New traders / technical traders tend to move too quickly in looking to take advantage of short-term price action.
Looking at this morning’s “risk event” and the markets “completely insane near term reaction to it” would most certainly have any short-term “short time frame” trader ( anything under a 1 H time frame ) up to his/her elbows in sadness – scrambling to find a life line.
Then, with little knowledge of the fundamentals and a heart beating out of your chest you come to understand that: “I’m way too leveraged”, “My position is too huge” , “I’ve gambled here” , “What have I done??” – and you’re wiped from the planet.
We all make mistakes granted – and I’m the first to tell you – I can’t stand watching this “continue pushing higher” against every fundamental known to man but…..the key point being – “I’m watching”.
Trading within your means, and exercising “sick” levels of patience are extremely difficult psychological hurdles to overcome……….yet essential for long-term success.
“Patience young grass hoppa……..patience!”