I used to think that
the biggest enemy of trading
was greed.
The more I experienced,
the more I realized.
In many cases,
what really throws people off
is not greed.
It’s unwillingness to accept loss.
Greed is wanting more.
Unwillingness to accept loss
is not wanting to lose
what you already have.
These two things look similar.
But the latter is more dangerous.
Because once you start feeling unwilling to accept loss,
you’re no longer looking at the market.
You’re fighting with your own judgment.
I’ve seen many traders.
They clearly know the trend has already changed.
They clearly know the reason they bought in
no longer exists.
But they just won’t leave.
Because if they sell,
it feels like admitting
that they were wrong.
Later, when I read Livermore,
I understood more and more
why he kept emphasizing:
The market is never wrong.
What’s wrong is always
the way people think.
Before, I thought this was too simple.
Only after going through more
did I understand:
What’s truly difficult
isn’t recognizing a mistake.
It’s being able to stay calm
and walk away
after you’ve found your mistake.
The Daoist saying is:
“Knowing when to stop
and not getting into danger.”
Knowing when to stop is not failure.
It’s a kind of ability.
In the end,
what you compete on
isn’t who’s bolder.
It’s who knows
how to let go.
An excellent trader
doesn’t catch the final move every time.
Instead, after the portion
that belongs to them has ended,
they have the courage to exit.
Because the market always has a next opportunity.
But if someone can’t bring themselves to quit,
before the next chance arrives,
they might already be trapped
by their previous trade.$CYS
$ACE
$TAG
the biggest enemy of trading
was greed.
The more I experienced,
the more I realized.
In many cases,
what really throws people off
is not greed.
It’s unwillingness to accept loss.
Greed is wanting more.
Unwillingness to accept loss
is not wanting to lose
what you already have.
These two things look similar.
But the latter is more dangerous.
Because once you start feeling unwilling to accept loss,
you’re no longer looking at the market.
You’re fighting with your own judgment.
I’ve seen many traders.
They clearly know the trend has already changed.
They clearly know the reason they bought in
no longer exists.
But they just won’t leave.
Because if they sell,
it feels like admitting
that they were wrong.
Later, when I read Livermore,
I understood more and more
why he kept emphasizing:
The market is never wrong.
What’s wrong is always
the way people think.
Before, I thought this was too simple.
Only after going through more
did I understand:
What’s truly difficult
isn’t recognizing a mistake.
It’s being able to stay calm
and walk away
after you’ve found your mistake.
The Daoist saying is:
“Knowing when to stop
and not getting into danger.”
Knowing when to stop is not failure.
It’s a kind of ability.
In the end,
what you compete on
isn’t who’s bolder.
It’s who knows
how to let go.
An excellent trader
doesn’t catch the final move every time.
Instead, after the portion
that belongs to them has ended,
they have the courage to exit.
Because the market always has a next opportunity.
But if someone can’t bring themselves to quit,
before the next chance arrives,
they might already be trapped
by their previous trade.$CYS
$ACE
$TAG