Kardec TraderFutures Trader. Creator of The Midas Touch. Mentor

HOW To AVOID Revenge Trading🚨

16 Oct 2026 · 1 min

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0:32

In this brief monologue, the speaker explains his approach to short‑selling risk management. He emphasizes using very tight stop‑losses, which often leads to being "wicked out" when a stock makes a rapid move and then reverses. To stay comfortable, he re‑enters the short position after a stop‑out, sometimes multiple times, but he caps the number of re‑entries at three. This limit is designed to prevent revenge trading and tilt, as repeatedly clicking the trade button can create emotional attachment and bias. The speaker’s rule—abandon the ticker after more than three re‑entries—serves as a practical safeguard against overtrading and psychological pitfalls.

Chapters

I run very tight stops with short selling, so it's very easy for me to get wicked out. And there will be occasions where I'm short selling, the stock would kind of rip through and then reverse and unravel the big move. And so then what I'm very aware of is I have to find a way to be comfortable with reentry. And so I would reenter sometimes. So with shorts, it could happen like, you know, I stop out and then I reenter a second time and it finally works. But then I have to be aware of revenge trading and tilt. So anything more than 3 times is when I give up on the ticker because then like I would end up clicking the button too many times and be attached to it.