A large loss triggers the urge to win it back immediately. That is exactly when rules get broken and sizes get bigger.
A 4-step reset
- Stop trading for the day once you hit your personal daily stop — it should be well before the firm's limit.
- Write down what happened: setup, size, emotions. Facts, not blame.
- Check whether the loss followed your plan. A planned loss is a cost of business, not a mistake.
- Come back the next day with normal or reduced size, never larger.
Your equity curve only needs to go up over weeks, not every day.