Past Results Don’t Always Predict Future Performance

Sometimes the best laid trading plans just don’t work. You can come up with a logical plan that’s worked in the past and execute it while following all the right rules, and you can still fail to make money (or even lose it).

The market environment can change in erratic ways, and predicting what your trading peers will do all the time is very difficult. If you trade long enough, you’re bound to get knocked down in situations where you expected to leap ahead. What’s the best thing to do when that happens? Dust yourself off, chalk it up to experience, and begin looking for your next promising trade.

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