Need advice from seniors: Should i stay off market after this loss? Really?

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kingsmasher1

Well-Known Member
#1
Dear Seniors,

Need help.

I am a day trader, and should say, relatively good at it. I had been in continuous profit for 3 consecutive weeks.

Last time i traded, when i was off-sick, suffering from food-poisoning and entered a wrong trade, and went for a huge loss which i also posted in tradingqna of zerodha.

After this, loss same day, i touched god, and promised, that unless i have more than thrice the amount in my bank, i won't trade :) but this mean, i would be out of stock market, at least for more than a year !!

Now, when i am not trading for the last couple of days, i am re-thinking if the decision to not trade this long, is good or not? Kindly advice.

Pros (if i don't trade before a year):
1) I would have gained financial stability being off-market recovering the loss.
2) I can use this time to learn more about stock market, and trading techniques.
3) I can paper-trade, instead of putting real money to back test my strategies, and possibly coming with a better one.
4) I can have a good work-life balance and concentrate on my main job.

Cons (if i trade now without a gap of 1 year):
1) I have traded each and every day, without single day gap for last 6 months, staying away from market seems real-real tough :(
2) I may lose practice of trading.
3) Coming back after a year gap, may need again, starting somewhere from scratch (at least psychologically, after this big gap).
4) Sounds funny, but my curiosity of learning trading decreased a lot, when i was on a consecutive days of profit, (mentally i somewhere had, why to learn, when i am already getting what i need - money), even i stopped pre-planning trades, the day before !!
5) I might lose again (though less chance) and this will be a big set back, though i won't make the mistake of averaging again, which led to this huge loss.

I am sure, you all must have gone through this phase, being here much longer, so kindly suggest, what is the best way out? Should i break my promise, and re-enter market before a year?

Thanks in advance.

[This post is edited by Traderji to remove url as per the request from the member.]
 
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nikki5_me

Active Member
#2
If you are in a streak of loss trades and are completely dependent on markets for livelihood , it would be best to stay away from markets for sometime and make some capital which you can use once you decide to trade again. I blown my account multiple times but to compulsion that I should be making money from markets, then took complete off for sometime and worked on a decent paying job and freelancing with which I made a good backup capital so that I don't need to worry about my daily needs for at least 6-12 months. Also, while working I did positional trading/mid term investing. I just picked some good stocks and dint bother if it went up or down at all because I didn't had the "compulsion to Earn quick money", . That very thought to earn quick money blows many traders accounts.

You can always learn new concepts about investing and trading while working on some other job.

Most importantly, it seems to me that you need to develop self control than anything else because that is the most important deciding factor for a trader. As you have already made a promise to yourself, try and follow it. The ideology that wanting to trade each and every day or 24/7 can be a disastrous thing going forward, just have some fun, try meditation, stop the noise and be calm for sometime and work on what is required.

This is just my 2 cents, take it you feel it is worth it. Said that because I walked through the very same path. All the best for your future :)
 
#3
Trade equities. Keep a stoploss. Don't bother about the amount of money you make, only ensure that you have had a profitable day.

As some senior wrote in this forum, 70% of your days should be in profit, 80% of weeks and 100% of months.

Good luck.
 
#4
Dear Seniors,

Need help.


After this, loss same day, i touched god, and promised, that unless i have more than thrice the amount in my bank, i won't trade :) but this mean, i would be out of stock market, at least for more than a year !!


Thanks in advance.
You touched God and promised . . . . . What you don't realize is that God also touched you back and Promised . . . .

Now you want to go back on your promise . . . . how will you ever make it . . . after that . . .


Whatever you decide may you find the lord's mercy . . . .and some happiness


Happy :)
 

kingsmasher1

Well-Known Member
#5
You touched God and promised . . . . . What you don't realize is that God also touched you back and Promised . . . .

Now you want to go back on your promise . . . . how will you ever make it . . . after that . . .


Whatever you decide may you find the lord's mercy . . . .and some happiness


Happy :)
Unfortunately that is the worst i did more than losing money, hit-of-the moment and emotions makes do stuffs, which we regret later :( On a lighter note, i think god must be matured enough to pardon foolish promises ;) though i shouldn't have done that.
 

chintan786

Well-Known Member
#6
For a Trader Loss is not only Monetary loss but in kind of circumstances it happened with u it had shaken you belief as well. which sometime lead to Long Term loss.
I strongly recommend to take a short term break from trading and spend some time with family.

Whenever I made loss in Trading I have simple rule: Spend 3 times of loss on family and urself , go on some short vacation pilgrimage and take some solace.

I have seen many people, After series of winning strikes they start manipulating those rules which they follow to win and try to become Bigger then mkt.
Mkt have habbit to find these Gems and make them humble.

Regards,
 

primitivetrader

Well-Known Member
#7
by starting this thread you have clearly made up your mind of not staying out of mkt. why are you asking others? as you have been trading for a while. you are just waiting to have some excuse or other to start trading again. as your mind has already convinced you to keep trading.
its like during strong hangover we pray to god will dont drink again help me with this hangover and wht not, but we even dont wait for few days to start again.
so i am very certain you are trading of will trade soon irrespective of your loss and all
 

kingsmasher1

Well-Known Member
#8
by starting this thread you have clearly made up your mind of not staying out of mkt. why are you asking others? as you have been trading for a while. you are just waiting to have some excuse or other to start trading again. as your mind has already convinced you to keep trading.
its like during strong hangover we pray to god will dont drink again help me with this hangover and wht not, but we even dont wait for few days to start again.
so i am very certain you are trading of will trade soon irrespective of your loss and all
You are correct, it is very difficult to stay off trading, after you have traded each and every single day for last 6 months, and it is just last 3 days that i haven't traded and asking this, a year gap is at this point of time is unthinkable, but still i am trying my level best..believe me.

To give an analogy, It is same feeling like once someone have a breakup from their lover, they swear to not look at each other, but surviving the breakup for a longer time, without thinking of each other is an unbearable feeling especially when you have been dealing and interacting with each other each-and-every day :)

But the reason to start this thread is, what you would have done if in my shoes. Being a senior, there might be similar circumstances in the past, but what is the best, rational course of action - to trade or not to trade, given the pros and cons :)
 

primitivetrader

Well-Known Member
#9
You are correct, it is very difficult to stay off trading, after you have traded each and every single day for last 6 months, and it is just last 3 days that i haven't traded and asking this, a year gap is at this point of time is unthinkable, but still i am trying my level best..believe me.

To give an analogy, It is same feeling like once someone have a breakup from their lover, they swear to not look at each other, but surviving the breakup for a longer time, without thinking of each other is an unbearable feeling especially when you have been dealing and interacting with each other each-and-every day :)

But the reason to start this thread is, what you would have done if in my shoes. Being a senior, there might be similar circumstances in the past, but what is the best, rational course of action - to trade or not to trade, given the pros and cons :)
i am full time day trader. i have lost money but never lost substantial amount even in my initial days. so i dont know what will i do have i been in your position with such loss.
dont know wht is rational or irrational. becoming a full time trader is one of the most irrational decisions most of us have taken. following our passion and dream is again irrational from others point of view.
i cannot feel the same feeling which you are having right now as i have never gone thorough such phase in my trading career. but i am sure you will do what you have already decided inside you.
 

Raju

Well-Known Member
#10
I had faced similar issue sometime back.Taking a break helps - I have personal experience.
I would suggest you to work on discipline only whenever you start again.Use any simple method with decent Risk Reward ratio.Try to take losses quickly and when in profit try to stay in ....trail .
Unless we invest time in improving our self no method will earn us money. .....I am still learning after so many years...but yes losses have reduced a lot.
 
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