: Create objective rules for market selection, entries, and exits.
: Self-awareness and emotional discipline are the most vital factors for consistent performance. Trade Your Way to Financial Freedom
: This includes your specific entry and exit rules, which are actually the least important part of the total system. Key Concepts for Success : Create objective rules for market selection, entries,
: The average amount you can expect to win or lose per dollar of risk. Key Concepts for Success : The average amount
: The book categorizes markets into types like "Directional Quiet" or "Sideways Volatile" and stresses that different systems must be applied to each. Summary of System Development Steps
: A system for measuring profits and losses relative to your initial risk (R), allowing for clear performance comparisons across different strategies.
: This determines how much to trade, which manages risk and prevents account "blow-ups".