Struggling to use stop-losses due to psychological barriers? This exercise might give a stress in starting, as happened with me, but I did pretty well once I gave acceptance to losses & understood the importance of SL. Also, you might see that you have no issues at all while trading after this exercise due to the placebo effect, so keep revising your thoughts to keep consistency. Try this activity: 1. List all your losses in an Excel sheet. 2. In the next column, assume these losses were capped at 5% or 10% instead of 100%. 3. Analyse how much profit you could have retained by limiting your losses. You can see the example attached below. This exercise would help you understand the importance of placing SL & also give you a visual representation of potential saving & damage already done.

So I was reading "best loser wins" by Tom hougaard & is my personal favourite book on trading psychology , which shows how professional traders think & what there mindset is. Which is your favourite book on trading ?