If you know that any trade might be a loser, you will always set a stop loss at a fair point. Newbies regularly tend to hold on to a bad trade wishing that it will turn around and come right. Sure, often it will but on the occasions when it doesn’t, you can just go on losing more until your broker closes out your trade because there’s very little left in your account. Never let that happen! Regardless of how powerful the signals, always set a stop loss. The forex market is unpredictable at heart and no system is infallible.
Usually our currency trading education will tell us to stay with a system through losses and gains, but often, of course, there might be a lesson to learn something from a series of losses. If you have a bad run straight after beginning to trade live, it could be a sign that you weren’t good to go live and you are making mistakes, or your system wasn’t adequately tested in demo. Proceed carefully, being bound to follow all of the rules of your system to the letter. Now and then, market behaviour may change in a way that means a system stops working for a bit. If you decide that your system might need tweaking, go back into demo mode or stop trading for a while and look for more fx trading education.
