Wednesday, October 13, 2004

System

The first rule for any trading system: Trade only the system.

This rule would be much easier to follow if one always incurred losses when trading outside the system. Somehow, the gains from these outlier trades always seem to be of an order greater than the gains typically achieved when playing by the book; hence, the tendency to stray. One can only hope for a series of excruciating drawdowns to realign his journey on the proper path.

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