There is a component to trading that NO ONE finds fun at all. The moment that you have to close a trade at a loss provides no enjoyment whatsoever, but it remains a task that we all have to do from time to time. There are many reasons that one finds the need to close a losing trade, but hopefully your Risk Management is why you are doing it in the first place.
For me, I determined today that my Long swing position in DOLE was weakening to a point where a failure through prior support was quite possible. I elected to tighten my stop to the 13.90 area and let it hit to close the position at a loss at -.32 cents a share. This is what I saw in the chart:
It looks to be the start of a Rounding Top pattern with a LOT of area below to the 200 day Moving Average below. The trade setup for getting me in was the Bollinger Band “squeeze” as noted in the chart. These can shoot up or down however, so you have to be prepared for that.
Don’t be worried about losing it from time to time, just keep your wits about you. LOL.