Don’t Let Profits Turn Into Regrets: Understand the Law of Large Losses
When you're in profit, it's easy to feel invincible—but that's when discipline matters most.
Remember the Law of Large Losses:
Down 33%? You need a 50% gain just to break even.
Down 50%? You need 100%.
Down 60%? You're looking at 150%.
Now imagine needing a 3x just to get back to zero.
It’s not just math—it’s survival.
That’s why seasoned traders follow a simple principle:
Take profit → Withdraw your initial → Let the rest ride.
I’ve had trades where I was up 100%… then down 80%.
Never recovered.
In trading, your #1 job is to stay in the game.
Lose your capital = game over.