Why Your Next Trade After a Big Win Is Often the Worst

Think about the last time you booked a huge win. Now think about the trade you put on right after it. I'd bet money the second one was worse — bigger size, thinner logic, taken faster than usual.

The same thing happens after a big loss. You've felt it. The account is bleeding and something in you insists on clicking Buy again immediately, right now, to make it back. That impulse has a name and a price tag.

Roughly 37% of traders revenge trade. When researchers pulled the journals apart, those revenge trades won about 22% of the time. Not because the setups were bad, but because they weren't setups at all — they were emotional reflexes wearing the costume of a trade.

Here's the part most people miss. The win side is just as dangerous as the loss side, and it fools you more easily because it feels like...

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