When you have a position, you put it on for a reason, and you've got to keep it until the reason no longer exists.

You have to minimize your losses and try to preserve capital for those very few instances where you can make a lot in a very short period of time. What you can't afford to do is throw away your capital on suboptimal trades.

The market being in a trend is the main thing that eventually gets us in a trade. That is a pretty simple idea. Being consistent and making sure you do that all the time is probably more important than the particular characteristics you use to define the trend. Whatever method you use to enter trades, the most critical thing is that if there is a major trend, your approach should assure that you get in that trend.

I learned to avoid trying to catch up or double up to recoup losses. I also learned that a certain amount of loss will affect your judgment, so you have to put some time between that loss and the next trade.

You should always have a worst case point. The only choice should be to get out quicker.

I always say you could publish rules in a newspaper and no one would follow them. The key is consistency and discipline.

When you are getting beat to death, get your head out of the mixer.