Street Dogs: Trust me, I'm a doctor

[SimonPB]

JANICE Dorn, a US psychiatrist who specialises in helping traders, says that the single biggest reason for failure as a trader or investor is the inability to take small losses.

more at http://www.businessday.co.za/articles/markets.aspx?ID=BD4A538395

[TJH]

Most people have no idea when a share is in a buy or in a sell. That's why they hold on "hoping" the share moves up. You first have to show someone how the market works, before you tell them that the first loss is the smallest. Most people need a reason to sell. If they have no idea how the market ticks, they going to hold.

[#3]

Simon! I was unable to take small losses because by the time my screen was up it had escalated to big ones!

[saash]

Or they might sell too soon thinking it went bear. Then it went bull and the re-entry was up. So next time, decided not to sell on a small loss and then it really was a bear and all went south. OMO

[#5]

Most people try to buy low and sell high. Not many taders can do this. Just look at the forum, how many people ask "is this the bottom". Rather wait for a trend to develop. THE TREND IS YOUR FRIEND. Take Simmer as an example: everybody wants to jump in as soon as there is an up turn. When it goes south in a day or two they are forced out due to Margin calls.