The Reason Why You Don't Cut Losses ☝️

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Why Do You Not Cut Your Losses On Some Trades? What does cut losses mean? How do you handle losses in trading? At what percentage loss should you sell a stock?

Controlling Risk and Cutting Losses

Always cut your losses they say! But then why do we get the urge to hold trades for a little bit longer and longer and longer...!? And before we know it turns into a big loss and in some cases continuing the damage to turn into a devastating loss! This should't be happening and you need to put prioritise to address this. On some trades you might not have problems cutting a loss but on others it is difficult to accept a loss. I think this depends on the setup you're trading. If you're trading a setup which looks like a better entry point the bigger it goes against you then that's when it may become harder to take a loss.

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