Why Most Buy/Sell Signals Fail: The Missing Rule Traders Ignore
Most people think they understand buy/sell signals. Someone says “buy,” you buy. Someone says “sell,” you sell. It sounds simple, especially when you are in that phase where you just want to stop overthinking and start seeing results again. But if you have already been burned by signals, you probably know the real problem. You bought, but did not know where the idea was wrong. You sold, but did not know where to exit. You held because you did not want to be wrong. You closed because you panicked. And later, the most painful part was not always the loss. It was realizing you never had a full plan. You only had direction. That is the core problem with many buy/sell signals online. They give traders a push, but not a structure. The Missing Rule Is Invalidation The missing line that causes most losses is not always the entry. It is not even the target. It is invalidation. Invalidation is the line that says: “If price does this, the trade idea is wrong.” Without that line,...