There are two times traders use hope, and both times it means they are doing something wrong.
When a trader enters a position and hopes it moves in his or her favor, he or she obviously does not have a winning trading plan.
The second time hope comes into play is when a trade is entered and it immediately becomes a loss. Instead of having a predetermined money management plan (a stop), the trader becomes paralyzed and hopes the loss does not become bigger.
On the rare occasions that hope works, the damage done will be worse. The trader has applied negative behavior and is positively reinforced. This will only make it harder for the trader to become successful in the future.
–Larry Connors and Blake E. Hayward, Investment Secrets of a Hedge Fund Manager (1995, Irwin Professional Publishing, Chicago).