How do you handle the urge to win it back?

After a loss, the urge to immediately trade again to recover it is one of the most expensive impulses in trading. Everyone feels it; the difference is what happens next.

How do you handle the urge to win it back? — risk-reward diagram
A risk-reward ratio of 1 to 2

What's your protocol?

  • how you recognise the urge when it arrives
  • the rule that stops the revenge trade
  • how long you wait before trading again
How do you handle the urge to win it back? — candlestick anatomy diagram
The parts of a candlestick: wick, body, open and close

The revenge trading guide names the pattern precisely.

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