Admitting Stock Losses Is Really Hard
When I bought, I believed that if I just held on, it would eventually go up, but I couldn't sell when I should have, and my losses only got bigger.
Greed for a higher anchor kept me from taking profits, and I kept holding on to avoid losses, so my account literally turned into a fossil. I can't even average down anymore, so I'm just leaving it—but if you ask if I'm at peace, not at all.
What I clearly learned from this experience is that you have to cut losses mechanically. If you let emotions get involved, you're done. Wishing you all successful trades today.
9 answers
So relatable lol. Cutting ties is the hardest.
Well, if you do it mechanically, you'll get caught again, right? Knowing when to cut your losses is also a skill.
I'm in the same boat—I've been managing a fossilized account for two years now. I know logically that holding onto it is actually causing more losses, but my fingers just won't move. So now I've set up an automatic sell and I'm waiting to see.
Agreed, cutting ties is the answer.
Do you have a source? If it's just a statement, anyone could say that.
Actually, the very term 'HODL' is a trap. I think it's a self-soothing word used to justify an inability to cut losses. If you can't accept the loss, you'll keep holding until it falls further, and end up with an even bigger loss.
Same here. It's so hard to admit.
Admitting a loss does sting your pride, lol. But you still have to do it. Seems like the more you cling to your reference point, the bigger you lose.
That's right lol I also feel more at ease when I set my cut-off point in advance.