Discover and read the best of Twitter Threads about #behavioralmistakes

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There are three important elements in #trading (in somewhat ranked order):
1. Having a true statistical trading edge(s).
2. Avoid behavioral mistakes (having a good trading mindset).
3. Have proper risk management.

#riskmanagement #risk
What is most important in trading?

Having a statistical #edge is the most important.

No trading mindset and/or risk management can ever replace a true statistical edge.

quantifiedstrategies.com/psychology-ove…
The second most important is avoiding behavioral mistakes.

If you don't do what you should, then you most likely have no statistical edge.

No backtest can ever capture your overriding of the rules.

quantifiedstrategies.com/the-most-commo…

quantifiedstrategies.com/how-to-overcom…

#behavioralmistakes
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