The Mental Edge
Tilt / revenge

Revenge trading help: what to do in the sixty seconds after a loss

Revenge trading is not a discipline problem you can think your way out of at the moment it happens. It lives in a sixty-second window, and it needs something physical in that window.

Is this you?

  • —You are back in the market within minutes of a stop-out.
  • —The re-entry is bigger than the trade that just lost.
  • —You are calculating what it takes to get back to flat.
  • —You would not have taken this setup an hour ago.

Two or more of those and this is the state costing you the most, not the strategy.

What it actually costs

Revenge trades rarely cost you one trade. They cost the session, because the second one is taken in a worse state than the first and the third is taken to fix the second. Traders who log this find the majority of their monthly damage sits inside two or three of these sequences.

The protocol: 90-Second Tilt Circuit Breaker

Trigger — The moment you notice the thought "I can get that back right now."

  1. 1.Hands off the mouse and keyboard. Physically move them away from you.
  2. 2.Start a 90-second timer out loud.
  3. 3.Say, in a full voice: "The last trade is closed. This urge is not a setup."

How long — 90 seconds, plus a 10-minute order lockout.

Read the full protocol, success test and what to do if it fails →

Do this in your next session

Print the trigger sentence and put it under your monitor. After the next red trade — win or lose on the following one — run the full ninety seconds before you touch the mouse, and write the three factual sentences even if you feel fine.

Not sure this is your state?

The quiz takes two minutes, needs no sign-up, and names your top three protocols out of the fourteen.

Keep reading

Work it through with the Coach

Describe your last bad trade. It names the state, picks the protocol and gives you the exercise to run before the next session. Free to use.