Many beginners make the mistake of looking for the "miracle indicator," but the reality is that successful trading is built on three immovable pillars (the three legs of a stool):
1️⃣ Solid psychology: To avoid trading out of fear or euphoria.
2️⃣ Logical investment system: A strategy with positive mathematical expectation.
3️⃣ Risk management: The safety belt that prevents a bad streak from taking you out of the game.
As Alexander Elder says: "Remove just one leg and the stool will fall." No matter how good your technical analysis is; without risk management or emotional control, the market will eventually expel you.
Which of these three legs has cost you the most to strengthen?