---
title: 'Stop Sizing Trades Based on How They Feel'
source: 'https://youtube.com/watch?v=6x6DtisDFjQ'
video_id: '6x6DtisDFjQ'
date: 2026-08-10
duration_sec: 86
channel: 'SMB Capital'
---

# Stop Sizing Trades Based on How They Feel

> Source: [Stop Sizing Trades Based on How They Feel](https://youtube.com/watch?v=6x6DtisDFjQ)

## Summary

The video warns traders against sizing positions based on emotional reactions rather than objective trade quality. It presents three common scenarios where traders overcommit to poor setups, leading to account destruction, and emphasizes the importance of a systematic grading system.

### Key Points

- **The Core Mistake** [00:01] — Traders destroy accounts by sizing trades based on how they feel rather than how they grade. The first example: a stock up 40% on stale news (6 months old) is a 'D' trade, but the trader sizes it like an 'A+', leading to a quick loss of the daily stop.
- **Context Over Pattern** [00:25] — A clean breakout on day seven of a moving average with declining volume and no new information is a 'C' at best, despite looking perfect. The same pattern in different context has different quality.
- **FOMO Trap** [00:39] — Entering a pre-market gap-up out of fear of missing out, without a defined stop or graded catalyst, is a 'D' trade. It was never a valid trade, but the trader sizes it like an 'A' and then adds like an 'A+', fading all day.
- **The Solution** [01:07] — All three scenarios share the same mistake: sizing based on feelings instead of the trade's actual grade. The full grading system is available in the linked video, which can change future behavior.

### Conclusion

The key takeaway is to objectively grade every trade and size accordingly, not based on emotional pull. Adopting a systematic grading approach can prevent the common pitfalls that lead to account destruction.

## Transcript

I've watched absolutely destroy accounts. And every single one of them, when they destroy accounts, get sized like an A+. Trade one is the stock's up 40% on news that dropped 6 months ago. The trader sees the move, feels the
energy, sizes up big, right? The catalyst, well, it had already played out. The move was a D. But they sized it like an A+. And this is the worst. It goes up and then rips right back down, lost their daily stop
in 18 minutes. Trade two, beautiful-looking breakout. Clean chart, good sector, trader loves the pattern, but it's day seven of a moving average already. Declining volume, no new information. Same
pattern, completely different context. That's a C at best, but they sized it like an A, right? Trade three hurts. It's FOMO, pure FOMO. Stock gapping up in pre-market, trader not in it, can't stand watching it, gets in at the high
of the pre-market range with no defined stop, no graded catalyst, just I don't want to miss this. That's just a D, right? It was never a trade. But he sized it like it was an A, and then as it pulled in like an A+, and then he
faded all day. Three different stories, it's the same mistake though. Sizing based on how a trade feels instead of it what it actually grades out to. Now, if any of these sound familiar, the full grading system's in the video in
the link below. It won't erase the past, but it'll change what happens next.