😧 4 Ways to Recover from Losses šŸ’Ŗ

Good morning, traders…

Unlike most jobs, where every day is more or less the same, being a professional trader is exciting and unpredictable. 

Every morning is a question mark, a mystery full of opportunities and risks…

But let’s face it — there are moments when things don’t go your way. 

Losses are an inevitable part of the game, no matter how skilled or experienced you are. 

What truly defines a successful trader isn’t the ability to avoid losses entirely (which is impossible), but how they bounce back from them.

If you’ve ever faced a string of bad trades, you know how tempting it can be to either panic or give up altogether. 

While it might sound somewhat dramatic, I’ve seen plenty of traders turn a small loss into something they couldn’t come back from. 

But there’s good news: recovering from losses is actually very simple (with the right mindset). 

By following a few key steps, you can transform those regrettable trades into valuable lessons, rebuild your confidence, and regain control of your trading.

With that in mind, let me show you four ways to bounce back from trading losses…

Step #1: Identify (and Learn From) Your Mistakes

Let’s not sugarcoat this: if you don’t know why you lost, you’re bound to repeat it.

This doesn’t mean every loss is your fault. Sometimes the market does what it wants, and your setup just doesn’t play out. That’s part of the deal. 

But a lot of the time, there’s something in your control that went wrong.

Maybe you chased a breakout instead of waiting for the confirmation candle. Maybe you sized up too big because the last few trades were winners. 

Or maybe you got caught revenge trading, trying to ā€œmake it backā€ after a red morning.

Whatever it is, name it. Write it down. Keep a journal

If you notice the same mistake happening over and over, good. That means you’ve found something specific you can change. 

And once you start making those adjustments, your losses become ā€œtuitionā€ instead of punishment.

Step #2: Shrink Your Position Size (Temporarily)

Nothing humbles you faster than a big red day. And after one of those, the temptation is to go back in bigger to ā€œproveā€ something. 

Bad idea.

One of the smartest moves you can make after a loss is to trade smaller.

Think of it like rehab for your account — and your mindset. Smaller trades mean smaller risk, less stress, and more peace of mind. 

But they also give you a chance to rebuild your rhythm, get your setups back on track, and regain your focus without putting yourself in another high-stakes situation.

I’ve done this countless times. After a rough week, I’ll cut my position size in half or even a quarter. Not forever — just until I get my confidence back. 

The smaller wins still count, and the process of stacking them will help you turn the corner. 

Step #3: Go Back to the Basics

When you’re off your game, the worst thing you can do is start experimenting.

That’s when traders start grabbing at random tickers, chasing social media hype, or trading patterns they’ve never touched before. 

Instead, go back to your bread and butter.

For me, that means sticking to the tools and systems that work over and over again, like:

On the charts, I’m looking for breakouts and pullbacks — clean patterns on strong tickers with clear support and resistance. 

I know what they look like. I know what they shouldn’t look like. And I trust the data I’ve built over 20+ years of trading them.

Find the patterns and setups that have worked for you in the past. Go back through your charts and re-trade them on paper if you have to. 

The point is to reset your focus on what works.

Step #4: The $100k Aftershock Virtual Summit

If you’re feeling stuck, there’s something happening right now that you don’t want to miss.

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And next time you’re trying to bounce back after a trading loss — take these four steps, and I bet you’ll be back to winning in no time. 

Happy trading,

Ben Sturgill

*Past performance does not indicate future results

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