Disliked{quote} A system or strategy will eventually fail as long as it contains predictive factors that need discretionary decisions …Ignored
In these kinds of discussions I have learned that it is useless and circular to take sides as the discussion potentially turns into an argument. What I can say is this - from my many years of personal and professional experience, trading MUST have BOTH anticipative and systemic awareness and understanding. Big words but basically this - a trader is a person seeking to advantageously look to the future, a future based on the idea that it contains certain normalizing traits and conditions, so they can profit in some way from the opportunity presented, be it short term or long term. To do this well or VERY well, requires more than math, more than a "system" or a set of combined tactics that deem something "profitable". It requires a taste of real life. But because MOST people who try their hand at trading, be it speculative or investive in nature, have never had that taste of real life through the eyes of the financial world, they make assumptions, they make opinions, they make mistakes. These things they make that I have just mentioned are not necessary, that is, they need not happen ever. But, they DO keep happening because most people wield assumptions in their trading in exactly the same way they do in their real life, as fact or more specifically ... 'substance'.
An eg. - An analogue clock MUST have 12 numbered 'sections' to its face and its working conditions. If you remove 1 or 2, then you will find it stumbles and falters. That's as simple as I can say it. Trading is exactly like that.
I find many people put themselves in a 'Catch-22' position because they carry natural or artificial ignorance towards many things re: life.
As you say, a system or strategy (or methodology), can/will eventually fail, but that is only part of the story here. It's the responsibility of the person to know when to override what is 'programmed' into their approach.
This whole thing of 'be systematic' or 'be discretionary' is really a mute idea. Why? An EA or 'system' has no feelings about the outcome, about the trading account, about you and your life. But you do and will. 'The market' doesn't care if you've "got your shit together" .... or not. It deals only with intention and process. If a system or strategy fails it is because the 'driver' is not aware of something, is not competent enough or cannot control themself and relax and manage their feelings and emotions. No exclusion of emotions is necessary.
What I see is people trying to evade all this and avoid dealing with these things. Of course this is not me 'telling people' what to do here it's merely based on real life observations and experience so I guess it depends on what a person values.... go mainstream, go contrarian or do it properly.
I hope that helps.
Peter
Real Trading is not gambling.