quit trading forex you could just start blaming your coach or your mentor. You could start blaming the system that you use if you happen to use a let’s say artificial intelligence or robot or expert advisor. You could blame the vendor, you could blame this, that software, you could blame God you could blame circumstances,.
You could blame yourself, you could blame people blame every other person but you know that is the first choice you could just say you know what however what is called trading apathy and develop trading apathy check out, quit trading then go back to what you are doing before that was not working before you started trading forex.
Because the truth of the master is that, if what you are doing before was settling you okay, if you saw future you you are okay with what you are doing before you didn’t really need to come and do forex or trade forex so just just like in life you could be driving and you have a wreck okay people that get involved in motor accidents they will still use vehicles. They will still use cars to take them or even if you are involved in it an accident you still have to develop that skill okay to drive more. You know they always advise that, the psychologist advise that once you are involved in a motor accident you have to get to it immediately and start driving again if not you will develop some kind of fear of driving.
So the same thing in forex if you lose maybe you have some losing trades, you will do some trades or burn out your account, yes it happens in life I mean I’ve burnt account. I remember 2006 getting started I burnt six live accounts before I got it right and does that mean that since then I didn’t lose money or lose some account also yes of course it happens but then you don’t stay there you just you know learn from your mistake.
The number two option is you you get back, you learn from your mistake you stop trading okay for a while you could stop trading for a while and then go back to demo account. And uh you know please look at your strategy again do some back testing. Okay, look at maybe the lot-size that you are trading, look at maybe, you need to change the currency pairs you trade or the commodity or the instrument that you trade. Maybe you need to reduce the lot-size, the leverage. Maybe sometimes also you might need to change your broker because there are some brokerage accounts that might not be suitable for your trading style.
So maybe that is what you need to do. Maybe you need to just you know take take some days off you know like last week when I had that you know losses in three of my accounts I stopped trading for three days. I stopped reading for three days instead I just even made some radical withdrawal from some of my account you know I didn’t do any revenge trading. I didn’t blame anybody, I didn’t it’s just it because it’s what happens I mean in life you win some you lose some right so you when you experience loss like that or losses and trading you want to like the option about tweets stop trading okay take some minutes out okay come to the park like this just relax okay clear your head you can read watch videos watch tutorials and do what you love you know meet with your husband your wife play with your kids just unwind okay to get over that loss.
I’m gonna be talking to you about you know the emotions we we we have when we suffer losses especially in forex trading or investment or in business the same thing when it’s just like once your beloved one dies you go through that grieving period and all those kind of things so the same thing when you suffer losses and forex trading option number two is take that time off okay grief the account if you have to grieve but don’t misbehave, don’t insult people don’t blame every other person but you.
Then optional number 3 that you could just do is that you continue what you are doing. Continue what you are doing. What I mean is that you don’t go back to demo, you don’t check out, you just have positive mental attitude, positive mindset, that okay this happens and you continue. n one of my previous blog post, discussed extensively about how to handle losses in forex trading.
it took me 5 days to put that together because I just have to like okay so what else can we do you know, what else can i share with you to kind of you know help your feelings, help your emotion you know especially if you are in that situation just like life losses will come but when it comes what do you do that emotion you have to guide against it don’t just want to be winning, winning, winning, winning, sometimes we experience that loss right so and when you experience that all you have to do is just you know just be calm, you know just be calm don’t misbehave and it’s not the time to quit honestly speaking, it is not the time to quit. And if you are watching this video right now and you are in that situation I would like to you know, I would like to hear your feelings your opinions I would like to it’s okay express it you can send me an email to email@example.com.
You can just leave a comment below. I would like to relate with you okay for that anger you know just but don’t quit don’t quit okay don’t quit it’s it happens all the time people lose, people suffer losses and you move on okay you move on but you don’t go back to what you are doing that was not paying you before.
There was a reason, just always visit your why. Why did you start trading forex? Why did you sign up to to be coached? Why did you join forex trading? why didn’t you do other kind of business? why forex? So, when you understand that concept, visit your why I always say that if your why is big enough then how becomes so easy. If why you are doing that when you are done it’s big then you don’t, you can’t quit because no quitter has ever won and no winner has ever quit okay.