When Should I Cut My Losses?

We are not professional stock or financial advisors, so we cannot tell you what to do.  We can share with you what we have done in this type of a situation. We came to a realization that there is always another stock that will run. So, for us, we cut losses quickly and move on to the next opportunity.  That said, we do not hastily revenge buy another stock to try to mitigate the losses from another trade. We methodically wait for the next solid set up. Our philosophy is the previous trade already did not work out, so why should we hold, wait and pray for the position to turn around? Why do that, when we can sell the position and put the proceeds into a fresh trade that actually has momentum, volume and possible new fresh news, that could move the stock up parabolically?  This is not to be interpreted as advice.  We are just sharing what we have done.