Revenge trading is very much linked in with trading psychology – Many traders find it very difficult to leave a losing trade alone and so suggest the double-up strategy, but I find this very dangerous and have really been stung by it in the past. Unless you’re account size is generous to say the least, I couldn’t recommend more, leaving the double-up strategy alone.
If a currency pair (commodity etc) has done the opposite of what you’ve traded, don’t continue to trade with that pair at that time, just move on to a new pair, acknowledge the loss and move on. Don’t try to ‘win’ it back by placing trades you haven’t stuck to your trading rules with. Having self discipline is the key here, which is why again we recommend demo trading so you can learn the discipline needed before you’re dealing with your own money.