DayTrading After-Market Lounge 18th Feb, page-11

Sorry to hear about your loss Shants.

It is refreshing to see more people talking about their losing trades lately. I don't mean that in a mean sense. Losses, when learnt from, can help us refine our own trading rules. Sharing stories of losses also reinforces our errors and helps other traders possibly not make the same errors.

I have a general rule which I try to stick to. The rule is that I don't ever lose more than one day of earnings on one particular trade. For example, for someone that earns $500 on average per day over the long run shouldn't lose more than $500 on one trade. Cut it, even if it looks like it's about to turn.

I've been in the same situation too where I've wiped out a whole week of work on one trade and it just sets you back so much.