I think it is pretty common knowledge at this point that trade investment on Betfair is based on chance. Yeah, you can employ different strategies to help you win, but there is only a chance that you can win and there is also a chance that you can lose.
When you’re trading, it is important that you keep that in mind. Why is it important for you to do so? Well, losing streaks are pretty common in the market like Betfair. Normally, if your logic is still in control, you will stop after losing 2-3 consecutive trades.
But, our urge to win grows more and more when we experience successive losses. At this point, we abandon all logic and we get narrow-minded and lose focus that, by the end of the day, you’re losing more than you should.
I cannot tell you how many times I see this on a daily basis. It seems that it is part of human folly that we continue trading despite the odds stacked against us. Is it ego? Is it our unwillingness to lose? It is probably a combination of both.
There is a popular saying in the trading community that states, “You have to pass through neutral before you can go forward from reverse.” That quote came from Marty Schwartz, the author of Pit Bull.
Marty Schwartz was a very successful day trader. You could also say that he was a scalper and if you know a bit of knowledge about active trading, you know that they consistently.
However, losing is part of the game which is why I told you that the faster you accept this fact, the better you’re trading odds would be. That being said, if you’re the type of person who doesn’t know how to stop even though you keep on losing, here are some useful tips:
1. Take Deep Breaths
This may sound cliché, but the thing is it really works. Taking deep breaths calms you. When you’ve lost for 5 consecutive times, for example, you’re in an emotional high (or low) and you abandon logic when you read this point.
Taking a deep breath calms you as it helps calm your nerves. Don’t think about anything else; just focus on your breaths each time you breathe in and breathe out. Make sure that you breathe in for 3-5 seconds and do the same if you’re breathing out.
2. Take a Walk
Writers do this. Artists even do this too. Walking outside can really help take the edge off. There is something about taking a hike that gives you a sort of a “healing potion” if you will.
Take a short 10-15-minute walk in the vicinity of your building. Or better yet, go to the park and enjoy the view. A new scenery can help you take your mind off of your losses, at least, for a while.
But, once you get the hang of it and you do this every time you’re on a losing streak, you will find that it is easy to forget about those things if you just step out and walk away.