Of recent, I've come across alot of people talking about traders chasing their losses which at the end, leads to possible blowing of accounts.
I understand that people trade with expections and most times when this expectations aren't met, they try as much as possible to chase after their losses and my questions are
~ what is your take on revenge trading?
I do not think that I have encountered the term "revenge trading" but it somehow implies that a person would trade due to their frustration on incurring their losses. Personally, I find this method really risky as you are basing it almost purely on one's emotional drive on the reason they would trade again.
~ Do you think people intentionally go into revenge trading or is is just emotional?
I do think that there is a factor of emotional drive that compels them to trade again. The problem is that most traders gamble their funds large-scale. They trade large amounts of resources and they hope of recovering such losses by trading again. This potentially can impair their judgement especially if they tend to lose more in the process.
~ what will you advise someone making series of losses ?
My number one advice is to always clear your head and move on. Once you experience a loss on your trade, consider it as a normal occurrence. Remember that trading by itself is a risky venture where no profit is absolute to realize. Learn from your experience as this differentiates a newbie trader from an experienced one.