Almost all traders have experienced a losing streak, a period during which they were unable to keep pace with the market and suffered repeated defeats.
When you suffer a losing streak, you must never try twice as hard to reverse the situation.
When your trading is getting worse and worse, the best solution is usually to close all positions (or protect your open positions by setting a stop loss. After setting a stop loss, you don’t need to make trading decisions, and everything is based on the gains and losses of the stop loss), then stop trading and take a few days or longer break.
Clearing your position can help you regain objectivity.
If you stay in the market and continue trading at this time, you will not be able to remain objective.
Because every loss further undermines your self-confidence, continuous losses can cause you to have negative emotions, depressed will and sluggish spirit. At this time, physical rest can eliminate all negative and negative influences.
When you resume trading after a break, you should keep your trade size small until you regain confidence, then you can increase the size of your trades.
