Financial Investing Radio

Today Bitcoin shed 28% of its value...that is a lot of volatility! But in any market you need it to be a two-sided market; so this kind of adjustment is somewhat expected...albeit 28% is a big adjustment. When I saw this it prompted me to talk about the ability to handle a loss. My comments are targeted to markets with liquidity where there is some level of confidence you can exit the market with little slippage. Years ago I read a book from a trader who said that the common thread he had seen of those who could not invest well or trade, was the inability to take a loss. At first that seemed counter intuitive. As I studied it further, and then applied it myself, I learned that he was right. The ability to properly handle losses is one of the most necessary skills needed. There is a fundamental human element that is at play here...and that is the need to be right. In fact, we work hard as humans to be right; we will try all sorts of tactics. Investing and trading requires you to address this human element dire