Perhaps I did not get the idea across that well. Yes you will have an idea based on your systematic approach. However, you do not know with any certainty the outcome will be what you want. You will hope, believe, have back history on your side, but the idea of needing to be right has no place in trading. That is what I was trying to get across. That is what I intended. There is no certainty that just because of x, y and z the market will go up or down. There are probabilities, but not certainties (if I spelled that correctly).
Based on what you said I have the feeling you already accept this. You accept that no matter what reasons you have for entering a trade, you fully realize it might go against you.
So reality is, at any given point in time you truly do not know what the market will do. Therefore you have no idea what it will do. You can conjecture, presume, hope, believe based on past history etc...but 100% certainty?
The point of the author was you need to remove your ego and understand that no matter how good you feel about a trade, it might not work. Forget it, and move to the next one.
No offense taken. Especially since I am not getting this idea across very well.
I think it was a Mark Douglas book that I read. Not sure on that though. |
