I always find myself deeper in drawdown after losing only one trade. I can’t seem to log off the charts after taking a loss, my mind tells me to keep trading till I’m green on the day. It feels right while I'm doing but after I take a small step back I realize how wrong I was and I’m only digging myself a deeper hole. This is a big problem not only for me but for a lot of traders in the space, if we can just learn to step away from the charts after a loss and not revenge trade a lot of us will be profitable.
Everyone over trades for different reasons, one person may do it because they want to fast track their progress another for others approval.
As you may know I post my progress daily so people see my wins and losses everyday and I’m as transparent as possible so I wouldn’t lie about my progress.
When I really think about why I over trade it always concludes with trying to gain others' approval. I try to get back my loss so when I post my daily video it doesn't seem like I don’t know what I’m doing and so others won’t joke on me.
The fix is fairly simple, I have a backtested edge that I know is profitable so all I have to do is trust it and don’t go off script by over-trading.
I can stop over trading by not caring what others have to say. At the end of the day someone will always have something bad to say about you whether you are doing good or bad so I shouldn’t let that affect me whatsoever.
Recently, I’ve been getting better at not caring what people have to say and I've been over trading significantly less ever since.
The fix to your over trading won’t take much but a simple analysis and some discipline to stop it.