Post
Topic
Board Trading Discussion
Re: How do you handle losses in trading?
by
deisik
on 04/06/2020, 20:18:16 UTC
That's great! Rule no. 1 in trading "trade the money you can afford to lose" you have to accept the fact that you may lose your money on trading

Well, there's another rule (actually, two rules). It mostly refers to investment (if we consider it a different effort from trading), and it was Warren Buffett's invention. So here are the rules:

Rule 1: Never lose money
Rule 2: Never forget rule 1

If we draw an analogy here, it is not so much about trading the money that you can afford to lose but rather not losing whatever money gets traded. If you follow these two simple rules, you can trade as much money as you will