Revenge Trading: Do not try to take revenge on the market!
You lose a trade…
Then you say:
“I’ll recover my loss now.”
So you open a larger trade, without a clear setup, and without a plan.
This is the beginning of revenge trading.
🚨 Its signs:
❌ Increasing trade size after a loss.
❌ Entering immediately to recover the loss.
❌ Ignoring Stop Loss.
❌ Changing your plan due to anger or frustration.
❌ Opening many trades in a short time.
🧠 The rule:
Loss = the result of a trade.
Not something to be avenged.
If you lost because your Stop Loss was triggered according to your plan, it does not mean your entire plan failed.
Ask yourself:
Did you follow your plan?
If yes → log the trade and learn from it.
If no → identify the mistake before your next trade.
🧪 Practical exercise:
After any losing trade, pause temporarily.
Write down:
1️⃣ Why did I enter?
2️⃣ Did I follow the Entry criteria?
3️⃣ Did I respect my Stop Loss?
4️⃣ Did I enter due to FOMO or a desire to recover?
If you find you traded out of emotion:
🚫 Do not open a new trade until you return to your plan.
🔥 Lesson of the day:
“The market doesn’t know you lost.
So don’t let it dictate your next decision.”
🛡️ Risk Management:
Do not double your trade size to recover a previous loss.
Protect your capital first… then calmly seek the next opportunity.
