The concept
Consecutive losses happen even with a sound approach. With a 50% win rate, 6 losses in a row is quite possible over 100 trades.
Why it matters
Planning for streaks keeps you from abandoning rules or oversizing.
How markets interpret it
Small risk per trade keeps streaks survivable.
Key takeaways
- Streaks are normal.
- Past losses don't change the next trade's odds.
Knowledge check
After five losses, the next trade is…