Question 40—Regrets About Selling
Answer 2 A strong feeling of regret about exiting early can lead to overstaying the next trade.
Regret is a corrosive force in trading. If you kick yourself today for leaving some money on the table, you will reach out too far tomorrow and probably overstay your next trade. A mature trader creates a plan and follows it. He grades his performance and strives to improve it. He does not allow the outcome of a trade he made today to impact his behavior in a new trade tomorrow. Leaving some money on the table is an inevitable part of the game; only a paper-trader or a liar catches every bottom and sells at every top.
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