Pain teaches you the lessons you need, not the lessons you want. When it comes to trading, we can persist in a losing trade, stubbornly sticking to this notion that we are right, rather than cutting our losses in the market. We continually have this Faustian bargain that we won’t make the same error again, but our actions show that we will continue to enter cheap and unvalidated trades, honoring our knee jerk reactions and divorcing reason. We know this, whether we’ve read about it or have learned this in the market, and yet we continue to deviate from our trading protocols.
Because of this, we are set to continue learning the lessons we need, in the way we least want. In the case of trading, it would be by losing money. Pain is an excellent teacher and sometimes the only teacher. It’s a big motivator and it has the ability to sear the lesson in your brain psychologically and emotionally. Often times it can be to our own detriment, instilling feat within us to where we cannot function properly. This is why we need to welcome pain when it comes, it’s here to serve a purpose, not to torture us. It will torture is if we refuse to derive a learning lesson from it, which is why we must persist in uncovering its meaning.
Pain is inevitable. When pain arrives, inspect it with a fine tooth comb and strengthen future protocols to avoid it.