A very common mistake is done by the most of investor/trader in stock market on daily basis to just keep on carrying their losses until they become monstrous for them and completely wiped out their trading capital. The reason what lead them in this situation is their blatant belief that it was their best bet because they put it after lot of consideration given to this trade based on some holy grail technical analysis system or very complex fascinating fundamental study.
The harsh truth about stock market is that any study strategy analysis system could go wrong in any given day because market does not care about your hard work or out of this world strategy. Market will move according to its will. So the simple point to take in consideration is that if market does not agree with what your strategy system or reasoning is saying, just close your position and get out of the market.. Because market is not going anywhere and they will keep on fluctuating day in and day out. If you had made just small loss and get out at appropriate time then you will be in condition to make your next bet. As the simple fact about the stock market is the that its only a game of probability and you will be the eventual winner if you just keep putting on your bet without getting out of the game.
The harsh truth about stock market is that any study strategy analysis system could go wrong in any given day because market does not care about your hard work or out of this world strategy. Market will move according to its will. So the simple point to take in consideration is that if market does not agree with what your strategy system or reasoning is saying, just close your position and get out of the market.. Because market is not going anywhere and they will keep on fluctuating day in and day out. If you had made just small loss and get out at appropriate time then you will be in condition to make your next bet. As the simple fact about the stock market is the that its only a game of probability and you will be the eventual winner if you just keep putting on your bet without getting out of the game.