The market is near resistance, and is beginning to weaken. You don't short the market, and in an instant, the market crashes to the downside while you just watch. Another missed opportunity.
This has happened to all of us, probably more than once. For me, it is usually the result of my concentrating on the possible loss of the trade rather than the potential gain. When the market is testing previous support or resistance levels, the loss is very small compared to the potential gain. To make this trade easier to enter, start concentrating on the potential reward of the trade rather than the potential loss.
Charles
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Good point Charles. I'm thinking if the "risk" is always predefined, why even worry or think about the loss?
ReplyDeleteFor example, I know my max loss is 2 pts/contract on any given trade.
Hi Awais,
ReplyDeleteAs Martin Schwartz has stated, "Trading is a psychological game."
Charles