thanks Chief.
immy wrote:The blindness of a single event... a dangerous thing... Our ancestors, were clever, hence they became superstitious... "I stumbled on this stone here, fell over and found a coin" ... Lets do it again...
When a trader makes a trade and it goes in "their favour" [depends on your time bound perspective] but broke their rules. They learn, "lets stumble again"...
What happens next?
The Random Event Addiction. one of the worst addiction is the addiction of "random rewards"... Think casions and gambling. A certain chemical is released in your body. Its just so exhilarating. Monkeys go wild during random reward testing. A trade without a plan, a trade without a DS, a trade without a strategy, is JUST THAT.... people lose their Entire worth trying to find that next big wave....
When you take a trade against the rules of the setup you are trading "random" patterns. those patterns have less than 50% rate of success. WHen you follow the Setup 1 rules, you then have 33% chance of a losing trade, 33% chance of winning trade and 33% chance of BE.. (roughly)... this is a HUGE edge its gives you 1.5 profit factor and that to any statistician is HUGE....
have a great weekend... don't gamble, run your "trading business" professionally... [I'm not a guru, and I certainly don't want to sound like one, if I said more than I should, please accept my apologies.]
