FAQ Do I Have to Accept some Big Losses in the Beginning?

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dbphoenix

Legendary member
6,952 1,245
That's also true. But usually you can't be sure if the instrument became inappropriate until it actually fails.
Whether it falls or not is outside the control of the trader. Whether or not he participates in the fall is entirely within his control. The answer to the question posed by the thread title is therefore "no". But then few beginners characterize the markets they investigate, much less trade, so they have no idea what to expect.
 

zaysev36

Well-known member
421 15
Whether it falls or not is outside the control of the trader. Whether or not he participates in the fall is entirely within his control. The answer to the question posed by the thread title is therefore "no". But then few beginners characterize the markets they investigate, much less trade, so they have no idea what to expect.
So basically the answer is "No, but you will".
 

dbphoenix

Legendary member
6,952 1,245
So basically the answer is "No, but you will".
If the trader doesn't bother to characterize his market, much less develop a trading plan, then, yes, he will. But the only reason he "has to accept" the losses is his laziness.
 

zaysev36

Well-known member
421 15
If the trader doesn't bother to characterize his market, much less develop a trading plan, then, yes, he will. But the only reason he "has to accept" the losses is his laziness.
Well that I absolutely can't argue with. By the end of day, everything that happens to us happens as the result of decisions we make. No one to blame except yourself.
 

HKT

Member
63 1
SHORT ANSWER

Losses yes. Big losses - no you don’t
This assumes you’re trading a live account, funded with your own money or, possibly, your broker’s money. Some spread betting companies in the U.K. have introductory offers whereby they will fund your account to the tune of £100 or so.

Paper trade for free
The even better news is that you don’t have to accept any losses at all if you start by paper trading on a simulated trading platform. (Most brokers offer this facility.) As a rule of thumb, if you can’t make a paper profit, then you’ve got less than no chance of making a real profit trading a live account. Only switch to trading live when you’re able to make a consistent paper profit and you’re comfortable with both your trading platform and your trading methodology.

Beware of paper profits
There is a flip side to all this good news though which explains - in part at least - why some traders experience heavy losses early on. While paper trading, few of us can resist the temptation to fantasize that we’ve got the pockets of George Soros along with his Midas touch. The result is that we might make 500% profit or more in a single day. This is entirely doable when paper trading. The mistake would be to think you can repeat such a feat trading live with real money. You might do it once. You might even do several times after that. But sooner or later – your luck WILL run out – and you’ll blow your entire account. The moral of the tale is to only paper trade with the same position size (i.e. same number of shares or contracts) using the same stops as you would do if you were trading a live account, funded with your own hard earned cash.
If you made a loss initially, then of course you need to accept that loss if you want to keep trading. And any loss is a good lesson.

My first ever property purchase was a loss for a while before it became a gain. I would encourage any investor, at least initially to go for solid, secure, transparent companies. Learn slowly. The time for purchasing more volatile comes much later, and should also be with a certain amount of risk allocation, and then done if you really know why you are actually buying.
 

zaysev36

Well-known member
421 15
Not too much of an insightful advice here :D Do traders really forget such basic stuff so fast they have to be reminded about it this often?
 

superman1988

Newbie
2 0
I win lots money but then lost... should i stop ?

I started to make bets a while time ago. Then i lost lots... and found a site match-fixing.club . I won 5 times with them pretty good money but one day i lost... They back me money as promiss! I dont know should i stay with them and play more... Sure they are good and i won more 3000 dolars for 2 weeks... but then i lost 500 )) sure i m in plus but .. what do you think>?
 

zaysev36

Well-known member
421 15
Aaaaand you're gone :D
 

superman1988

Newbie
2 0
When was Cup 2016 i lost with Walse ( but still they are best in my eyes) ! After that i started seach different site with help for my bets. At all ( for all time since i started) i lost maybe 2000 dol not more , still hope possible have money with bettings. With that site i lost only 500 but win 3000... this is a big plus ofc for me. I just dont believe in luck - i believe in sistem and methodss
 

zaysev36

Well-known member
421 15
And sometimes I feel like everyone in this thread are just writing something completely unrelated to what's the previous poster had said. Like wow...
 
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NVP

Legendary member
37,284 1,936
And sometimes I feel like everyone in this thread are just writing something completely unrelated to what's the previous poster had said. Like wow...
maybe the comments are deeper than we think and are in fact related to the thread ?......theres some deep meaning here somewhere ?

N
 

z_worldwide

Newbie
9 0
I think big losses will always come in the beginning stages of trading. I started with a USD500 way back in 2012 and lost all of that within 3 months and that was trading mini lots up to half standards. I guess in the early stages we don't know much about good money management and the dangers of leverage, so yeh we do tend to lose big early on. After that we learn (hopefully).
 
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