I’ve seen it a hundred times.
A trader spots a setup, nails the entry, the trade starts working … and the second they’re up a little — maybe 10%, 15%, 20% — they hit the sell button like the house is on fire.
They pocket a tiny win and feel good for about two minutes.
But then the stock keeps running: 30%, 50%, 100%.
And now they’re sick.
You know the feeling I’m talking about.
That stomach-turning, soul-sucking regret of watching a trade you had become a massive winner — without you.
Why’d you sell? Because you were scared to lose the little green on the screen.
You weren’t playing to win, you were playing not to lose.
And that’s just as dangerous, if not moreso, than letting a loser spiral out of control.
Let’s fix that with some pro tips.
Risk-Reward
We all know the golden rule: Cut your losers and let your winners run.
But too many traders forget the second part. They hear “cut your losers” and go all-in on risk management but ignore what it actually takes to grow their account.
Letting your winners breathe is how you build size. It’s how you gain the confidence to swing bigger.
But when you snatch profits too early, you’re capping your upside and guaranteeing that your winners can’t make up for your inevitable small losses.
That’s a math problem.
If your average loser is -20% and your average winner is +15%, you’re dead in the water.
You can win more than you lose and still blow up your account — because the math doesn’t work.
This is where retail traders get crushed.
They’re afraid of being wrong, so they bail the second they see green.
They want certainty and control.
But trading doesn’t reward control freaks, it rewards patience and discipline.
Letting a trade work doesn’t mean you’re reckless or gambling. It means you had a plan and you’re sticking to it.
That’s what pros do.
When I was trading on Wall Street, we didn’t trim winners because we “felt good” about a small gain.
We had targets. We had risk/reward. And when we were right — we pushed.
It’s one of the few rules that separates career traders from hobbyists.
Discernment Wins the Day
But don’t confuse letting a winner run with “hoping it goes higher.”
Those are two very different things.
Letting a winner run means you’ve done the work. You’ve got a clear setup, a defined risk, and a measured upside.
You’re not sitting around guessing.
You’re letting the market do the heavy lifting after you’ve done your job.
But if you’re just winging it — buying options because “it looks good,” and then selling the second your heart rate goes up — don’t kid yourself.
You’re not trading, you’re reacting.
And reactions get punished in this business.
Lean Into It
So here’s the truth: Taking profits too early is a losing habit.
It feels like safety, but it’s actually fear in disguise. And fear-based trading will kill your growth.
You’ll stay in that hamster wheel of small wins, bigger losses, and zero traction.
If you want to be a real trader, you need to start trusting your edge. Start thinking in risk/reward, not win/loss.
Start treating your winners like the rare, valuable events they are.
Because when a good trade starts working, that’s not the time to get nervous.
That’s the time to lean in.
Stay street smart,
Jeff Zananiri
P.S. Want to stop guessing and start winning?
Danny Phee’s going live Sunday at 4 p.m. ET to break down the tickers that matter, the setups he’s stalking, and the trades he’s ready to hammer before the herd even sees them coming.
If you’re tired of being late to the party, this is your shot to get ahead of the move — not after.
*Past performance does not indicate future results
