Lesson Learned: The cost of ignoring clear rejections on $EURUSD
Been trading CFDs for a while now, and a mistake that still stings from last year was stubbornly holding a long $EURUSD position despite multiple, very clear rejections at a key resistance level around 1.0950. My initial thesis was solid, but I let confirmation bias take over, ignoring price action that screamed 'reversal is imminent' because I wanted to be right. Ended up giving back a good chunk of profit and then some when it finally broke down hard, a classic case of not letting go when the market tells you otherwise. The lesson for me was purely about respecting price and not letting a good entry blind me to a bad exit.
This is something I'm constantly battling with too, especially with the 'wanting to be right' part. How do you personally set clear exit criteria when a trade starts to go against your initial thesis like that?