Why do I always exit early?

Many traders face the same dilemma: even when there are unrealized profits in the account, they want to close the position as soon as the market turns. What’s really going on here?

After a deep dive into the reasons, here are a few points:

**Psychological Anchoring**
The cost basis is like a line. Once the position turns green from red, the mind starts calculating—lock in profits quickly, afraid of giving them back. Essentially, this is anxiety about market fluctuations, worried that the hard-earned money might be lost again.

**Lack of Exit Strategy**
Do thorough research before entering a trade, with clear entry rules. But what about exiting? Relying on feelings? Or just looking at price targets? Technical signals? Time cycles? Without a clear exit system, it’s like driving without navigation—you’re just guessing.

**Lack of Risk Management**
How long is a reasonable holding period? How much profit retracement should trigger a reduction in position size? What proportion of total funds does a single position occupy? Without clarity on these details, even slight market fluctuations can scare you out.

Trading is like this—easy to enter, hard to hold. But if you plan your rules in advance and follow through, the results are often different.