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Review the process, not one outcome

Forex academy · Psychology

Psychology

The idea

One result mixes decision quality with randomness. Review a group of comparable trades and distinguish adherence, execution costs and market conditions. Changing the whole strategy after each loss prevents meaningful evaluation. Define review intervals and what evidence would justify a change.

A worked example

Five losses can occur within a strategy's ordinary variation. A single breach of a hard risk rule deserves attention even if the trade wins.

Try it yourself

Choose one process metric, such as percentage of trades with size calculated before entry, and track it for a week.

A mistake to avoid

Optimizing only win rate while ignoring costs, payoff size and rule compliance.

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