How to Take Losses Like a Winner

The truth not everyone will tell you is this:

Taking limited losses makes you a better, more profitable trader. It may even make you better in other parts of life. 

In this one-of-a-kind guide to trading psychology, you'll learn some "secrets" that most traders only learn from years of experience—often painful experience. 

You’ll learn positive, productive ways to use trading losses to improve your overall education and performance. 

From the introduction: 

You know those confident, relaxed traders you read about, like Warren Buffett, George Soros, and Ray Dalio? You can become like them, in attitude if not account balance. Resilience isn’t just something you need to have, it’s something you deserve to have.

How did they become so resilient? They took losses, just like you. And then, like all successful traders, they learned what to do with them.

This book will help you learn those same lessons. We also have two “missions” for you to try, either in your demo or live account, to help you experience them yourself. 

We'll go into some of the simple truths you don't often read about.

Those are the ones traders need to remember when things get tough. For example:

  • You don’t have to be right about the market’s direction all or even most of the time

  • Losses are a necessary part of a winning strategy

  • Losses are the tuition you pay for your education as a trader

  • Losses are a business expense, just like a restaurant's grocery or electric bill

  • Try thinking of losing trades as expenses and profitable trades as income, and just take in more than you spend

  • The goal is not to be right all the time; the goal is to make money

From the section on "Resilience"

Something that most people don’t realize about successful traders is that, as brash and showy as they might be in other parts of life, when they’re trading, they strive to be ego-less. If you let your ego take charge, you’re in trouble.

Why? Because your ego wants something different than what you want. You want to make money. But your ego just wants to be right. Never wrong, never imperfect. Just shining and flawless like a diamond. That’s what your ego wants and, like diamonds, it’s a temptation that’s hard to resist unless you train your ego to stand aside and let you work.

A well-trained ego, on the other hand, can be a blessing. It can keep you feeling confident without interrupting you as you do your job, which is not to perfectly predict the market’s future, but to profit from what the market is offering you right here and now.


More Nadex Trading E-Books

Our trading e-books are available as a free download. From Binary Options 101 to advanced guidebooks on trading volatility and trend direction, our library of e-books gives you a solid education and a complete reference library for you to return to as you advance in your trading.

More Nadex Trading Resources

Trade Examples

The best way to learn how to do something is to see it in action. We have a growing library of real trades done on the actual Nadex platform by our experts. These are not hypotheticals. 

See screenshots and read the explanations of how traders think through their strategies and make their decisions. You'll see some trades that didn't go as planned—we want you to see how to control risk and even turn what looks like a losing trade into a profitable one. 

Webinars

We offer weekly live webinars with expert educators trading the markets live in real time, answering your questions, and walking you through examples. 

Most of our webinars are free to anyone. We also have some advanced members-only webinars, to keep the class size small. If you want to attend, become a member for free by applying online at the link below. You can fund when you like, but start learning right now.

Trading Videos

Our extensive video library covers everything you need to become a confident trader.

From introductions to binary options, spreads, and the Nadex platform to in-depth classes on specific markets and trading strategies, you can learn at your own pace. 

And don't forget our YouTube channel, with new videos every week.