How do you say no to a trade that looks perfect?

The most dangerous trade is the one that looks flawless: it justifies oversized risk, skipped checks and ignored rules. Saying no to an excellent-looking trade is a skill beginners don't practise.

How do you say no to a trade that looks perfect? — risk-reward diagram
A risk-reward ratio of 1 to 2

What makes you pass on a good-looking setup?

  • the checks you run before any trade
  • the setups you've learned to distrust
  • a "perfect" trade that went badly and what it taught you
How do you say no to a trade that looks perfect? — candlestick anatomy diagram
The parts of a candlestick: wick, body, open and close

The stop-loss guide starts from the idea that every trade can be wrong.

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