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Mental

Revenge Trading Eats the Most Profit

After a loss, "revenge trading" — sizing up on emotion — is the most classic and destructive pattern for individual traders blowing accounts.

Probabilistic Disadvantage

Due to "loss aversion," people accept higher risk to recover a single loss. However, raising risk doesn't change your edge (win-rate × RR); it only increases single-trade variance. Expected value stays the same, but drawdown risk grows—a highly unfavorable probabilistic move. Pros typically shrink size or step away after a losing streak.

Implementing a Hard Brake

Set a daily loss limit. If hit, mandatory shutdown for the day. Close the screen and calmly rebuild your rules for tomorrow.

※This diagnosis is for self-understanding only. It is not investment advice or a solicitation. All trading decisions are your own responsibility.

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