The large loss you are refering to was news that came out, that was unexpected and changed everything.. News always trumps everything... But that loss was in pennystocks, which are dangerous.. Often I will get unexpected news like: they are disolving all shares and they will be worthless, or the company that I am trading has commited fraud and has no value. News like this cannot be traded.. and everyone scrambles to get out, while they still can.. In this type of situation, I just take the loss and move on..
However if your wondering about a trade going bad in cryptos, I would have to say, its not the same situation... My rule is no stops, no bailing, I just exit on the next bounce, regardless of its a loss or a win.. always sell on the next bounce, and even if you do take a loss, you will likely, in a few minutes or hours be saying: Omg, it bounced all the way back up without me, and i got scared and took a loss that I didnt have to.. Ill discuss trades gone bad in an upcoming video.