Risk management: Stop loss - I learned but I had to take over $3000 dollars a day on Sept. 8, 2020 first

 Sept. 8, 2020

Introduction

I am stubborn. I am not quick to learn and avoid big loss even though I spent over 3 days to learn big mistake as a beginner is not to stop big loss. My landlord also gave me warning after tennis play around 10:30 PM on tennis court, I did not set stop loss orders. I had my own plan. 

My plan did not work 

I sold over $10,000 dollars each for TRP.TO, PPL.TO and around $8000 dollars for ENB.TO, I bet around 8:30 AM around 3% rebound. But there is no rebound, market continued to crash and another 3% losses. I experienced over $3000 dollars loss. 

My big loss a day as a beginner

I am 53 year old. It is hard for me to take action quickly. I think that I am too stubborn to learn new tricks now. I have to experience over $3,000 dollars loss first, and then I will remember that pain of big loss. 

I started my first four stop orders 

 

Actionable Items

Lessons learned

Next time market crashes, I should focus on stop big loss first. Do not speculate how big the loss should be. You never know the losses. It may be so big and I could not afford the loss. 

To stay in the game, I have to discipline myself to stop big loss. As a 53 year old, stubborn, not easy adapt to new rules. I should force myself to follow the rules first. 

I should not base on my limit experience, speculate that market will only have less than 7% loss.