Quote from: barisbilgili on Today at 03:59:56 AM

Quote from: Dewi Aries on September 04, 2024, 08:17:14 PM

Yes, that's right, risk management is the key and that's why risk management is a mandatory plan for a trader, we must remember and understand that trading is not just about profit opportunities but the possibility of loss will always be a part that can never be separated.
And one of the reasons why traders often act impulsively, such as taking revenge on the market, is because most likely from the start they do not understand in detail that losses are part of trading, which may make them trade with amounts that they cannot afford to be responsible for.
So I think to avoid various impulsive actions and decisions, from the start you need to understand and be aware of the risks in trading, because of course no one will ever like losses, and when you understand this, I'm sure you won't dare to act too rashly.

All traders must understand the risks in trading, but many mistakes are made because they cannot control their emotions or greed for more, resulting in mistakes based on market sentiment that never stops if they cannot be controlled. Wanting to take revenge on the market is a common thing when someone makes a mistake and realizes their mistake so they want to do the opposite, which actually makes the risk of it happening again greater, so as I said earlier, this will not stop if it cannot be controlled.

If it is true as you said that all traders understand the risks involved then why do they still experience emotions and have difficulty controlling themselves due to the losses they experience? Understanding and knowing are two different things, when you understand that it means you realize that losses are a natural result in trading and then make the loss a lesson while evaluating what mistakes you made so that in the future you do not need to repeat the same mistakes so that you can avoid the possibility of losses.

Doesn't the desire or intention to take revenge arise from someone who is unable to accept the risk of loss? This is why I said above that a trader must understand and realize that losses are a natural thing to happen to them, but when you want to evaluate and find where the mistakes you made are, then you should be able to avoid such incidents in the future.