Can ego become a problem when day trading e.g. too much ego to take a loss?
TRADINGFEATURED
"Learn to take and accept losses and your trading and confidence will improve immensely"
Ego is always a problem in life as well as in trading.
How to take a loss - just do it because you can always get back in.
Cut your losses.
When it comes to taking losses, most traders find it hard to just close positions in the loss.
They would rather wait for the trade to stop them out for a full loss rather than just cut it immediately when the reasons change.
For example: Paul Tudor Jones not only used a price stop but also a time stop.
He gave his trades some time to play out and if they didn’t perform as he expected them to, then he just cut the trades even if they were in loss.
Learn to take and accept losses and your trading and confidence will improve immensely.
Credit: Quora