On being too risk-averse
K_F | FX13 Nov 2007
Apparently last weeks downer has made an impression on my psyche resulting in me being too risk-averse this week. Below is one of the several examples of such today.
I shorted EURUSD at 1.46065 and purchased it back at 1.46057 giving a mere 1 pip profit. Why? as we can see EUR had a ride with a couple highs testing resistance around 1.4614 so it was simply a relief to close the position at a small profit rather than loss.. but obviously, what I should’ve done was to stick through it and wait for the drop to 1.4584 which would’ve given a 22 PIP profit..
Well, we can’t win them all…at least the initial expected development was correct, now to work on timing..
You pussy.
Remember, only gamble with what you can afford to lose. And since you can afford to lose it, you can let yourself take bigger risks. Not too big, but bigger.