Revenge Trading

Behavioral Discipline

Trading to 'get back' at the market after a loss. Emotional trading driven by the need to recover losses quickly. Usually involves larger position sizes, ignoring rules, and taking setups you'd normally skip. Almost always leads to bigger losses. Example: You lose $500 on a bad trade. Instead of stepping away, you immediately enter a larger position thinking 'I'll make it back in one trade.' You lose another $800. You double down again...