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Lose Your Mental Capital = Lose Your Money (and Your Sanity)

By |June 2nd, 2020|

A very common mistake by traders, even experienced traders, is to lose mental capital. Mental capital is the value of your ability to think. It is literally the capacity of your brain to process data and spit out smart decisions. For example, if you were to do an analysis on all of your trades in your current portfolio, would we be looking at one position, five positions, or fifty positions?