Rule #5: Navigating the final stretch: avoid costly mistakes

Approaching the end of a stage in prop trading is a critical momentIn prop trading, nearing the end of a stage is a unique moment that can trigger tension and unusual behavior. Many don’t expect that the final steps toward the goal can be the hardest, even though, in theory, there’s very little left to achieve. This phenomenon—when you’re just a step away from completing a stage but start making decisions you wouldn’t normally make—is nearly universal. It’s a time when trading becomes less logical and more emotional, leading to mistakes that can undo all the progress you’ve made.

Have you ever found yourself just 0.5%, 0.2%, or even 0.02% away from finishing a stage? Perhaps you were just a few dollars shy of hitting your goal, but instead of achieving it, you drifted further away by making risky decisions? I’ve experienced this many times and believe it’s worth discussing to highlight the traps this specific moment can bring.

In one particularly memorable instance, I was just $10 away from completing a stage, but instead of calmly closing the process, I ended up $3,000 away from the goal (moving from 0.01% away to a 3% deficit). That moment taught me more about managing emotions than any prior experience. Why do we make illogical decisions when we’re so close to the goal? Why do we enter setups we’d usually avoid? It’s paradoxical that just when we need one small step, we start breaking the rules that have led us to success thus far. (In my case, it was often less about forcing trades and more about holding onto profitable positions that were close to reaching the goal but fell short.)

When you’re just shy of reaching your goal, the psychological battle begins. Trading is not just about calculations; it’s also about managing emotions. Seeing that you only need a few points or a few dollars to finish a stage creates a temptation to achieve it “right now”—quickly, without adhering to your strategy. Emotions take over, and logic is pushed aside. You want to complete the stage immediately, breathe a sigh of relief, and move on. This is understandable—after weeks of consistent effort, the prospect of instant success is tempting.

However, under this pressure, we often enter trades that would normally be unacceptable to us. It might be a setup with higher risk or one with questionable foundations. Sometimes, because it feels like just a few points away, we’re willing to break our rules—“It’s just one trade, it’ll be over in no time.” But this is where everything starts to unravel. We enter trades that lead to losses, and every subsequent decision becomes an attempt to “recover” the loss and hit the goal, pulling us into a spiral of risk and mistakes.

The proximity to the goal can cause more stress than the moments when we’re just starting. We see the finish line and feel that we’re “almost there,” which only heightens emotions. Breaking our patience becomes easier, and risk is suddenly seen as something worth taking to shorten the path to success. We hope that one click of the button, one trade, will complete the stage. The problem is that this kind of thinking often leads to impulsive decisions that take us further from the goal instead of closer.

This is a classic psychological trap—having the completion of a stage “within reach” makes us feel like our patience is being tested. It’s paradoxical because, logically, all we need to do is stay calm and continue the process. But emotions whisper that it’s no longer worth waiting—“just one more step.” That’s why it’s so important not to succumb to the temptation of rushing to finish the stage. What seems like the “final step” should be treated like any other part of the process—without extra stress and without inflated expectations.

Instead of giving in to impulse and making risky decisions, simply continue the process according to the plan. Even if you’re only a few points away from completing the stage, the best strategy is to stick to the rules you’ve established. The market will still be there tomorrow, and the situation might be more favorable. Finishing the stage tomorrow could be simpler than it seems today. So why gamble on uncertain trades?

Continuing the process as planned, without “forcing” the stage’s completion, not only increases your chances of achieving the desired result but also minimizes stress. Trading is a long-term game where the outcome is the result of a series of well-thought-out actions, not a single impulsive move. Letting emotions take control can disrupt the entire process and lead to results opposite to what you intended.

How to manage this moment

First, recognize that being close to the goal creates unnecessary emotions. The closer you are to the end, the greater the risk of impulsive actions. If you can’t identify your emotions, how can you hope to control them?

In these crucial moments, remind yourself that it’s the process that leads to success, not a single impulsive move. Every stage in prop trading is part of a larger strategy designed to deliver long-term profits. Sticking to the plan, not emotions, is the foundation of effective trading.

If the pressure feels overwhelming, take a break. You don’t have to finish the stage immediately, even if you’re very close. Step away from the chart, analyze the situation with a clear head, and return to trading with fresh energy. Sometimes, a few minutes away can help you regain perspective and avoid unnecessary mistakes. Maybe go for a walk? Don’t have a dog? Adopt one from a shelter.

The fact that you’re close to completing a stage shouldn’t make you focus solely on the outcome. Treat this moment like any other. Focusing on the process, not the result, will help you stay calm and avoid taking risks that could undo your progress.

Final thoughts

The proximity to the end of a stage is a moment where many traders fall into the trap of hasty decisions. Instead of waiting for the right moment, they give in to the temptation of finishing the stage immediately. Unfortunately, this mindset often leads to mistakes and moves us further from the goal.

Trading is a process, not a race. The key is to approach every stage with the same calmness, no matter how close you are to the finish line. Success is the result of the process, not a series of impulsive decisions.

The next time you’re close to completing a stage, stay calm, stick to the plan, and remember that it’s better to finish the stage the same way you got there—by following the principles that brought you to this point—rather than making risky decisions that could erase your achievements or, in extreme cases, set you back to square one.