Clean the wound now or ...

Phil Pearlman with a great piece about the psychology of trading, particularly the act of taking small losses quickly before they morph into killing defeats. There is, more than ever, a real psychology (and I say it's dysfunctional often) to the market. But actual trading? Pearlman breaks it down quite simply.

My interpretation of his explanation is that we'd be better off thinking like Spock -- not Dr. Benjamin Spock, but Mr. Spock of the U.S.S. Enterprise. Logical and mechanical action based on thinking clearly -- leaving emotion completely out of the equation.