Trading the financial markets is not without risks. Every trader, even the most successful, face losses from time to time. This could be due to a lack of discipline, technological malfunction or just an error in judgment. Unfortunately, facing a series of losses can be very disheartening, leading 80% of day traders to stop trading within the first 2 years.
However, the key to long term trading success is using failure to learn and grow in the market. As Napolean Hill once famously said, “Every adversity, every failure, every heartache carries with it the seed of an equal or greater benefit.”
So, here are 4 things that traders can do after a loss to ensure that they learn for the future and continue to grow.