The Trade You Keep Explaining Is Already Telling You Something

If a trade needs constant explanation to stay alive, the explanation may be doing more work than the edge.

There is a difference between managing a trade and defending one.

Managing a trade means you are updating with new information.

Defending a trade means you are trying to protect your original idea from new information.

The difference is not always obvious in real time.

You can sound thoughtful while defending a bad trade. You can use good market language. You can talk about context, liquidity, higher time frames, patience, and structure.

Underneath all of that, the real question is simple:

Are you still reading the market, or are you trying to save the thesis?

The trade you keep explaining is often already giving you the answer.