The title of this thread IS the reason why MOST traders fail... they'll put together some elaborate (usually mathematical) rationalizations to avoid the real reason...
Trading is a battle to the death with the greatest opponent you will ever face - yourself. Take all your mathematical equations, throw them out the window, and face the GD music.
I don't mean to sound combative, but that my friends is the ugly truth. Ask any broker who their biggest per dollar losers are, and they'll tell you that its usually successful engineers with big bank rolls from their 9 to 5. I think it's pretty logical why... they're pure number guys with grandiose math theories and nice salaries to try them out. However, what happens to them? That's right - Crash and Burn baby... the markets have much less to do with math and statistics, than they do with heart and soul.
Just my 2, take it for what its worth.
MM
Trading is a battle to the death with the greatest opponent you will ever face - yourself. Take all your mathematical equations, throw them out the window, and face the GD music.
I don't mean to sound combative, but that my friends is the ugly truth. Ask any broker who their biggest per dollar losers are, and they'll tell you that its usually successful engineers with big bank rolls from their 9 to 5. I think it's pretty logical why... they're pure number guys with grandiose math theories and nice salaries to try them out. However, what happens to them? That's right - Crash and Burn baby... the markets have much less to do with math and statistics, than they do with heart and soul.
Just my 2, take it for what its worth.
MM