The first thing to understand is that the market will always be there for you. If it turns out that your idea doesn’t work, then you have lost nothing. In fact, if it was a good idea in the first place, then you have gained something by having had the experience of finding and learning from your mistakes.
This is true even if you lose money on an investment – as long as you learn something along the way.If you are investing in stocks or bonds, then this means taking losses when they occur (which is more likely than not). That’s what “taking losses” means: losing money! It doesn’t mean giving up and saying “I quit! I give up! I am never going to invest again! This time has been a total waste of my time!!” No matter how much pain or frustration accompanies a loss, remember that it was only ever temporary anyway because eventually all investments will turn around and make profits for those who stick with them through thick and thin…and so long as we keep our eyes focused on our goals we know that this day will come sooner rather than later.
How do you accept loss? Accepting loss is simple: You must be able to deal with it without letting it affect your trading. If you can’t handle losing money, don’t trade.The first approach is more likely to result in a successful trading career, while the second will lead to frustration and ultimately failure.
Accepting loss is essential if you want to make money consistently over time! The most important thing is not letting your losses get out of hand so they can become opportunities for growth and learning instead of defeats which lead only into more defeat…and eventually failure!
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