The Stop Loss: The Most Valuable Lesson I Learned in Trading
In trading, as in life, I realized something essential: the stop loss is not only a technical tool but also a mental strategy. Learning to let go of what does not work, whether it be a bad trade or a wrong decision, has taught me to protect my capital, my time, and my energy.
The stop loss is that limit we set to minimize losses. It is not about admitting failure, but about accepting that the market or a circumstance is not in our favor at that moment. This mindset also applies in life. Many times we cling to projects, relationships, or ideas that do not lead us to where we want, and letting them go can open doors to new opportunities that are truly worth it.
When I started in trading, I made the mistake of not using a stop loss out of fear of losing a trade that 'maybe' could recover. What I didn't understand was that this fear not only cost me money but also the opportunity to find better entries. Since then, I learned that getting out of a bad trade on time is not losing, it's protecting myself to come back stronger.
My message is simple: set your limits, in the market and in life, and respect them. Because letting go of what does not work is not a defeat, it is a strategy to win in the future.