Hm.. Not trying to be a smartass, and not sure if people will be receptive to this, but a pro gambler friend of me always told me:
* Remember what you're risking, you can lose.
It took me years before I finally grasped this concept. And I may stray away from it from time to time still.
But I try never to risk more than max 10-25% of my current bank any time doing some trades a day on mtGox. When feeling more confident
I may go in heavier.
The bottom line though, is that there are always risks, and anyone trading in this market should be aware of it.
With good bank management, the swings are smaller, but you don't risk getting wiped out by single freak accidents.
For those sitting on a loss: Often just waiting can help you recup your losses, so if you bought in at 7.05, you may as well profit if you wait for a while.
I remember the early days of Betfair, I was increasing my bank extremely fast, but I traded and betted like a mad man, risking too much of the bank too often.
Sooner or later you get stung, and for me it happened when a a team made an equalizer in a soccer match on overtime, the bank I'd been building up over weeks vanished by the touch of a ball...
Another time I had a similar devastating loss when I didn't close a position on a horse when doing pre race horse trading on the same exchange. The sinking feeling, thinking of how much money you just blasted away, not good for the health.
So learning from those gruelling lessons, I stopped trading/gambling altogether for years.
Just saying if anyone is in a similar position, just walk away, accept the losses if you have realized them, and remember there's always another day.
Oh, and never chase your losses. That's also something my pro gambler friend told me.
